Investment Trust

An investment trust is a publicly listed company that pools capital from shareholders and invests it across a diversified portfolio of assets—typically equities, bonds, or real estate. Unlike open-ended mutual funds, investment trusts have a fixed number of shares that trade on a stock exchange, meaning investors buy and sell shares in the secondary market at prices that may differ (at a premium or discount) from the underlying Net Asset Value (NAV). In India, Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) share structural similarities with investment trusts, offering retail investors access to institutional-grade assets through listed units.