Journal of Finance and Marketing

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Journal of Finance and Marketing 44 7897 074717

Payout Policy

Pay-out refers to the expected financial return or monetary disbursement from an investment or annuity. It may be expressed an overall or periodic basis as either a percentage of the investment's cost or in a real dollar amount. Pay-out can also refer’s the period in which an investment or a project is to be expected to recoup its initial capital investment and become minimally profitable. It is a short "time to pay-out," or "term to pay-out", or "pay-out period."

In terms of the financial securities, such as annuities and dividends, pay-outs refer to the amounts received at given points in time. For example, in the case of an annuity, pay-outs are made to the annuitant at regular intervals such as the monthly or quarterly.

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