Unitized Fund

What is a 'Unitized Fund'

A unitized fund is a fund structure that allows investors to pool assets while retaining individual net asset values for each participant and keeping track of historical fund records. Each investor in the fund is accounted for separately and has their own unit - their own class of shares of the portfolio's total assets.

BREAKING DOWN 'Unitized Fund'

This gives investors the benefits of pooling assets and gaining diversification that an individual investor might not otherwise be able to achieve, while keeping their assets separated from the rest of the portfolio. This system allows the fund to maintain and manage all of the portfolio holdings at the fund level, while maintaining fund prices at the different share-class levels.

This type of fund is a common structure for pension funds that may have just a few investors with large sums of money invested.

RELATED TERMS
  1. Pooled Funds

    Funds from many individual investors that are aggregated for ...
  2. Mutual Fund

    An investment vehicle that is made up of a pool of funds collected ...
  3. Investment Fund

    A supply of capital belonging to numerous investors that is used ...
  4. Asset Size

    The total market value of the securities in a mutual fund's portfolio. ...
  5. Asset Mix

    The classification of all assets within a fund or portfolio. ...
  6. Closed To New Accounts

    When an investment vehicle is no longer accepting new investors, ...
Related Articles
  1. ETFs & Mutual Funds

    Pooled Funds Minimize Risk and Reward

    Pooled funds combine money from many individuals to invest in vehicles like a mutual fund or a pension fund.
  2. ETFs & Mutual Funds

    CAIBX: Overview of American Funds Capital Income Builder

    Learn about the American Funds Capital Income Builder Fund, a world asset allocation fund from Capital Group that focuses on a high level of income.
  3. ETFs & Mutual Funds

    5 Characteristics of Strong Mutual Fund Shares

    Discover some of the basic characteristics shared by good mutual funds that investors can use to help them in selecting funds.
  4. ETFs & Mutual Funds

    The 4 Best American Funds for Growth Investors in 2016

    Discover four excellent growth funds from American Funds, one of the country's premier mutual fund families with a history of consistent returns.
  5. ETFs & Mutual Funds

    Top 5 American Funds for Retirement Diversification in 2016

    Discover five mutual funds from industry leader American Funds with high yields that are perfect for retirement savings diversification.
  6. ETFs & Mutual Funds

    The 5 Best American Funds

    Discover five of the best-performing mutual funds offered by American Funds, based on the funds' five-year average annualized returns.
  7. Investing

    Advising FAs: Explaining Mutual Funds to a Client

    More than 80 million people, or half of the households in America, invest in mutual funds. No matter what type of investor you are, there is bound to be a mutual fund that fits your style.
  8. ETFs & Mutual Funds

    AMECX: Overview of American Funds Income Fund of America

    Learn about the American Funds Income Fund of America, a moderate-allocation fund that focuses on safe income strategies while providing capital growth.
  9. ETFs & Mutual Funds

    3 Expensive Global Mutual Funds Worth Your While (NPFCX, MWEGX)

    Learn about three expensive global mutual funds that offer attractive features to investors. These funds have good historical performance results.
  10. ETFs & Mutual Funds

    Trading Mutual Funds For Beginners

    Learn about the basics of trading and investing in mutual funds. Understand how the fees charged by mutual funds can impact the performance of an investment.
RELATED FAQS
  1. Can I transfer Class A shares of one fund into Class A shares of another without ...

  2. Where does a hedge fund get its money?

    Learn how a hedge fund is structured and how the managing partner of the fund goes about the process of finding and soliciting ... Read Answer >>
  3. Why is it that when investors realize returns on a mutual fund, its price tends to ...

    Mutual funds have been in existence since 1924, when the first open-ended mutual fund was created. Since then, the market ... Read Answer >>
  4. How do I calculate the loan-to-value ratio using Excel?

    Learn what a mutual fund and a money market fund are, and understand the differences between each and how they serve various ... Read Answer >>
  5. What is a mutual fund's NAV?

    Net asset value (NAV) represents a fund's per share market value. This is the price at which investors buy ("bid price") ... Read Answer >>
  6. Can mutual funds only hold stocks?

    Learn about which types of mutual funds consist of only stocks, which may include stocks in addition to other assets and ... Read Answer >>
Hot Definitions
  1. AAA

    The highest possible rating assigned to the bonds of an issuer by credit rating agencies. An issuer that is rated AAA has ...
  2. GBP

    The abbreviation for the British pound sterling, the official currency of the United Kingdom, the British Overseas Territories ...
  3. Diversification

    A risk management technique that mixes a wide variety of investments within a portfolio. The rationale behind this technique ...
  4. European Union - EU

    A group of European countries that participates in the world economy as one economic unit and operates under one official ...
  5. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
  6. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
Trading Center