Ownership group hierarchy

The following hierarchy is an example of an ownership group: New York (a control holding company) owns Los Angeles, Toronto, Vancouver, and Brazil. Canada is a consolidation unit, whose subgroup includes Toronto (a holding company), Vancouver (its subsidiary), and Canadian Eliminations (a non-legal unit).

Members of Legal Rollup
  HQ
    CTRAIN Inc. (US)
      New York
      Los Angeles
      Canada
        Toronto
        Vancouver
        Canadian Eliminations
      Brazil

Best practices

Before specifying investor relationships, be sure your hierarchy complies with these best practices:

• You should have only one top holding company in the hierarchy (one that is not owned by another company).
• There should be only one holding company in any ownership subgroup (a consolidation unit and its leaf children).
• If an ownership subgroup includes one or more legal units, it should also include one holding company.