If you want to make the most from your investments a professionally managed fund may be a good choice to get diverse exposure to world stock and bond markets.
The value of investments and the income from them can go down and up, and you may not get back as much as you paid in. Tax benefits and liabilities depend on individual circumstances and may change in the future.
Past performance is not a guide to the future.
The table below highlights some of the differences between investment trusts and OEIC funds.
||Investment trust||OEIC fund|
|Legal structure||Public limited company||Investment company: hold shares of other companies purely for investment purposes. It invests money on behalf of its shareholders who in turn share in the profits and losses|
|Where based||UK /offshore||UK|
|Type of holding||Listed share – a share that is traded on a particular stock market||Unlisted share –a share that is not listed on a particular stock market|
|Pricing||Dealing prices are subject to a 'bid-offer spread'. This is the difference between the price at which shares can be sold and bought||Usually have a single price associated with the share whether buying or selling|
No initial charge.
Other costs may apply.
No initial charge.
No stamp duty.
|Annual account fee from 0 – 0.25% (min £2 / max £10 per month where charges apply)||No account fee|
|Gearing (borrowing) limits of fund||Level of gearing decided by board and portfolio manager and limited by company objectives||Usually don’t use gearing – see Key Investor Information Document (KIID) for more details|
Past performance is no guarantee of future performance, the value of investments and the income from them may fall as well as rise and you may not get back the original sum invested. Please always read the Key Features and Terms and Conditions together with either the Key Investor Information Document or Investment Trust Profiles, depending on the investment you decide to make.
*Please see the Key Features and Terms and Conditions for the J.P. Morgan ISA and Investment Account.