Al-Malkawi significant negative relationship between share price

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Al-Malkawi (2007)
in Jordan observed that The firm’s age, size, and profitability positively and
significantly affect its dividend policy. And also the use of age, and
especially age squared as substitutions for growth has not been used in
empirical testing of dividend policy to the best of the author’s knowledge. And
these results therefore suggest interesting avenues for future research. Again,
these findings are generally consistent with the agency costs hypothesis and
lend support to the pecking order hypothesis. The analysis also found that a
firm’s financial leverage is significantly and negatively related to its
dividend policy. The data is used in this study is derived from the annual
publications of the ASE for 12-year period (1989-2000) and 160 companies listed
on the ASE (Amman Stock Exchange), a panel dataset was constructed. the
ultimate sample consists of 759 firm-year observations. independent variables
are Finally, the study demonstrated that much of the existing theoretical
literature on dividend policy can be applied to an emerging capital market such
as Jordan.


to study of Hashemijoo, Ardekani and Younesi, (2012)
they found that significant negative relationship between share price
volatility with two main measurements of dividend policy which are dividend
yield and dividend payout. Moreover, a significant negative relationship
between share price volatility and size is found. Based on findings of this study,
dividend yield and size have most impact on share price volatility amongst
predictor variables. The study was carried out by using a sample of 84
companies from 142 consumer product companies listed in main market of Bursa
Malaysia. The relationship between share price volatility with two main
measurements of dividend policy, dividend yield and payout, were examined by
applying multiple regression for a period of six years from 2005 to 2010. The
primarily regression model was expanded by adding control variables including
size, earning volatility leverage, debt and growth.



Sri Lankan context Dewasiri and Banda, (2015) carried
out their study to investigate the relationship between dividend policy and
stock price volatility. Based on the Hausman test results, the cross-section
random effect model (CSREM) is performed in order to test the hypotheses. And
also The Granger causality test is employed in order to test the short-term
relation between dependent and explanatory variables. The sample consists of 93
cross sections (firms) for 10 years with 930 observations. The finding suggests
that there is a significant negative impact from dividend payout, a significant
positive impact from company size and no evidence of significant impact from
dividend yield on Share price volatility. Furthermore, there is no short-term impact
from dividend payout on Share price volatility and it showed a feedback exists
between company size and stock price volatility.

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