Fund Closure - Baring UK Growth Trust

Following a review, Barings decided to liquidate the fund by way of compulsory redemption instead of merging it into another as there were no suitable alternative funds within their product range. The decision to liquidate has been taken in consideration of, amongst other things, the Trust's economic viability and its ability to operate in a cost-effective manner due to its small fund size.

Impact on Preference policies

In response to the fund closure we have automatically switched policies into an alternative fund within the Preference fund range - the "BlackRock GF United Kingdom". We chose this fund because its objective and level of risk were similar. Switches have been keyed with an effective date of 28 November 2017.

Policyholders have been written to advising of the fund closure. Where an investment adviser has been appointed to make investment decisions, they will be written to instead. Servicing agents will be sent a sample letter for their information.

Should policyholders/investment advisers not wish to remain invested in the BlackRock GF United Kingdom fund they can choose to invest in an other fund available by providing alternative instructions either by submitting a completed Fund switch instruction form, or if registered a registered user of our Online Service Centre and fund switching facility, conducting a switch and premium redirection online. All switches are free of charge.

Available funds can be viewed in the Preference fund centre.

Sample letters can be viewed opposite.

Impact on portfolio bonds such as PIMS

Liquidation proceeds have been paid into the cash account on the portfolio bond and policyholders can choose to reinvest these proceeds into an acceptable asset of their choice.