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Unitisation and Return of Capital
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EssDeeAitch
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Unitisation and Return of Capital
Can anyone let me know how RoC is to be treated in unitisation calculations if at all? Many thanks
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Alaric
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Re: Unitisation and Return of Capital
EssDeeAitch wrote:Can anyone let me know how RoC is to be treated in unitisation calculations if at all?
If you regard the proceeds as part of the investments, then nothing, provided you add the cash to the value in the unit price calculation. If you regard the proceeds as no longer part of the value, you treat it either as a "special dividend", if you are using Income units, or as a part disposal reducing the number of units.
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EssDeeAitch
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Re: Unitisation and Return of Capital
Alaric wrote:EssDeeAitch wrote:Can anyone let me know how RoC is to be treated in unitisation calculations if at all?
If you regard the proceeds as part of the investments, then nothing, provided you add the cash to the value in the unit price calculation. If you regard the proceeds as no longer part of the value, you treat it either as a "special dividend", if you are using Income units, or as a part disposal reducing the number of units.
Got it, thanks Alaric. I have reduced the number of units
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