Safety in Numbers

Reducing the Risk of Acquiring Wealth

Safety in numbers - Reducing the risk of acquiring wealth

If you require your money to provide the potential for capital growth or income, or a combination of both, provided you are willing to accept an element of risk pooled investments could just be the solution you are looking for. A pooled investment allows you to invest in a large, professionally managed portfolio of assets with many other investors. As a result of this, the risk is reduced due to the wider spread of investments in the portfolio.

Various funds available are based on:

Income or growth needs, such as: -

 - Income funds providing high dividends

 - Capital growth funds

 - Balanced funds which aim to achieve a mix of both

Geographical allocation, such as:

 - UK funds

 - International or specific regional funds (e.g. Far East)

 - Specialist funds which invest in a specific type of company, such as a property or technology fund.

The main vehicles for pooled investments are:

 - Unit trusts

 - Open-ended investment companies (OEIC's)

 - Investment Trusts

 - Insurance Company Funds