Hybrid Trusts

A FACCS Hybrid Trust provides multiple classes of Units while still leaving discretion with the Trustee to issue new classes of units.

These units generally have a distinctive name selected by the Trustee.

The rights to Income or Capital of the Trust Fund attached to the units is determined totally at the discretion of the Trustee.

The standard FACCS Hybrid Trust has the following 3 classes of Special Units. Additional styles of units may be added by providing details in the Comments section of the Order Form.

"A" class Special Income Units are entitled to the Special Income of the Trust Fund in the same proportion as the number of Special Income Units held bears to the total number of Special Income Units but are not entitled to Capital.

The "Special Income" of the Trust Fund means that portion of the total income of the Trust Fund as the Trustee determines is reasonably attributable to the investment by the Trustee of the moneys received by it from the issue of Special Income Units.

"B" class Special Capital units are entitled to the Special capital of the Trust Fund in the same proportion as the number of Special Capital Units held bears to the total number of Special Capital Units but not entitled to Income.

"STD" class Special Standard Units are entitled to the same Income Entitlement as "A" units and the same Capital Entitlement as "B" units.

Non-Unit Holders are those Beneficiaries of the Trust Fund who do not hold Special Units. Distribution of Income or Capital to these Beneficiaries is at the discretion of the Trustee.