Michael Murray: When choosing between an investment trust and a unit trust, consider liquidity and panic selling

Not everyone wants to pick their own individual shares. There are many reasons for this, ranging from a lack of confidence in their own ability to the administrative burden which can be formidable.

Deterrents include claiming back withholding tax on foreign shares, keeping track of quarterly dividend payments in the case of US shares, and the tedium of having to keep track of a multitude of different investments for both income and capital ...