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Can High ESG Ratings Help Sustain Dividend Growth?

Harvard Corporate Governance

For many, investing in the current market environment can be described as navigating uncharted waters. With US inflation running at a 40-year high and a rocky first half of the year for both equity and fixed income markets globally, uncertainty is high. more…).

Dividends 167
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Private equity tests markets with a mammoth debt-fuelled dividend

Financial Times M&A

Company backed by investors including Clayton, Dubilier & Rice and Hellman & Friedman prepares €4.4bn dividend

Dividends 109
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Share Repurchases on Trial: Large-Sample Evidence on Market Outcomes, Executive Compensation, and Corporate Finances

Harvard Corporate Governance

There are several reasons why corporations might prefer using share repurchases instead of or in addition to dividends, including (i) maintaining flexibility in determining the amount of cash returned to shareholders, (ii) an ability to award repurchased shares to employees as equity compensation, (iii) a modest tax advantage to shareholders (that (..)

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Share Buybacks and Executive Compensation: Assessing Key Criticisms

Harvard Corporate Governance

In 2003, the SEC amended rules that provided companies with a safe harbor from liability for market manipulation for stock repurchases or buybacks as long as the buybacks were conducted in accordance with the rules. more…)

Dividends 244
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The Evolving Battlefronts of Shareholder Activism

Harvard Corporate Governance

Supporters of activism view activist investors as important players in the capital markets, holding insiders (board members and management) accountable, imposing efficiency, and mitigating agency problems. more…)

Dividends 254
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The Effect of Board Independence on Dividend Payouts

Reynolds Holding

In a new paper, we use agency theory to explore the effect of board independence on dividend policy. Over the past few decades, many studies have incorporated several market imperfections into their model of capital markets, such as transaction costs, taxes, and shareholder heterogeneity. This is called the outcome hypothesis.

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Mastering the Dividend Dance

Auto Dealer Valuation Insights

A recent Wall Street Journal article noted that, while the effects of the pandemic have receded from many aspects of American life in mid-2024, investors continue to deal with dividend disruptions. companies that suspended dividend payments during the pandemic, all but 47 have resumed payouts.