THE IMPACT OF DIVIDEND POLICY AND FIRM SPESIFIC FACTORS ON SHARE PRICE VOLATILITY

Abstract

Indonesia is in the top five positions with its mining wealth and is a sector industry with a large contribution to the country's economy. There are several phenomena that appear recently in mining companies in the global and regional environment to be observed include: The movement of shares follows the movement of commodity prices; Gold prices shot up due to an increase in instruments that are often considered as safe haven, Coal prices soared at the end of 2020 winter used a lot coal-fired Steam Power Plants (PLTU) mainly from China; Nickel also made a surprise in 2020 along with plans for electric cars. Judging from the price of shares listed on the IDX, the stock price fluctuates every year. Stock price volatility is the fluctuation that occurs in stock prices in the form of: the amount of foreign exchange distance over a certain period of time. This research aims to empirically analyze how the analysis of dividend policy, leverage, firm size, trading volume, economic growth, and inflation rate on share price volatility. Research result shows that trading volume, economic growth and inflation rate have impact on share price volatility. Trading volume has positive impact on share price volatility.  While economic growth and inflation rate have negative impact on share price volatility. Dividend policy, leverage and firm size have no impact on share price volatility.