Using the Z-score to find the cheapest trusts

Is this a foolproof way of spotting bargains?
One of the key points to check when buying an investment trust is the discount or premium to net asset value (NAV). It always feels like a bargain if you can buy the shares for less than the underlying portfolio is worth, but it is important to dig a bit deeper. An investment trust trading at a discount such as 5% may look like good value, yet if the...

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These articles are provided by Shares magazine which is published by AJ Bell Media, a part of AJ Bell. Shares is not written by AJ Bell Youinvest.

Shares is provided for your general information and use and is not a personal recommendation to invest. It is not intended to be relied upon by you in making or not making any investment decisions. The investments referred to in these articles will not be suitable for all investors. If in doubt please seek appropriate independent financial advice.

Investors acting on the information in these articles do so at their own risk and AJ Bell Media and its staff do not accept liability for losses suffered by investors as a result of their investment decisions.

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The value of your investments can go down as well as up and you may get back less than you originally invested. We don't offer advice, so it's important you understand the risks, if you're unsure please consult a suitably qualified financial adviser. Tax treatment depends on your individual circumstances and rules may change. Past performance is not a guide to future performance and some investments need to be held for the long term.