The Research on Small and Medium-sized Enterprises Board Dividend Policy of Listed Companies
Abstract
Dividend policy is one of the three cores in Financal activities of Modern Corporate,and it's the connection between investors and companies.Through the formulation and implement of the rational dividend policy, the enterprise can pay some return to investors,and deliver some potential information to the market. After analysis on this information, investors can rationally adjust their investment. So the research on the dividend policy of the listed companies does have important theoretic and practical significance.The SME board (The small and medium-sized enterprises board) is a special kind of board.It is independent of the main board,and also it is the transition to the GEM board.Therefore,this paper aims at analysis the dividend policy of the listed companies of SME board,and summarizes the characteristics and impact of the dividend policy of the SME board listed companies.Then the paper combines with case studies to raise some proposal which can further guide and standardize the SME board listed companies' dividend policy.The SME board listed companies have those characteristics:small dividend,good growth,and better profits.And many are the leaders in the sub-industry.But most of these enterprises are private,in which a considerable number of private enterprises are family business. So the phenomenon of“one big dividend”is very serious. Compared with main board,the SME board has better profitability,so the ash dividends are general.The SME board has small dividend,good growth,so the phenomenon of accumulation is often found turning to increase subscribed.After comparing with the dividend policy of the main board,the paper takes Elec-Tech International Co.Ltd as an example to analyse. The paper comes to these conclusions: First,the SME board listed companies have the serious phenomenon of "one big dividend",so there is a serious agent conflict between the bigger shareholders and the smaller shareholders.The bigger shareholder sacrifices the behalf of the smaller shareholder in order to get their benefit. Second,the dividend policy of these SME board listed enterprises infracts the benefit of small and medium enterprises'.Based on these conclusions, the paper raises some suggestions from law,investors,corporate growth cycle and corporate govance to guide and standardize the dividend policy of SME board listed companies.TO contribute to the prosperity of the capital market on my own.
Key words：The SME board; Dividend policy; Cash dividend; Accumulation Fund Turning to increase subscribed
