Macroeconomic factors affecting performance of insurance companies in Malaysia

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

This study has empirically investigated the impact of macroeconomic factors towards the performance of insurance companies in Malaysia. Data were collected from six insurance companies listed in Bursa Malaysia from year 1996-2015. Macroeconomic factors measured by Gross Domestic Product (GDP), Consumer Price Index (CPI) and Interest rate (IR), while company preference is indicated by Return on Asset (ROA). Multiple Linear Regression was used to examine the degree of the relationship of macroeconomics factors towards company's performance. The results conclude that GDP and IR affect the company's performance while CPI gives less impact towards the company's performance. This study contributed to the current understanding of what are the factors influencing Malaysia insurance companies' performance. By understanding the factors, strategic implementation can be taken to improve companies' profitability in the market.

Original languageEnglish
JournalAcademy of Accounting and Financial Studies Journal
Volume22
Issue numberSpecialissue
Publication statusPublished - 01 Apr 2018

Fingerprint

Malaysia
Company performance
Macroeconomic factors
Insurance companies
Interest rates
Consumer price index
Gross domestic product
Factors
Profitability
Multiple linear regression
Return on assets
Influencing factors

All Science Journal Classification (ASJC) codes

  • Accounting
  • Finance
  • Economics and Econometrics

Cite this

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abstract = "This study has empirically investigated the impact of macroeconomic factors towards the performance of insurance companies in Malaysia. Data were collected from six insurance companies listed in Bursa Malaysia from year 1996-2015. Macroeconomic factors measured by Gross Domestic Product (GDP), Consumer Price Index (CPI) and Interest rate (IR), while company preference is indicated by Return on Asset (ROA). Multiple Linear Regression was used to examine the degree of the relationship of macroeconomics factors towards company's performance. The results conclude that GDP and IR affect the company's performance while CPI gives less impact towards the company's performance. This study contributed to the current understanding of what are the factors influencing Malaysia insurance companies' performance. By understanding the factors, strategic implementation can be taken to improve companies' profitability in the market.",
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Macroeconomic factors affecting performance of insurance companies in Malaysia. / Ismail, Noraini; Ishak, Izzaamirah; Abdul Manaf, Normaisarah; Husin, Maizaitlaidawati Md.

In: Academy of Accounting and Financial Studies Journal, Vol. 22, No. Specialissue, 01.04.2018.

Research output: Contribution to journalArticle

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