M.A. Thesis:

Information Asymmetry, dividends and ownership structure

Abstract The purpose of this study was to investigate the relationship between information asymmetry and corporate dividend according to the ownership structure of companies. The basis of this research is divided into two parts. Firstly, is the increase in information asymmetry reduces the distribution of profits among shareholders? And secondly, the ownership structure of companies can affect the relationship of information asymmetry and corporate profit sharing. For the implementation of the research, 112 companies were gathered during the period from 90 to 94. Findings of the research showed that there is no significant relationship between information asymmetry and dividend As well as the results, the ownership structure of the companies (public sector shareholders) can not affect the relationship of information asymmetry and corporate profit sharing. And yet, in the studies conducted by Tzu-yung and colleagues (2016), there was a correlation between information asymmetry and profit split, which reflects the different conditions of the Iranian stock market from other countries.

Keywords: Information asymmetry, profit sharing, and ownership structure