They are many types of investment such as REIT, equity or stocks, and others. Apart from that, Unit Trust is a popular form of investment. In Malaysia, the history of Unit Trust dates back to 1959 when the first fund, Malayan Unit Trust Ltd was launched. The industry are now almost age 5 decades. Unit Trust also is a well preferred vehicle investment for Malaysians' savings to achieve their goals and retirement planning.
Unit Trust can be defined as a pool of investment from many individual or corporate investors with similar investment objective. The investment process of Unit Trust includes the Unitholders, Unit Trust Managers and Trustee. The fund of the Unit Trust will go into diversified portfolio investment which finally end with the Capital Gains and Distributions back to the Unitholder.
Unit Trust also mean an unincorporated mutual fund structure that allows funds to hold assets and pass profits through to the individual owners, rather than reinvesting them back into the fund. The investment fund is set up under a trust deed. The investor is effectively the beneficiary under the trust. The success of a unit trust depends on the expertise and experience of the management company. Common types of investments undertaken by unit trusts are property, securities, mortgages and cash equivalents.
In the U.K. the term "unit trust" is synonymous with "mutual fund" as it is used in North America.
More about Unit Trust Investment will be review later...
Is the Unit Trust investment suitable for Muslims? ( Coming Soon )
