CEO attributes and firm liquidity: The interactive role of female executives

Investigating interactions among female CEOs across different industries provides new insights into how female leadership impacts liquidity differently by sector, thereby enriching the existing literature on gender-based financing decisions. Using panel data from 324 non-financial firms listed on the Vietnamese stock market between 2011 and 2023, the study employs a two-step Generalised Method of Moments (GMM) approach to address endogeneity and ensure robustness of the results. The findings indicate that, overall, female CEOs have a negative effect on liquidity. However, the strength and direction of this relationship vary by industry: female CEOs notably improve liquidity in the consumer staples, materials, and real estate sectors, but reduce liquidity in the industrial sector. The CEO's age negatively affects liquidity (measured by the quick ratio), suggesting that older, more experienced CEOS tend to operate more efficiently and with greater agility, requiring lower cash reserves. CEO education shows a positive correlation with liquidity, while financial-economic expertise correlates negatively. These results highlight the importance of CEO demographics and expertise, alongside industry-specific factors, in shaping financial policy. The study broadens the existing literature by emphasising industry-specific dynamics and the role of CEO demographics in financial decision-making. It offers new insights into how leadership attributes influence financial strategies and provides practical guidance for boards and investors in selecting suitable CEOS.