Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Why don't companies pay dividends on a graduated scale?
#7
The reason they don't do this is that it would be illegal. (at least on this side of the pond) And quite frankly, unjust.
Shares dictate ownership of a company. Two people with the same amount of ownership need to have the exact same rights, and get the same amount of shareholder distributions.

You can just turn on your dividend reinvestment plan and you kind of get the desired effect. Some companies do offer a discount on the DRIP, which is their way of promoting long-term ownership.
Reply


Messages In This Thread
RE: Why don't companies pay dividends on a graduated scale? - by crimsonghost747 - 12-26-2021, 11:07 AM
RE: Why don't companies pay dividends on a graduated scale? - by Christinebitg - 12-28-2021, 07:26 PM
RE: Why don't companies pay dividends on a graduated scale? - by crimsonghost747 - 12-28-2021, 12:04 PM
RE: Why don't companies pay dividends on a graduated scale? - by crimsonghost747 - 12-28-2021, 11:32 AM



Users browsing this thread: 7 Guest(s)