Market Effect And Motivation Research Of High-split

Fundraising decisions,investment decisions and profit distribution decisions are the three core financial decisions of listed companies.Profit distribution decisions will affect the interests of investors and the future development of the company.Foreign countries usually choose cash dividends as the distribution method,and the payment rate is higher,the stability of the dividend policy is higher,and China usually chooses to send the shares as the distribution method,and the stability of the dividend policy is not ideal.The essence of high transfer is the internal conversion of owner’s equity,and will not change the company’s total shareholders’ equity or its profitability.However,in recent years,high delivery has become a hot spot in China’s capital market,and is sought after by listed companies and investors.High delivery is a hot spot during the announcement of the semi-annual report and the annual report,and it is often able to get positive feedback from the market.We usually think that only those companies with good growth and good performance will implement high delivery.However,many listed companies with low profits and even losses have implemented high delivery.It is worth noting that after some listed companies implemented high transfer,the major shareholders reduced their holdings in large numbers,causing the stock price to fall sharply after the announcement of the plan,and small and medium investors were stuck.Is there any abnormal return before and after the announcement date of the high delivery plan of listed companies? What is the motivation behind the high delivery of listed companies? Is there a transfer of benefits? It is very necessary to conduct an indepth study of it.This paper selects the 2007-2017 annual report and the 2008-2018 interim report period,and the A-share listed companies that have implemented the transfer of shares in the Shanghai and Shenzhen stock markets are the research samples.First,the event-study analysis was used to study the short-term market reaction of the whole sample,and then the samples were divided into high-transfer group and ordinary transfer group to examine their short-term market reactions.The cumulative average abnormal return of the whole sample on the 20 th trading day before the announcement date of the plan to the 20 th trading day after the announcement date is 2.86%.The cumulative average abnormal returns of the event windows [-20,0],[-10,0],[-5,0] are gradually reduced;the event windows [0,5],[0,10],[0,20] The cumulative average abnormal return gradually increased.After dividing the sample into the high delivery group and the ordinary delivery group,you can find the time of the 20 th trading day before the announcement date of the listed company that implemented the high delivery to the 20 th trading day before the announcement date of the plan.There is a significant announcement effect in the window,and the cumulative average abnormal return of listed companies that implement high delivery is much higher than the cumulative average abnormal return of listed companies that implement ordinary transfer.Secondly,using the panel Logit model to study the motivation of high transfer,verify whether the interest transfer motivation,liquidity theory,equity expansion hypothesis,and signal transmission theory are established in China.In the regression of the Shanghai and Shenzhen A-shares,it was found that listed companies with expiration of share lockups before and after the profit distribution plan were more inclined to implement high transfer,that is,the motive for profit transfer was established;listed companies with higher stock prices were more inclined The implementation of high transfer,that is,the theory of liquidity is established;listed companies with smaller share capital are more inclined to implement high transfer,that is,the equity expansion hypothesis is established;the better the growth of listed companies,the more inclined to implement the high transfer to convey the company’s favorable information to the market,that is,the signal transmission theory is established;when the listed company implements high transfer,the insiders tend to reduce their stocks;and the insiders shares reduction ratio increases with the increase of the transfer ratio.Finally,this paper puts forward relevant suggestions on the above issues from the perspective of regulators,listed companies and investors.