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If a company pays a fat dividend it means

1) It actually has a real business that makes some cash.
2) Owners are willing to share profits with shareholders.

Just paying a large percentage of profits in dividends removes a lot of doubt about the management and the company.

I feel that when investing in Asia or any other place where shareholder rights may be poor, demanding dividends and a high payout ratio is good way to screen out the evil people.
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