The Effect of Family Ownership on Speed of Adjustment of Cash Holding: Evidence from Tehran Stock Exchange

This study examines the relationship between family ownership and Speed of Adjustment of cash holding, in three hypotheses identified consistent with the literature research. The research method is descriptive and correlational and to analyze the relationship between independent and dependent variables, multiple regression statistical methods were used. Then, to test the research hypotheses, using data on firms listed in Tehran Stock Exchange, through the sampling cup, 93 companies were selected as samples in the period from 2011 to 2015. The present results confirm the hypothesis that show there is a positive and significant relationship between family ownership and speed of adjustment to the level of cash holding. Further, Young and financially constrained family firms have a faster speed of adjustment to the level of cash holding.