OEICs

OEIC stands for Open Ended Investment Company which is similar to a unit trust, a term which you may be more familiar with. By investing in an OEIC, smaller investors can join together to invest in a range of stocks they would not be able to afford alone. OEICs are also a good way of offsetting some of the risk involved in buying individual stocks and shares.

An OEIC pools your money with other investors to make one large fund. This fund is managed by a professional and experienced manager who will invest across a broad spread of investments in order to diversify the risk.