Clientele effect
	• The grouping of investors who have a preference that the firm follows a particular financing policy, such as the amount of leverage it uses.
	• The argument that a firm attracts shareholders whose preferences with respect to the payment and stability of dividends correspond to the payment pattern and stability of the firm itself.
	Embedded terms in definition
	Dividends Firm Leverage Shareholders
	Related Terms
	Antidilutive effect Calendar effect Coinsurance effect Dilutive effect Dividend clientele Financial leverage clientele Fisher effect Information content effect International fisher effect January effect Leverage clientele Low price earnings ratio effect Neglected firm effect P/e effect Small firm effect Synergistic effect Weekend effect

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