Albaraka Bank Unit Trust
Unit trusts offer an easy and a convenient way to invest. Simply put, a pool of investors’ money is used to invest in financial instruments such as equities (shares).
This pool is then divided into equal units where each unit contains the same proportion of assets in the fund. Investors then share in the fund’s gains, losses, income and expenses.
The wide variety of unit trusts means that they are an ideal way to build up a well-diversified investment portfolio tailored to meet your specific needs, risk profile and investment requirements.
What are the advantages of investing in unit trusts?
- Unit trusts offer you the flexibility to tailor a portfolio to suit your specific investment needs and time horizon.
- You can buy them directly or through a financial adviser.
- You can access the stock exchange without needing knowledge or experience of investing in equities.
- The ability to diversify (spread) your investment across markets, sectors and economies greatly reduces your investment risk.
- Money invested in unit trusts is easily accessible, especially in times of emergency.
- Unit trusts are tax-efficient, providing tax exemptions on income and capital gains tax.
- Unit trusts offer exciting capital growth opportunities over the medium to long term.
- Online transactional capability: you can buy, sell and switch units in your portfolio online.