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Such a trust is used to buy shares of different companies and assets , where the money is collected at one place by the managers over time. It provides a mechanism to invest in multiple companies belonging to vivid sectors where one does not deal directly with money coming in or out, so the fee is less. Also, it eliminates the risks through diversification. Such trusts were found since the 1860s but there are structural variations in the investment types ( closed ended ) and the unit trusts ( open ended ).
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