This research aims to test dividend signaling theory in an Indonesian capital market. Signaling theory states that dividend policy has information content that can influence to share price. Examination of theory of signaling is related to research phenomena in other countries indicating that by...

We propose an explanation for the "disappearing dividend" phenomenon: the decline in the information content of dividend announcements. This reduces the propensity of firms to pay or increase dividends, since dividends are costly.(...)

Topics on behavioral corporate finance are concerned with the consequences ofboundedly rational investors for optimal financial decisions by firm management. Aspects ofbounded rationality are relevant both for the theory and the practice of corporate finance. Onthe one hand, a new kind of...

We apply cumulative prospect theory and hedonic framing to evaluate discountreverse convertibles (DRCs) and reverse convertible bonds (RCBs) as important examples ofstructured products from a boundedly rational investor’s point of view. While commonexpected utility theory would also conclude...

We examine a certain class of new financial instruments which are designed aslotteries on the outcome of prominent sports events like the Soccer World Cup 2006. We areable to explain why there might be a positive demand for such sports-related financialinstruments even if we take riskless...

Using a linear model, previous studies on the ownership concentration-firm performance nexus have produced inconsistent empirical findings and found no consensus concerning the measure of agency conflict control mechanism. Using a non-monotonic model and a combination of agency conflict control...

This paper studies the impact of exogenous export demand shocks on firms' dividend policy using firm specific real exchange rate variation as instrumental variable. IV exclusion restriction is plausibly satisfied because real exchange rate shocks were unanticipated -partly explained because of...

Wohnungsgenossenschaften dienen nicht primär der Gewinnerzielung und -ausschüttung, sondern bilden Rücklagen und vergrößern ihren Wohnungsbestand, von dessen günstiger Nutzung die Genossen profitieren. Dies kann mit Stiftungen verglichen werden und führt zu verschiedenen hier diskutierten...

This paper studies the impact of the concentration of control, the type of controlling shareholder and the dividend tax preference of the controlling shareholder on dividend policy for a panel of 220 German firms over 1984-2005. While the concentration of control does not have an effect on the...

Our study provides evidence on the share price reactions to the announcement of equity issues in Germany, where capital market is characterized by institutional features distinct from the U.S. market. German seasoned equity issues yield a positive market reaction which contrasts to the...