A proposed Model for Market Risk-adjusted Dividend Policy: An application to non-financial firms in the Egyptian stock Exchange

Abstract

To sum up this section discussed the different factors of corporate attributes and their effect on determinants of dividends policy. First total risk including systematic and unsystematic risks was discussed the effect of dividends payout ratio and dividends per share. Some previous researches discussed that there is indirect relationship between them supported by (Mohammed and Joshua, 2006; Atia. O, 2017) they found insignificant relationship between dividends payouts and firm risk. On the other hand, (Eldomiaty, and Atia, 2014; Best and Best, 2001; Cheng et al., 2007) they found there is insignificant relationship between total risk and dividends per share However, previous studies discussed the effect of profitability, size, and previous year’s dividend (DY) have a significant positive impact on the dividend payout ratio supported by (Elhabtour, A. 2016; Yusof, Y., Ismail S. 2014; Sari, 2017; Justyna Franc D.et al. 2019; Rehman, T, et al. 2019). Moreover, author authors as (Eldomiaty, et al., 2017; Yusof, Ismail, 2014; Rozeff, 1982; Attia, 2017; Bassidiq and Hussainey, 2010) they discussed the effect between industry, firm size and market price on dividends per share. Therefore, (Sari, W, 2017; Elhabtour, 2016; Yusof, Ismail, 2014) they found positive significant effect between dividends yield on dividends per share.