Managerial sentiment, life cycle and corporate investment: a large language model approach

Abstract

This paper investigates the relationship between managerial sentiment and corporate investment in emerging capital markets. Further, we begin with the assertion that the positive impact of managerial sentiment on corporate investment varies according to the corporate life cycle. Lastly, we investigate whether the relationship between managerial sentiment and corporate investment can be moderated by factors like (1) economic policy uncertainty/geo-political risk, (2) size of the firm, (3) financial constraint, (4) industrial competition, and (5) Environmental Social and Governance (ESG) rating.