Unit Trust (UT) and Open Ended Investment Companies (OIEC)
These arrangements offer the investor the opportunity to hold a wide range of shares within a single arrangement which are managed on behalf of the investor - usually within a specific geographic or asset sector. Unit Trusts are open ended and usually arranged with a difference between the purchase and sale prices. Arrangements can benefit from an individuals annual capital gains allowance. It is also possible to access a wide range of different low cost funds and fund management groups within the umbrella of a fund supermarket. This provides the investor with the flexibility of a low cost switching facility and, where appropriate, allows the option of modifying holdings and fund managers without the necessity of selling funds.
