Relationship Managerial Entrenchment by Financial Leverage

The aim of this study was to investigate the relationship between management obligations with financial leverage index in Tehran stock exchange. This study was an applied research and its method was of descriptive-correlation type. The statistical population of the study consisted of accepted companies in stock exchange during a five years period from the year 2011 to 2016, and based on systematic removal sampling, totally128 companies were under investigation. In the case of data collection of the study, library method and financial data Software of stock exchange companies were applied. Data analysis of the study was done using inferential statistics (regression analysis) and Eviews Software was used. Findings of the study revealed that there is a negative relationship between management obligation and leverage index. There is a relationship between CEO’s duality of task and the extent of share owning of CEO with financial leverage index.