Influencing Factors Dividend Policy: Empirical Evidence From Different Parts Of The World

Abstract

From various empirical evidences conducted in various parts of the world on the factors that influence dividend policy, the results show that there are similarities or mutual support between one study and another. However, there are also among the variables that have a relationship with dividend policy showing contradictory results between one study and another. This can happen due to differences in business characteristics, business environment, culture and legal regulations that differ from one country to another. From several studies in various parts of the world, the factors that have the most influence on dividend policy are profitability, firm size, firm age, liquidity, previous dividends, dividend payments, firm value and cash flow. and leverage have a negative relationship with dividend policy, and Firm size, firm risk and ownership structure do not have a direct influence on dividend payments in private banks in Bangladesh.