search query: @indexterm Institutional investors / total: 153
reference: 8 / 153
| Author: | Desai, M.A. Jin, L. |
| Title: | Institutional tax clienteles and payout policy |
| Journal: | Journal of Financial Economics
2011 : APR, VOL. 100:1, p. 68-84 |
| Index terms: | institutional investors taxation clients |
| Freeterms: | payout policy |
| Language: | eng |
| Abstract: | In this paper, heterogeneity in institutional shareholder (henceforth as: i-s-hld/s.) tax characteristics (herein as: chars.) is used to identify the relation btw. firm payout policy and tax incentives. Analysis of a panel of firms is matched with the tax chars. of the clients of their i-s-hld/s. shows that "dividend-averse" (as: d-a.) institutions (as: insts.) are markedly less likely to hold shares in firms with larger dividend payouts. This relation btw. the tax preferences of i-s-hld/s. and firm payout policy may reflect d-a. insts. moving towards low dividend paying firms or managers adapting their payout policies to the interests of their i-s-hld/s. There is evidence of the both effects being operative. |
SCIMA