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Dividend Policy Theories
Essay specific features
Written by:
Peggy F
Date added:
January 20, 2016
Level:
University
Grade:
A
No of pages / words:
3 / 631
Was viewed:
4207 times
Rating of current essay:
Essay content:
For example, suppose, from an investor's perspective, that a company's dividend is too big. That investor could then buy more stock with the dividend that is over the investor's expectations. Likewise, if, from an investor's perspective, a company's dividend is too small, an investor could sell some of the company's stock to replicate the cash flow he or she expected...
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Likewise, if, from an investor's perspective, a company's dividend is too small, an investor could sell some of the company's stock to replicate the cash flow he or she expected. As such, the dividend is irrelevant to investors, meaning investors care little about a company's dividend policy since they can simulate their own...
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