Topic: How To Invest

Hi. Any advice re: Data Group Income Fund? I believe that it paid a generous dividend all through the recent recession. Your thoughts? Thanks.

Article Excerpt

The Data Group Income Fund, $7.27, symbol DGI.UN on Toronto (Units outstanding: 23.5 million; Market cap: $170.8 million), sells commercial-printing and related services to a wide variety of customers, including Canada Post, Bell Canada, Manulife Financial Corp., Bank of Montreal, Imperial Oil, Ontario Lottery and Gaming Corp. and British Columbia Lottery Corp. By outsourcing their printing needs to Data Group, the fund’s clients can focus on their main businesses and improve their efficiency. Data Group has three divisions: 1) Data East and West, which provides 90% of Data Group’s revenue, sells printing and document-management services to customers under long-term contracts. This division has plants and warehouses in Ontario, Quebec, Saskatchewan and Alberta. 2) Sundog (6% of revenue) prints brochures, catalogues, directories, calendars, posters, event tickets and other documents at a commercial printing plant in Calgary. 3) Multiple Pakfold (4% of revenue) sells forms and labels to independent resellers. The division operates a printing plant in Mississauga, Ontario. In the three months ended March…