Let your money make more money - Part I

What is Unit Trust?

“A unit trust fund is a collective investment scheme, which pools the savings of investors with similar investment objectives in a special "trust" fund managed by professional fund managers. The pooled monies in the unit trust fund will then be invested in a diversified portfolio of securities and other assets in accordance with the unit trust fund's investment objectives and as permitted under the Securities Commission's (SC) Guidelines on Unit Trust Funds. 

The investment scheme of a unit trust fund can be illustrated as a tripartite relationship between the manager, the trustee and the unitholders. The manager is responsible for the management and operations of the unit trust fund whilst the trustee holds all the assets of the unit trust fund. The obligations and rights of each of the three parties are specified in the Deed, (a legal document entered into between the manager and the trustee, and registered with the SC). The Deed regulates the duties and responsibilities of the manager and the trustee with regard to the operations of the trust fund and protects the unitholders' interests.”

Okay, pretty long definition huh, but I hope you guys got the idea right there. Unit trust is a smart place to invest your money and the title of this entry explains the money making process. So, why wait until the rich get richer. Start invest now. How? Don't worry, I'm gonna show you the path. For more information, feel free to contact me.

Reference: CIMB Wealth Advisor