NTUC Income shares

Dear Mr Tan,

My friend recently received a letter from NTUC Income that his investment with them will be paid a dividend of 6% plus a special dividend of 2%, totalling 8% for the financial year 2006.

Such high dividend payable (although not guaranteed) is possible because it is a cooperative organisation with very good management.

In your view, should I not invest in NTUC Income? How do I invest in this?

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REPLY:

Your friend bought the shares of NTUC Income. It is a safe investment, which gives an attractive return.

I understand that NTUC Income is not issuing new shares at the present time, as they have adequate share capital.