| gen. |
unit investment trust (Money invested in a portfolio whose composition is fixed for the life of the fund. Shares in a unit trust are called redeemable trust certificates, and they are sold at a premium above net asset value. The New York Times Financial Glossary. a regulated investment company consisting of professional managers who issue redeemable securities representing a portfolio of many different securities - you can invest in a unit investment trust for as little as $1000 • Syn: unit trust. WN3. an investment company that buys a fixed portfolio of securities and holds them for a specified period of time after which cash from their sale or maturity is distributed to shareholders. WTNI. In U.S. financial law, a unit investment trust (UIT) is an exchange-traded mutual fund offering a fixed (unmanaged) portfolio of securities having a definite life. Unlike open-end and closed-end investment companies, a UIT has no board of directors. A UIT is registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and is classified as an investment company. UITs are assembled by a sponsor and sold through Brokerage Firms to investors. For the UK fund types, see Unit trust and Investment trust. WK Alexander Demidov) |
