Does Shareholder’s Share Pledge Induce High Stock Dividends? —An Empirical Test Based on the Data of GEM Companies

Abstract

The high delivery of listed companies is a unique way of dividends. Although there is no change in the company’s operating capacity, it always attracts market attention and causes stock prices to rise in the short term. However, this kind of non-substantial dividends often masks. The major shareholders of listed companies reduced their holdings to cover the lifting of bans and other benefits. As a refinancing method for listed companies, equity pledges require the stability of stock prices due to the existence of passive liquidation lines, especially in the process of market volatility and continuous shift of focus. This paper first summarizes the previous studies on the behavior of high dividends, and uses the GEM as the background, using the data from 2015 to 2018, based on the previous research, adding the factor of equity pledge, using the Logit model to study nearly three The impact of the equity pledge rate of the listed companies on the GEM on the probability of the “high-delivery” dividend policy announced by major shareholders was attempted to make recommendations for the newly introduced “high-stock dividends new regulations”.