Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi

This study provides empirical evidence on the effects of unexpected dividend changes (UDC) on stock returns with respect to Malaysian economic conditions namely: (1) before the Asian financial crisis (1990-1996); (2) during the Asian financial crisis (1997-1998); (3) after the Asian financial crisis...

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Main Author:	Harbi, Anastasiah
Format:	Thesis
Language:	English
Published:	2014
Subjects:	Malaysia
Online Access:	http://ir.uitm.edu.my/id/eprint/20421/ http://ir.uitm.edu.my/id/eprint/20421/1/TM_ANASTASIAH%20HARBI%20BM%2014_5.pdf

id	uitm-20421
recordtype	eprints
spelling	uitm-204212018-07-05T06:02:46Z http://ir.uitm.edu.my/id/eprint/20421/ Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi Harbi, Anastasiah Malaysia This study provides empirical evidence on the effects of unexpected dividend changes (UDC) on stock returns with respect to Malaysian economic conditions namely: (1) before the Asian financial crisis (1990-1996); (2) during the Asian financial crisis (1997-1998); (3) after the Asian financial crisis (1999-2007); (4) during the global financial crisis (2008-2010); and for the (5) overall period (1990-2010). The purpose of this study is to identify the exact economic conditions that stimulate investors’ reactions to changes in dividends and consequently to the stock price movements. Below and Johnson (1996) found that market reactions to dividend changes varies with respect to bullish and bearish markets respectively. The present study therefore believes the dividend signalling effects varies according to economic conditions. This study made 861 observations which consist of 264 dividend increases, 175 dividend decreases and 422 dividend of no-change for the overall period. The findings of the panel data approach reveals that the unexpected dividend changes are positive and significantly correlated with cumulative abnormal returns in the overall period (1990- 2010), during the Asian financial crisis (1997-1998) and after the Asian financial crisis (199-2007). Overall findings constitute support on the dividend signalling theory where an unexpected increase (decrease) in dividends send good"(bad) signals to investors leading stock prices to increase (decrease). On the other hand, a cross sectional approach offers similar results only in the period before the Asian financial crisis (1990-1996) and during the Asian financial crisis (1997-1998). 2014 Thesis NonPeerReviewed text en http://ir.uitm.edu.my/id/eprint/20421/1/TM_ANASTASIAH%20HARBI%20BM%2014_5.pdf Harbi, Anastasiah (2014) Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi. Masters thesis, Universiti Teknologi MARA.
repository_type	Digital Repository
institution_category	Local University
institution	Universiti Teknologi MARA
building	UiTM Institutional Repository
collection	Online Access
language	English
topic	Malaysia
spellingShingle	Malaysia Harbi, Anastasiah Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
description	This study provides empirical evidence on the effects of unexpected dividend changes (UDC) on stock returns with respect to Malaysian economic conditions namely: (1) before the Asian financial crisis (1990-1996); (2) during the Asian financial crisis (1997-1998); (3) after the Asian financial crisis (1999-2007); (4) during the global financial crisis (2008-2010); and for the (5) overall period (1990-2010). The purpose of this study is to identify the exact economic conditions that stimulate investors’ reactions to changes in dividends and consequently to the stock price movements. Below and Johnson (1996) found that market reactions to dividend changes varies with respect to bullish and bearish markets respectively. The present study therefore believes the dividend signalling effects varies according to economic conditions. This study made 861 observations which consist of 264 dividend increases, 175 dividend decreases and 422 dividend of no-change for the overall period. The findings of the panel data approach reveals that the unexpected dividend changes are positive and significantly correlated with cumulative abnormal returns in the overall period (1990- 2010), during the Asian financial crisis (1997-1998) and after the Asian financial crisis (199-2007). Overall findings constitute support on the dividend signalling theory where an unexpected increase (decrease) in dividends send good"(bad) signals to investors leading stock prices to increase (decrease). On the other hand, a cross sectional approach offers similar results only in the period before the Asian financial crisis (1990-1996) and during the Asian financial crisis (1997-1998).
format	Thesis
author	Harbi, Anastasiah
author_facet	Harbi, Anastasiah
author_sort	Harbi, Anastasiah
title	Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
title_short	Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
title_full	Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
title_fullStr	Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
title_full_unstemmed	Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi
title_sort	dividend announcement effects on malaysian stock market returns / anastasiah harbi
publishDate	2014
url	http://ir.uitm.edu.my/id/eprint/20421/ http://ir.uitm.edu.my/id/eprint/20421/1/TM_ANASTASIAH%20HARBI%20BM%2014_5.pdf
first_indexed	2023-09-18T23:04:35Z
last_indexed	2023-09-18T23:04:35Z
_version_	1777418398046617600

Dividend announcement effects on Malaysian stock market returns / Anastasiah Harbi

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