Tuesday, April 22, 2008

Build a Diversified Investment Portfolio With Unit Trust Funds

Unit Trust funds offer an easy way to own shares in a variety of investments (stocks, bonds, etc.) without having to invest a lot of money at one time.

When you purchase shares of a Unit Trust fund, you're pooling your money with other investors and letting the Unit Trust fund (which is simply a professional money management company) invest and manage the money to help meet the fund's specified investment goal (e.g., growth, income or a combination of the two). This lets you quickly build a diversified portfolio with a low minimum investment.

Note: There is no guarantee the Unit Trust fund will meet its objectives.
When to Consider Investing in Unit Trust Funds
Because they are professionally managed and offer diversification with a small initial investment, mutual funds are suitable for most investors. In fact, because of their simplistic nature, they have become one of today's most popular investments.

Selecting One or More Unit Trust Funds
Selecting which mutual funds to invest in is far from easy. Various types of Unit Trust mutual funds are available in today's market, and each fund has a different investment goal and risk level. Finding mutual funds that are right for you means knowing your investment goals, risk tolerance and investing time frame. It also involves researching a wide range of funds so that you understand:
• The fund's investment objective and risks
• The fees, charges and expenses associated with the fund
• Which investments are included in the fund
• How the fund overlaps with or complements your other investments
• Its performance over time (although past performance is no guarantee of future results)

Investors should carefully consider the investment objectives, risks, changes and expenses of an investment company before investing. Your Financial Advisor can provide you with a prospectus containing this and other important information. Please read the prospectus carefully before investing or sending money.

Investing in Unit Trust funds involves risk. Your principal and investment return in a mutual fund will fluctuate in value. Your investment, when redeemed, may be worth more or less than the original cost.