Is it possible to purchase unit trusts on this website? I havent seen the option anywhere? I am wondering why not though surely it would bring a lot more people, the risk averse people, to the online site. I know SBK and Stanlib work closely so why not enable all the current and possibly many more users the opportunity of investing in unit trusts, they have every other instrument available???
unit trust are not lower risk... first you lose money upfront to cost then there is some upstart who trades away your cash and charges a huge fee for doing so. Then you have the risk of having to chose a fund and fund manager who is going to outperform out of a pool of thousands, then there is the simple fact that they are going to do exactly what you can do, but with their interests above your own.. would you like me to carry on?
Unit trusts do have charges and often do not outperform the alsi40, but they are cheap to switch within the MANCO (management company). So to switch from Standard Bank value to Standard Bank alsi40, for example, costs virtualy nothing.