摘要：Dividend Policy is a crucial decision area in the field of corporate finance. A number of studies have been undertaken in the literature of finance, attempting to categorise, explain and measure the different types of observed corporate dividend behaviour. However, very little research efforts have been made so far on the dividend behaviour of banking sector. The present study is an attempt in this direction. It seeks to examine the validity of the Lintner's dividend behaviour model in three major commercial banks of India namely HD Fe Bank, ICICI Bank, and State Bank of India. The result of the study discloses that the Lintner's model is holding good only in ICICI Bankwith all specifications.
