Aegon Mercer (ARC) fund closures
On 28 April 2026, we’re closing three Aegon Mercer (ARC) funds, available as part of our Aegon Retirement Choices (ARC) fund range. When the funds close, we’ll move investors into an alternative fund we’ve chosen, 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.
The funds affected
The funds closing are:
- Aegon Mercer Cautious (ARC)
- Aegon Mercer Balanced (ARC)
- Aegon Mercer Adventurous (ARC)
Why we’re closing the funds
The underlying fund manager, Mercer, has decided to close the underlying funds, so we’re closing our version of the funds.
What this means for investors
Until the funds close, investors can stay invested. Then, on 28 April 2026, we’ll move their investment in the closing fund and all future investment into the alternative fund or funds listed below, unless they tell us to move it to a different fund before then.
There’s more information in the tables below:
Closing fund |
Alternative fund |
|---|---|
Aegon Mercer Cautious (ARC) |
Scottish Equitable Balanced Core Portfolio (ARC) |
Scottish Equitable Balanced Core Portfolio (ARC) fund objective |
|
This portfolio aims to provide long-term capital growth while keeping risk in a target volatility range of 7.5-12.0% over a market cycle, which the fund manager defines as being three years or more. The portfolio is built using a collection of low-cost funds that aim to perform in line with their regional benchmarks, by investing in the same companies as them, in the same proportions. The fund invests in a balanced mix of assets traditionally viewed as lower risk (including investment grade corporate bonds, government bonds (gilts) and cash) and riskier assets (including developed and emerging markets equities). To be consistent with the target volatility range, the fund would typically be expected to invest between 35-65% in equities. The underlying assumptions that support the volatility and equity ranges are at the fund manager's discretion and are subject to change. This portfolio sits towards the lower end of our Core Risk Profile Portfolio range in terms of risk and long-term growth potential. |
|
Fund Charge1 |
|
0.25% |
0.26% |
Closing fund |
Alternative fund |
|---|---|
Aegon Mercer Balanced (ARC) |
Balanced Plus Core Portfolio (ARC) |
Balanced Plus Core Portfolio (ARC) fund objective |
|
This portfolio aims to provide long-term capital growth while keeping risk in a target volatility range of 10.0-14.5% over a market cycle, which the fund manager defines as being three years or more. The portfolio is built using a collection of low-cost funds that aim to perform in line with their regional benchmarks, by investing in the same companies as them, in the same proportions. The fund invests in mainly riskier assets, including developed and emerging markets equities. It can also invest to a lesser extent in assets traditionally viewed as lower risk, including investment grade corporate bonds, government bonds (gilts) and cash. To be consistent with the target volatility range, the fund would typically be expected to invest between 50-80% in equities. The underlying assumptions that support the volatility and equity ranges are at the fund manager's discretion and are subject to change. This portfolio sits in the middle of our Core Risk Profile Portfolio range in terms of risk and long-term growth potential. |
|
Fund charge1 |
|
0.25% |
0.26% |
Closing fund |
Alternative fund |
|---|---|
Aegon Mercer Adventurous (ARC) |
Growth Core Portfolio (ARC) |
Growth Core Portfolio (ARC) fund objective |
|
This portfolio aims to provide long-term capital growth while keeping risk in a target volatility range of 12.5-17.5% over a market cycle, which the fund manager defines as being three years or more. The portfolio is built using a collection of low-cost funds that aim to perform in line with their regional benchmarks, by investing in the same companies as them, in the same proportions. The fund invests mainly in riskier assets including developed and emerging markets equities. It can also invest to a lesser extent in assets traditionally viewed as lower risk, including investment grade corporate bonds, government bonds (gilts) and cash. To be consistent with the target volatility range, the fund would typically be expected to invest between 65-95% in equities. The underlying assumptions that support the volatility and equity ranges are at the fund manager's discretion and are subject to change. This means the portfolio sits towards the upper end of the Core Risk Profile Portfolio range in terms of risk and long-term growth potential. |
|
Fund Charge1 |
|
0.26% |
0.26% |
Source: Aegon UK
1This 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 these funds in the fund factsheets on the ‘Fund prices and performance’ page of our website by viewing ‘Aegon Retirement Choices (ARC)’ and searching for the fund name.
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(s), 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.
You should speak to your financial adviser in the first instance if you need advice about your investments. There’s likely to be a charge for this. If you don’t have a financial adviser, you can find one in your area by visiting moneyhelper.org.uk/choosing-a-financial-adviser