http://www.mac.sblinks.net Dofollow Social Bookmarking Site 2017 Sat, 28 Dec 2024 09:04:14 +0000 en http://www.mac.sblinks.net/News/capital-structure-decisions/ 4. Dividend Policy
Another key decision of corporate finance is the one concerning dividend policy. The firms must decide what percentage of their earnings should be given back to investors as a dividend and what percentage should be reinvested in the company. This really has a long way of affecting the stock prices and investors' perceptions. A well-formulated and clearly communicated dividend policy makes investors comfortable and confident, whereas an unclear policy results in uncertainty leading to reduced valuations for stocks.
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