CEO MILITARY EXPERIENCE AND CORPORATE CASH HOLDINGS: EMPIRICAL EVIDENCE FROM VIETNAM

Abstract

This study employs data from 302 non-financial companies listed on the Ho Chi Minh City Stock Exchange (HOSE) during the 2013-2021 period to assess the impact of CEOs' military experience on corporate cash holdings in the Vietnamese market. The results indicate that firms led by CEOs with military experience hold less cash compared to their peers. The reliability of the findings is reinforced by employing various research methods, including OLS regression, propensity score matching (PSM), and a sub-sample anaylis excluding the COVID period. The study not only adds empirical evidence on the influence of managers' personal characteristics on corporate financial policies but also provides important implications for the selection, training, and evaluation of top executives.