Fund managers are warning the region's most profitable companies to pay big dividends or risk losing investors.
The alert comes on the eve of earnings reporting season, when major companies such as Etisalat and Abu Dhabi Islamic Bank among others decide what to do with a year's bumper revenues.
"Companies who have decent balance sheets, cash flows and were growing this year and opt not to give attractive dividends will be penalised," said Haissam Arabi, the chief executive of Gulfmena Investments, an asset management company based in Dubai.
No comments:
Post a Comment