LF Woodford Equity Income fund suspension update - January 2020

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Aegon Retirement Choices (ARC) and Aegon Platform update

Following a notification in October 2019 that the LF Equity Income fund (formerly the LF Woodford Equity Income fund) was to be wound up, we’ve received a further update from Link Fund Solutions Limited (LFS), the fund’s Authorised Corporate Director.

LFS have informed us that some underlying investments in the fund have now been sold and LFS has returned cash proceeds* equal to approximately 74% of any investment held.

* Investors in a General Investment Account (GIA) may need to consider how this payment affects any Capital Gains Tax calculation.

What this means for investors

For existing investors, all proceeds will be added to their cash facility and will remain there unless they, or their adviser, give us a clear instruction to invest in an alternative fund or funds. The number of units held in the fund has not changed, but the value of any holding will reduce to reflect the cash proceeds that will be paid out.

The wind-up of the fund has now commenced. We’ll let existing investors know when we receive confirmation from LFS regarding the final closure. However, the fund remains suspended and investors will not be able to buy, sell or transfer units.

The time period for the full closure cannot be guaranteed and the fund manager is seeking to close the fund in a controlled manner, which they believe is in the best interests of remaining investors.

Find out more

If you have any questions about how the above affects your portfolio, you should contact your financial adviser in the first instance.

Alternatively, for Aegon Retirement Choices (ARC) investors please contact us at clientservices@aegon-arc.co.uk or call us on 0345 680 1234.

For Aegon Platform investors, please contact us at aegoncofundsadministration@aegon.co.uk or call us on 0345 604 4001.

Call charges may vary. If you’re contacting us by email please remember not to send any personal, financial or banking information because email isn’t a secure method of communication.

Please be aware that we do not offer investment advice.