Distribution Agreement between Active Assets Premier Money Trust and Morgan Stanley Dean Witter Advisors, Inc. regarding the continuous offering of the Trust's transferable shares of beneficial interest (without par value) in order to promote the growth
The trust follows strict guidelines outlined in both federal and state laws to make sure everything is legal and above board. It’s like following the rules of the road while driving—you have to keep it safe and sound.
Like any investment, there are risks involved. Market fluctuations, changes in laws, or trust performance can affect the value of shares, and it’s important for investors to weigh these before jumping in.
While specific details may vary, many trusts do have a minimum investment amount needed to buy shares, so investors need to check what that figure is.
Transferable shares are ownership stakes in the trust that can be easily sold or transferred to others. This means investors can trade their shares like pieces of candy, giving them flexibility.
The continuous offering means that the trust will regularly provide its shares to potential investors, rather than just at specific times. It’s like keeping the door open for investors who want to step in at any time.
A distribution agreement is a legal contract that outlines how shares of a trust will be offered to investors in Memphis. It lays down the rules and guidelines for sharing the profits and managing the trust.