Board risk committee composition and risk-taking of deposit money banks in Nigeria

Figures & data

Table 1. Descriptive Statistics

Variables	Obs	Mean	Median	Std. Dev	Min.	Max
Orisk	144	0.62951	0.63370	0.13984	0.2694	0.9807
Rcind	144	0.63329	0.57141	0.17728	0.1667	1
Rcexp	144	0.74446	0.77778	0.17355	0.2667	1
Rcgen	144	0.18224	0.14290	0.16337	0	0.6000
Rcexg	144	0.09570	0.08330	0.10831	0	0.4545
Intsp	144	0.15277	0.12380	0.28477	−0.0139	3.4731
totd	144	0.71581	0.69630	0.20405	0.08170	1.41220

Orisk is overall risk-taking, rcind is risk committee independence, rcexp is risk committee expertise, rcgen is risk committee gender diversity, rcexg is risk committee gender diversity and expertise, intsp is interest rate spread, and totd is liquidity.

Table 2. Correlation matrix

	orisk	rcind	Rcexp	rcgen	rcexg	instp	totd
Orisk	1.000
Rcind	−0.1222	1.000
Rcexp	−0.0458	−0.1848**	1.000
Rcgen	−0.3129***	0.1704**	−0.3511***	1.000
Rcexg	−0.3580***	0.0614	−0.1144	0.7740***	1.000
Instp	0.0997	0.0730	−0.1543*	0.2515***	0.1126	1.000
Totd	0.4476***	−0.0029	0.0790	−0.4823***	−0.3773***	0.3802***	1.000

***, **, * represent significance at 1%, 5 and 10%, respectively. Orisk is overall risk-taking, rcind is risk committee independence, rcexp is risk committee expertise, rcgen is risk committee gender diversity, rcexg is risk committee gender diversity and expertise, intsp is interest rate spread, and totd is liquidity.

Table 3. Regression results

Variables	OLS	FE	RE	SCC
Rcind	−0.11627** (−2.07) 0.056167	−0.31732*** (−4.98) 0.06376	−0.62394*** (−4.36) 0.06055	−0.11627** (−2.25) 0.05165
Rcexp	−0.06956 (−1.11) 0.06248	0.19935** (−2.55) 0.07819	−0.15748** (−2.18) 0.07233	−0.06956** (−2.40) 0.02900
Rcgen	0.00659 (0.06) 0.11108	−0.10340 (−0.92) 0.11216	−0.07404 (−0.68) 0.10955	0.00659 (0.05) 0.12459
Rcexg	−0.27484* (−1.88) 0.14747	0.00099 (0.01) 0.15872	−0.0812 (−0.53) 0.15235	−0.27484 (−1.12) 0.24491
Totd	0.33862*** (5.89) 0.05749	0.24428*** (4.52) 0.05344	0.26839*** (5.09) 0.05272	0.33862*** (4.61) 0.07342
Instp	0.15074*** (4.04) 0.37295	0.12299*** (3.65) 0.03368	0.12987*** (3.88) 0.03346	0.15074*** (7.93) 0.01900
Cons	0.51462*** (6.19) 0.08307	0.80398*** (8.47) 0.09493	0.72311*** (7.90) 0.09153	0.51462*** (8.04) 0.06402
Nos of Obs	144	144	144	144
F Statistics	12.16	11.48	68.99	150.48
Prob>F	0.0000	0.0000	0.0000	0.0000
R-Squared	0.3475	0.2378	0.2868	0.3475
VIF	Max VIF 3.54 Mean VIF1.88
Hetero	Prob > chi2 = 0.000
Cross Sect. Dep	Pr = 0.0030

***, **, * represent significance at 1%, 5% and 10%, respectively. The t values are in brackets. Orisk is overall risk-taking, rcind is Risk committee independence, rcexp is risk committee expertise, rcgen is risk committee gender diversity, rcexg is risk committee gender diversity and expertise, intsp is Interest rate spread, totd is liquidity, cons is Constant, VIF is Variance Inflation Factors, Hetero is heteroskedasticity, Cross Sect. Dep is cross-sectional dependence.