The Research and Development of Financial Stability Assessment

Abstract

This research article to study appropriate indicators and use the research results to design a financial stability assessment model. This study applied both quantitative and qualitative method.  The sample group used in this study was 322 companies listed in the Stock Exchange of Thailand during a period of 5 years between 2016–2020. The research questionnaire was developed to form the assessment model and calculate the value of financial stability. A Linear Structural Equation Model (Path Analysis) and qualitative method were used to help develop a financial stability assessment model.  The research results showed that financial performance and non-financial performance factors were positively associated with financial stability and had an effect on financial stability. Recommendations from this study were that investors, financial companies, business companies and information users should apply the results of this study to create financial stability of their companies. In addition, investors should find other sources to support their decision making if they want to invest in such businesses even after assessing financial stability.