The Relationship between Corporate Governance and Dividend Payouts: Evidence from Thai Listed Companies
คำสำคัญ:
corporate governance, dividend payouts, CEO compensation, institutional interest, Stock Exchange of Thailandบทคัดย่อ
This research examined the relationship of corporate governance practices and dividend payouts in the Stock Exchange of Thailand (SET). The study used multiple linear regression to examine the effects of several corporate governance factors (board size, CEO duality, audit committee meeting frequency, institutionalownership and CEO compensation policy)on dividend payout ratios inacross-sectional sampleoffirms listed ontheSETin2015 (n = 267). The results showed that there was a weak but significant relationship (r2 = 0.246) between institutional ownership and CEO compensation. Other factors were not significant to dividend payouts. The implication of these findings is that while corporate governance practices influence dividend payouts, this effect is weak enough that there are probably additional confounding variables. The relationship between specific corporate governance practices and dividend payouts is not well understood and is an area that requires further study. However, it must be acknowledged that the two factors identified are those that directly relatetotheinterestsof managersand institutional investors.Thus, it is possiblethat Thailand’s public firmshaveopposing pressuresof investor interest, insider self-dealing, and self-interested CEOs and managers.
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