Products & RisksCâu 23 / 125

A unit investment trust (UIT) is characterized by:

a.An actively managed portfolio and a board of directors
b.A perpetual life with continuous trading by managers
c.A fixed, generally unmanaged portfolio held until a set termination date
d.A guarantee of principal at maturity

Giải thích

A UIT holds a fixed portfolio of securities that is not actively traded and has a predetermined termination date. It has no board of directors or investment adviser making ongoing decisions, distinguishing it from managed open-end and closed-end companies under the Investment Company Act of 1940.

Trích dẫn luật: Investment Company Act of 1940

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