Income trusts (also known as income funds) are booming, and represent one of the fastest growing financial asset classes in Canada. They accounted for 88 percent of the IPOs launched in 2002, and there are currently over 100 trusts with $45 billion in assets, representing about 6% of the Canadian financial market. Income trusts have provided Canadian investors with excellent returns in one of the worst markets in decades. They trade on the stock exchange, but provide a monthly or quarterly flow of income that can typically yield 6-20% per year. They provide Canadians with an alternative to stock investing that offers potentially less risk, and regular income, regardless of the general stock market direction. Their appeal is increasing for individual and institutional investors (e.g., pension funds and insurance companies) alike. However, investing in income trusts can also be fraught with pitfalls, and being stuck with a bad one can do more harm than good. This book is the first of its kind: a complete guide to the income trust industry in Canada. Table of Contents Introduction The Roots of Business Trusts Tax Matters: The Consequences of Investing in Income Funds Why Invest in an Income Trust? Measuring Risk in an Income Fund Advanced Topics The Initial Public Offering Process The Income Trust Conversion Process Funds of Income Funds Statutory Liability for Continuous Disclosure Preventive Medicine for Income Trusts and their Trustees Issues for Business Owners; Selling a Business to an Income Trust The Canadian Income Trust Market Today Appendix I : Glossary of Income Fund terms and their Definitions Appendix II : Comprehensive Canadian Income Fund Listings
Book Details:
- Author: Peter Beck
- ISBN: 9780470158234
- Year Published: 2004
- Pages: 250
- BISAC: BUS036000, BUSINESS & ECONOMICS/Investments & Securities / General
About the Book and Topic:
Income trusts (also known as income funds) are booming, and represent one of the fastest growing financial asset classes in Canada. They accounted for 88 percent of the IPOs launched in 2002, and there are currently over 100 trusts with $45 billion in assets, representing about 6% of the Canadian financial market. Income trusts have provided Canadian investors with excellent returns in one of the worst markets in decades. They trade on the stock exchange, but provide a monthly or quarterly flow of income that can typically yield 6-20% per year. They provide Canadians with an alternative to stock investing that offers potentially less risk, and regular income, regardless of the general stock market direction. Their appeal is increasing for individual and institutional investors (e.g., pension funds and insurance companies) alike. However, investing in income trusts can also be fraught with pitfalls, and being stuck with a bad one can do more harm than good. This book is the first of its kind: a complete guide to the income trust industry in Canada. Table of Contents Introduction The Roots of Business Trusts Tax Matters: The Consequences of Investing in Income Funds Why Invest in an Income Trust? Measuring Risk in an Income Fund Advanced Topics The Initial Public Offering Process The Income Trust Conversion Process Funds of Income Funds Statutory Liability for Continuous Disclosure Preventive Medicine for Income Trusts and their Trustees Issues for Business Owners; Selling a Business to an Income Trust The Canadian Income Trust Market Today Appendix I : Glossary of Income Fund terms and their Definitions Appendix II : Comprehensive Canadian Income Fund Listings
Income trusts are one of the fastest-growing financial instrument in Canada as investors seek alternative investments to smooth out the roller coaster ride of market volatility. First book on income trusts in the Canadian market from the leading experts and market commentators on the topic. Complete coverage includes: what income trusts are and how to use them to your advantage; myths and facts about income trusts; types of income trusts, including REITs, royalty and business trusts; how to assess potential income funds and measure risk; the tax consequences of investing in income trusts. Features comprehensive listings of the existing income trusts in Canada. Author support: the book will be featured on the authors websites and through SwiftTrade offices across the country; authors will promote through speaking engagements, conferences, seminars, and regular media appearances; authors will provide access to their extensive e-mail contact lists.
About the Author
Peter Beck is a well-known financial expert and President of SwiftTrade Inc., Canada’s leading proprietary trading firm. He is the co-author of Hedge Funds for Canadians: New Investment Strategies for Winning in Any Market (Wiley), which has sold over 3,000 copies in four months. Mr. Beck, a European-trained chef, immigrated to Canada from Hungary in 1979. A knack for business led him to set up a number of successful ventures, including Canada’s first day-trading firm, SwiftTrade. In just four years, the company grew from one office to 18 offices across Canada and around the world. SwiftTrade was named #7 on the Top 10 Hottest Start-ups in Canada by Profit Magazine in 2001, and #2 on the Profit 100 ranking of the fastest growing companies in Canada in 2004. Mr. Beck has been featured in media across the country, including The Globe and Mail, the Toronto Star, CTV News, ROB TV, and Canadian Business. He regularly appears on television to offer commentary on the markets. Simon Romano is a partner with Stikeman Elliott LLP, one of Canada’s leading business law firms with an international reputation for M&A, corporate finance and banking. Mr. Romano practices principally in securities, public and private M&A, and corporate finance. He also advises investment funds, alternative trading systems, income trusts and private equity funds. Mr. Romano previously practiced in the firm’s New York office and worked with the Ontario Securities Commission. He is a frequent speaker at conferences on corporate finance subjects and is chairing the November Income Trust Conference in Toronto. Currently, Mr. Romano is active in the income trust industry including acting as an advisor to the Livingstone International Income Fund on its IPO and to Canadian Apartment Properties Real Estate Investment Trust on its recent merger.