Research On Cash Dividend Distribution Of Listed Companies In China

Since the stock market was found in china in 1990" s, it had greatly helped our economy' s development. Now, the stock market is being a true innovate phase. There are many problems worth researchers to think and to study. Regarded as one of three major policies of the financial administration of company, the dividend policy has been a very difficult problem in the financial administration. Dividend policy is the strategy adopted by the company on market to dispose rationally from the post-taxation interests into the profits given to the stockholders and the retained earnings. There are cash dividend, stock dividend and stock buy-back in payment forms of the dividend. In the West, dividends are mostly given through cash payment and stock payment. Compared with overseas companies, the listed companies in china are more random in dividend policy enaction, lack continuous dividend policy. These for a long time make the true investors of stock market are little and the speculators are more in china. This paper based on the theory of dividend policy, collects related statistics with the distribution of the cash dividends of the listed companies from 2000 to 2002, analyses its present situation. Few companies pay cash dividend and the sum paid is pretty small; even worse, some companies do not distribute at all. The authorcontinues to analyses the relationship between cash dividend distribution and its influence factors. Most of the listed companies that can distribute cash dividends have abundance profit, enough cash, good finance structure, and well perspective. The author also looks into some defect phenomenon of the cash dividend distribution of the listed company in china. Finally, according to the proof of the evidence and the practice of the overseas on-market companies the author seeks to perfect the cash dividend distribution policy of the listed companies in china. Which policy a company will adopt, it should take many aspects: like the aspect of the stockholders, the aspect of the company debt, into consideration. Meanwhile, the author suggest the regulation institution to make the stock investment be less speculative, to guarantee the implementation of the cash dividend distribution policy, etc. Thus, to regulate the cash dividend distribution policy of the listed companies in china and to promote our stock market develops healthily.