Safeguarding your money at a time of low interest rates How do you generate a reliable income when interest rates are stuck at all-time lows and the Bank of Englands quantitative easing policy of printing money is squeezing yields on government bonds (gilts) and other investments? Investors today can still rely on a well-balanced portfolio […]

Utilising tax deferral benefits to minimise tax liabilities Finding the right offshore investments can be a key factor in making the most of your wealth, and itís not only for the wealthiest of investors. With a few well-advised decisions you could broaden your investment portfolio. If appropriate, offshore bonds may provide an opportunity for your […]

A tax-efficient wrapper for your fund choices Individual Savings Accounts (ISAs) were introduced in April 1999 by the Government to replace Personal Equity Plans (PEPs) and Tax Exempt Special Savings Accounts (TESSAs). During this current tax year you can shelter up to £11,520 from tax by investing in an ISA.

A range of funds for the medium- to long-term Investment bonds are designed to produce medium- to long-term capital growth, but can also be used to give you an income. They also include some life cover. There are other types of investment that have ëbondí in their name (such as guaranteed bonds, offshore bonds and […]

Reflecting popularity in the market An investment trust is a company with a set number of shares. Unlike an open-ended investment fund, an investment trust is closed ended. This means there are a set number of shares available, which will remain the same no matter how many investors there are. This can have an impact […]

Participating in a wider range of investments Unit trusts are collective investments that allow you to participate in a wider range of investments than can normally be achieved on your own with smaller sums of money. Pooling your money with others also reduces the risk.

Expanding and contracting in response to demand Open-Ended Investment Companies (OEICs) are stock market-quoted collective investment schemes. Like investment trusts and unit trusts they invest in a variety of assets to generate a return for investors. They share certain similarities with both investment trusts and unit trusts but there are also key differences.

Acting in the investorsí best interests at all times Open-ended investment funds are often called collective investment schemes and are run by fund management companies. There are many different types of fund. These include:

Investing in one or more asset classes Investing in funds provides a simple and effective method of diversification. Because your money is pooled together with that of other investors, each fund is large enough to diversify across hundreds and even thousands of individual companies and assets. A pooled (or collective) investment is a fund into […]

Active and passive investing Collective investment schemes can be actively or passively managed. Moreover, both investment strategies can be complementary to each other and are frequently used side by side by investors.