BBI 0.00% $3.98 babcock & brown infrastructure group


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    Retirees who received an age pension are assessed on their assets and income. All cash and shares have a "deemed income" value. If a share earns more dividend than the deemed value, this a bonus to the retiree (especially when tax-deferred such as BBI).

    If the dividend is stopped, only what's left is the capital value while the "deemed income" still applies, affecting the age pension payments.

    So there was a strong incentive for all retirees the sell BBI (and buy an income producing stock), especially those receiving the age pension from centrelink.

    Now it's a growth stock.

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