Investment Trust (Noun)
Meaning
A financial institution that sells shares to individuals and invests in securities issued by other companies.
Classification
Nouns denoting groupings of people or objects.
Examples
- The investment trust provided an efficient way for individuals to diversify their portfolios and gain exposure to various asset classes.
- Investing in an investment trust can be less expensive than purchasing individual stocks or bonds directly.
- Many investment trusts offer a wide range of investment options, allowing investors to choose the level of risk they are willing to take.
- The advantages of investment trusts include professional management, economies of scale, and access to a broader range of investments.
- By pooling their resources, investment trusts can invest in a more diverse portfolio of assets than many individual investors could afford on their own.