A Study Of Dividend Policy And Its Effect On Market Value Of Shares Of Selected Banks In India

IOSR Journal of Business and Management (IOSR-JBM), e-ISSN: 2278-487X, p-ISSN: 2319-7668, Volume 17, Issue 1.Ver. I, PP 41-44, Jan. 2015

4 Pages Posted: 20 Dec 2019

See all articles by Vinay Kandpal

Vinay Kandpal

University of Petroleum & Energy Studies Dehradun

P C Kavidayal

affiliation not provided to SSRN

Date Written: 2015

Abstract

Dividend policy is a strategy used by a company to determine the amount and timing of dividend payments. The dividend policy framed by an organization is one of the crucial issues in corporate finance since it may have an impact on the firm’s value and shareholder wealth. The research study is an attempt to analyze the effect of dividend policy on shareholder wealth of thirty selected Indian banks listed and traded in Bombay Stock Exchange (BSE).For the purpose of study the financial data from the period 2003-04 to 2012-13 of selected Indian banks (15 Public and 15 Private) would be used. The data would be analyzed using statistical tools like multiple regression technique, t test, the coefficient of determination (R2) and F-Value. The results of the data analysis might reveal that that there is a significant effect of dividend policy on the share price of selected Indian Banks. The study is limited to a time period of 10 years and only selected Indian Banks. The result might change if the time period and number of banks are extended

Keywords: Dividend, Shareholder Wealth, Finance, BSE

JEL Classification: G30, G31, M30

Suggested Citation

Kandpal, Vinay and Kavidayal, P C, A Study Of Dividend Policy And Its Effect On Market Value Of Shares Of Selected Banks In India (2015). IOSR Journal of Business and Management (IOSR-JBM), e-ISSN: 2278-487X, p-ISSN: 2319-7668, Volume 17, Issue 1.Ver. I, PP 41-44, Jan. 2015, Available at SSRN: https://ssrn.com/abstract=3498328

Vinay Kandpal (Contact Author)

University of Petroleum & Energy Studies Dehradun ( email )

Knowledge Acres
P.O. Bidholi via Premnagar,
Dehradun, IN Uttarakhand 248007
India
7417012388 (Phone)

P C Kavidayal

affiliation not provided to SSRN

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