Unit Investment Trusts (UITs)
As with all investments, investors can lose cash investing in unit investment trusts. Past performance might not be indicative of future results, and a UIT may not perform as well as an investor expects. Investing involves risk, including the risk of a loss of principal. UITs will be affected by the performance of their investments. Security prices will fluctuate. UITs might be subject to additional risks with respect to the investment strategy. UIT portfolios aren’t managed actively. Except in limited circumstances, UITs shall hold and continue steadily to buy, shares of the same securities if their market value declines even.
Unlike a block deal, there is absolutely no minimum quantity/value defined with the objective. 19. Can CICs/CICs-ND-SI accept debris? A: No, CICs/ CICs-ND-SI cannot acknowledge deposits. That is one of the eligibility requirements. 20. What does the term open public funds include? Is it the same as public deposits? In: Public money won’t be the same as public debris.
- 6 months back from Florida
- Customization of holdings
- You can make maximum of 12 debris in a financial yr
- Total collateral on the balance sheet raises as dividends paid boosts
- 2 years back from Pickerington, OH
- Your asset protection strategy. What’s your risk profile? High…medium …low
- What sort of sectors do you want to place your money in
21. If this is of public money, what do the word “indirect receipt of public funds” mean? A: Indirect receipt of public funds means funds received in a roundabout way but through associates and group entities that have access to open public funds. 22. Can CICs concern guarantees and will this be considered part of the definition of public funds?
Ans: Yes, CICs may be asked to issue warranties or take on other contingent liabilities on behalf of their group entities. Guarantees per se do not be categorized as this is of public funds. However, it’s possible that CICs which do not accept public funds take recourse to public funds if and when the guarantee devolves.
Hence, before doing this, CICs must ensure they can meet up with the responsibility there under, as so when they arise. In particular, CICs that are exempt from enrollment requirement must be in a position to do so without recourse to public funds in case the liability devolves. If unregistered CICs with asset size above Rs. 23. Exactly what is a Group company? A: For the purposes of determining whether an organization is a CIC/CIC-ND-SI, ‘companies in the group’ have been exhaustively defined in para 3(1) b of Notification No. DNBS. 25. A CIC-ND-SI should have 90% investments within the group, and in conditions of current exposure norms, NBFCs-ND-SI is allowed only 40% of both lending and investment within any group.
Therefore, no NBFC as it stands, can turn into a CIC without breaching the NOF, CRAR, or Concentration Norms, since its entire business is within a subsidiary. However, an NBFC may voluntarily seek to become CIC-ND-SI since it brings clearness to the keeping framework in their company.