Investment trusts: Why your perception of liquidity is probably wrong

Why your perception of investment trust liquidity is probably wrong

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Advisers precluding investment trusts on liquidity concerns might be surprised at just how many boast £100m+ market caps, writes Winterflood Business Services' Helen Oxley...

One of the key challenges facing the greater adoption of investment trusts is the perception of liquidity. While a significant amount of platforms, advisers and wealth managers have embraced the asset class in the post-RDR world, not all are converted. Liquidity concern is regularly cited as the reason why many have yet to widen their portfolio reach to include the sector. However, a new study suggests most investment trusts are showing improving levels of liquidity. It is important to first look at context when tackling the issue of liquidity in the investment trust sector - and whet...

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