The Different Distribution Policies for Dividends
Different practices in the distribution of dividends may be considered:
The Distribution of the Total Profits
This theory was developed by Rubner (1966) which suggests retention of profits zero (Dittmar and Thakor 2005, p.131). It is based on the fact that shareholders prefer to receive the highest possible amount of dividends. In practice, companies do not adopt this strategy as they are not encouraged by taxation or by the shareholders. This is mainly due to the fact that the distribution of dividends greatly affects the flow of society and the tax rate is often higher coupons than capital gains.
Residual Dividend Policy
To the extent that the company adopts the projects profitable, with positive net present value, any profit extra shall be distributed as dividends: it the approach of a residual dividend.
The Absence of Dividend
Clarkson and Elliot (1966) suggest that the dividend is a luxury that neither the company nor the shareholders cannot afford it (Jones Frank 2002, p. 596). In practice, this theory is scarce.
The Policy of a Stable Dividend
In rejecting the hypothesis of a distribution of 100% profits as dividends and the retention of all earnings, we observe that societies attribute an importance to dividends from the previous year.
These results suggest believing that companies tend to follow a payout ratio relatively stable over time (Rajanand & Zingales 1998, p. 46). These policies dividends remain mostly theory, what about in reality? What are the policies adopted in practice?
这些结果表明，相信公司倾向于遵循的派息率是相对稳定的时间（rajanand & Zingales 1998，p. 46）。这些政策红利仍然基本理论，什么是现实？在实践中采用的政策是什么？