19 November 2018

Investors may get choice of cash or share dividends, paper says

Mainland authorities are devising rules for scrip dividends, taking their lead from Hong Kong where investors can choose whether to take cash or a share dividend based on their investment needs and cash flow, the China Securities Journal reported Friday, citing unidentified sources. Mainland investors can now only accept firms’ decisions on cash or share dividends, with the latter the most popular option. Official opinions published on improving protection for small investors promote the idea of a system of multiple-channel investment returns, which could help encourage listed firms to distribute dividends, the report said.

– Contact HKEJ [email protected]



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