What Does the Board Say?
(2022) FEKH89 20212Department of Business Administration
- Abstract
- Methodology
A quantitative study with a deductive approach. Panel data are used in the multiple linear regression to analyse and investigate relationships between dividend payout ratio and the independent variables.
Theoretical Perspectives
Main theoretical frameworks of the study are the Outcome Hypothesis and Substitution Hypothesis. In addition, Agency Theory, Stewardship Theory, Stakeholder Theory, as well as traditional dividend hypotheses are discussed.
Empirical Foundation
The data consists of 803 dividend paying firms listed on NYSE and NASDAQ between 2015-2019. The data has been collected from Bloomberg Terminal.
Result
The empirical evidence documents that board director age, frequency of board meetings and CEO... (More) - Methodology
A quantitative study with a deductive approach. Panel data are used in the multiple linear regression to analyse and investigate relationships between dividend payout ratio and the independent variables.
Theoretical Perspectives
Main theoretical frameworks of the study are the Outcome Hypothesis and Substitution Hypothesis. In addition, Agency Theory, Stewardship Theory, Stakeholder Theory, as well as traditional dividend hypotheses are discussed.
Empirical Foundation
The data consists of 803 dividend paying firms listed on NYSE and NASDAQ between 2015-2019. The data has been collected from Bloomberg Terminal.
Result
The empirical evidence documents that board director age, frequency of board meetings and CEO duality have a significant positive impact on the level of dividend payout ratio.
Conclusions
The analysis shows that high dividends are a substitute for weak governance, in accordance with the Substitution Hypothesis. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9074948
- author
- Bengtsson, Lucas LU ; Christensson, Astrid LU and Tysk, Andreas LU
- supervisor
- organization
- alternative title
- A Study of Board Influence on Dividend Payout Policy
- course
- FEKH89 20212
- year
- 2022
- type
- M2 - Bachelor Degree
- subject
- keywords
- Dividend Policy, Dividend Payout Ratio, Board Quality, Board Characteristics, Corporate Governance, NYSE, NASDAQ
- language
- English
- id
- 9074948
- date added to LUP
- 2022-02-11 09:20:17
- date last changed
- 2022-02-11 09:20:17
@misc{9074948, abstract = {{Methodology A quantitative study with a deductive approach. Panel data are used in the multiple linear regression to analyse and investigate relationships between dividend payout ratio and the independent variables. Theoretical Perspectives Main theoretical frameworks of the study are the Outcome Hypothesis and Substitution Hypothesis. In addition, Agency Theory, Stewardship Theory, Stakeholder Theory, as well as traditional dividend hypotheses are discussed. Empirical Foundation The data consists of 803 dividend paying firms listed on NYSE and NASDAQ between 2015-2019. The data has been collected from Bloomberg Terminal. Result The empirical evidence documents that board director age, frequency of board meetings and CEO duality have a significant positive impact on the level of dividend payout ratio. Conclusions The analysis shows that high dividends are a substitute for weak governance, in accordance with the Substitution Hypothesis.}}, author = {{Bengtsson, Lucas and Christensson, Astrid and Tysk, Andreas}}, language = {{eng}}, note = {{Student Paper}}, title = {{What Does the Board Say?}}, year = {{2022}}, }