Security Returns During Ex-Dividend Period

AbstractThis paper examines the security returns during ex-dividend period for firms listed on the Muscat Securities Market (MSM). We find stock dividends elicit a significant stock market response. In addition, the abnormal return seems not to be confined to the ex-day in Oman. In particular, the positive abnormal return extends for seven days after the stock dividend ex-day. We also find that larger firms in Oman prefer a higher trading range