Split capital investment trusts
Hello,Everyone!
I don't know meaning of " Split capital investment trusts" in the following setences
Could you teach me?

For instance, if you are older you have less time to recover from any major losses, and you may well wish to boost your pension income. So preserving your capital and generating extra income are your main priorities. In this case, you'd probably construct a portfolio with some shares (but not high risk ones), along with gilts, cash deposits, and perhaps convertibles or the income shares of split capital investment trusts.

Thanks in advance : D

Question

Split capital investment trusts
Hello,Everyone! 
I don't know meaning of " Split capital investment trusts" in the following setences
Could you teach me?

For instance, if you are older you have less time to recover from any major losses, and you may well wish to boost your pension income. So preserving your capital and generating extra income are your main priorities. In this case, you'd probably construct a portfolio with some shares (but not high risk ones), along with gilts, cash deposits, and perhaps convertibles or the income shares of split capital investment trusts.

Thanks in advance : D

Answer

An income trust is a financial device that you put your saved money into to provide you with an income in your retirement.  They discuss the idea of investing in company shares as well as less risky income producing assets like bonds, convertible shares etc.  If you divided your investments into risky & less risky assets they are defining that as a split capital trust since you are splitting your money into different asset classes.

لا تفوّت فرصة تعلّم لغة جديدة وأنت مرتاح في منزلك. تصفّح مجموعتنا المختارة من مدرّسي اللغات ذوي الخبرة وسجّل في درسك الأول الآن!