The paper analyses the determinants of dividend payments and tests the hypothesis that companies pay dividends at the expense of investing in research and development (R&D). The evidence suggests that four fundamental factors – size, growth, profitability and risk – determine the decision to pay dividends but also to invest in R&D. Consistent with previous evidence, the average R&D intensity of...

Corporate Payout policy is one of the interesting topics in corporate finance literature that attracted attention many researchers. Despite the extensive research this area, there a contradiction between researchers on what are main determinants corporate payout policy. Researchers have mainly focused developed markets and looked at a single dimension dividend policy. Therefore, current st...

We show that the dividend growth rate implied by the futures market is informative about (i) the expected dividend growth rate and (ii) the expected dividend risk premium. We model the dividend risk premium and explore its implications for the predictability of dividend growth and aggregate stock returns. We show that accounting for the dividend risk premium strengthens the predictability of di...

This tax status conversion decision is timely because of the general unfavorable economic environment in the health care industry, the current low asset values in many health care entities, and the low income tax rates on C corporation dividend distributions to individuals. These factors may provide the appropriate conditions for health care entity owners to convert the practice’s or entity’s f...