The first thing that you need to establish from the beginning is what your investment objective is, once you have established that, you can go through a process of elimination to determine what the best Investment Product or Investment Vehicle will be for you to achieve your investment objective. Once you have determined what vehicle you will be using, you can then determine what sort of risk tolerance you are willing to take off with the underlying unit trust. The longer your investment time horizon (interment period), the higher the amount of risk you can afford to take. How do you choose the right products that meet your needs? In some cases you might have more than one product that might meet your needs, so you will then look into what your personal p
So what is an investment product? We have chatted in depth about unit trusts, so I am hoping that by now you are more confident in your understanding of them. So let’s start chatting about the different investment vehicles or investment products that you can use to buy into different unit trusts. Every investment vehicle or product has been designed for a very specific purpose or goal. The underlying unit trust will be the same, but will be governed differently according to the investment product rules. What do the product rules define? The rules of each investment product will determine how that specific investment vehicle is allowed to operate. For example, the rules can determine the contributions that you’re allowed to make to the investment product. Another on the
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