Bancassurance on the Value of Banking Companies in Asia Pacific: Profitability as a Mediating Variable
DOI:
https://doi.org/10.37385/msej.v4i5.2595Keywords:
Bancassurance; Banking Firm Value; ProfitabilityAbstract
High competition in the financial sector forces banks to increase non-interest income to be able to escape the banking crisis and compete in the global economy, one of which is through bancassurance cooperation . This research was conducted to determine the effect of bancassurance on banking firm value with profitability as a mediating variable. The research sample consisted of 142 conventional commercial banks listed on the stock exchanges of each APEC member country and available in the eikon reflective database for the 2016-2022 period which were selected by purposive sampling . Panel data regression was performed to test the direct effect, followed by the Sobel test to test the indirect effect. The results of the study show that bancassurance has a significant direct or indirect effect on the value of banking companies through bank profitability. Bancassurance commissions obtained by banks are able to increase fee-based income and generate greater bank profitability, thus encouraging an increase in the value of banking companies. Positive results of bancassurance on banking profitability and value, are expected to encourage APEC member countries to further optimize bancassurance supported by regulations from the government.
References
Abdul Karim, Mastura, M. Kabir Hassan, Taufiq Hassan, dan Shamsher Mohamad. (2014). Capital Adequacy and Lending and Deposit Behaviors of Conventional and Islamic Banks. Pacific-Basin Finance Journal 28:58–75. doi: 10.1016/j.pacfin.2013.11.002.
Afifah, Luthfia. (2022). Pengaruh Bancassurance Terhadap Profitabilitas dan Efisiensi Bank di Asia Tenggara (Studi Empiris Pada Bank Umum Konvensional di Indonesia, Malaysia, Singapura, Filipina, dan Thailand Tahun 2016-2020). diploma, Universitas Andalas.
Arora, Abhiruchi, dan Manish Jain. (2013). An Analysis on Contribution of Bancassurance on Financial Performance of Bank of India. Journal of Economics and Sustainable Development 4(6) : 24.
Asni, Nur, dan Dian Agustia. (2021). The mediating role of financial performance in the relationship between green innovation and firm value: evidence from ASEAN countries. European Journal of Innovation Management. 25(5) : 1328–47. doi: 10.1108/EJIM-11-2020-0459.
Azhar, Zulfa Afifatul, dan Andi Wijayanto. (2018). Pengaruh Profitabilitas Terhadap Nilai Perusahaan Melalui Kebijakan Dividen Sebagai Variabel Intervening (Studi Pada Perusahaan Manufaktur Yang Terdaftar Di Bursa Efek Indonesia Periode 2012-2016). Jurnal Ilmu Administrasi Bisnis 7(4) : 137–46. doi: 10.14710/jiab.2018.21918.
Bergendahl, Göran. (1995). The profitability of bancassurance for European banks.” International Journal of Bank Marketing 13(1) : 17–28. doi: 10.1108/02652329510075427.
Dzahabiyya, Jauza, Dicky Jhoansyah, dan R. Deni Muhammad Danial. (2020). Analisis Nilai Perusahaan Dengan Model Rasio Tobin’s Q. JAD?: Jurnal Riset Akuntansi & Keuangan Dewantara 3(1) : 46–55. doi: 10.26533/jad.v3i1.520.
Fiordelisi, Franco, dan Ornella Ricci. (2011). Bancassurance efficiency gains: evidence from the Italian banking and insurance industries. The European Journal of Finance 17(9–10) : 789–810. doi: 10.1080/1351847X.2010.538519.
Hamidy, Rahman Rusdi, I. Gusti Bagus Wiksuana, dan Luh Gede Sri Artini. (2015). Pengaruh Struktur Modal Terhadap Nilai Perusahaan Dengan Profitabilitas Sebagai Variabel Intervening Pada Perusahaan Properti Dan Real Estate Di Bursa Efek Indonesia.
Harrison, Jeffrey S., dan Andrew C. Wicks. (2013). Stakeholder Theory, Value, and Firm Performance. Business Ethics Quarterly 23(1) : 97–124.
Hernández-Trasobares, Alejandro, dan Carmen Galve-Górriz. (2017). Diversification and Family Control as Determinants of Performance: A Study of Listed Business Groups. European Research on Management and Business Economics. 23(1) : 46–54. doi: 10.1016/j.iedeen.2016.04.001.
Kasmir, Kasmir. (2012). Bank Dan Lembaga Keuangan Lainnya. Jakarta : PT Raja Grafindo Persada.
Klein, Paul-Olivier, dan Laurent Weill. (2022). Bank Profitability and Economic Growth. The Quarterly Review of Economics and Finance. 84:183–99. doi: 10.1016/j.qref.2022.01.009.
Mamun, Abdullah, Garrett Meier, dan Craig Wilson. (2023). How Do Noninterest Income Activities Affect Bank Holding Company Performance? Finance Research Letters 53:103630. doi: 10.1016/j.frl.2023.103630.
Maria, Anne. (2015). Pengaruh CAR, BOPO, NIM, NPL, DAN LDR Terhadap ROA: Studi Kasus Pada 10 Bank Terbaik Di Indonesia Periode 2007-2011.” CALYPTRA 4(1):1–19.
