Unit Trust Basics

Capital guaranteed funds

For the conservative investor.

This type of funds usually requires you to invest for a period of 3 or 5 years. At the end of the period, your capital is guaranteed.

Capital guaranteed fund is a hybrid fund consisting of bonds which will “grow” to 100% of your capital upon maturity and a small portion in equities to give the fund the “profit”. Unless the bonds issuer defaults, the capital is sure to be preserved.