Fund Closure – Investment Solutions Range
As a result of closures by the underlying fund provider, HBOS Investment Fund Managers (“HIFML”), on 24 March 2021 we will be closing three Investment Solutions funds.
Background to the Closures
The fund manager of the underlying funds to the IS Absolute Return GBP, IS Diversified Return GBP and IS Dynamic Return GBP has advised that it is closing the funds; this, coupled with a review of the closing funds, have meant that we have concluded that it is no longer viable to continue to administer the closing funds and we will be closing these on 24 March 2021.
Which funds are closing?
The funds that will be closing on 24 March 2021 and the alternative fund selected is as follows:
| Closing Funds | Receiving Fund |
|---|---|
| IS Absolute Return GBP | IS Corporate Bond GBP |
| IS Diversified Return GBP | |
| IS Dynamic Return GBP |
With immediate effect the above funds are closed to new subscriptions/switches in, however policyholders can still sell out of/switch out of the funds ahead of the closure date.
The action we will be taking
On 24 March 2021, we will transfer policyholders from the closing funds into the receiving fund. The receiving fund has a broadly similar level of investment risk comparable to those of the closing funds.
Policyholders invested in the closing funds have been written to. Full details of which can be found in the sample letters opposite.
Alternative fund options
Should policyholders not wish to be switched into the receiving fund they can choose to switch into any of the funds available to their policy by completing and returning the Fund switch form then returning to us for processing. Funds to choose from can be found in the fund centre for their product here.
However, if policyholders are happy to accept the receiving fund then they do not need to do anything.