In previous posts we explained to you  what an investment fund is and what are its main features.

We’ll talk now about the three stakeholders involved in an investment fund:

1. The fund’s unitholders.

Just as a company has shareholders, an investment fund has unitholders. A unitholder is an individual or legal entity that makes a payment into a fund by purchasing a unit in that fund. By doing so the unitholder becomes an investor and an owner of the fund.

2. The fund management company.

The fund manager is responsible for managing and administering the investment fund and decides where to invest the fund’s assets. Each investment fund is managed by a single manager, although a manager can manage more than one investment fund. Management companies charge a fee for managing and administering the fund. They are required to report periodically on their managed funds to the stock market regulators in their country of origin.

3. The fund depositary. 

It is responsible for ensuring the custody and safeguarding of the assets that make up the fund. The depositary can be a bank, a savings bank, a securities company or any other financial institution authorised for that purpose. The depositary charges a custody fee to the investment fund.

Do not miss our videos about the stock market in our YouTube channel.  And keep in mind that at MoraBanc we offer a wide range of investment options. Contact your account manager to find out which of them best meet your investment profile or call us on +376 884 884.