A new start

Article Abstract:

The British unit trust industry has been affected by a reorganization, and a new sector has emerged, that of global growth. The sector is still small in terms of assets, and returns have been lower than for trusts focusing on the US and Britain in the 2 years to end Jun 1999. Diversification means that this sector is less volatile than average. Asset allocation is a key factor affecting the performance of these trusts. Global growth trusts tend to offer a steady performance which is usually attractive for investors over three to five years.

author: Smith, Dave

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Or overvalued?

Article Abstract:

Investment trusts at a premium have proved attractive to investors, but this could change with changes in fashion, and there is a danger of capital loss. Such trusts are also expensive. Trusts may be at a premium due to fashion, strong past performance, or for unique reasons. One trust seen as offering good opportunities is 3i's very large trust, which has strong management skills and a global reach. Marketing campaigns can also have an impact on a trust's stock price.

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Split decision

Article Abstract:

The opportunities offered by split capital trusts as an investment vehicle are examined in detail.

author: Thitchener, Philip

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subjects list: Analysis, Portfolio management, Investment companies
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