Dividend Policy Research On Private Listed Companies In Hunan

Government is concerned about the development of private economy. The number of private listed companies is larger and larger. Private public listed companies have become an important part of the stock market. So the perfection of the stock market can not do without private listed companies'growth and development. Dividend distribution is one of the three core contents of financial management in modern companies. Dividend policy is a reasonable allocative strategy for public listed companies to distribute after-tax income between shareholder's income dividends and profits on hand. It plays an important role in the development of the companies. The study on dividend policy is always the hot spot in theory. The research lasts about nearly six decades in the western countries. And the results of the research become a logic theoretical system. With the development of China's stock market, the research of dividend policy is much deeper. These researches include the factors of dividend policy, the reaction in the stock market, the characteristics of dividend policy, and so on.A rational dividend policy can establish a good image of public listed company which will motivates investors invest their funds to the company. Therefore, a rational dividend policy is very important to a private listed company as well. This article attempts to analysis the current situation of the dividend policy in private listed companies in Hunan.The object of this article's research is dividend policy-relevant data of six private listed companies in Hunan. This article not only states that the biggest shortcoming of the private listed companies in Hunan is its dividend policy is lack of continuity and stability but also analysis the reasons of this situation. In the end of this article gives some suggestions to improve the dividend policy of private listed companies, such as, standardized dividend policy formulation, improve the quality of profits, optimize the company's ownership structure.