On 8 January 2024, we’re closing three Aegon Invesco funds available as part of our Aegon TargetPlan fund range.
To prepare for this, on 28 December 2023, we’re switching current investors into the alternative funds below, unless they tell us to move them elsewhere before then.
We’re writing to those affected to let them know about the closures.
- Investors in the Aegon Invesco Global Targeted Returns (BLK) fund will move to the Aegon Blackrock Dynamic Diversified Growth (BLK) fund.
- Investors in the Aegon Invesco Pensions Global Equity (BLK) fund will move to the Aegon Blackrock 50/50 Global Growth (BLK) fund.
- Investors in the Aegon Invesco Pensions Managed (BLK) fund will move to the Aegon Blackrock Managed Portfolio (BLK) fund
Why the funds are closing
The underlying fund manager, Invesco, has decided to close the underlying funds on 22 January 2024 so we’re closing our version of the funds.
We’ve chosen these funds as we believe they’re broadly similar in terms of where they invest and what they aim to do. Further details, including the new fund objectives, can be found in the tables below. The fund objective explains how the fund invests and what it’s trying to achieve for investors.
Closing fund |
Alternative fund |
Aegon Invesco Global Targeted Returns (BLK) fund |
Aegon Blackrock Dynamic Diversified Growth (BLK) fund |
Old Additional Expenses¹ |
New Additional Expenses¹ |
0.00% |
0.04% |
Aegon Blackrock Dynamic Diversified Growth (BLK) fund objective |
|
The fund aims to provide a return on your investment (generated through an increase in the value of the assets held by the fund) over the medium term (3 consecutive years), which exceeds the Bank of England’s Base Interest Rate by 3.5% (before charges). The fund invests on a global basis at least 80% of its total assets in fixed income securities (such as bonds), money-market instruments (e.g. debt securities with short-term maturities), equity securities (e.g. shares), funds, deposits and cash. |
|
Source: Aegon UK
Closing fund |
Alternative fund |
Aegon Invesco Pensions Global Equity (BLK) fund |
Aegon Blackrock 50/50 Global Growth (BLK) fund |
Old Additional Expenses¹ |
New Additional Expenses¹ |
0.00% |
0.00% |
Aegon Blackrock 50/50 Global Growth (BLK) fund objective |
|
The fund invests mainly in UK equities (around 50%) and overseas equities (around 50%). The overseas equities are split between geographical regions in fixed percentages. The Fund aims to produce a return in excess of its benchmark. |
|
Source: Aegon UK
Closing fund |
Alternative fund |
Aegon Invesco Pensions Managed (BLK) fund |
Aegon Blackrock Managed Portfolio (BLK) fund |
Old Additional Expenses¹ |
New Additional Expenses¹ |
0.00% |
0.01% |
Aegon Blackrock Managed Portfolio (BLK) fund objective |
|
The fund invests mainly in a global portfolio of equities and fixed interest securities with an emphasis on the UK. The fund aims to produce returns in excess of the benchmark.
|
|
Source: Aegon UK
¹Additional expenses are the day-to-day costs associated with the administration and management of the underlying assets.
There’s no guarantee the funds will meet their objectives. The value of an investment can fall as well as rise, isn’t guaranteed and you may get back less than you invest.
For more information you can view the fund factsheets on the ‘Fund prices and performance page’ and selecting ‘TargetPlan funds’.
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 these funds aren’t suitable for them, they can switch their investment and redirect any future investment, free of any switch charge, into an alternative fund or funds of their choice.
If current investors wish to do this, they can view the funds available to their plan by logging into TargetPlan, selecting ‘Fund Information’ from the Dashboard and selecting the “Switch funds” button to make the switch.
If you would like more information, please speak to a financial adviser. If you don’t have a financial adviser, you can visit moneyhelper.org.uk/choosing-a-financial-adviser to find the right one for you.