Research On Stock Liquidity And Cash Dividend Policy

The central government's 2019 economic work deployment further clarified the need to improve the quality of listed companies,improve the trading system,and guide more medium and long-term funds to enter.A scientific and reasonable dividend distribution system is the guarantee for attracting long-term stable investment.The mandatory dividend policy has alleviated the problem that the listed companies in China are not willing to pay dividends,the cash dividends are low,and the dividends are poor,but the problem has not been cured,regulating the dividend mechanism of listed companies must also fully mobilize the listed companies' own initiative and the "rights awareness" of small and medium investors.Therefore,it is of great practical significance to deeply explore the subjective motives and objective motives of the cash dividend distribution behavior of listed companies.Based on modern dividend theory,market microstructure theory and corporate social responsibility theory,this thesis deeply investigates the internal and external motivations and interaction mechanisms of dividend behavior of listed companies.This thesis firstly analyzes the current situation of cash dividend policy and liquidity risk in the context of the realization of free circulation in China's securities market,and examines the impact mechanism of stock liquidity on cash dividend distribution behavior.Then on this basis,the role of corporate social responsibility is examined.The empirical research results show that: stock liquidity is significantly negatively correlated with the willingness and distribution level of cash dividends,and corporate social responsibility has a magnified effect on this negative correlation.Companies with a higher sense of social responsibility are more sensitive to changes in stock liquidity when formulating cash dividend policies.In view of this,this thesis suggests that government regulatory agencies should encourage enterprises to integrate corporate social responsibility into corporate governance when formulating a policy to guide dividends,so that enterprises can become passive dividends for active dividends;listed companies should also treat dividends as part of their social responsibility performance,and should not only use dividends as an “catering means” under external stimulus such as liquidity crisis;Investors should strengthen their long-term investment awareness and stimulate the dividend awareness of listed companies.