scispace - formally typeset
Open AccessJournal ArticleDOI

Why individual investors want dividends

Ming Dong, +2 more
- 01 Dec 2005 - 
- Vol. 12, Iss: 1, pp 121-158
TLDR
In this paper, the question of why individual investors want dividends was investigated by submitting a questionnaire to a Dutch investor panel, and the respondents indicated that they want dividends partly because the cost of cashing in dividends is lower than the cost for selling shares.
About: 
This article is published in Journal of Corporate Finance.The article was published on 2005-12-01 and is currently open access. It has received 81 citations till now. The article focuses on the topics: Dividend policy & Corporate finance.

read more

Figures
Citations
More filters
Journal ArticleDOI

Do Senior Citizens Prefer Dividends? Local Clienteles vs. Firm Characteristics

Kevin Krieger, +2 more
- 01 Dec 2013 - 
TL;DR: The authors examine the payout policy of U.S. firms over the period 1980-2008 and find no significant relation between senior citizens and the use of dividends, or that if seniors do demand dividends, they have no influence over firm payout policy.
Book ChapterDOI

Why individual and professional investors want dividends

Ming Dong, +2 more
Journal ArticleDOI

A Survey of Managerial Perspective on Corporate Dividend Policy: Evidence from Turkish Listed Firms

Narman Kuzucu
- 30 Dec 2015 - 
TL;DR: In this paper, the authors examined the corporate dividend payout behaviors of non-financial firms from Istanbul Stock Exchange (Borsa Istanbul). Survey method is conducted to investigate managerial views on corporate dividend policy.
Journal ArticleDOI

Conceptual Paper of the Trading Strategy: Dogs of the Dow Theory (DoD)

Siti Hajar Nadrah Mohamad Ghouse, +1 more
- 04 Jun 2014 - 
TL;DR: In this article, the authors focus on the high yielding strategy of Dogs of the Dow Theory as one of the trading strategy in constructing portfolio in which this strategy are distinctive from the common high yielding approaches.
Dissertation

Cash dividend policy and firm risk : UK evidence

O Atia
TL;DR: In this paper, the authors investigated the influence of systematic and unsystematic risks on the relationship between the dividend payout ratio and its determinants, through the introduction of interaction variables between the two types of risk and dividend payout determinants.
References
More filters
Journal ArticleDOI

The Discovery of Grounded Theory: Strategies for Qualitative Research.

Helmut R. Wagner, +2 more
- 01 Jun 1968 - 
Posted Content

Agency Costs of Free Cash Flow, Corporate Finance, and Takeovers

Michael C. Jensen
- 01 Jan 1986 - 
TL;DR: In this paper, the benefits of debt in reducing agency costs of free cash flows, how debt can substitute for dividends, why diversification programs are more likely to generate losses than takeovers or expansion in the same line of business or liquidationmotivated takeovers, and why the factors generating takeover activity in such diverse activities as broadcasting and tobacco are similar to those in oil.
Journal ArticleDOI

Corporate financing and investment decisions when firms have information that investors do not have

Stewart C. Myers, +1 more
- 01 Jun 1984 - 
TL;DR: In this paper, a firm that must issue common stock to raise cash to undertake a valuable investment opportunity is considered, and an equilibrium model of the issue-invest decision is developed under these assumptions.
Journal ArticleDOI

Dividend Policy, Growth, and the Valuation of Shares

Merton H. Miller, +1 more
- 01 Jan 1961 - 
TL;DR: In this paper, the effect of differences in dividend policy on the current price of shares in an ideal economy characterized by perfect capital markets, rational behavior, and perfect certainty is examined.
Journal ArticleDOI

The theory and practice of corporate finance: Evidence from the field

John R. Graham, +2 more
- 01 May 2001 - 
TL;DR: The authors survey 392 CFOs about the cost of capital, capital budgeting, and capital structure and find some support for the pecking-order and trade-off capital structure hypotheses but little evidence that executives are concerned about asset substitution, asymmetric information, transactions costs, free cash flows, or personal taxes.
Frequently Asked Questions (2)
Q1. What contributions have the authors mentioned in the paper "Why individual investors want dividends" ?

In this paper, the question of why individual investors want to pay dividends was investigated by submitting a questionnaire to a Dutch investor panel, and the results indicated that individual investors do not tend to consume a large part of their dividends. 

The authors do not find much support for the “ irrational ” explanations of the existence of dividends, i. e. the uncertainty resolution theory of Gordon ( 1961, 1962 ) and the behavioral explanation of Shefrin and Statman ( 1984 ).