Equity Unit Investment Trust
Definition of 'Equity Unit Investment Trust'
A registered trust in which investors purchase units from a fixed portfolio of equities, which are chosen and managed by a professional money manager. Securities in the trust remain there for the life of the trust, which is most often one year. At that point they can either be liquidated at market value or rolled over into a newer, current version of the trust.
Investopedia explains 'Equity Unit Investment Trust'
Because investors purchase units of the trust, this investment allows investors to diversify and participate in dividends and capital gains without purchasing a large number of the equities themselves.
There are also various types of equity trust products, allowing investors to choose an investment that closely matches their own risk tolerance and investment goals.