Investment trust 101: How revenue reserves work

Saving for a rainy day is an idiom we all know well. FundCalibre’s Sam Slator explains how investment trusts can also do this via revenue reserves.

See our other videos explaining gearing, discounts, the role of an independent board and how an investment trust actually works. You can also find out  more via our YouTube channel.

The views of the author and any people interviewed are their own and do not constitute financial advice. However the knowledge that professional analysts have analysed a fund or trust in depth before assigning them a rating can be a valuable additional filter for anyone looking to make their own decisions. Before you make any investment decision make sure you’re comfortable and fully understand the risks. If you invest in fund or trust make sure you know what specific risks they’re exposed to. Past performance is not a reliable guide to future returns. Remember all investments can fall in value as well as rise, so you could make a loss.