A unit trust fund is a professionally managed investment scheme that pools investors money for a specific goal as declared by the investment objective of the scheme. It aims to match selected performance benchmark through interest income, dividend income and capital appreciation in the medium to long term by investing in a broadly diversified portfolio of shares, bonds and other relevant financial instruments.
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Friday, August 13, 2010

Risk & Time Horizon

The time horizon over which you will build up and hold your investment, a period likely to be determined by your age, play a significant part in how you allocate your  portfolio.  If you are in your 20s and 30s investing for retirement or put your child through higher  education, you should preferably invest in Equity Fund as your holding period will be 20 years or more. If you are nearing retirement, you should invest substantially in Bond Fund which gives a predictable return.

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