PROPOSAL

The main purpose of conducting this research is to ex ray the effect of dividend  announcement on security prices in order to determine whether the Nigeria capital market is efficient and at what form of its efficiency. Many searchers have attempted to determine the efficiency  from of Nigeria capital market. Empirical results observed from their research has tended to suggest that the efficiency  from of Nigeria capital market is weak and others, in the semi- strong form. However very jew have attempted to analyze the  effect of dividend announcement do have impact on stock priles. This observation to the best of my knowledge have not been reasonable or scientifically studied in Nigeria.

Considering the jact that Nigeria capital market. Is under development assessing relevant information was discover pain staking there were no easy reliable published data on divided  announcement as it is prevent in other advanced economic like USA limited period of time and unavailability of appropriate research facilities contribute  their quota as hindrance to this research work.

But base on the jew available relevant data, decision was made to address this research work on a small sample size and upon securities on the first tier market so that to give dividend announcement in information starting from the ones previously announced. This  information will affect the stock prices spontaneously. And at the  this research will equally lends credence to the observation that Nigeria capital market is efficient in the semi strong form.

CHAPTER ONE

GENERAL  INTRODUCTION

The desire of every national producer is to minimize the resource invested to achieve a desired objective thus at any point in time he should be devising ways of minimizing the  cost of achieving the desired benefit.