Fund Basics

What do fund 'establishment' and 'termination' mean?

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For an investment trust, establishment means the asset manager entering into a trust agreement with a trust company and paying in the trust principal to create the fund; issuing more beneficiary certificates as investment money comes in is called additional establishment.

Termination means ending the investment trust, which happens when, for example, the trust agreement period expires or a beneficiaries' meeting resolves to terminate the fund. Part of a fund may also be terminated, for instance to meet investors' redemption requests.

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This answer is general financial information as of 14/10/2026, not investment advice. Rules and tax rates change, so please also check the latest guidance from the source institution.