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Who determines the portfolio of unit trust investment?
Who determines the portfolio of unit trust investment?
What is the primary benefit of investing in a unit trust?
What is the primary benefit of investing in a unit trust?
What is the characteristic of a unit trust?
What is the characteristic of a unit trust?
What is the purpose of a bond fund?
What is the purpose of a bond fund?
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What is the advantage of investing in a bond fund?
What is the advantage of investing in a bond fund?
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Which of the following actions increases the overall risk level of your portfolio?
Which of the following actions increases the overall risk level of your portfolio?
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What is the difference between a unit trust and a bond fund?
What is the difference between a unit trust and a bond fund?
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What is the major factor that financiers will assess in determining whether to extend credits to an investor who wished to finance a unit trust investment scheme?
What is the major factor that financiers will assess in determining whether to extend credits to an investor who wished to finance a unit trust investment scheme?
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What is a characteristic of a unit trust investment?
What is a characteristic of a unit trust investment?
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What is the role of a fund manager in a unit trust?
What is the role of a fund manager in a unit trust?
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What is the potential consequence of investing in unit trust with borrowed money?
What is the potential consequence of investing in unit trust with borrowed money?
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What is the benefit of shifting investment from stocks to money market?
What is the benefit of shifting investment from stocks to money market?
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What is the primary consideration for an investor who wishes to finance a unit trust investment scheme with borrowed money?
What is the primary consideration for an investor who wishes to finance a unit trust investment scheme with borrowed money?
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What is the potential risk of investing in unit trust with borrowed money?
What is the potential risk of investing in unit trust with borrowed money?
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What is the primary benefit of shifting investment from stocks to bonds?
What is the primary benefit of shifting investment from stocks to bonds?
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What is the implication of changes in the base lending rate set by financiers on an investor who invested in unit trust with borrowed money?
What is the implication of changes in the base lending rate set by financiers on an investor who invested in unit trust with borrowed money?
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What is the effect on the client's savings if the initial service charge is reduced from 5% to 3% based on the selling price ex-distribution?
What is the effect on the client's savings if the initial service charge is reduced from 5% to 3% based on the selling price ex-distribution?
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What is the main characteristic of 'Liquid Assets' in the context of investment?
What is the main characteristic of 'Liquid Assets' in the context of investment?
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What information is NOT typically found in the prospectus of a unit trust fund?
What information is NOT typically found in the prospectus of a unit trust fund?
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What is the correct statement regarding the EPF members' withdrawal investment scheme?
What is the correct statement regarding the EPF members' withdrawal investment scheme?
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What is the purpose of a redemption or withdrawal fee charged by a unit trust scheme?
What is the purpose of a redemption or withdrawal fee charged by a unit trust scheme?
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What is the primary reason why a unit trust scheme would charge a redemption or withdrawal fee?
What is the primary reason why a unit trust scheme would charge a redemption or withdrawal fee?
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What is the main advantage of having liquid assets in an investment portfolio?
What is the main advantage of having liquid assets in an investment portfolio?
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What is the primary purpose of a prospectus in a unit trust fund?
What is the primary purpose of a prospectus in a unit trust fund?
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What is the total number of units received by Hasnah for her investment made in Fund A and Fund B respectively?
What is the total number of units received by Hasnah for her investment made in Fund A and Fund B respectively?
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How many units was the investor entitled for the investment made in the first year?
How many units was the investor entitled for the investment made in the first year?
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What is the total amount of money invested by the investor in the first and second year?
What is the total amount of money invested by the investor in the first and second year?
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What is the raw return of the investment made by the investor in the first year?
What is the raw return of the investment made by the investor in the first year?
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What is the NAV per unit cum-distribution of Fund B?
What is the NAV per unit cum-distribution of Fund B?
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What is the NAV per unit ex-distribution of Fund B?
What is the NAV per unit ex-distribution of Fund B?
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What is the total amount of distribution declared by Fund B?
What is the total amount of distribution declared by Fund B?
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What is the total amount of service charge charged by the manager of Fund B?
What is the total amount of service charge charged by the manager of Fund B?
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What is a characteristic of a real estate investment trust (REIT)?
What is a characteristic of a real estate investment trust (REIT)?
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What is not a valid statement about unit trusts?
What is not a valid statement about unit trusts?
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What is the main goal of observing professionalism in marketing unit trusts?
What is the main goal of observing professionalism in marketing unit trusts?
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What is a possible form of return on investment that an investor can expect from investing in unit trusts?
What is a possible form of return on investment that an investor can expect from investing in unit trusts?
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How long will it take for Cik Jamal's investment to double in value if it continues to earn a 9% annual return?
How long will it take for Cik Jamal's investment to double in value if it continues to earn a 9% annual return?
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What is a characteristic of listed REITs?
What is a characteristic of listed REITs?
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What is the main purpose of a unit trust?
What is the main purpose of a unit trust?
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What is a key benefit of investing in unit trusts?
What is a key benefit of investing in unit trusts?
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Study Notes
Unit Trust Investment
- A unit trust investment is a mechanism that allows investors with similar financial objectives to pool their money.
- The portfolio of unit trust investments is determined by the fund manager.
- Unit holders do not directly purchase the securities, and ownership of the fund is divided into units.
Characteristics of Unit Trust
- Liquid assets are assets that can be converted into cash or sold easily in the market place.
- A unit trust is a professionally managed investment scheme.
- The value of a unit will fluctuate in line with the changes in the net asset value of the unit trust.
- Investors are entitled to receive a unit trust certificate or statement for their investment.
Fees and Charges
- A redemption or withdrawal fee is charged by some unit trust management companies when unit holders wish to withdraw.
- Fees and charges include investment objectives, authorized investments, and trust expenses.
Investment Risks
- Shifting investments from stocks to bonds can increase the overall risk level of a portfolio.
- Investors who invest in unit trusts with borrowed money will only make profits if returns from their investment are higher than the cost of their borrowings.
Unit Trust Management
- The major factor that end-financiers will assess in determining whether to extend credits to an investor who wishes to finance a unit trust investment scheme is the creditworthiness of the investors.
- Investors who invested in unit trusts with borrowed money need to keep on investing until the loan is fully settled.
Real Estate Investment Trust (REITs)
- The income of REITs is mainly derived from the rental income and the capital appreciation of the property held by the unit trust.
Marketing of Unit Trust
- To enhance professionalism in marketing of unit trust, it is important to provide superior service to clients and attend to their needs.
- Unit trust certificates or statements are provided to investors for their investment.
Returns on Investment
- The possible forms of returns on investment that an investor can expect from investing in unit trust include dividends, capital appreciation, and interest.
- The total number of units received by an investor for their investment made in a unit trust fund can be calculated based on the investment amount and the unit price.
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Description
Quiz on unit trust investment, covering topics such as portfolio determination, unit holder roles, and investment mechanisms.
