This paper examines the stock price effect in New Zealand of announcements of increases in dividends and of share repurchases from 1993 to 2009. The results are related to the soft substitution hypothesis on Australian data. Dividend-increase announcements provoke a greater positive effect on the stock price than buyback announcements. The preference of the marginal investor is also examined wh...

Many assets derive their value not only from future cash flows but also from their ability to serve as collateral. In this paper, we investigate this collateral value and its impact on asset returns in an infinite-horizon general equilibrium model with heterogeneous agents facing collateral constraints for borrowing. We document that borrowing against collateral substantially increases the retu...

We present an algorithm and its software implementation that computes implied volatilities for exchangetraded stock options. The LR (Leisen-Reimer) binomial tree is used for the underlying option pricing, which is adjusted for dollar cash dividends. The Brent’s method is used as the root-finding procedure. The option pricing procedure that is at the core of the root-finding is optimised to maxi...

ABSTRACT In contrast to the disappearing dividends view prevalent in literature, we document extensive dividend payments by firms and significant variability within across 16 countries during 2000–2013. We predict that within-firm increases investor demand for forward-looking information, analysts respond producing informative forecasts. find analyst forecasts are available most dividend-paying...

This paper investigates how conservative managers make corporate decisions. Motivated by psychology research, we use handwritten signatures (i.e., emotionally restraint disclosure styles) as a proxy for CEO conservatism. We find that firms with CEOs engage more safer investments (capital expenditures), less risky policies (Research & Development expenses and debt financing), hold cash, are like...

This paper aims to assess the impact of financial factors on dividend payout ratio, and purpose is research affecting in less developed markets compare them with results previous studies. We use global platform Screener.co, statements available Zagreb Stock Exchange collect data. Our sample consists companies listed that paid dividends at least once last three years. In model applied, we covere...