VT Garraway Absolute Equity fund suspension update


Aegon Retirement Choices (ARC) and Aegon Platform update

In July, the VT Garraway Absolute Equity fund suspended trading with an intention to close at a later date. The closure required Financial Conduct Authority (FCA) approval and trading in the fund was suspended until this happened.

The fund manager, Garraway Capital Management LLP (in agreement with Valu-Trac Investment Management), has now confirmed that approval to close has been granted. However, the fund remains suspended and investors will not be able to buy, sell or transfer units.

This fund is an Open Ended Investment Company (OEIC) offered across our Aegon Retirement Choices (ARC) and Aegon Platforms.

What this means for existing investors

Some underlying investments in the fund have been sold and Valu-Trac Investment Management (Valu-Trac) has returned cash proceeds* equal to approximately 50% of any investment held. We’ll let existing investors know when we receive confirmation from Valu-Trac regarding the final closure.

For existing investors, the number of units held in the fund has not changed, but the value of any holding has reduced by approximately 50% to reflect the cash proceeds that have been paid out. All proceeds will be added to an existing investor’s cash facility and will remain in there unless they give us a clear instruction to invest into an alternative fund or funds.

Valu-Trac estimate that full closure fund may take up to a further 12 months. Valu-Trac, Garraway Capital Management LLP and Bank of New York Mellon International Limited (the fund’s depository) will all waive their fees until the fund closes.

The time period for the full closure cannot be guaranteed as some of the assets held by the fund can’t be sold easily or in a controlled manner. The fund manager is seeking to close the fund in a controlled manner which they believe is in the best interests of remaining investors.

* Investors in a General Investment Account (GIA) may need to consider how this payment affects any Capital Gains Tax calculation.

Find out more

We recognise that this may be a concern for you so if you have any questions regarding how the above affects your portfolio, you should contact your financial adviser in the first instance.

Alternatively, for Aegon Retirement Choices (ARC) investors please contact us at clientservices@aegon-arc.co.uk or call us on 0345 680 1234.

For Aegon Platform investors, please contact us at aegoncofundsadministration@aegon.co.uk or call us on 0345 604 4001.

Please be aware that we do not offer investment advice.