Definition of "public" in relation to a business trust


Under paragraph 1.01 of the Main LR, the definition of "public" in relation to business trust excludes subsidiary entity as defined under the SC's Business Trust Guidelines. What is a subsidiary entity?

Under paragraph 2.01 of the SC's Business Trust Guidelines, "subsidiary entity" is defined to mean any corporation or other entity where:


​the trustee-manager (acting in its capacity as trustee-manager of the business trust) –


controls the composition of the board of directors of the corporation or board of persons of the entity which performs similar function as with a board of directors of a corporation, ("Board");


controls more than half the voting shares of the corporation or voting rights of the entity; or


holds more than half of the issued share capital of the corporation (excluding preference shares) or its equivalent in the case of the entity; or


​​the corporation or entity is a subsidiary entity of another corporation or entity which is a subsidiary entity of the business trust.

Based on the above definition, apart from a corporation, a subsidiary entity of a business trust may include, among others, the following:


​​a collective investment scheme;


a management company of a collective investment scheme whose board of directors is controlled by the trustee-manager; or


a subsidiary of the trustee-manager.