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Host Stuart Fieldhouse is joined on this podcast episode by Annabel Brodie-Smith of the Association of Investment Companies. Annabel explains the world of investment trusts for the complete beginner: what are investment trusts and why should you have them in your portfolio?\n\nWe discuss the relationship between investment funds and the managers who make the investment decisions, and the sorts of markets and strategies investors can access using these listed vehicles. Annabel explains how investment trusts are priced and how the discount / premium equation works.\xa0\n\nAlso on the podcast we look at why investment trusts own an advantage over open ended funds when it comes to illiquid assets like property and private equity, and why and how a trust board can fire its manager. We also briefly look at some of the excellent research tools available for investors on the AIC's own website\n\n00:00 What is an Investment Trust?\n02:38 How the board of directors and the fund manager interact\n05:18 What sorts of assets do trusts invest in?\n07:37 Who invest in trusts: retail investor, institutions and professionals\n08:46 ISA millionaires: putting investment trusts in ISAs and SIPPs\n09:50 Dividend Heroes: for income investors\n11:48 What are the Discount and the NAV?\n15:41 Accessing private equity and illiquid assets such as property\n17:44 Why are a few trusts restricted to "experienced" investors?\n20:55 How often do boards fire fund managers?\n22:54 Management fees\n24:21 Share buybacks\n25:35 Find out more on theaic.co.uk