Overview
Understanding how your investment is managed
What the funds invest in
The range of funds are unit linked, multi-asset investments, each containing a mix of shares (equities), commercial property and fixed interest investments, such as corporate and government bonds.
The funds are 'with-profits', which means you'll get the benefit of the growth in the funds, as well as any additional with-profits member bonuses.
Who manages the funds
We manage the Smoothed Managed Funds in partnership with BlackRock, who are one of the world's largest fund managers.
We work together to maximise the funds' potential for growth while maintaining a consistent level of investment risk.
Responsible investing
Our top priority is to provide you with a fair return on your investment. But, we’re also committed to a philosophy of responsible investing.
Please remember the value of your investment could go down as well as up, so you could get back less than you paid.
LV= Smoothed Pension Fund Options
Choose from a range of fund options designed to suit different attitudes to risk
Optional Guarantee
Protect your investment with an optional guarantee
We know it’s vital to feel comfortable with your investment choices. That’s why when you invest in our Smoothed Managed Cautious Fund you have the option of buying a capital guarantee
- If you invest in our Smoothed Managed Cautious Fund you can benefit from an optional 10-year capital guarantee. This can be purchased when you first invest, when further investments are made, or on the expiry of a previous guarantee.
- This additional security can be particularly useful if you wish to preserve your investments and you're worried about market downturns.
- Your guarantee means that at the end of the term, your fund's value will be at least the value on the start date minus any withdrawals, including any ongoing and ad-hoc adviser charges. Naturally, if your fund is worth more than the guaranteed amount you’ll get the extra as well.
Understanding the asset mix of your fund
We believe it is important to help you understand where your money is being invested. The table below outlines the target investment allocation for each asset type within the Smoothed Managed funds. Actual allocations will differ within a range permitted by our investment mandates.
| Asset class | Extra Cautious | Cautious | Balanced | Growth | Growth Plus |
|---|---|---|---|---|---|
| Cash | 4.5% | 4.5% | 2.0% | 2.0% | 2.0% |
| Gilts | 13.0% | 13.0% | 12.5% | 8.5% | 6.0% |
| US Treasuries | 22.0% | 20.5% | 13.0% | 8.0% | 5.5% |
| Index-Linked Gilts | 1.0% | 1.0% | 1.0% | 1.5% | 1.5% |
| Index-Linked US Treasuries | 1.5% | 2.0% | 2.0% | 2.5% | 1.0% |
| UK Corporate Bonds | 3.0% | 2.5% | 2.0% | 1.5% | 1.0% |
| Overseas Corporate Bonds | 21.0% | 18.0% | 11.0% | 7.5% | 6.0% |
| High Yield Bonds | 8.5% | 8.0% | 6.0% | 3.5% | 1.5% |
| Emerging Market Debt | 1.0% | 1.0% | 1.0% | 1.5% | 1.0% |
| UK Equities | 2.0% | 3.0% | 5.5% | 7.5% | 9.0% |
| US Equities | 3.5% | 6.5% | 16.5% | 24.0% | 30.5% |
| Europe ex UK Equities | 6.0% | 7.5% | 10.0% | 11.5% | 13.5% |
| Japan Equities | 2.0% | 2.5% | 3.5% | 3.5% | 5.0% |
| Asia Pacific ex Japan Equities | 1.0% | 1.5% | 3.0% | 3.5% | 4.5% |
| Emerging Market Equities | 3.0% | 3.5% | 6.0% | 6.5% | 7.0% |
| Property | 7.0% | 5.0% | 5.0% | 7.0% | 5.0% |
| Total | 100% | 100% | 100% | 100% | 100% |
| Asset class | Extra Cautious | Cautious | Balanced | Growth | Growth Plus |
|---|---|---|---|---|---|
| Cash | 4.5% | 4.5% | 2.0% | 2.0% | 2.0% |
| Gilts | 13.0% | 13.0% | 12.5% | 8.5% | 6.0% |
| US Treasuries | 22.0% | 20.5% | 13.0% | 8.0% | 5.5% |
| Index-Linked Gilts | 1.0% | 1.0% | 1.0% | 1.5% | 1.5% |
| Index-Linked US Treasuries | 1.5% | 2.0% | 2.0% | 2.5% | 1.0% |
| UK Corporate Bonds | 3.0% | 2.5% | 2.0% | 1.5% | 1.0% |
| Overseas Corporate Bonds | 21.0% | 18.0% | 11.0% | 7.5% | 6.0% |
| High Yield Bonds | 8.5% | 8.0% | 6.0% | 3.5% | 1.5% |
| Emerging Market Debt | 1.0% | 1.0% | 1.0% | 1.5% | 1.0% |
| UK Equities | 2.0% | 3.0% | 5.5% | 7.5% | 9.0% |
| US Equities | 3.5% | 6.5% | 16.5% | 24.0% | 30.5% |
| Europe ex UK Equities | 6.0% | 7.5% | 10.0% | 11.5% | 13.5% |
| Japan Equities | 2.0% | 2.5% | 3.5% | 3.5% | 5.0% |
| Asia Pacific ex Japan Equities | 1.0% | 1.5% | 3.0% | 3.5% | 4.5% |
| Emerging Market Equities | 3.0% | 3.5% | 6.0% | 6.5% | 7.0% |
| Property | 7.0% | 5.0% | 5.0% | 7.0% | 5.0% |
| Total | 100% | 100% | 100% | 100% | 100% |
