Weigh up the merits of both Oeics and ITs

Closed-end funds and Oeics both have advantages, so it is sensible for investors to hold both types of vehicle in their portfolios to increase diversification and help manage risk

Investment trust or unit trust/Oeic, that is the question - and one which has been debated extensively by the financial services industry over many years. Both vehicles, closed-ended trusts and open-ended funds, offer many advantages, whether the ability to gear and the typically lower costs of investment trusts or the sheer choice offered by the open-ended funds industry. Either way advisers should weigh up the merits of both for inclusion in their clients' portfolios. Investment trusts, first launched in the 19th century, offered investors the first opportunity to pool their money togeth...