Definitions for "Income shares"
Income shares are a class of shares in a split capital investment trust.  There are several types of income shares, which vary in their entitlements to income and offer various capital entitlements on wind-up.
A share of a split capital investment trust that receives the income received by the underlying investments. Nowadays income shares usually have some right to the capital growth of the fund over its life.
Income shares are typically shares in mature business with fewer opportunities for growth. These companies typically generate a lot of cash and because they have fewer opportunities to invest for growth there is plenty of money available to be returned to shareholders. Tobacco and utilities are good examples of sectors where investors are looking for income rather than growth.