Resource type: Glossary Item
- Resource type: Glossary Item
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• The obligation meets certain requirements that ensure it is acquired at a price that is not unfavorable to the plan.
• Immediately after acquiring the obligations:
o no more than 25% of the issue is held by the plan;
o at least 50% of the issue is held by persons independent of the issuer; and
o no more than 25% of the plan's assets are invested in obligations of the employer or an affiliate.
Practical Law Dictionary. Glossary of UK, US and international legal terms.
www.practicallaw.com.
2010.
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