Question: What does stapling securities mean?
Answer:Stapling securities is a term used when two securities are “stapled together” so that under contract they must be sold together, for example, this term is often used in relation to a unitholders and Shareholders Agreements, so that the units and shares are stapled together so that when a transfer or sale of shares is made the units are also transferred. The number of shares directly correspond to the units in the unit trust, for example if you have 20 shares you should also have 20 units.