Unit Trust

A Unit Trust is a form of collective investment scheme where investors pool their money, which is then managed by a professional fund manager and invested across a diversified portfolio of assets. Investors receive units proportional to their investment, and the value of each unit fluctuates with the portfolio's market value. In India, Unit Trusts operate under the mutual fund framework regulated by SEBI, with the Unit Trust of India (UTI) being one of the oldest and most recognised fund houses in the country. Unit trusts offer retail investors access to professional fund management, diversification, and liquidity.