Female Directors’ Years of Experience

 Years of experience is also a

factor of consideration.
 Years of experience indicates
the quality of taking decision,
the functions and roles,
efficiency and effectiveness
and finally the firm
performance.
 Female Directors’ Family Relationship & Political Relationship
 Some insurance companies appoint their female
directors on the boardrooms only on the basis of
family relationship or political relationship.
 16 companies where female directors have directly
linkage with the chairman of the board or other
directors
 07 companies’ female directors have political
relationship. Rest other companies did not disclose
these information.
 Some companies’ female directors are the Member
of Parliament (MP) and some others’ have indirect
political connection.
 OLS Regression Estimates
Regression Analysis
ROA ROE
 Female director as an independent   Coefficients P-value Coefficients P-value
director affects the ROA and ROE Intercept 0.21233 0.02459 0.00613 0.04605
positively where their presence in core
FD 0.40398 0.03974 0.86839 0.05098
board committee negatively affects
FDOWN -0.44698 0.02636 -0.99189 0.0379
the firm performance.
FDAT 0.03513 0.04197 0.03940 0.04855

 Female directors’ years of experience FDID 0.29510 0.04833 0.67806 0.04057

affects the firm performance FDAC -0.52576 0.07046 -1.04581 0.06152
positively where the family and FDRMC -0.01126 0.05821 -0.07173 0.05784
political relationship affects
FDNRC -0.09862 0.05566 -0.12151 0.05857
negatively.
FDAQ -0.09614 0.03953 -0.17461 0.00829

 Female directors’ years of experience FDYE 0.00654 0.00266 0.00645 0.01034

affects the firm performance FDFR -0.00681 0.00764 0.04534 0.00782

positively where the family and FDPR -0.10228 0.04497 -0.21969 0.04683
political relationship affects
LNFS 0.00226 0.03737 0.02519 0.04829
negatively.
LEV -0.16497 0.02088 0.19910 0.03942
 Hypothesis Testing Summary of Hypotheses Results

Independent variable Dependent P value Hypotheses

 There exists a positive association of variable Conclusion
female directors with the firm
financial performance. The presence & 1. Female Directors ROA & ROE P < 0.05 Accepted

proportion of female directors’ in core 2. FD Ownership ROA & ROE P < 0.05 Rejected

board committee are less in number 3. FD Attendance ROA & ROE P < 0.05 Accepted
and their performance are not
4. FD as Independent Director ROA & ROE P < 0.05 Accepted
positively related.
5. Female Directors in      
 Family and political relationship and Audit Committee ROA & ROE P > 0.05 Accepted

ownership also affect the performance Risk Mgt. Committee ROA & ROE P > 0.05 Accepted
Nomi. & Remu. Committtee ROA & ROE P > 0.05 Accepted
negatively.
 Oppositely, female directors’
6. FD Academic Qualification ROA & ROE P > 0.05 Accepted
attendance, female independent
directors and years of experience 7. FD Years of Experience ROA & ROE P < 0.05 Accepted

positively influence the firm 8. FD Family Relationship ROA & ROE P < 0.05 Accepted

performance. Political Relationship ROA & ROE P < 0.05 Accepted

 Conclusion

The equal opportunity for the women is a subject of frequently

discussion.
The impact of female directors’ participation on the boardroom on
the firm performance is less examined particularly in insurance
sector of Bangladesh.
This study recommends that some factors should be taken into
account on the eve of appointing female directors.
A better work environment and opportunities should be ensured for
female directors to play a vital role in insurance sector of
Bangladesh.
 Limitation of this study
The constraints of this empirical research study must be considered
on the eve of reaching any conclusion on the basis of this research.
The major limitation is that the result varies in terms of country,
culture and sectors.
So, these three things along with other factors should be taken into
account.
This research uses 150 firm years during the period of 2015 to
2019.
So, all of these things should be considered before generalization.