Notification of changes to the underlying fund of R235 Ninety One Global Environment (USD)
07 May 2024
We have been notified by the Directors of Ninety One Global Strategy Fund (the “Company”) of the following changes to the underlying fund of our R235 Ninety One Global Environment (USD) investment-linked policy sub-fund (the “ILP sub-fund”). These changes will take effect from 31 May 2024 (the “Effective Date”).
Update to sustainability disclosure exclusions
The underlying fund of the ILP sub-fund has an environmental objective to make sustainable investments that aim to contribute to a positive environmental change through sustainable decarbonisation.
The Company regularly reviews the exclusions to ensure that the activities and sectors covered by the exclusions are clear, transparent and aligned with the intentions of the underlying Investment Manager. More details can be found in the investment strategy section of the sustainability disclosures in Appendix 3 of the Prospectus of the underlying fund of the ILP sub-fund.
After undertaking a review, the Company has made some updates to the exclusions in the sustainability disclosure wording of the underlying fund of the ILP sub-fund. Please refer to the sample client communication opposite for full details of the changes applicable.
Change to the maximum underlying fund Management Company Fee rate
The Company has advised that there will be an increase to the maximum management company fee (the “Underlying Fund Management Company Fee”) payable to Ninety One Luxembourg S.A., who are the management company of the underlying fund of the Affected ILP sub-fund.
The maximum Underlying Fund Management Company Fee rate that may be charged will increase from up to 0.01% per year to up to 0.02% per year from the Effective Date. However, the actual amount of the Underlying Fund Management Company Fee charged in any year is likely to be between 0.01% and 0.02% per year.
For example, if the maximum Underlying Fund Management Company Fee rate of 0.02% is charged, the effect on the ongoing charges figure (the “OCF”) of an investment will be an increase of 0.01%. For a US$1000 investment, this would be no more than US$0.10 per year.
These changes have happened automatically within affected policies and policyholders do not need to take any action. We recommend that policyholders seek the advice of their usual financial adviser before making any investment decisions.
We have contacted impacted policyholders and their financial advisers to notify them of the changes; primarily by e-shot, with letters sent by post where we do not hold a valid email, and to those who prefer to receive letters by post.
Should you have any questions regarding these changes, please contact the Investment Marketing Team.
