If you want to invest in tracker funds, you have two options available to you. You can invest in exchange traded funds (ETFs) or you can invest in passively managed unit trusts.
So which is the best option for you?
Read on to find out more…
The differences between ETFs and unit trusts
There are a lot of similarities between ETFs and unit trusts.
Both these types... ››› more
With the pressure heavily on fund managers to perform, there appears to be a growing trend in closet indexing. Closet indexing is when an actively managed unit trust fund starts to replicate its benchmark index. The result is you're paying more for a performance you could have got from investing in a tracker fund. Let's take a closer look at what's going on and what you can do about it…
The e... ››› more
If you want to invest in unit trusts, you can either opt for an active fund or a passive fund. Active funds generally have higher fees, but with that comes the promise of better performance. Passive funds aim to track the performance of the market. Their fees are lower than active funds. Even though active funds promise better performance that comes with higher fees. So passive funds can be a good... ››› more
If you want to invest in a passive fund that tracks an index, there are a few things that you need to bear in mind before you jump in. Not all indexes are as they seem. Read on to find out what you need to look for…
Investing in an exchange traded fund (ETF) or another type of passive fund that tracks an index might not be as straight forward as it first appears.
You need to make sure you u... ››› more
Investing in passive funds does have its advantages. But, there are a few things you need to watch out for. Read on to find out what you need to be aware of with passive funds…
Passive funds track the underlying market, Phil Oakley explains in MoneyWeek.
To invest in passive funds you can either invest through a tracker fund or an exchange traded fund (ETF).
Passive funds offer you a che... ››› more
When it comes to investing in funds, you'll be much better off with ‘passive' funds than ‘active' funds. Exchange traded funds (ETFs) are passive funds. Let's have a closer look at how ETFs work…
Passive funds can work out a better option than active funds, Phil Oakley explains in MoneyWeek.
Passive funds give you the same performance as the market. Active funds try to beat it, but usua... ››› more
If you want to invest in a passive fund (a fund that tracks the market), then you can think about tracker funds. But what exactly is a tracker fund? Read on to find out more about tracker funds…
Passive funds track the underlying market. And one way to invest in a passive fund is through a tracker fund, Phil Oakley explains in MoneyWeek.
These tracker funds track an index, like the JSE Top ... ››› more
The biggest problem with active unit trust funds is not necessarily that fund managers are bad at investing on the whole. Some studies suggest that overall, fund managers are better than most people at picking stocks (as you'd have hoped!). Read on to find out the biggest problem with active funds…
Before we go any further, let’s define a unit trust fund…
A unit trust fund is simply whe... ››› more
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