The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities

Purpose: This study investigates agency conflicts related to dividend policy within corporate companies, focusing on managerial ownership and government ownership. Methods: Using a quantitative approach, the study employs multiple linear regression and moderation regression analyses. Data from 89...

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Main Authors: Abdul Fatah Ismail, Nadia Anridho
Format: Article
Language:English
Published: Universitas Negeri Semarang 2024-10-01
Series:Jurnal Dinamika Akuntansi
Subjects:
Online Access:https://journal.unnes.ac.id/journals/jda/article/view/6560
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author Abdul Fatah Ismail
Nadia Anridho
author_facet Abdul Fatah Ismail
Nadia Anridho
author_sort Abdul Fatah Ismail
collection DOAJ
description Purpose: This study investigates agency conflicts related to dividend policy within corporate companies, focusing on managerial ownership and government ownership. Methods: Using a quantitative approach, the study employs multiple linear regression and moderation regression analyses. Data from 89 observations of State-Owned Enterprises (SOEs) listed on the Indonesia Stock Exchange from 2015 to 2019 are analyzed to examine the relationships between ownership structures and dividend policy, and the moderating role of investment opportunities. Results: The findings indicate that managerial ownership negatively influences dividend policy, with investment opportunities failing to moderate this negative effect. Conversely, government ownership positively impacts dividend policy, but investment opportunities weaken this positive effect. These results underscore the distinct impacts of managerial and government ownership on dividend policies within SOEs. Novelty: This research offers new insights into agency conflicts and dividend policies of SOEs, a less explored area in corporate finance. It highlights the moderating role of investment opportunities, adding a unique perspective to the understanding of these relationships. However, the study is limited by its sample size, focusing only on publicly listed SOEs, while most SOEs have not gone public. Further research is necessary to fully understand agency conflicts in corporate financial relations across a broader range of SOEs.
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spelling doaj-art-a70c8378c4854fcbb62a3e0a3a3bb3622025-08-20T03:38:50ZengUniversitas Negeri SemarangJurnal Dinamika Akuntansi2085-42772024-10-0116218720110.15294/jda.v16i2.65606565The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment OpportunitiesAbdul Fatah Ismail0Nadia Anridho1https://orcid.org/0000-0001-6591-2471Universitas AirlanggaUniversitas AirlanggaPurpose: This study investigates agency conflicts related to dividend policy within corporate companies, focusing on managerial ownership and government ownership. Methods: Using a quantitative approach, the study employs multiple linear regression and moderation regression analyses. Data from 89 observations of State-Owned Enterprises (SOEs) listed on the Indonesia Stock Exchange from 2015 to 2019 are analyzed to examine the relationships between ownership structures and dividend policy, and the moderating role of investment opportunities. Results: The findings indicate that managerial ownership negatively influences dividend policy, with investment opportunities failing to moderate this negative effect. Conversely, government ownership positively impacts dividend policy, but investment opportunities weaken this positive effect. These results underscore the distinct impacts of managerial and government ownership on dividend policies within SOEs. Novelty: This research offers new insights into agency conflicts and dividend policies of SOEs, a less explored area in corporate finance. It highlights the moderating role of investment opportunities, adding a unique perspective to the understanding of these relationships. However, the study is limited by its sample size, focusing only on publicly listed SOEs, while most SOEs have not gone public. Further research is necessary to fully understand agency conflicts in corporate financial relations across a broader range of SOEs.https://journal.unnes.ac.id/journals/jda/article/view/6560dividend policygovernment ownershipinvestment opportunity setmanagerial ownership
spellingShingle Abdul Fatah Ismail
Nadia Anridho
The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
Jurnal Dinamika Akuntansi
dividend policy
government ownership
investment opportunity set
managerial ownership
title The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
title_full The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
title_fullStr The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
title_full_unstemmed The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
title_short The Managerial and Government Ownership Effect on Dividend Policy: The Moderating Role of Investment Opportunities
title_sort managerial and government ownership effect on dividend policy the moderating role of investment opportunities
topic dividend policy
government ownership
investment opportunity set
managerial ownership
url https://journal.unnes.ac.id/journals/jda/article/view/6560
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AT abdulfatahismail managerialandgovernmentownershipeffectondividendpolicythemoderatingroleofinvestmentopportunities
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