re: excellent article -not so golden ponzi , page-2

re: excellent article -not so golden ponzi some good points there.

some similarities on these threads have been made between the telstra contributing shares, and these units. telstra paid dividends out of earnings, whereas bcs, were going to pay distributions out of capital (or borrowings) . so there is a quantum difference between the two. it must be the nature of unit trusts, that distributions can be paid out of capital. companies can only pay dividends out of earnings (or retained earnings)