What are capital shares?
Capital shares (with a few exceptions) pay no dividends. They do not have a pre-determined redemption value but instead are entitled to any assets remaining at the end of the trust's life after all the other classes of share have been paid. They are last in the order of priority. The success of capital shares is therefore dependent on the success of the manager in growing the assets of the trust over and above what is required to repay the other classes of share. This makes them a higher risk investment.