UNIT TRUST INVESTING
A simple and easy way to grow, protect or earn an income from your savings by investing cash in a unit trust fund, in exchange for units.

The ownership of units means investors are able to invest in a portfolio of assets such as shares or bonds and pooled together in a fund. These assets are selected and managed by professional portfolio managers according to a defined fund objective. There are typically a large number of investors in each unit trust fund and each fund will vary significantly in size depending on the nature and attractiveness of the fund.

Buying, selling and pricing

Investors may buy or sell units in a fund at any time. It’s important to consider investment goals and time horizon before transacting.

 

The price of each unit is determined by the value of the assets within the fund at a point in time and an investor would expect the price to increase over time as the assets within the fund grow in value. All investments in a unit trust are valued at a set time every day and a unit price created. This is the daily unit price and any transactions for that day will be made at that price.

What do unit trusts offer you?

The main benefits of investing in a unit trust are as follows:
  • Professionally managed, no skill required: you don’t need to have skills and knowledge to buy and sell shares. Unit trusts are managed by professional portfolio managers on an investor’s behalf.
  • Easy and affordable to access: given the large number of investors in one fund, the minimum investment per investor can be as low as R500. Each fund will stipulate a minimum requirement.
  • Diversification: unit trusts mostly invest in a broad range of assets so an investor can gain exposure to a wide range of asset types in one fund and manage down the risk of investing in one asset.
  • Investment choice and investment opportunity: Investors can choose from a variety of fund types to meet their needs. Unit trusts may be designed to grow capital or return income or both.

Choosing a STANLIB Fund

STANLIB’s retail fund range focuses on the needs of our investors, providing sufficient choice without complexity. Whether you are growing your capital or drawing an income from your investment, STANLIB has a unit trust fund for you.