Relationship between Corporate Capital Structure and Stocks Liquidity: Empirical Evidence in Vietnam

Van Thi Thuy Vu, Thoa Thi Tran, Xuan Thanh Ngo, Linh Nhat Nguyen

Abstract


The paper examines the impact of capital structure on the liquidity of listed shares on the Ho Chi Minh City Stock Exchange, which includes 1078 observations during the period of 2011 – 2017. In addition to the capital structure, the study also looked at the impact of controlled variables including profitability (ROS), corporate value (Tobin’s Q) and size of the business (SIZE) on the liquidity of listed shares. The results show that the capital structure has inherently inverse relationship, while the controlled variables in the model have a positive relationship with stocks’ liquidity.


Full Text:

PDF


DOI: https://doi.org/10.5296/ajfa.v10i2.13719

To make sure that you can receive messages from us, please add the 'macrothink.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders.

Copyright © Macrothink Institute   ISSN 1946-052X