The analysis of market reaction on dividend announcements of Russian companies
The paper is aimed at examining the market reaction on announcements about dividend payments of Russian companies. Though there are numerous papers devoted to this problem, their results are controversial, and they are rather related to developed markets than to developing economies. The understanding of signals that dividend announcements give companies’ shareholders and potential investors is important because it helps to improve the quality of investment and financial decisions. The peculiarity of this paper is that different sectors of economy are analyzed separately. The difference in reaction in different sectors of economy is revealed. The research is based on the event study methodology. The data sample consists of 115 announcements of Russian public companies for the period of 2009-2013.