From 31 August 2021, the Aegon ASI Global Ethical Equity fund will be known as the Aegon ASI Global Sustainable and Responsible Investment Equity fund.
The underlying fund manager, Aberdeen Standard Fund Managers Limited, have also notified us that the fund’s objective and benchmark are being updated as they’ve updated the ethical screening methodology they use to select the companies the fund invests in. As a result, we’ve amended our fund’s objective and benchmark to ensure it remains consistent.
Nothing else about the fund will change because of these updates. For example, the fund manager, charges and Aegon risk ratings will remain the same.
The changes in more detail
Name changes
As the underlying fund’s objective has changed in line with the new ethical screening methodology, the fund name is being updated. To ensure consistency for customers, we’re changing our fund name. Details can be found in the tables below:
| Pension fund | |||
|---|---|---|---|
| Existing fund name | Existing short name | New fund name | New short name |
| Aegon ASI Global Ethical Equity fund | AEGON ASI GBL ETH EQ | Aegon ASI Global Sustainable and Responsible Investment Equity fund | AGN ASI GLSURESINVEQ |
Source: Aegon UK
| ARC fund | |||
|---|---|---|---|
| Existing fund name | Existing short name | New fund name | New short name |
| Aegon ASI Global Ethical Equity (ARC) fund | ARC ASI GBL ETH EQ | Aegon ASI Global Sustainable and Responsible Investment Equity (ARC) fund | ARC ASI GLSURESINVEQ |
Source: Aegon UK
Fund objective and benchmark changes
The underlying fund manager has updated the fund objective and benchmark for this fund in line with the new ethical screening methodology. To ensure consistency, we’ve updated our version of the fund. Details can be found in the table below:
| Old fund benchmark | New fund benchmark |
|---|---|
| FTSE World Index | MSCI AC World Index |
| Old fund objective | |
| The fund aims to grow capital over the long term (five years or more), targeting a return in line with the FTSE World Index, plus 3% per year (before charges) by investing at least 70% of the portfolio in the shares of international companies around the world. The manager chooses companies on the basis of thorough fundamental company analysis and ethical and socially responsible criteria. The fund may also use derivatives for the purpose of efficient portfolio management. The Scottish Equitable fund has higher charges than the underlying Aberdeen fund and will therefore be less likely to meet this target. | |
| New fund objective | |
| The fund aims to grow capital over the long term (five years or more), targeting a return in line with the MSCI AC World Index, plus 3% per year over rolling three-year periods (before charges) by investing at least 70% of the portfolio in the shares of international companies around the world which adhere to ASI’s Sustainable and Responsible Investment Equity Approach. The manager chooses companies on the basis of thorough fundamental company analysis and ethical and socially responsible criteria. The fund may also use derivatives for the purpose of efficient portfolio management. The Aegon fund has higher charges than the underlying ASI fund and will therefore be less likely to meet this target. | |
Source: Aegon UK
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 originally invested.
Investors will start to notice the changes on their statements, in our literature and on our website. The changes will be implemented gradually, so investors may notice both the old and new names, fund objectives and benchmarks in use for a while.
For more information on the fund you can view the fund factsheet via the ‘Fund prices and performance page’ and viewing either ‘Aegon Retirement Choices (ARC)’ or ‘Other fund ranges’.
What current investors need to do
Existing investors don’t need to do anything. Please speak to a financial adviser if you’re unsure about what these changes mean for you. If you don’t have a financial adviser, you can find one in your area at moneyhelper.org.uk