THE RELATIONSHIP BETWEEN BLOCK HOLDERS AND FIRM DIVIDEND POLICY
Journal Title: Asian Economic and Financial Review - Year 2014, Vol 4, Issue 5
Abstract
Block holders have significant impacts on the firm’s policies, especially strategies regarding the payout policy. The purpose of this study is to investigate the relationship between ownership structure and firm dividend policy considering the role of block investors in the companies listed on the Tehran Stock Exchange (TSE). We selected 37 public listed companies with state block holders and match them with almost similar companies with non-state block holders in 2012. Running a multiple regression, we found that there is a positive relationship between both types of block holders and firm’s dividend policy. These results support the tax-based hypothesis.
Authors and Affiliations
Gholamreza Zandi| Associate Professor, Graduate School of Business, SEGi University, Malaysia, Alireza Shahabi| Ph.D. Candidate, Accounting Department, Faculty of Management, University of Tehran UT, Alborz Campus, Alborz, Iran
Keywords
Related Articles
- EP ID EP2035
- DOI -
- Views 478
- Downloads 23
CORRUPTION AND POLITICAL VIEW POINT OF THE GOVERNMENTS IN TRANSITION COUNTRIES EU MEMBERS
In achieving their goals in conducting measures of their economic policy, governments of transition countries EU members, should realize the importance of suppressing the phenomenon of corruption in economy, especially i...
THE IMPACT OF TRADE LIBERALIZATION ON DEMAND AND PRICE VOLATILITY IN PAKISTAN: CO INTEGRATION APPROACH FOR COMPENSATION HYPOTHESIS
The important modification of the compensation hypothesis rests on the principle; increased trade openness increase the domestic economic volatility. The economic theory recommend increase of international trade require...
EXTERNAL AND INTERNAL OWNERSHIP CONCENTRATION AND DEBT DECISIONS IN AN EMERGING MARKET: EVIDENCE FROM PAKISTAN
This study examines the effect of concentration of ownership both external block ownership and managerial share ownership on capital structure decision of Pakistani non-financial firms. The panel data is used to investig...
LIQUIDITY AND RETURNS: EVIDENCES FROM STOCK INDEXES AROUND THE WORLD
Using data from 16 developing countries and 10 developed countries between January 2000 and December 2013, this study examines the relationship between liquidity and stock index return. The empirical results show that th...
Permanent Income Hypothesis, Myopia and Liquidity Constraints: A Case Study of Pakistan
This paper is an attempt to test the Permanent Income Hypothesis (PIH), Myopia and Liquidity Constraints as a case study for Pakistan. The paper also attempts to find out valid reasoning incase the PIH is rejected. Hall...