Collective Investments

Collective investments, also known as pooled investments, are when lots of different people put in differing amounts or money into a fund.  A fund manager will then invest this in one or more asset classes. 

There are a few types of collective investments, but the three main ones are, pension or life investment funds, Investment trusts and open-ended or Unit Trust funds.

Main benefits of a collective investment are:-

• Spreading your risk
• Professional expertise
• Less administration
• More choice
• Reduced dealing costs