A unit in the financial world is a combination of assets or types of assets packaged together and sold as one. For example, a shareholder buying one unit of company stock may get preferred shares, ordinary shares and even warrants in the unit. And a unit trust offers investors a way of investing in a portfolio of assets like stocks and bonds by buying units of the portfolio.
A second financial definition of unit is something that can be exchanged. So one pound is one unit of the British currency and one dollar is one unit of the US currency.
