Broad diversification keeps risk to a minimum
Broad diversification of risk is the cornerstone of a solid investment portfolio with an evenly balanced relationship between the expected return and the acceptable degree of risk. The risk is widely diversified and offers you better protection against poor performance by individual investments.
Benefit from a professional management approach
UBS Fund assets are managed by highly trained professionals with specialized expertise and UBS's state-of-the-art infrastructure at their service. They monitor trends in all financial markets and decide which securities to buy or sell for the fund.
Enjoy preferential terms as a private investor
Because of the large volume of assets managed, funds enjoy low transaction cost in the buying and selling of securities. The fund operates in the financial markets with the full weight of all the fund's assets behind it. As a result it benefits from favorable terms normally reserved for large investors. The benefits are ultimately passed on to you, the individual investor.
Small capital outlay - a great deal of flexibility
You can buy fund units for a small capital outlay and remain flexible.
Use of income
Many funds offer you the choice between paying out your income once a year directly to your account or continually reinvesting your income in the fund (distribution or reinvestment of income).
Unit classes with "-mdist" in their name may make monthly distributions. They may also make distributions out of capital (this may include inter alia realised and unrealised net gains/losses in net asset value) ("Capital"), at the discretion of the Manager, or pay distributions out of gross income while charging/ paying all or part of the Sub-Fund’s fees and expenses to/ out of the Capital of the Sub-Fund, resulting in an increase in distributable income for the payment of distributions by the Sub-Fund and therefore, the Sub-Fund may effectively pay distributions out of Capital. Payment of dividends out of Capital and/or effectively out of Capital may result in an immediate reduction in the Sub-Fund's net asset value per unit.
Save time and effort
Since all investment decisions and administrative work are handled by the fund management and custodian bank, you will find that you do not have to dedicate so much time to your investment planning upon purchasing units in an fund.
You can sell your units on any dealing day - which effectively allows you access to your investments when it is most convenient for you.
This document and its contents have not been reviewed by, delivered to or registered with any regulatory or other relevant authority in any jurisdiction. This document is for informational purposes and should not be construed as an offer or invitation to the public, direct or indirect, to buy or sell securities. This document is intended for limited distribution and only to the extent permitted under applicable laws in any jurisdiction. No representations are made with respect to the eligibility of any recipients of this document to acquire interests in securities under the laws of any jurisdiction.
Using, copying, redistributing or republishing any part of this document without prior written permission from UBS Asset Management is prohibited. Any statements made regarding investment performance objectives, risk and/or return targets shall not constitute a representation or warranty that such objectives or expectations will be achieved or risks are fully disclosed. The information and opinions contained in this document is based upon information obtained from sources believed to be reliable and in good faith but no responsibility is accepted for any misrepresentation, errors or omissions. All such information and opinions are subject to change without notice. A number of comments in this document are based on current expectations and are considered “forward-looking statements”. Actual future results may prove to be different from expectations and any unforeseen risk or event may arise in the future. The opinions expressed are a reflection of UBS Asset Management’s judgment at the time this document is compiled and any obligation to update or alter forward-looking statements as a result of new information, future events, or otherwise is disclaimed.
You are advised to exercise caution in relation to this document. The information in this document does not constitute advice and does not take into consideration your investment objectives, legal, financial or tax situation or particular needs in any other respect. Investors should be aware that past performance of investment is not necessarily indicative of future performance. Potential for profit is accompanied by possibility of loss. If you are in any doubt about any of the contents of this document, you should obtain independent professional advice.
Source for all data and charts (if not indicated otherwise): UBS Asset Management.
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