Meaning DISCRETIONARY TRUST: In the context of mutual funds, refers to a mutual fund or unit trust whose management decides on the best way to use the assets without restriction to a specific type of security.In the context of trusts, refers to a personal trust in which a trustee has the power of decision as to how much income or principal each beneficiary receives
More terms such as Discretionary trust in Dictionary D.
- Definition Drop, The:
- Examples In a dollar roll transaction, the difference between the sale price of a mortgage-backed pass-through, and its repurchase price on a future date at a predetermined price discretionary trust definition.
- Definition Drop-Dead Day:
- Examples The date on which a deadline is final, with no exceptions discretionary trust explain.
- Definition Dilution Protection:
- Examples that changes the conversion ratio in the case of a stock dividend or extraordinary distribution to avoid dilution of a convertible bondholder's potential equity position. Adjustment usually discretionary trust what is.
- Definition Dealer:
- Examples stands ready and willing to buy a security for its own account (at its bid price) or sell from its own account (at its ask price). Individual or firm acting as a principal in a securities transaction discretionary trust meaning.
- Definition Default Risk:
- Examples The risk that an issuer of a bond may be unable to make timely principal and interest payments. Also referred to as credit risk (as gauged by commercial rating companies discretionary trust abbreviation.
