Commercial Bank Performance and Ownership Concentration: An Empirical Analysis of Commercial Banks from a Global Perspective

Table 4

Impact of ownership concentration on ROAA.

	Linear			U-shape			Cube
	(1-1)	(1-2)	(1–3)	(2-1)	(2-2)	(2-3)	(3)
Variables	ROAA	ROAA	ROAA	ROAA	ROAA	ROAA	ROAA
SR1	0.256			1.299			1.663
	(1.34)			(1.53)			(0.83)
SR5		−0.103			−0.079
		(−0.37)			(−0.29)
SR10			−0.304			−0.310
			(−1.33)			(−1.34)
Hfdl1/SR1^2				−0.937			−1.799
				(−1.42)			(−0.52)
Hfdl5					−0.074
					(−0.40)
Hfdl10						0.028
						(0.11)
SR1^3							0.551
							(0.30)
Log(Bank size)	0.171	0.170	0.173	0.171	0.170	0.173	0.169
	(1.04)	(1.04)	(1.08)	(1.04)	(1.04)	(1.08)	(1.02)
Log(Net income)	0.019	0.019	0.019	0.019	0.019	0.019	0.019
	(5.73)	(5.69)	(5.74)	(5.84)	(5.68)	(5.73)	(5.96)
Equity/total assets	0.052	0.053	0.054	0.051	0.053	0.055	0.052
	(2.41)	(2.51)	(2.53)	(2.35)	(2.50)	(2.52)	(2.38)
Gdp_gr	0.002	0.001	0.002	0.003	0.001	0.002	0.002
	(0.23)	(0.18)	(0.27)	(0.32)	(0.17)	(0.27)	(0.30)
Constant	−3.658	−3.519	−3.471	−3.815	−3.519	−3.472	−3.814
	(−1.10)	(−1.07)	(−1.07)	(−1.14)	(−1.06)	(−1.07)	(−1.13)
Observations	435	435	435	435	435	435	435
R-squared	0.405	0.404	0.407	0.407	0.404	0.407	0.407
Number of bank	87	87	87	87	87	87	87
r2_a	0.392	0.392	0.395	0.393	0.390	0.393	0.392
F	15.34	14.67	15.40	14.20	13.89	15.03	12.90

Note. (1-1), (1-2), and (1–3) show the regression results of equation (1); (2-1), (2-2), and (2-3) show the regression results of equation (2); (3) show the regression results of equation (3). All the models are estimated with the bank- and year-fixed effects and the robust standard errors are clustered at the bank level. t-statistics are in parenthesis. , , and indicate the significance at the 10%, 5%, and 1% levels, respectively.