Glossary · Fund structure
Accumulation vs income units
Accumulation units reinvest the fund’s income automatically; income units pay it out as cash.
The choice does not change what the fund invests in. It changes where the income goes, and therefore what the unit price series looks like over time.
Accumulation units make total return easier to read from the price alone. Income units require adding distributions back to see the full picture.
For UK tax purposes income is taxable when it arises in both cases, even where it is reinvested rather than received.