Unit Investment Trust (Noun)
Meaning
A regulated investment company consisting of professional managers who issue redeemable securities representing a portfolio of many different securities; "you can invest in a unit investment trust for as little as $1000".
Classification
Nouns denoting groupings of people or objects.
Examples
- A unit investment trust is a type of investment vehicle that allows individuals to pool their funds together to invest in a diversified portfolio of securities.
- You can invest in a unit investment trust for as little as $1000, making it a more accessible option for those who are new to investing.
- Unit investment trusts are often used by investors who want to diversify their portfolios but do not have the time or expertise to manage their investments themselves.
- The unit investment trust is managed by a team of professional investment managers who are responsible for selecting the securities that make up the portfolio.
- Investors in a unit investment trust can redeem their shares at any time, making it a relatively liquid investment option.