217) Benefits of Investing in Unit Trusts
Have you wondered what are the benefits of investing in Unit Trusts?
Here are 20 Benefits for your consideration.1) Easy and low investment amount to start.
You can start to invest with a small amount. Most funds can start with a minimum of $1000 or even lower.
2) Can grow slowly and consistently, even with small amounts.
You can grow your investments with small amounts or larger amounts. Remember to grow it consistently to achieve bigger amount in the long term.
3) Just Invest and wait for the assets to grow
As the funds are managed by professionals, you can just invest and wait until your financial goals are achieved.
4) Investment Goals
These are a list of common goals you can plan for:
a) Dream home
b) Children Education fund
c) Comfortable Retirement
In fact, all other financial Goals
5) Easy documentation and fast process
The investment process is easy and fast. No complicated legal documentations from banks and lawyers.
6) Can instruct your Bank to do Direct Debit Instruction (DDI).
You can sign up for DDI for monthly investment deductions. Be systematic and no need to remember to top up on monthly basis.
7) Not compulsory to invest regularly. It is your choice to add more if wish to.
Increase your investments when you have more money. There are no commitments, late payment charges or penalties for non payments.
8) More easy and relaxed. No need constant monitoring.
As your investment are for longer term, no need for regular and constant monitoring of the investment performance.
9) No worry investment type:
No Flood and Fire damage.
No Maintenance fees & Repair costs.
No Robbery and Theft problems.
No Regular monitoring required.
No Regular monitoring required.
10) Can Diversify into many Countries and Regions
You can diversify your investments into different countries or regions. Diversification reduces your investments risks.
11) Diversify into different asset classes - Equity, Bond and Money Market.
You can easily diversify into other asset classes to reduce risks further. Equity are into stock market. Bonds are fixed income investments. Money market are placements into Financial institutions to earn interest.
12) Easy Switching between different Funds
You can easily switch into different funds according to your risk tolerance and market conditions.
13) Investments have a more balanced Risk and Return
As the funds are diversified, you have a more balanced risk and returns.
14) Regulated by Securities Commission with CMSA 2007
Unit trusts investments are regulated by Securities Commission and must comply to the Capital Market and Services Act 2007.
15) Fund Managers monitor and manage the daily investment operations
The unit trust funds are managed by professional fund managers. The fund operations are managed by the UTMC.
16) Easy & Convenient to check updates via online.
You can check your investment status via online. You can also do certain transactions online.
17) Relatively easy and fast to withdraw funds. Flexible. Anytime, anywhere.
It is also easy get back your money. As it can be done online, you can do withdrawals anytime from anywhere with internet connection.
18) Can do partial withdrawal for Emergency.
If there is an emergency and you need some money, you can do partial withdrawal of the amount you need. No need to sell everything.
19) Easy to Divide and Distribute Unit Trust assets
It is easy to divide and distribute your Unit Trusts investments. It is much easier if compared to a real property.
20) Capital Gain and Distribution Income are Tax Free
All capital gain you made from investments are non taxable. Any distribution received is also tax free.
There are more BENEFITS not listed above.
Contact your Unit Trust Consultants to know more.
Know more of how UTC help investors from this video
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