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.