We present five noteworthy papers that contribute new insights to this timeless topic of Dividends and Payout policy. Dividend policy refers to the payout policy that a firm follows in determining the size and pattern of distributions to shareholders over time. For academics, explaining why firms actually pay dividends has been a thorny issue without a simple or obvious solution..

Judging from the number of books and articles on this subject, dividend policy has both captivated and puzzled academic researchers for decades. Many have been preoccupied with academic issues that are of little interest to practicing financial managers or investors. Although corporate executives may wrestle with determining an appropriate dividend policy, they still must do so and typically act as though their firm's dividend policy is relevant.

After reading these five articles, we trust that you will agree that dividends and dividend policy is an intriguing topic in corporate finance. The journey, however, is not over and many avenues of research still remain to be explored on this topic.