the trust's annual report. Generally speaking, you should avoid trusts that charge performance fees. Too often it leads to the manager getting very rich at your expense. For example, I've never heard of managers giving investors something back if they lose money. Finally, have a look to see if the charges are based on the NAV or the share price of the investment trust. If the share price is different to the NAV, this can make a difference to the fee that you pay. What does it invest in? As well as the charges, there are a number of other aspects of investment trusts to look at before you take the plunge. For a start, if you are going to pay a fund manager to look after your money, make sure they are actually doing something useful for you. Have a look at what they are investing in and how they invest. You can find this out by reading the trust's annual report or monthly factsheets. Both of these should be on the trust's website. Too many funds just try and mimic the stock market. For example, if a UK equity fund has big holdings in shares such as Shell, HSBC and Vodafone, you might be invested in something known as a 'closet tracker'. These funds are a waste of your money. You can buy an index-tracking fund with much the same holdings for a lot less. Is the manager any good? Sometimes fund managers are just lucky. But a