What are LICs and LITs?
Listed investment companies (LICs) and listed Investment trusts (LITs) provide exposure to a basket of underlying?securities, often shares, although increasingly there are funds providing exposure to other asset classes, such as fixed income.?
Investors’ cash is pooled in a managed fund and a professional investment manager selects the fund’s securities and invests it. Listed on ASX, you buy and sell shares in LICs and LITs through your broker.
Like any investment, LICs and LITs have risks you need to understand. You should seek independent advice from a professional adviser before investing.