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High Dividend Counters, Better than putting in FD
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jchong
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Jul 13 2010, 10:24 AM
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Sorry, I'm new at this so a few questions:
1. When a company declares for example: "dividend of 10 sen per share less income tax at 25%" means the net dividend to be received is 7.5 sen per share right?
2. What's the purpose of special dividend? I see some companies announce "first and final dividend" then also "special dividend". Why not lump both together? What is so special about "special dividend"?
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jchong
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Jul 13 2010, 10:58 AM
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QUOTE(smartly @ Jul 13 2010, 10:44 AM) 1. Yes 2. "1st & final div" - self explainatory. "Special div" - additional div other than the normal div. This happen (a) probably company has excess money or cash reserved wish to refund to shareholders (b) there are company loan money to give this so as to help parent co. like BJTOTO. Thanks for the explanation. Still lots to learn by going thru this thread.
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jchong
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Jul 13 2010, 11:10 AM
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I suppose it's a good way to manage expectations as you pointed out.
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