Question

What planning would be required to ensure that you have effective control over the following financial instruments? units trusts?

Answer 1

To ensure effective control over unit trusts, planning is required in areas such as research, goal setting, diversification, and monitoring.

Step-by-step explanation:

To have effective control over unit trusts, planning is required in several areas:

1. Research: Researching different types of unit trusts, their performance history, and the investment strategies employed by the fund manager can help ensure effective control.
2. Goal Setting: Clearly defining investment goals and objectives can guide the selection and monitoring of unit trusts.
3. Diversification: Spreading investments across different types of unit trusts can help manage risk and maximize potential returns.
4. Monitoring: Regularly reviewing the performance of unit trusts and staying updated on market conditions can ensure effective control over these financial instruments.