Often when we see company declaring dividends 100% or 200% of there face value. I always thing should company pay dividends to the shareholders. But when a person invest in wealth creating instruments like shares, they never expect the return in the form of the dividends. They want the value should be created of there invested sum.
Should company give dividends and at the same time take laons from market at higher rate or company don't invest because they are short of money, this definetly hit the bottom line of the company.
But in market like ours we always thing stock which pay higher dividend is better Company.
Tuesday, September 25, 2007
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