Difference between revisions of "Reserves"
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Return to the [[FairShares Glossary]]. | Return to the [[FairShares Glossary]]. | ||
Latest revision as of 13:48, 8 February 2014
Reserves are created when a proportion of Surplus is allocated to an account that provides working capital / protection against changes in the trading environment.
By default, a fixed amount or % of surplus (whichever is greater) is transferred to reserves each year, and part of the reserve is allocated to a Redemption Fund to fund the future redemptions (transfers) of members' Investor Shares.
Return to the FairShares Glossary.
