The Ownership Structure Of Listed Companies In China Cash Dividend Policy

As we all know, the dividend policy is a major financial management decisions,the company is bound to consider the investment decisions and financing decisionsto the profit distribution of income and the return of investors. Cash dividend policyis particularly important in the dividend policy of listed companies, is one of theinvestors return. This shows that the cash dividend policy of listed companies inChina will have a direct impact on the company health and long-term development.The research literature from the domestic point of view, the majority of scholars tostay in the dividend policy signals theoretically, but the corporate governance,ownership structure perspective, the outcome is extremely rare. In the context ofChina’s market economic system is imperfect and the imperfect capital marketenvironment, the equity of listed companies in China splitting is still very serious.Therefore, from the signal theory to explain the cash dividend policy issues did notseem right. In view of this, this paper attempts to study the ownership structure incorporate governance structure.Dividend distribution of listed companies because of involving stakeholderssuch as shareholders and creditors of the distribution of benefits has long been astudy of industry-wide as a topic of concern due to the background and legalbackground of national systems to influence factors and the specific impact of eachfactor, presents out very different. However, whether it is one of the important factorin the background and legal context of the kind of system, the ownership structure oflisted companies are cash dividend distribution policy.According to the experience and data in the pre-split share structure reformof view, the cash dividend policy of listed companies in China showing circulationwith foreign capital markets landscape, it has not become to reduce agency costsbetween controlling shareholders and minority shareholders effective means, there isstill a major shareholder of the interests of small shareholders encroachment andother issues exist.China’s stock market after the2005split share structure reform, institutionalchange. The split share structure reform slowly reflects a profound impact on theevolution of China’s overall market has basically been resolved, there is a special stake in the division of China’s listed companies. Shares have been basically realizedthe circulation, which makes controlling shareholder and minority shareholders’interests slowly converging. Basic listed companies shares tradable equity breddecentralization, on the one hand, may help to alleviate the high proportion of largeshareholders and ownership concentration of listed companies the largestshareholder of minority shareholders against; the other hand, if dispersed ownershipmany small and medium investors, then in the hands of small shareholders do notwant to spend the cost to collect information to exercise supervision and control ofthe board of directors the right to the problem of "internal control" may be increased.Occurred in relatively large changes in ownership structure of listed companies inChina after the split share structure reform, corporate governance structure is also adistinct change, whether the cash dividend policy of listed companies with thesechanges and make the change: There is a special stake in China between the variouscontradictions and problems in the sub-set the context of non-tradable shareholdersand tradable shareholders, in particular, is occupied by the largest shareholder on theinterests of minority shareholders, whether to be properly addressed after thecompletion of the share reform worthy of our consideration; share reform Theshareholding structure of the system to change its cash dividend policy has had animpact, but the size of the impact is still unknown; cash dividend policy of listedcompanies in China is basically completed and then the split share structure reformtoward how the trend of development and so on. These questions are worth ourcareful study.rm in200In view of this, collected in2009after the split share structure refo4and theshare reform, the Annual Report of2010in Shanghai and Shenzhen232Cashdividends of listed companies to carry out the data and analyzed, and carried outempirical research. The study results suggest that, before the split share structurereform, the largest shareholder proportion of cash payment level is positivelycorrelated, the second largest to fifth largest shareholder stake and the level of cashpayment into a positive correlation, the degree of equity balance paid in cash thelevel, the shareholding ratio of the outstanding shares and cash dividends paid to anegative correlation between these indicators after the share reform is basically alsostill showing the relationship is not very significant. This shows that, although theownership structure has changed with the split share reform completed, but its cashdividend policy of listed companies is still very obvious. At the same time, it also shows the controlling shareholder cash dividends to transfer the company’s fundsagainst the interests of minority shareholders of enterprises of the phenomenon stillexists in. Therefore, equity structure of listed companies will continue to optimizethe cash dividend policy of listed companies to further improve the need to put onthe agenda.