Split Share Corporations - Capital Shares

Split Share Corporations - Capital Shares:  Capital shares of split share corporations are held by the more aggressive investor seeking capital appreciation through a leveraged investment in the underlying assets held by the spilt share corporation.  Capital shareholders participate in the capital appreciation from the portfolio above the par value of the preferred shares.  At termination of the split share corporation, the value of the capital shares will be the value of the net assets held by the split share corporation, less the value of the preferred shares.  Capital shares of split share corporations may also be referred to as Capital Units or Class A Shares.