Ownership Structure and Dividend Policy at LQ45 Companies of the Indonesian Stock Exchange

Abstract

This study aims to examine the effect of ownership structure on dividend policy. The independent variable used in this study is the ownership structure which is divided into managerial stock ownership (MSO) and institutional stock ownership (INST). The dependent variable used is the dividend policy measured using the dividend payout ratio (DPR). The moderating variable in this research is BUMN company. The sample used in this study is companies listed on the LQ45 stock market index on the Indonesia Stock Exchange (IDX) in the 2016-2018 period. The number of samples obtained was 45 companies. This study uses secondary data in the form of annual financial reports that are accessed through the official website of the IDX. Techniques for analyzing data are using multiple linear regression methods and SPSS data processing applications. Empirical results of this study indicate that managerial stock ownership (MSO) has a negative and not significant effect; then for institutional ownership (ISO) positive and significant effect; Managerial share ownership (MSO) moderated by BUMN companies has a negative and not significant effect; meanwhile, for institutional share ownership (ISO) has positive and significant effect on dividend policy.

Ownership Structure and Dividend Policy: Empirical Evidence from Jordan

“…Managerial ownership and dividend policy were found to have a positive and significant relationship in the study. Finally, study by Nasih, Gumilang, Nurrohmah, & Endah, [29], found that managerial ownership is not associated with dividend policy. Due to the mixed results on managerial ownership, the following hypothesis is proposed:…”

Struktur Kepemilikan, Profitability, Investment Opportunity, dan Kebijakan Dividen Perusahaan Non-Keuangan di Indonesia

“…Penelitian oleh Obaidat (2018) dan Chandra & Junita (2021) menunjukkan hasil positif antara kebijakan dividen dan struktur kepemilikan institusional. Hal ini karena sebagian besar kepemilikan saham institusional memberikan pengawasan terhadap kinerja manajer dan sebagai pengendali luar kebijakan dividen perusahaan (Nasih et al, 2021). Tingginya kepemilikan institusional mampu mengurangi agency conflict dengan membagikan arus kas bebas dalam bentuk pembagian dividen.…”