Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar

The study investigates a sample of 526 publicly listed cornparues on Bursa Malaysia during 2005 - 2008. Our results show that for both measurement of dividend policy, past dividend has a positive and significant association with the policy. The results also show that the past dividend payment variab...

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Main Authors: Ismail, Norashikin, Abdul Rahman, Rashidah, Hj Omar, Normah
Format: Research Reports
Language:English
Published: Institute of Research, Development and Commercialization, Universiti Teknologi MARA 2011
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/7506/
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author Ismail, Norashikin
Abdul Rahman, Rashidah
Hj Omar, Normah
author_facet Ismail, Norashikin
Abdul Rahman, Rashidah
Hj Omar, Normah
author_sort Ismail, Norashikin
building UiTM Institutional Repository
collection Online Access
description The study investigates a sample of 526 publicly listed cornparues on Bursa Malaysia during 2005 - 2008. Our results show that for both measurement of dividend policy, past dividend has a positive and significant association with the policy. The results also show that the past dividend payment variable makes the strongest contribution to the prediction of company's dividend payment when the variance explained by all other variables in the model is controlled for. The result is consistent with one of the renowned dividend behavior i.e smoothing of firm's dividend vis-a-vis earnings and growth. Managerial shareholdings on the other hand have a significant positive association with dividend yield and not dividend per share. Other variables of current earnings, institutional ownership, market to book ratio and free cash flow variables are positively associated with dividend payment and significant at the 1% level, while leverage is negatively associated with dividend payment at the I % level. The results of this study generally support previous survey findings and empirical evidences that the company dividend payment policy is influenced by the pattern of past dividend, current earnings, and their investment opportunities.
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spelling uitm-75062023-08-09T08:27:30Z https://ir.uitm.edu.my/id/eprint/7506/ Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar Ismail, Norashikin Abdul Rahman, Rashidah Hj Omar, Normah Financial management. Business finance. Corporation finance The study investigates a sample of 526 publicly listed cornparues on Bursa Malaysia during 2005 - 2008. Our results show that for both measurement of dividend policy, past dividend has a positive and significant association with the policy. The results also show that the past dividend payment variable makes the strongest contribution to the prediction of company's dividend payment when the variance explained by all other variables in the model is controlled for. The result is consistent with one of the renowned dividend behavior i.e smoothing of firm's dividend vis-a-vis earnings and growth. Managerial shareholdings on the other hand have a significant positive association with dividend yield and not dividend per share. Other variables of current earnings, institutional ownership, market to book ratio and free cash flow variables are positively associated with dividend payment and significant at the 1% level, while leverage is negatively associated with dividend payment at the I % level. The results of this study generally support previous survey findings and empirical evidences that the company dividend payment policy is influenced by the pattern of past dividend, current earnings, and their investment opportunities. Institute of Research, Development and Commercialization, Universiti Teknologi MARA 2011 Research Reports NonPeerReviewed text en https://ir.uitm.edu.my/id/eprint/7506/2/7506.pdf Ismail, Norashikin and Abdul Rahman, Rashidah and Hj Omar, Normah (2011) Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar. (2011) [Research Reports] (Submitted)
spellingShingle Financial management. Business finance. Corporation finance
Ismail, Norashikin
Abdul Rahman, Rashidah
Hj Omar, Normah
Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title_full Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title_fullStr Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title_full_unstemmed Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title_short Dividend policy and factors influencing : a study of Malaysian listed corporations / Prof. Madya Dr. Norashikin Ismail, Prof. Dr. Rashidah Abdul Rahman and Prof. Dr. Normah Hj. Omar
title_sort dividend policy and factors influencing : a study of malaysian listed corporations / prof. madya dr. norashikin ismail, prof. dr. rashidah abdul rahman and prof. dr. normah hj. omar
topic Financial management. Business finance. Corporation finance
url https://ir.uitm.edu.my/id/eprint/7506/