Muhammad Akrim Ihsanul Amal Abbas
Universitas Negeri Surabaya, Surabaya, Indonesia

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The Effect of Enterprise Risk Management (ERM) and Investment Decisions on Firm Value of Publicly Listed Companies (An Empirical Study on Companies in the Consumer Cyclical Sector Listed on the Indonesia Stock Exchange for the Period 2020–2024) Muhammad Akrim Ihsanul Amal Abbas; Rediyanto Putra
Majapahit Journal of Islamic Finance and Management Vol. 6 No. 2 (2026): Islamic Finance and Management
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/mjifm.v6i2.1125

Abstract

This study aims to examine the effect of Enterprise Risk Management (ERM) and investment decisions on firm value in companies within the consumer cyclical sector listed on the Indonesia Stock Exchange during the period 2020–2024. Enterprise Risk Management (ERM) is measured through ERM disclosure, investment decisions are proxied by Price Earning Ratio (PER), while firm value is measured using Price to Book Value (PBV). This study employs a quantitative approach using secondary data obtained from 17 companies in the consumer cyclical sector, resulting in a total of 85 observations over a five-year period. The data were analyzed using panel data regression analysis. The results indicate that Enterprise Risk Management (ERM) has no effect on firm value. Furthermore, investment decisions also have no effect on firm value.
The Effect of Enterprise Risk Management (ERM) and Investment Decisions on Firm Value of Publicly Listed Companies (An Empirical Study on Companies in the Consumer Cyclical Sector Listed on the Indonesia Stock Exchange for the Period 2020–2024) Muhammad Akrim Ihsanul Amal Abbas; Rediyanto Putra
Majapahit Journal of Islamic Finance and Management Vol. 6 No. 2 (2026): Islamic Finance and Management
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/mjifm.v6i2.1125

Abstract

This study aims to examine the effect of Enterprise Risk Management (ERM) and investment decisions on firm value in companies within the consumer cyclical sector listed on the Indonesia Stock Exchange during the period 2020–2024. Enterprise Risk Management (ERM) is measured through ERM disclosure, investment decisions are proxied by Price Earning Ratio (PER), while firm value is measured using Price to Book Value (PBV). This study employs a quantitative approach using secondary data obtained from 17 companies in the consumer cyclical sector, resulting in a total of 85 observations over a five-year period. The data were analyzed using panel data regression analysis. The results indicate that Enterprise Risk Management (ERM) has no effect on firm value. Furthermore, investment decisions also have no effect on firm value.