Investment trusts to take starring role

Perhaps the key reason why investment trusts make a good choice for retirement planning purposes is their closed-ended structure. Investment trusts have a fixed number of shares in issue, so they do not create or cancel shares whenever demand rises or falls, as is the case with open-ended funds such as OEICs and unit trusts. Instead, investment trust share capital is restricted to the initial offering (and any subsequent capital raisings or share buybacks), with shares then traded on the London Stock Exchange. One of the advantages of this closed-ended structure is that investment trust ...