Dividend Policy and Ownership Structure: Evidence from the Casablanca Stock Exchange

Abstract

This study investigates the effect of the ownership
structure on dividend policies for firms listed at the Casablanca
stock exchange. Two aspects of the ownership structure are used,
the first is the ownership concentration and the second is the
identity of the largest shareholders. A panel data analysis is
performed to examine the relationship between the dividend
policy and the ownership structure in this emerging market for
the period between 2004 and 2010. Results show that two forms
of ownership identity influence negatively the dividend policy of
firms listed. In fact, when the identity of the largest shareholder
is either an industrial company or a family, the level of
distributed dividends is decreased. Furthermore, findings show
that there is no impact of ownership concentration on dividend
policies for firms listed at the Casablanca Stock Exchange.