Repurchase Dividend Reinvestment Plans (Repurchase DRIPS)

Autor:	Patrick J. Larkin, Baeyong Lee, Abdoul Wane
Rok vydání:	2011
Předmět:	Finance Information asymmetry Free cash flow business.industry Dividend Cash flow Business Stock (geology)
Zdroj:	Journal of Business & Economics Research (JBER). 3
ISSN:	2157-8893 1542-4448
DOI:	10.19030/jber.v3i10.2819
Popis:	We investigate the determinants of firms' decision to offer Repurchase Dividend Reinvestment Plans (Repurchase DRIPs). Firm size, managerial share holding, and free cash flow are statistically significant in explaining a firm’s decision to employ Repurchase DRIPs. We find that managerial stock ownership is negatively related to use of Repurchase DRIPs. Economies of scale in marketing and maintaining DRIP program and excess cash flows are positively related to Repurchase DRIP adoption. We find no evidence that information asymmetry is a major motivation to the likelihoods of using Repurchase DRIPs.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::de18f4e51d37b08082738109d33293cb https://doi.org/10.19030/jber.v3i10.2819 Zobrazit plný text záznamu