CEO experience and adjustment speed toward target leverage: The case of Vietnam

This paper studies the connection between CEO experience and Vietnamese listed firms’ capital adjustment behavior. In context of Vietnam, we find that experienced CEOs slow down speed obtaining desired ratio debt, after analyzing a sample 694 public companies from 2010 to 2019. pattern can be seen for both under- over-the-target enterprises when leverage is measured by book market value. Our findings are in line with other research shows negative correlation CEOs' years debt levels. We expect CEOs, benefits not large enough substitute costs, so they choose offset deviation target quicker.