Comparison And Analysis Of Dividend Policy Among A Shares

To study the dividend policies among A shares, we select all the A shares assample from1995to2011and study what are the determining factors for cash,stock and total dividend policies. Through our analysis we find that firms’ scale,profitability are positively correlated with cash dividend, stock dividend and totaldividend. There is a negative correlation between financial risks and cashdividend, total dividend. Companies’ free cash flow, retained earnings andstate-owned shareholding ratio have different influence on cash dividend, stockdividend and total dividend.Then we choose cross-listed shares and comparable non-cross-listed sharesto study whether cross listing will impact the dividend yield. We also comparethe difference in the determinants for cross-listed and non-cross-listed shares.We find that cross listing is positively correlated with dividend policies. Thereexist differences in how different factors affect dividend policies of cross-listedand non-cross-listed shares but the differences are not significant.