A developer is promoting a large new suburban shopping centre and decides to establish a publicly listed unit trust to attract investors.Which type of unit trust would likely be established?

Question

Quizplus · Accepted Answer

A property trust would be the best choice since the developer is promoting a shopping centre, which is a property asset. The unit trust would allow investors to own a portion of the shopping centre and receive income from its operation. A mortgage trust would provide investors with income from loans secured by property, but it is not relevant to the developer's goal. An equity trust would invest in stocks or other equity securities, which is not relevant to the developer's property-based asset. A cash management trust invests in short-term cash-related securities, which is not relevant to the developer's goal.

A Developer Is Promoting a Large New Suburban Shopping Centre