Study On Influencing Factors Of Dividend Policy Of Listed Company In China

Dividend policy of listed company is a key part in maximizing company value, and it is also an important way for investor to obtain investment repayment. Since American financial analyst Miller and economist Modigliani published paper in1961 named'Dividend Policy, Growth, and the Valuation of Shares'in which the view point have studied dividend policy from different standpoint with different methods and have put forward different theories, such as signaling theory and agency theory. Scholar of China studied from them and obtained certain achievement on the basis of Chinese situation since 1990s.This paper combines the theoretical analysis with the empirical studies: make a research into the status quo and influencing factors of dividend policy of listed companies. First section makes a statistic description to the actuality of dividend distribution in listed companies of China, to analyses the characteristics of dividend policy over the past twenty years and to provide a realistic basis for the following empirical research. The statistical analysis indicates the following several characteristics of dividend policy in listed companies of China: dividend distributions are various informs and cash dividend accounts for the dominant position, the phenomenon of non-distribution are very common, divided policy fluctuates greatly, lack of continuity and stability. Then the paper theoretically analyses the influential factors on dividend policy. On the basis of theoretical analysis, this dissertation brings forward the hypotheses of empirical research. Finally, we building two models to verify the results:the net asset return, asset growth, asset liquidity, net asset per share, company size, the ratio of flowed shares, debt-asset ratio, GDP and the ratio of the largest shareholder are the main factors affecting the distribution of dividend. The pay level of dividend per share relates to the company size, asset growth, net assets return, debt-asset ratio, net assets per-share, the ratio of flowed shares, the ratio of the largest shareholder and supervision factors.