We’ve closed the Absolute Return Select Portfolio and Absolute Return (ex-Cautious) Select Portfolio07 September 2015 Back to results
On 10 June 2015, we closed the Absolute Return Select Portfolio and Absolute Return (ex-Cautious) Select Portfolio and transferred all current investors into the Aegon Stability fund.
We’ve written to those affected in advance to tell them about these closures.
Why have we closed these funds?
We constantly monitor and refine the funds that we offer. In doing so, we’ve focused on reducing costs across our existing fund range and where appropriate we’re making changes.
As a result, we decided to close the Absolute Return Select Portfolio and Absolute Return (ex-Cautious) Select Portfolio, and move customers into a similar but lower-cost alternative fund, the Aegon Stability fund.
Why the Aegon Stability fund?
We carefully selected the Aegon Stability fund as an alternative because we believe it to be the most comparable, in terms of what the fund aims to do, within our range.
The Absolute Return Select Portfolio aims to provide positive returns over the medium to long-term, above what would be expected from cash deposits.
The Aegon Stability fund aims deliver a better return than you’d achieve from a bank deposit account over three to five years even if markets go down in value.
The additional disclosable yearly charges (fund expenses) have also reduced for investors from 1.40% to 0.87%.
How does this affect investors?
The two funds are now closed.
New investors will not be able to invest in them and no new contributions from existing investors can be made into the funds.
For existing investors, we automatically transferred their existing investment in the Absolute Return Select Portfolio and Absolute Return (ex-Cautious) Select Portfolio into the Aegon Stability fund on 10 June 2015.
We also wrote to investors in advance of the closure to give them the option to transfer into another fund of their choice if they wanted to.