Unit Trust Investment at Colombo Stock Exchange


UNIT TRUST INVESTMENTSimply buy or sell you share under fluctuating market and some times most of random judgment may get wrong. So you may get disappointed from losses. If you need to get good profit without following rumors sometimes investor gets confused and annoyed experience in share market investment. You need to do decide, what are the shares good buy at current market? What are the shares need to sell? .And you need to decide, you need to get financial analysis by yourself to identify potential shares to buy and sell. To do this analysis get lot of time and it’s really a brain work. Its really hard work to analysis the stocks and predicts it benefits in changing economical world.

 
All the analysis you done get totally change due to Sri Lanka politics and economy. Sometimes it also affected by world economy and international politics. To have a good investment decision you need accurate fresh information’s and the ability to understand it. People who live far away from Colombo and the people who have lack of English knowledge can be a major obstacle does this analysis. So people may get disappointed from Colombo Stock Exchange and get away from it. If you have these kind of mentioned problem associated, you have another alternative investment method to invest your additional money. Name of that alternative is Unit Trust.

 
The unit trust is issued by separate companies. The basic idea behind unit trust is , The company who offers unit truest collect investors money and invest their money on Company shares, Government bills, debentures and other investment based on financial and scientific analysis and give the best return to the investor for the investment which they made on their units. Unit Trust companies got the professionals who got good talent and experience in finance and investment. They do analysis and find out what is the best investment strategy for your investment. There are so many advantage of investing money on this unit trust. Some of them are like,

 
• You Invest you money who governed by processionals who are special in investments
• Unit trust is having good liqudification qualities.
• You can get dividance from you Unit apart from capital gain.
• You can easily hand over your unit to your relatives.
• Profit you take after selling unit release from capital tax

 
Unit trust investment business in Sri Lanka started at 1992. Sometimes the return from unit trust gets higher than share market investment. The risk associate with Share market is also gets affected to this unit trust investment and there is also a significant risk associate with this investment to. Unit trust investment is less risky than investing directly on Colombo stock exchange. However I need to remember one thing High risk High return and low risk low return. I am plan to give more details on Unit Trust investments which normally known as mutual funds in my future posts.