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For years investors have used unit trusts to diversify risk while aiming for capital growth. The cos...

For years investors have used unit trusts to diversify risk while aiming for capital growth. The cost, until recently though, has been high. Some unit trusts now offer discounted initial charges direct to the public but the argument for investing in unit trusts is being assailed by cheaper, equally diversified and more flexible direct stock market investments through IShares. Unit trusts are usually bought because they offer a wide diversified range of funds, sectors and countries, and professional management. There are, however, downsides to investing in unit trusts. The initial charges c...