 Split share corporation

A split share corporation is a corporation that exists for a defined period of time to transform the risk and investment return (capital gains, dividends, and possibly also profits from the writing of covered options) of a basket of shares of conventional dividend-paying corporations into the risk and return of the two or more classes of publicly traded shares in the split share corporation.Most commonly a split share corporation issues equal numbers of shares from a class of preferred shares and a class of capital or class A shares.