Emprical Analysis Of The Relationship Between Cash Dividend Policy And Investor Protection

Protecting the interests of small investors has been a hot issue in China's securities market, due to the dividend policy of listed companies to develop arbitrary, blindness strong, there is a serious occupation of the major shareholder of the interests of the minority shareholders and investors through the dividend distribution,that is a difficulty to effectively channels to obtain a reasonable return on investment, therefore the Commission for the protection of the interests of small investors issued several regulations and policies, mandatory dividends of listed companies. In this paper, an important way of return to investors-cash dividend policy as a starting point, through empirical research and normative research method of combining the interests of small investors to discuss the issue of protection.First, the paper summarizes the development status of domestic and foreign dividend policy theory, dividend distribution in China carried out the present descriptive statistics, China's listed companies is not widespread distribution, lack of continuity in dividend distribution, stability, low level of dividend payment features.Second, positive law through the two-step cash dividends to investors gain factors linked with the first step in empirical research listed companies to distribute cash dividend factors, the second step of the high cash dividends to shareholders of listed companies is to give high income, empirical results show that can bring high-yield high dividends, cash dividends paid conducive to the protection of the interests of investors and income investors, the main factors affect a company's profitability, growth and debt capacity.Finally, the conclusions of this study proposed in this paper. Improve the quality of investors through a variety of ways to promote investment knowledge investors, improve the environment for China's capital market and transform the status of state-controlled listed companies, improve the transparency of dividend distribution information to reduce the possibility of infringement of the interests of small investors. At the same time, given the different growth of listed companies, dividends are re-financing as a hard target to be treated differently, for high growth companies, although the company needs to implement a low dividend policy, but in the future it can take investors more income.