SHAREHOLDERS 'STRUCTURE - ONE OF THE FACTORS DETERMINING DIVIDENDS

Abstract

Dividend payments are one of the key factors determining investors' choice to invest in a company. Also, the choice of shareholders to pay dividends determines the company's growth opportunities. In the scientific literature, the main factors influencing dividend payments are the company's financial leverage, return on assets, return on equity and growth opportunities. The shareholder structure is also identified in the scientific literature as one of the factors determining dividend payments in a company. The impact of the shareholder structure on dividend payments is not an issue that has been fully addressed. The research presents contradictory results on the impact of shareholder structure on dividend payments. Many studies of the Asian and American stock markets analyzed confirm that the company’s shareholder structure affects dividend payments, but scholars differ in assessing the positive or negative impact of a company’s shareholder structure on dividend payments. The methods of analysis and synthesis of scientific literature theoretically examine the issue of the influence of shareholder structure on dividend payments. The study found that dividend payments in a company also change depending on the dominant type of family or institutional shareholder structure.