What is Unit Trust?
A unit trust is a type of investment that combines your money with the money of other investors who have similar investment objectives.
You can invest anything from 3 to 7 years, depending on your needs. It gives you easy and affordable access to financial markets to grow or protect your money.
Unit Trust Prices In South Africa
Which unit trust is the best in South Africa?
Top 6 unit trusts in South Africa
- Stout Stanlib Global Equity Fund – 19.5%
- Stanlib Global Equity Feeder Fund – 19.3%
- SFL Stanlib Multi-Manager Global Equity Fund A – 19.2%
- Ninety-One Global Franchise Feeder Fund – 18.9%
- AF Investments Global Equity Feeder Fund – 18.8%
- GinsGlobal Equity Index Fund – 18.7%
Are unit trusts risky?
As unit trusts invest in companies listed on the stock market, the key risk is that the value of your investment could drop if share prices fall.
Over time you would hope that your investment can recover and grow, but performance is not guaranteed.
Do unit trusts pay income?
The income from unit trusts and OEICs is always taxable regardless of the share class or whether the income is actually taken or reinvested.
However, it may be tax-free if it falls within one of the allowances (dividend allowance or starting rate for savings/personal savings allowance).
Is it good to invest in a unit trust?
You have a small amount of money, but there are so many potential things that can be profited from your investment.
Well, unit trust can help you diversify your investment portfolio. Diversification will help you to reduce your investment risk.
How long should I hold unit trust?
Being prepared to hold on to their unit trust investment for at least five years or more enables their funds to reap reasonable returns as the companies invested by the funds have sufficient time to grow their profits.