Why you should make unit trusts your #1 investment choice

Although Unit Trusts have been around for a long time, they remain a mystery
many people.

They are an Investment Fund Portfolio managed by Specialists to help you
meet future financial/investment objectives.
The big difference between unit trust investments and bank deposits is that
the bank’s yields are usually average and they must have a Resident
Withholding tax deducted which is in effect double taxation like money
originally invested was paid for with after-tax dollars.
Average profitability and double taxation, can you do better?
If you can.

As a Unit Trust Investor, you have access to dynamic markets
generally only available to large financial institutions or companies,
Where the returns have far exceeded any long-term bank investment.
You can access the growth areas of Investments in New Zealand or abroad
through Unit Trusts, investing in property, stocks and emerging markets.
You can become a Unit Trust Investor by contributing monthly, semi-annually,
annually or through a single lump sum investment.

Of course, you can increase your contributions, and you should do so when you can.
A combination of regular contributions plus lump sum investments will build
your investment fast and your regular contributions will buy more
units for you and allow you the average cost in dollars, this means that you buy
Units at different times and thus take advantage of unit price
fluctuation.

As a Unit Trust Investor, you can select investments that follow your Risk
Profile. All types of investors can be catered for. Your investment can be
for Capital Growth, Income Growth or a Mix of both.

What types of investments are available in a typical investment trust:

1) Cash, including investments traded in short-term money markets.
(This is a typical bank term investment type investment.)

2) Fixed interest, usually longer-term money market investments such as
Government Actions and Investments by Local Authorities.

3) Property, usually commercial, industrial, retail, rural, and sometimes
Residential.

4) Shares or Equity. New Zealand or foreign stocks. access to
major markets in North America, Europe, Asia and emerging markets.

Ownership of a Unit Trust can be as an individual, couple, Company or
a trust.

You have easy access to how your investments are progressing as unit prices
are shown under Periodic and Fund Returns are also shown under Company
websites

Many Funds pay distributions or Dividends that can be accessed as Income
or let grow to build your investment fund faster.

This is the first in a series of articles that I am writing to give you
unbiased investment information.