VT Garraway Absolute Equity fund suspends trading

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Aegon Retirement Choices (ARC) and Aegon Platform update

On Thursday 25 July 2019, the VT Garraway Absolute Equity fund suspended trading until further notice.

This fund is an Open Ended Investment Company (OEIC) offered across our Aegon Retirement Choices (ARC) and Aegon Platforms.

What this means for investors

If you currently invest in this fund, from 11am on 24 July 2019, it will be unavailable for selection on your online account and you’ll not be able to buy, sell or transfer units in the fund.

Any switches or payments out of the fund being processed on or after this date will be cancelled. If the fund is part of an instruction for a number of fund switches or withdrawals, then the rest of the instruction will be processed normally, excluding the suspended fund.

Any trades to buy units placed after 11am on Wednesday 24 July 2019 (the last Aegon dealing point) will be moved into your individual cash account facility and will remain there until you give us a clear instruction to switch into an alternative investment, if you wish to do so. This applies to all regular payments, single payments, switches and transfers into the VT Garraway Absolute Equity fund.

Model portfolios

If you hold the fund as part of a model portfolio and the portfolio experiences a rebalance, the VT Garraway Absolute Equity fund will be excluded and the remaining funds will be rebalanced proportionally.

Regular and single payments into model portfolios can continue, however the portion for the VT Garraway Absolute Equity fund will be moved into your individual cash account facility, where it will remain until you give us a clear instruction to switch into an alternative investment, if you wish to do so.

Income

If you currently receive an income from your account, any withdrawals due from the VT Garraway Absolute Equity fund after 11am on 24 July 2019 will be rejected. Alternative arrangements will need to be made by your adviser to withdraw from other investments held within your account.

Why this happened

The Bank of New York (BNY) Mellon International Limited, the fund’s depositary, and the fund manager, Garraway Capital Management LLP (in agreement with Valu-Trac Investment Management), have taken the decision to close the fund. This closure is subject to Financial Conduct Authority (FCA) approval, which they expect within 30 days.

In the meantime, Garraway have informed us that they’ve suspended trading in the fund with immediate effect. They believe the best way to protect investors remaining in the fund is to immediately suspend trading. This will allow the fund manager time to manage the closures in a controlled manner.

Find out more

We recognise that this may be a concern for you so if you have any questions regarding 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.

Please be aware that we do not offer investment advice.