Acquired Fund Assets definition

Acquired Fund Assets shall consist of all property, including without limitation, all cash, cash equivalents, securities and dividend and interest receivables owned by Acquired Fund, and any deferred or prepaid expenses shown as an asset on Acquired Fund’s books on the Valuation Date.

Acquired Fund Assets consists of all property, including without limitation, all cash, cash equivalents, securities, commodity and dividend interests, loans and other instruments and dividends or interest or other rights or receivables that are owned by Acquired Fund, and any deferred or prepaid expenses shown as an asset on Acquired Fund’s books on the Valuation Date (as defined in paragraph 2.1), prepared in accordance with generally accepted U.S. accounting principles (“GAAP”) applied consistently with those of Acquired Fund’s most recent audited financial statements.

Examples of Acquired Fund Assets in a sentence

• Acquiring Fund will recognize no gain or loss upon receipt of Acquired Fund Assets in exchange solely for Acquiring Fund Shares and the assumption of all stated liabilities of Acquired Fund.

• The holding period with respect to the Acquired Fund Assets that Acquiring Fund acquires in the Reorganization will include the respective periods for which those assets were held by Acquired Fund (except where investment activities of Acquiring Fund have the effect of reducing or eliminating a holding period with respect to an Acquired Fund Asset).

• The adjusted tax basis of the Acquired Fund Assets received by Acquiring Fund in the Reorganization will be the same as the adjusted tax basis of such assets in the hands of Acquired Fund immediately before the exchange.

• The holding period of the Acquiring Fund with respect to the Acquired Fund Assets will, in each case, include the period for which such Assets were held by the Acquired Fund.

• Immediately after the transfer of Acquired Fund Assets provided for in paragraph 1.1, the Acquired Fund will distribute to the Acquired Fund’s shareholders of record, determined as of the Valuation Time (the “Acquired Fund Shareholders”), on a pro rata basis, the Acquiring Fund Shares received by the Acquired Fund pursuant to paragraph 1.1 and will completely liquidate.

• The number of Acquiring Fund Shares to be issued (including fractional shares, if any) to the Acquired Fund shall be determined by dividing the value of the Acquired Fund Assets, less the Acquired Fund Liabilities, determined in accordance with paragraph 2.1, by the net asset value of one Acquiring Fund Share, determined in accordance with paragraph 2.2.

• Riverfront shall deliver to Armada at the Effective Time of the Reorganization confirmations or other adequate evidence as to the adjusted tax basis of the Acquired Fund Assets then delivered to an Acquiring Fund in accordance with the terms of this Agreement.

• The value of the Acquired Fund Assets to be acquired and the Acquired Fund Liabilities to be assumed by the Acquiring Fund shall be computed as of the close of regular trading on The New York Stock Exchange, Inc.

• For each class of shares, the shares of the Acquiring Funds so issued will have an aggregate net asset value equal to the value of the Acquired Fund Assets, net of the Acquired Fund Liabilities, that are represented by the class of shares of the Acquired Fund, the holders of which shall receive such class of shares of the Acquiring Fund, as specified in Section 1.02, all determined and adjusted as provided in this Agreement.

• The net value of the Acquired Fund Assets to be transferred by the Acquired Funds shall be computed by Riverfront and shall be subject to adjustment by an amount, if any, agreed to by Armada and Riverfront.