FinTech Firms Dividend Payout Policy: Evidence from Covid-19

The breakthrough of the Covid-19 pandemic has not only caused significant disruption across numerous industries globally but also marked a surge in digital transformation within the financial sector through the adoption of FinTech. The pandemic was exceptional for the FinTech sector as it developed and accelerated the adoption of FinTech firms. This study examines the impact of Covid-19 on FinTech firms’ dividend policy by applying logistic regression models. The sample includes 171 FinTech firms listed in The STOXX Global FinTech Index from 2014 to 2021. The findings reveal that FinTech firms tend to increase or maintain their dividend payments rather than omit them during Covid-19 to convey positive signals to the market.