McKinsey, Website. (2021). Global Insurance Pools statistics and trends: An overview of life, P&C, and health insurance. McKinsey & Company. Diambil 6 Februari 2023 (https://www.mckinsey.com/industries/financial-services/our-insights/global-insurance-pools-statistics-and-trends-an-overview-of-life-p-and-c-and-health-insurance).
Mehzabin, Saima, Ahanaf Shahriar, Muhammad Nazmul Hoque, Peter Wanke, dan Md. Abul Kalam Azad. (2022). The Effect of Capital Structure, Operating Efficiency and Non-Interest Income on Bank Profitability: New Evidence from Asia Asian Journal of Economics and Banking. doi: 10.1108/AJEB-03-2022-0036.
Niyas, N., dan V. Kavida. (2023). Impact of Financial Brand Values on Firm Profitability and Firm Value of Indian FMCG Companies. IIMB Management Review. doi: 10.1016/j.iimb.2023.01.001.
Nuryaman. (2015). The Influence of Intellectual Capital on The Firm’s Value with The Financial Performance as Intervening Variable. Procedia - Social and Behavioral Sciences. 211 : 292–98. doi: 10.1016/j.sbspro.2015.11.037.
Pambudi, Prapanca Robiyan. (2018). Pengaruh Bancassurance Terhadap Profitabilitas Bank di Indonesia. Fakultas Ekonomika Dan Bisnis Universitas Diponegoro Semarang 26.
Peng, Jin-Lung, Vivian Jeng, Jennifer L. Wang, dan Yen-Chih Chen. (2017). The Impact of Bancassurance on Efficiency and Profitability of Banks: Evidence from the Banking Industry in Taiwan. Journal of Banking & Finance. 80 : 1–13. doi: 10.1016/j.jbankfin.2017.03.013.
Phillips, Robert, R. Edward Freeman, dan Andrew C. Wicks. (2003). What Stakeholder Theory Is Not. Business Ethics Quarterly 13(4) : 479–502.
Pratiwi, Anisa Wantifa, Siti Nurlaela, dan Yuli Chomsatu. (2022). Faktor-Faktor Yang Mempengaruhi Nilai Perusahaan Perbankan di Indonesia. INOVASI: Jurnal Ekonomi, Keuangan dan Manajemen. 18 (1) : 50–58. doi: DOI: 10.29264/jinv.v18i1.10470.
Rachmawati, Rani Putri, dan Linna Ismawati. t.t. Pengaruh Profitabilitas (Eps), Ukuran Perusahaan (Size) Dan Leverage (Dar) Terhadap Nllal Perusahaan (Tobin’s Q) Pada Perusahaan Asuransi Yang Terdaftar Dl Bursa Efek Lndonesla Periode 2013-2017.”
Scharfenaker, Ellis, dan Paulo L. dos Santos. (2015). The Distribution and Regulation of Tobin’s q. Economics Letters. 137 : 191–94. doi: 10.1016/j.econlet.2015.11.008.
Sekaran, Uma. (2003). Research Methods for Business: A Skill-Building Approach. 4th ed. New York : John Wiley & Sons.
Sendra, Ketut. (2007). BANCASSURANCE?: Kemitraan Strategis Perbankan Dengan Perusahaan Asuransi. 1 ed. Jakarta: PPM.
Sofiatin, Destya Aida. (2020). Pengaruh Profitabilitas, Leverage, Likuditas, Ukuran Perusahaan, Kebijakan Deviden Terhadap Nilai Perusahaan (Studi Empiris Pada Perusahaan Manufaktur Subsektor Industri Dan Kimia Yang Terdaftar Di BEI Periode 2014-2018). Prisma (Platform Riset Mahasiswa Akuntansi) 1(1):47–57.
Spence, Michael. 1973. “Job Market Signaling.” The Quarterly Journal of Economics 87(3):355–74. doi: 10.2307/1882010.
Tanta, Fadhila Putri. (2019). Analisis Efek Bancassurance pada Efisiensi dan Profitabilitas Bank yang Terdaftar di Bursa Efek Indonesia.
Tridewi, Afifa Wahyu. (2016). Pengaruh Keputusan Investasi, Pendanaan Dan Kebijakan Dividen Terhadap Nilai Perusahaan (Studi Pada Perusahaan Sektor Consumer Goods Dan Basic Industry and Chemicals Yang Tercatat Aktif Di Bursa Efek Indonesia Tahun 2012-2014). Jurnal Ilmiah Mahasiswa FEB 4(2).
Wang, Chunyang, dan Yongjia Lin. (2021). Income Diversification and Bank Risk in Asia Pacific. The North American Journal of Economics and Finance. 57 : 101448. doi: 10.1016/j.najef.2021.101448.
Wibowo, Buddi. (2016). Stabilitas Bank, Tingkat Persaingan Antar Bank dan Diversifikasi Sumber Pendapatan: Analisis Per Kelompok Bank di Indonesia Jurnal Manajemen Teknologi. 15(2) : 172–95. doi: 10.12695/jmt.2016.15.2.5.
Wijaya, Tony. (2013). Metodologi Penelitian Ekonomi dan Bisnis: Teori dan Praktik. Yogyakarta : Graha Ilmu.
Template
