Collective Investment Schemes
Collective Investment Schemes (CIS) is the collective way of describing pooled investments such as unit trusts and Open-Ended Investment Companies (OEICs).
Unit trusts and OEICs are ways for investors to gain access to a diversified portfolio of investments which they may not otherwise find efficient to do so.
Both work in a similar way but have different structures. With a unit trust the investor buys units in the fund whereas an OEIC is established as a company and the investor buys shares in the company. Since being introduced in 1996, OEICs have become the most common way of investing in collectives for mainstream UK investors, with Unit Trusts now far less common.
Find out more about Collective Investments, including their tax treatment and who can invest, in our fact sheet.
If you have any further questions, please get in touch with a member of our team.
Information correct as of May 2021.