• What is an investment trust?
What is an Investment Trust

An investment trust is a public limited company (PLC) traded on the London Stock Exchange, so investors buy and sell from the market. It invests in other companies, seeking to generate profit for its shareholders.

Essentially, your money is pooled with contributions from many other people, and used to buy a portfolio of investments. Just like other types of investment funds.

But investment trusts are unique—after all, they’ve been around for over 150 years; that’s a lot longer than other investments—chosen and managed by an expert team, giving you access to a much wider and more diversified portfolio.

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  • So what makes investment trusts so unique?

  • What’s gearing?

  • What’s net asset value (NAV)?

  • How are investment trusts priced?

  • What are premiums and discounts?

  • What’s the difference between an investment trust and other types of funds?

  • What are subscription shares?

  • Is there a risk of volatility?

  • Are investment trust shares really that difficult to buy or sell?


Important information

The value of your investments may go down as well as up and you may not get back what you invest. Fidelity can give you information and guidance on products and services, but cannot give advice based on personal circumstances. If you're unsure of the suitability of an investment, please speak to a financial adviser.

As the trusts may invest overseas, the return may increase or decrease as a result of currency fluctuations.