Universitas Bhayangkara Jakarta Raya

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Machdar, Nera Marinda (2026) Liquidity, Leverage, And Market Structure as Determinants of Stock Volatility: Evidence From A Literature Review with Firm Value as a Mediator. Journal of Economics, Finance And Management Studies, 9 (4). pp. 2099-2107.

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Abstract

This study aims to examine the roles of liquidity, leverage, and market structure as determinants of stock volatility, with firm value as a mediating variable, through a systematic literature review approach. The research adopts a qualitative design using a systematic literature review (SLR) method, analyzing 42 peer-reviewed journal articles published between 2010 and 2025, primarily indexed in Google Scholar and prioritized from SINTA 1 journals. Data were collected through structured screening, extraction, and thematic synthesis procedures to ensure consistency and replicability. The results show that liquidity has a mixed relationship with stock volatility, although most studies indicate a negative association. Leverage consistently demonstrates a positive relationship with volatility, indicating its role in increasing financial risk. Market structure presents varied effects, where efficient and transparent systems tend to reduce volatility, while certain structural conditions may increase it. Furthermore, firm value is found to mediate the relationship between liquidity and volatility, and partially mediate the relationship between leverage and volatility. In conclusion, the findings highlight that stock volatility is influenced by multiple interconnected factors, with both direct and indirect relationships. This study contributes to the literature by providing an integrated framework that enhances understanding of stock volatility determinants and emphasizes the importance of firm value as a mediating mechanism.

Item Type:	Article
Subjects:	Ilmu Sosial > Ekonomi > Akuntansi Ilmu Sosial > Ekonomi
Divisions:	Fakultas Ekonomi dan Bisnis > Magister Akuntansi
Depositing User:	Prof. Dr. Nera Marinda Machdar
Date Deposited:	16 Sep 2026 00:49
Last Modified:	16 Sep 2026 00:49
URI:	http://repository.ubharajaya.ac.id/id/eprint/41140

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