Trait selection and co-existence in phytoplankton communities in partially mixed water columns is investigated using trait based modelling. In the models employed, trait selection results from phytoplankton competition for two limiting resources, light and nutrients. The study employs spatially resolved models, in which the phytoplankton community is represented as a large number of trait-groups characterized by fixed trait combinations (trade-offs). Results from the trait-group resolving model (RM) are compared to results from an aggregated trait based model with adaptive traits (AM). Differences in specific production resulting from a trade-off between the half saturation constants of light and nutrients are sufficient to support evolutionary stable co-existence confirming that co-existence does not require differences in resource consumption. If abiotic conditions lead to the selection of a single trait group in RM, AM provides excellent approximations of the development of total biomass, average community trait and trait variance in the phytoplankton community. However, if selection leads to bimodal trait distributions, e.g. to co-existence of two trait groups (or species), functionally important properties of the phytoplankton community cannot be adequately represented by the aggregated information provided by AM. Because the increase in variance due to the development of bimodal trait distributions cannot be distinguished from an increase in variance due to an increase in trait diversity, the development of trait variance in AM models is not a reliable measure of trait diversity. Furthermore, AM may not provide reliable simulations of trophic interactions if the performance of the consumers depends on the traits of their resources. However, AM may support exploration of the consequences of environmental conditions and of the parameterization of species for co-existence within communities.