Abstract

The paper examines the intensity of monitoring at Malaysian Stock Market and its influence on intellectual capital Efficiency, namely human capital and structural capital and explores the impact of boards' monitoring on the market performance of firms and whether an active monitoring may moderate the influence of ICE on value of firms. The paper adopts ordinary least square and quantile regression techniques to test the objectives of study. The empirical evidence reports a variation in the results between the estimation of both econometrics techniques. In brief, our reported findings indicate that as the board increases its monitoring activities, the ICE of the firms is not affected. Also, the influence of the intense monitoring on market valuation is more apparent and obvious in small and medium corporations. This study contributes to current debate by providing a further understanding of the relationship between the ICE, firm valuation and intensity of monitoring.

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