Abstract:
In this study we have tried to show the dividend scenario of the listed commercial
bank of Dhaka Stock Exchange (DSE) from the fiscal year 2000 to 2013. The study
also tried to investigate the effect of dividend announcement on stock prices based
on the 28 DSE listed commercial banks. In this context declaring dividends during
the fiscal year 2012-2013 have been considered as the observation period and
event study methodology has been used. The result by using event study
methodology indicates that there is no effect of dividend announcement on stock
prices over the observation periods.