Low dividend yields are seen:

Question

Quizplus · Accepted Answer

Low dividend yields are usually a result of firms having good investment opportunities available to them. Rather than paying out dividends, the firms invest the capital back into the company for growth and expansion. As a result, shareholders may not see a substantial dividend yield. High interest rates and stock market downturns may also have an impact on dividend yields, but they are not directly related to the main reason for low yields. The signal of bankruptcy is usually seen as a lack of dividends, but that is not always the case, and it is not a direct reason for low yields.

Low Dividend Yields Are Seen