Devidend payment behaviour and its determinants: The Malaysian property sector
Disappearing dividend phenomenon remains unexplored in the Malaysian market. Therefore, this study investigates whether or not the phenomenon exists in the Malaysian property sector. This is achieved by observing dividend pattern in the sector between 2000 to 2013. The study investigates dividend pa...
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| Format: | Thesis |
| Language: | eng eng |
| Published: |
2014
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| Subjects: | |
| Online Access: | https://etd.uum.edu.my/4641/1/s814428.pdf https://etd.uum.edu.my/4641/2/s814428_abstract.pdf |
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| Summary: | Disappearing dividend phenomenon remains unexplored in the Malaysian market. Therefore, this study investigates whether or not the phenomenon exists in the Malaysian property sector. This is achieved by observing dividend pattern in the sector between 2000 to 2013. The study investigates dividend payout in the sector further by examining the factors that influence companies‟ decision to pay or not to pay dividends. Trend analysis was used to describe the dividend pattern over the period while logistic regression analysis was conducted to determine the factors that influence companies‟ payout decisions. Findings revealed an upward trend in the amount of dividends distributed in the sector over the period as well as in the number of dividend payers. The study provides evidence of dividend concentration in the property sector of Bursa
Malaysia as results shows that a large portion of dividend paid out for all the years come
from the top 10 payers. As revealed by the findings, the explanatory factors for dividend
payout decisions in the Malaysian property sector include dividend premium, retained
earnings to total equity, profitability, size, leverage, and past year dividend. Thus, findings of the study provide support for catering theory, lifecycle theory and dividend
smoothing theory. Findings indicate that investment opportunities and crisis do not play
any significant role in explaining payout decisions in the sector |
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