Posted on July 1, 2016 by admin - Uncategorized
Reflecting popularity in the market
An investment trust is a company with a set number of shares. Unlike an open-ended investment fund, an investment trust is closed ended. This means there are a set number of shares available, which will remain the same no matter how many investors there are. This can have an impact on the price of the shares and the level of risk of the investment trust. Open-ended investment funds create and cancel units depending on the number of investors. (more…)
Posted on July 1, 2016 by admin - Uncategorized
Participating in a wider range of investments
Unit trusts are collective investments that allow you to participate in a wider range of investments than can normally be achieved on your own with smaller sums of money. Pooling your money with others also reduces the risk. (more…)
Posted on July 1, 2016 by admin - Uncategorized
Expanding and contracting in response to demand
Open-Ended Investment Companies (OEICs) are stock market–quoted collective investment schemes. Like investment trusts and unit trusts, they invest in a variety of assets to generate a return for investors. They share certain similarities with both investment trusts and unit trusts, but there are also key differences. (more…)
Posted on July 1, 2016 by admin - Uncategorized
Acting in the investors’ best interests at all times
Open-ended investment funds are often called ‘collective investment schemes’ and are run by fund management companies. (more…)
Posted on July 1, 2016 by admin - Uncategorized
Investing in one or more asset classes
Investing in funds provides a simple and effective method of diversification. Because your money is pooled together with that of other investors, each fund is large enough to diversify across hundreds and even thousands of individual companies and assets. A pooled (or collective) investment is a fund into which many people put their money, which is then invested in one or more asset classes by a fund manager. (more…)