Stephen Pincus quoted in "'Odd little offspring' now $90 billion success story", Calgary Herald
|Area||REITs and Income Securities|
Excerpt from ""Odd little offspring" now $90 billion success story", by Brian Burton:
Stephen Pincus quoted:
Corporate lawyer Stephen Pincus, of Goodmans LLP, says there's another good reason for the comfort investors seem to feel in placing money into income trusts. Pincus points out that most of the general business trusts were formed after the huge financial collapses that gave rise to the U.S. Sarbanes Oxley Act and other stringent regulations on corporate governance. Because of this, he says, they've been required from the beginning to meet new standards of governance.
Besides, he says, when a trust is required to distribute most of its cash "they can't fudge the accounting".
"You can see, from moment to moment, whether management is performing."