An Empirical Study On Factors That Affect Cash Dividend Policy Of Listed Companies In China

Dividend policy is one of the three core financial activities of the modern companies, on the one hand, it is the logical result of the company's financing and investment activities, which is the inevitable result of their financial behavior; On the other hand, appropriate dividend policy can not only create a good corporate image, but also can stimulate the investor's durative passion, so sustaining and steady opportunity of development is coming.China's stock market have developed quickly in about twenty years from it was established in early nineties last century, having taken the road amount to a hundred years of the course of western country's share market. With the big success, we should clearly recognize that there is big distance comparing to the mature share market .At Present, there are lots of problems and defects of the establishment of dividend policy.This passage takes the cash dividend policy as a research object. Take the data from 2003-2008 as samples, and the models of Logistic regression and multiple linear regression to analyze the characters and main influence factors of the list companies'cash dividend policy. The empirical results show that: the most significant factors for the decisions of whether to put out cash dividend or not and the order of importance of them are whether the last year distributed cash dividend or not, earnings per share, the proportion of the top ten shareholders, whether the current year distributes stock dividend or not, whether the company have equity financing motives or not, the company's total asset size of the natural logarithm and the debt ratio; the most important factors that impact how much to put out as cash dividend per share and the order of importance of them are cash dividends per share the previous period, earnings per share, debt ratio, the proportion of top ten shareholders, stock dividends per share and the net cash flow per share.