What are the benefits of a UIT?

What are the benefits of a UIT?

  1. Disciplined Portfolio - The securities held in UITs remain relatively fixed over the life of the trust.
  2. Professional Selection - The securities for UIT portfolios are professionally selected using pre-defined filtering processes of skilled research analysts.
  3. Ease of Ownership - With one single purchase, investors can own a professionally selected portfolio of securities.
  4. Diversification - UITs are generally diversified across a portfolio of securities, which may help to reduce risk by offsetting potential losses from some securities.
  5. Liquidity - Units may be redeemed on any business day at the redemption price, which may be more or less than the original purchase price.

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    • Unit Investment Trust (UIT)

      A Unit Investment Trust, or UIT, is an investment company that offers a fixed portfolio of stocks, bonds, or other securities. UITs are designed to provide a specific investment strategy over a set term, after which the trust is typically dissolved.

    • How long does a UIT last?

      UITs have a defined term that can range from a few months to several years. At the end of the term, the UIT is terminated, and the assets are liquidated, with proceeds distributed to unit holders.

    • What is a UIT (Unit Investment Trust)?

      A Unit Investment Trust, or UIT, is an investment company that offers a fixed portfolio of stocks, bonds, or other securities. UITs are designed to provide a specific investment strategy over a set term.

    • Can I sell my UIT units before the term ends?

      Yes, UIT units can typically be sold before the trust's termination date. However, the price you receive will be based on the current market value, which can be more or less than the original purchase price.

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