According to data compiled by the Investment Company Institute (ICI), deposits to equity trusts totaled $1.06 billion in July, compared with $722.9 million in June 2002.
Tax-free bond trusts issued shares in July with deposits of $160 million, compared with $140.3 million a month previously. Shares issued in July by taxable bond trusts reached $77.2 million, compared with $60.6 million in June 2002.
There were 82 new trusts issuing shares in July including 54 equity trusts, 25 tax-free bond trusts, and three taxable bond trusts.
In terms of maturity, long-term bond trusts having an average weighted maturity of more than 15 years were the most commonly offered in July, with $201.8 million in shareholder deposits.
Unit investment trusts, or UITs, are investment companies that purchase fixed portfolios of selected stocks or bonds, and hold them through a stated termination date.
Units in the trust are sold to investors, who receive a share of principal and interest, or dividends depending on the underlying investments. Fixed income UITs pay monthly income in contrast to bonds that only pay income semiannually or annually.