OEIC

An Open Ended Investment Company (OEIC pronounced oik) is a managed fund which invests in companies listed on the global stock exchanges. These investment vehicles are open ended because they simply issue more shares each time someone invests. Equally when someone withdraws their money the shares are simply cancelled. The price of the shares is largely determined by the underlying assets of the fund. All investor money is pooled and invested by the fund manager according to their specific strategy such as investing for income or growth and in small cap or large cap stocks. These can also be referred to as mutual funds.

This definition is for general information purposes only