Additional Funds Flashcards
1
Q
ETFs
A
Exchange Traded Funds
FCA Regulated
Open - Ended
No Stamp duty
2
Q
Problems of Unit Trusts + Investment Trusts
A
Unit Trusts - No secondary trading
Investment Trusts - Lack of Regulation
3
Q
ETFS Trade location
A
extraMARK on LSE
4
Q
ETFs trade
A
Near its Net asset value
Open ended
5
Q
Hedge Funds
A
Fund not permitted to be marketed to retail
Unregulated
Often based offshore
6
Q
Investment risk with Hedge Fund
A
Greater risk than retail funds
Larger positions
Use of derivatives
Little supervision
Liquidity - typical lock in period
7
Q
Private Equity
A
Medium to long term finance
return for equity stake in growth company
e.g. dragons den
8
Q
Alternative Investments
A
Outside main stream
Specialist knowledge
chattels
Fine art
Antiques
Fine wines
