Asymmetry of Information between Shareholders and Directors and Dividend Signalling

Abstract

Shareholders usually have minimal information about the company and its future dividend signalling is one of the indicators that signal to the shareholders about the company’s results and its future. Thus the title of this article is “Information Mismatch between Shareholders and Directors and dividend signalling”.

The details in this article are entirely collected through secondary research due to the specialised nature of the title of this paper. Information is specifically obtained from scholarly articles in finance and management, various text books in finance and management and journals from professional bodies.