Share class transfer - Threadneedle European Smaller Companies Fund (CHF and EUR)

Reason for the transfers

Columbia Threadneedle are mid-way through a process to transfer the assets of investors in certain funds within their UK fund range to equivalent funds in its established Luxembourg range. This is to ensure that its EU-based investors remain invested in funds that have a UCITS* status, because Columbia Threadneedle believe it is likely that when the UK leaves the European Union UK domiciled funds will lose this status. 

The transfer process includes 20 funds from the UK-based range with the launch of 13 new funds in the Luxembourg range. 6 of the UK funds will close in their entirety whilst the remaining 14 will merge the CHF, EUR and USD currency funds across, leaving the GBP currency funds to continue to operate in its UK range. The Columbia Threadneedle EU Asset Transfer notification opposite details all the funds affected. 

The new Luxembourg share classes will only launch on the merger/transfer date, therefore we will not be able to offer our policyholders access to the Luxembourg receiving funds until after each merger/transfer date.

Threadneedle European Smaller Companies Fund

All the CHF and EUR share classes (with the exception of Class 1 Income EUR which was not approved) will transfer to the equivalent share classes in a new Luxembourg domiciled fund on 24 November 2018. The first day of dealing in the new fund will be 26 November 2018.

Action to be taken for open-architecture policyholders

On the transfer date, any holdings in the share classes will automatically transfer to the equivalent receiving Luxembourg share classes, unless we are instructed otherwise before this date. We can accept dealing instructions in and out of the fund until 21 November 2018. 
 

Action to be taken for guided-architecture policyholders

We only feature the EUR Accumulation share class in our products. On the transfer date, any holdings in the share class will automatically transfer to the equivalent receiving Luxembourg share class, unless we are instructed otherwise before this date. For regular payment policies, premium allocations will also be redirected to the receiving share class. 

Please note that we have now closed the Threadneedle European Smaller Companies Fund to new business and switches in, but we can accept switches out until 20 November 2018. 

We have written to our guided-architecture policyholders, or their appointed investment adviser, who are impacted by the transfers informing them of the action we will be taking and their option for switching to a new fund if they prefer. Servicing financial advisers will receive a sample of the letter for their information. 

You can view samples of the policyholder and investment adviser letters opposite along with the Columbia Threadneedle notifications. 

*UCITS stands for Undertaking in Collective Investments in Transferable Securities. UCITS funds can be sold to any investor within the European Union under a harmonised regulatory regime.

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For more information about Columbia Threadneedle visit www.columbiathreadneedle.com/