Dividend policy has been one of the most important research topics in modern corporate finance.\nFrom the practitioners� viewpoint, dividend policy of a firm has implications for investors, managers,\nlenders and other stakeholders. The current study aims to examine critically the managers�\nperception towards dividends and Dividend Policy of companies listed on Dhaka Stock Exchange\n(DSE) of Bangladesh. The study employed a practical survey on the perception of managers� of\ntwenty four companies to test the behavior of Bangladeshi listed firms towards dividend payout\npolicy. Investigation of different dividend theories reveals that the bird-in-hand theory and the\nrelevant value theory receive the highest support among the surveyed managers. It is also evident\nfrom the analysis that external factors related to the current financial market crises together with\nthe state of the capital market and restrictions imposed by debt providers are all important factors\nin formulating dividend policy. The current study extends limited previous research based on\nquestionnaire and survey related dividend policy. It thus provides new evidence from an emerging\nand fast growing economy like Bangladesh.
Loading....