In this paper, we investigate two r

In this paper, we investigate two research questions: (i) Can returns from R&D volatility be improved through better corporate governance?(ii) Does R&D volatility need to be complemented with volatility in property, plant, and equipment (PPE) or intangible asset investments? Both questions are salient in developing an understanding of how firms can further improve their returns from R&D volatility. Related to the first research question, we ask whether the quality of corporate governance could improve the returns from R&D volatility. Board members fulfilling both monitoring and resource provision roles could complement both internal and external resource realignments that result from R&D volatility. Related to the second research question, volatility in R&D investments must also be accompanied by a corresponding volatility in assets. As such, we posit that tangible and intangible assetvolatilities could also complement the association between R&D volatility and a firm's performance.