Changes to the Aegon JPMorgan Continental Europe Select Equity (BLK) fund

Fund_Update.jpg

On 7 May 2019, the annual management charge (AMC) for the Aegon JPMorgan Continental Europe Select Equity (BLK) fund reduced by 0.05% across all share classes available via the Aegon TargetPlan fund range.

When this happened, the underlying fund manager, JPMorgan Asset Management (UK) Limited, also notified us that it changed the way it measures the fund’s performance. As a result, we’re now amending our fund objective to ensure it remains consistent with the underlying fund.

The objective changes in more detail:

Previous fund objective New fund objective
Aims to achieve strong returns by investing in the shares of companies across Europe, excluding the UK. The investment team uses in-depth research and optimisation techniques to assess which companies are under or overvalued compared to their future earnings potential. The fund aims to achieve a long-term target return in excess of 2% per-year (before charges) by investing in the shares of companies across Europe, excluding the UK. The fund is well diversified and under normal circumstances is fully invested, with cash holdings kept to a minimum. It may also invest in emerging European markets and smaller companies. The Aegon TargetPlan fund has higher charges than the underlying JPMorgan 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. You could get back less than you originally invested.

What this means for investors

Along with the reduction in AMC, the underlying fund manager has updated the way it measures the fund’s performance to target a long-term target return in excess of 2% per year (before charges), which they believe better reflects the potential for long-term growth within the fund.

Our literature has been updated to reflect these changes, but investors may notice both the old and new information in use for a time.

For more information on this fund, you can view the fund factsheet via the ‘Fund prices and performance’ page on our website and selecting ‘TargetPlan funds’.

What 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 www.moneyadviceservice.org.uk.