... quality and enhancing financial flexibility. Besides, heterogeneity analysis shows that the inhibiting effect of common institutional ownership on corporate over-financialization is more pronounced in stability-oriented institutional investors and high financing constraints firms. Originality/value...

...Apoorva Arunachal Hegde; Ajaya Kumar Panda; Venkateshwarlu Masuna Purpose This paper aims to study the leverage adjustment behavior of firms distinguished based on financial flexibility. Financial flexibility is one of the key strengths of the companies to borrow funds for long-term capital...

... in the tests. Findings The authors find that when the crisis happens, the best companies experience larger decreases in firm value than comparable firms. In addition, such decreases in firm value only exist among the best companies with high financial flexibility. The authors also show that job...

... Financial flexibility Zero-leverage The importance of debt in the capital structure is well documented in existing literature. After the influential work of Modigliani and Miller (1958) , many studies have examined its costs and benefits and concluded that apart from potential costs, it has some...

...Garrett C.C. Smith Purpose – The purpose of this paper is to examine the effects of financial flexibility as represented by excess cash holdings and debt capacity upon firm returns after periods of high market uncertainty. Design/methodology/approach – Days of high uncertainty...

... the determination of capital structure, each from different aspect. In this paper, we examine some specific factors that determine the capital structure of the Greek firms. © Emerald Group Publishing Limited 2007 Corporate finances Financial flexibility Capital structure Greece...