A Unit Investment Trust Fund (UITF) is an open-ended pooled investment trust fund that is operated and administered by a trust entity such as Pru Life UK Investments. An open-ended investment means that the fund will continue to be managed with no predeﬁned term or termination date. It is up to the investor to determine how long to keep the funds invested.
However, some UITFs may have holding or lock-in periods and, such as being subject to pre-termination fees when redeemed. Denominated in Philippine peso or any acceptable currency, each UITF fund is governed by a Declaration of Trust (or Plan Rules) which contains the mechanics for investing, operating, and administering the fund. A team of professional portfolio managers then invest the fund in various deposits and securities. Individuals and institutions take part in the UITF by purchasing units of participation in the fund.