Nexus between Board independence, CEO Duality, Board's financial Knowledge, and Firm Performance. Evidence From Indian Firms

Abstract

This paper examined how board independence, CEO duality, and board financial knowledge affect a firm's performance. For this study, we have used 39 firms from the Nifty 50 index over the period FY-2021 to FY2025 after excluding financial firms. After employing OLS, we found that board independence, CEO duality significantly affect the firm's performance, after controlling for firm-specific characteristics. We don’t find any relationship between the Board's financial knowledge and firm performance. Overall, this study provides evidence that board structure and leadership characteristics play an important role in determining firm performance. This research is meant for the academician, corporates, researcher, and policymakers who can address issues related to the board characteristics like Board independence, CEO Duality and Board financial Knowledge.