Tata Capital Preference Shares
I come to know that Tata Capital preferential shares issue is coming shortly. I have not invested in any preferential shares before but it is being presented similar to tax free bonds.
They are promising 7.5% dividend which would be tax free up to Rs 10 lakhs and after 7 years they would return my principal money.
I am new to this I want to understand if any one sees any catch here. Can this be true? What are the risks that I would not get my principal back?
It is difficult to comment on the issue without seeing the offer document.
There are many different types of preference shares and term and conditions vary greatly.
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