What is it?
This is a standard unit trust deed with an ability on the part of the trustee to allocate numerous differing classes of units, with differing rights. It has all the elements of any other trust, except that the interests and rights of the beneficiaries depend on the type of units they are issued with, and these rights are set out on unit certificates.
Some units are “ordinary” which attract rights to the income generated by the trust, a pro rata share of the assets of the trust and the rights to vote. Some units may be “income” only – attracting only rights to the capital generated by the trust – or may be “capital” only or “discretionary” where the rights are determined at the discretion of the trustee. For a full explanation and the choices to be made, consult PGG Legal.
