(1) A unitrust rate must be at least 3 percent and not more than 5 percent. Within those limits, the unitrust rate may be:(a) A fixed unitrust rate; or
(b)1. A unitrust rate that is determined for each period using:a. A market index or other published data; or
b. A mathematical blend of market indices or other published data over a stated number of preceding periods.
2. If the rate calculated under this paragraph would be less than 3, the rate is 3; and if the rate calculated would be more than 5, the rate is 5.
(2) Within the limits of subsection (1), a unitrust policy may provide for any of the following:(a) A limit on how much the unitrust rate determined under paragraph (1)(b) may increase over the unitrust rate for the preceding period or a mathematical blend of unitrust rates over a stated number of preceding periods.
(b) A limit on how much the unitrust rate determined under paragraph (1)(b) may decrease below the unitrust rate for the preceding period or a mathematical blend of unitrust rates over a stated number of preceding periods.
(c) A mathematical blend of any of the unitrust rates determined under paragraph (1)(b) and paragraphs (a) and (b).
(3) If the fiduciary is not an independent person, the percentage used to calculate the unitrust amount is the rate determined under s. 7520(a)(2) of the Internal Revenue Code in effect for the month the conversion under this section becomes effective and for each January thereafter; however, if the rate determined under s. 7520(a)(2) of the Internal Revenue Code exceeds 5 percent, the unitrust rate is 5 percent, and if the rate determined under s. 7520(a)(2) of the Internal Revenue Code is less than 3 percent, the unitrust rate is 3 percent.
