Please forward this error screen to 75. Please forward this error screen to 23. Do you want to advertise on this Website? Segregated Portfolios v Unit Trusts -Should SA Unit investment trust fund advantages and disadvantages follow the trend?
Global trends in the wealth management industry show that investors are increasingly moving away from unit trusts and into segregated share portfolios. This is according to a recent newsletter from the Institute of Practice Management which states that this is particularly evident in Australia, where a demand for transparency from clients has resulted in a move away from unit trusts as investments into that of segregated portfolios. Unit trusts are undoubtedly the premier investment vehicle in South Africa because of their ease of access. Entry levels are a factor and for smaller amounts unit trusts are definitely the solution. For larger amounts an excellent alternative to unit trusts is a segregated portfolio, in which the investor holds shares and other assets in their own name that are then managed by a portfolio manager. Segregated portfolios are not pooled with those of other investors and so the performance and expenses of your account are not affected by the activities of other investors in the pooled portfolio.