The nature of the relationship between corporate governance and dividend policy - Empirical evidence of firms listed on Ho Chi Minh stock exchange
Abstract
This study attempts to investigate the nature of the relationship between corporate
governance and dividend policy in Vietnam. There are 171 large and medium, nonfinancial
firms listed on HOSE in 2018 included in the sample. For collecting data, this
thesis uses the information disclosed in annual reports and financial reports. Two
hypotheses are developed based on the outcome and substitution theories. STATA and
Tobit regression are used to test these hypotheses and identify which theory better explains
the relationship.
The results show that the relationship between corporate governance and dividend
policy in Vietnam is insignificant. This is because the size of the sample is not big enough.
However, a positive coefficient supports the outcome theory.