Woodford Woes Boost Case for Investment Trusts

The suspension of the Woodford Equity Income fund has been a stark reminder to investors of just why investment trusts have historically been the go-to vehicle for accessing illiquid assets. Regardless of sentiment, performance or how many investors want their money back, an investment trust will not be forced into a fire-sale of its assets or to shut its doors and suspend trading. One of the fundamental differences between an open-ended fund and a closed-end fund (also known as an investment trust or investment company) is the way you invest.