Anonymous

05 May 2020

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General Investing

What is the difference between Unit trust and ETF?

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Discussion (6)

Aaron Leow

26 Apr 2020

You pay additional fees to unit trust for risk management as well as exposure to markets that are not given to a normal retail investor.

I would manage my expectations on outperformance for unit trusts. If you accept that outperformance over the long term is generally not achievable than it would be better to stick to an ETF.

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Colin Lim

25 Apr 2020

Financial Services Consultant at Colin Lim

Hope u already found the answer... I realise this question is so long ago.. And people repeat the answer and get points..

UTs can be actively managed and passively managed by 2 different schools of fund managers. UTs charges are relatively higher than ETFs because of this feature.

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Pang Zhe Liang

25 Apr 2020

Fee-Based Financial Advisory Manager at Financial Alliance Pte Ltd (IFA Firm)

Unit trust is actively managed by a professional fund manager. Generally, its objective may be to ou...

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