On 29 August 2024, we’re closing the Scottish Equitable M&G Recovery fund, available as part of our insured Pension and Aegon Retirement Choices (ARC) fund ranges.
When the fund closes, we’ll move investors into the Scottish Equitable Artemis UK Special Situations fund unless they tell us to move it to a different fund before then.
We’re writing to all those affected to let them know about the closure.
Why we’re closing the fund
As part of our fund governance process, we regularly monitor and refine our fund ranges. The Scottish Equitable M&G Recovery fund hasn’t grown in size as we’d expected so we’ve decided to close the fund.
What this means for investors
Until the fund closes, investors can stay invested and carry on paying into it. Then, on 29 August 2024, we’ll move their investment and all future investment into the Scottish Equitable Artemis UK Special Situations fund, free of any switch charge.
There’s more information in the table below:
Closing fund |
Alternative fund |
|---|---|
Scottish Equitable M&G Recovery fund |
Scottish Equitable Artemis UK Special Situations fund |
Total Charge1 (for Pension investors) |
|
1.86% |
1.85% |
Fund Charge2 (for ARC investors) |
|
0.86% |
0.85% |
Scottish Equitable Artemis UK Special Situation fund objective |
|
The fund aims to provide capital growth over a five-year-period. It does so by investing between 80% to 100% in company shares and up to 20% in bonds, cash and near cash, other transferable securities, other funds (up to 10%) managed by Artemis and third-party funds, money market instruments, and derivatives. The fund invests in companies in the United Kingdom, including companies in other countries that are headquartered or have a significant part of their activities in the United Kingdom. The fund manager seeks companies that are in recovery, need re-financing or are suffering from investor indifference (‘special situations’). These companies often have the potential to deliver significant capital growth. The fund may use derivatives for efficient portfolio management purposes to reduce risk and manage the fund efficiently.
|
|
Source: Aegon UK
1This includes a standard 1% product charge, a fixed management fee and expenses that vary with the day-to-day costs of running the fund. Investors may pay a different product charge, in which case the Total Charge will be different.
2This is on top of any product or adviser charge and includes a fixed management fee, plus expenses that vary with the day-to-day costs of running the fund.
You can find more information about this fund in the fund factsheet on the ‘Fund prices and performance’ page of our website and viewing ‘Other fund ranges’ or ‘Aegon Retirement Choices (ARC)’.
There’s no guarantee the fund will meet its objectives. The value of an investment can fall as well as rise and is not guaranteed. Investors could get back less than they’ve paid in.
What current investors need to do
If current investors are happy for their investment to move to the alternative fund, they don’t need to do anything. However, if investors feel that this fund isn’t suitable for them, they can move their investment with no switch charge, into a different fund or funds by logging into their online account.
If you’re invested in this fund you should speak to your financial adviser, if you have one, about your options before making any decisions. If you don’t have a financial adviser, you can visit at moneyhelper.org.uk/choosing-a-financial-adviser to find the right one for you.