Companies whose sole business is to manage the investments it owns. A somewhat misleading term used for historical reasons.... more on: Investment trusts
Investment Trusts are companies which invest in the shares of other companies. Like unit trusts, they are collective investments which pool together the money of many investors. This money is then invested in a portfolio (or wide range) of companies which will be more varied than the small investor could achieve on his own.
A form of Collective Investment Scheme. An investment trust is a public limited company which issues shares to raise funds and then invests the funds in specified securities. When investors wish to realise their investment, they have to sell the shares to other investors in the secondary market or wait for the investment trust to be wound up. This feature gives the investment trust the description of being ‘closed-ended’. Once the issue of shares has taken place, the size of the investment trust in terms of number of shares will not be changed. This is in contrast to Unit Trusts, which are open-ended. See also Open-Ended Investment Companies.
Companies quoted on the Stock Exchange whose business is managing a portfolio of shares in other UK and worldwide companies and seek the best returns for their investors.
Company quoted on the London Stock Exchange which has a fixed number of shares. The value of these shares is determined by supply and demand. The shares do not therefore normally reflect the value of its underlying assets and can be at a premium or discount on net asset value. Basically a trading investment company, it can borrow to provide gearing, can invest in a very wide range of securities, both listed and unlisted, and can hedge any currency risks.
a collective fund in the form of a listed company holding a portfolio of securities on behalf of its own shareholders. An investment trust and its shares are tradable in the same way as other companies and shares.
are not in fact trusts but "Investment Companies". Like UTs they invest in a variety of companies but like any other listed company are quoted on an exchange. ITs are closed ended meaning that there are a limited number of shares in existence. Their price is determined by supply and demand.
A type of Collective Investment Scheme, the main difference between this and a unit trust is that this type of fund can borrow money to by more stcks etc if it feels the opportunity is good
These are companies set up to buy shares in other companies. Anyone who buys shares in an IT is indirectly buying dozens or even hundreds of different shares. They can be bought through stockbrokers or direct from the IT managers themselves and most trusts accept both lump sums and regular monthly contributions.
A pubic limited company that is listed on the London Stock Exchange. It exists to invest in the equity of other companies with the aim of producing a return for its shareholders.
