Good corporate governance is linked to the corporate performance of corporations. This study seeks to determine if corporate governance characteristics implemented improved company performance and to determine if a positive or negative relationship exists. Multiple Regression Analysis was applied to determine whether certain corporate governance characteristics relate to company performance in Malaysia. Company performance is measured using Return on Assets (ROA) and Total Shareholder Return (TSR). Data was collected from Bursa Malaysia from 2012 to 2015. In conclusion, there is no evidence of any significant relationship between corporate governance characteristics and company performance measures. Keywords: Corporate Governance, Board Characteristics, Total Shareholder Return, Return on Assets.    eISSN: 2398-4287 © 2020. The Authors. Published for AMER ABRA cE-Bs by e-International Publishing House, Ltd., UK. This is an open access article under the CC BYNC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer–review under responsibility of AMER (Association of Malaysian Environment-Behaviour Researchers), ABRA (Association of Behavioural Researchers on Asians) and cE-Bs (Centre for Environment-Behaviour Studies), Faculty of Architecture, Planning & Surveying, Universiti Teknologi MARA, Malaysia.   DOI: https://doi.org/10.21834/ebpj.v5iSI1.2293

This study analyses the effectiveness of risk diversification and investment performance between M-REITs' and J-REITs' by comparing the diversification measures (unsystematic risk divided by total risk and one-minus R squared) including their respective Sharpe Ratio, Treynor Ratio and Jensen's Alpha calculated on each REITs. The study period for M-REITs' and J-REITs extends from 2008 to 2017. Results indicate that M-REITs' performed better than J-REITs' in terms of Sharpe ratio, Treynor ratio, and Jensen's Alpha. Total risk of J-REITs' are higher than M-REITs'. The Beta values for both M-REITs' and J-REITs' are less than one, implying that both categories of REITs are less risky than the market index. M-REITs' have lower R-Squared values than S-REITs', which suggest that M-REITs' are poorly diversified against J-REITs' and therefore, M-REITs' have more diversification opportunities. The diversification measures computed for M-REITs' are higher than J-REITs' and would imply that M-REITs' have better rate of returns if M-REITs' diversify their risk (higher risk diversification benefits). The findings from this study aims to help investors to make better investment decision when investing in M-REITs' and J-REITs'. The findings from this study aims to assist investors determine better investment decisions when considering investing in M-REITs' and J-REITs'.

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