Asset allocation changes to the Property Select Portfolio

Fund_Update.jpg

We’ve made changes to the Property Select Portfolio. These changes apply across our pension and Aegon Retirement Choices (ARC) fund ranges.

What we’ve changed

The Property Select Portfolio is a multi-manager portfolio, which invests in a number of commercial property funds from different managers, as recommended by independent researchers Morningstar.

On 10 April 2019, we updated the asset allocation of the Property Select Portfolio to remove the M&G Property Portfolio. We then re-allocated its weighting across the other funds already held in the fund. Please find a summary of the changes in the tables below:

 

Holdings

Asset allocation (%) before 10 April 2019

Asset allocation (%) after 10 April 2019

Scottish Equitable M&G Property Portfolio

30.0%

-

Scottish Equitable Legal & General UK Property

23.7%

36.0%

Scottish Equitable Property

22.0%

29.0%

Scottish Equitable Threadneedle UK Property

14.3%

21.0%

Aegon Active Value Property

10.1%

14.0%

Source: Aegon UK

Please note, the figures above may not add up to exactly 100% due to rounding.

Charge reduction

As a result of this change, the total charge of the Property Select Portfolio has decreased. This means:

  • The Fund Charge* for ARC investors has reduced from 1.05% to 0.85%.
  • The Total Fund Charge† for pension investors has reduced from 2.00% to 1.85%.

* This is on top of any product or adviser charge you pay and includes a fixed management fee plus expenses that vary with the day to day costs of running the fund. The fund charges may differ for Retiready (RR) or Aegon One Retirement (AOR).

This includes a standard 1% product charge, a fixed management fee and expenses that vary with the day to day costs of running the fund. You may pay a different product charge.

What this means for investors

Existing investors don’t need to do anything. There are no other changes to the Property Select Portfolio; the fund’s objectives and Aegon risk rating remain the same.

If you would like more information, please speak to a financial adviser. If you don’t have one you can find one in your area at unbiased.co.uk.