With-Profits Investment information

All-In-1 Investment Bond and Guaranteed Capital Bond fund investment information

Report overview

Before we get started...

  • This information does not constitute investment advice and we recommend that you speak to a suitably qualified financial adviser before making any investment decision based upon this, or any other information.
  • The information below gives an overview of the performance of your bond for the period 1 January 2022 to 31 December 2022.

2022 performance review

This review is based on information and commentary provided by Columbia Threadneedle Investments.

2022 was a difficult year for the fund as returns on both equities and bonds were negative. In investment markets, global equities were down 15.6% whilst global bonds fell 16.3%.

Performance over the year was driven by inflationary fears. Interest rates rose significantly over the year with the ten year Gilt Yield rising (meaning prices fell). Rising interest rates negatively impacts bond performance. Through this period whilst we held a reduced investment in government and corporate bonds we retained an allocation to provide resilience if a deep recessionary environment started to appear.

Within equities, energy was the only sector that was generally positive whilst the others were negative. Whilst we have some energy sector investments, they are limited. This has hampered performance over the year. We believe holding limited energy sector investments is appropriate given the Environmental, Social and Governance (ESG) risks over the medium term where oil and energy companies will face rising costs of capital compared to greener industries.

It has been a buoyant year for the US dollar which, at one point, was up 26.6% since the start of 2022. Within our investments, we intentionally hedge (a way of reducing the risk of loss due to currency value fluctuations) away some of our overseas currency investments including the US dollar. This has meant that we have missed out on the strong performance of the US Dollar over 2022. However, our strategic positioning is based on the medium term (three to five years) and longer (circa ten years) and over that period, even with the strong US Dollar in 2022, the US Dollar was broadly stable from 2016 to 2022.

A final source of underperformance was our reliance on quality growth stocks (like those in the technology sector), over value stocks (such as oil companies and banks). This appeared a poor decision over 2022 where value stocks have significantly outperformed growth stocks. However, as our time horizon is the medium and longer term, we believe that growth companies are likely to be more resilient as we move through a recessionary environment in 2023. These companies have strong products with good price control (where prices can increase without reducing volumes) and are likely to deliver performance that is more stable over the medium to long-term.

Unit price and performance of each fund option available

Your individual statement will show you the number of units, the unit price, the value of your bond and the fund option in which you are invested at your bond’s last anniversary. Find the current unit price of your bond. This information should be read alongside your Policy Conditions and Key Features document. You need to be aware that in each fund option your investment can go down as well as up. The higher the amount invested in equities, the more frequently this will happen and the more significant the changes in value are likely to be.

Cautious fund

This fund option is designed to provide modest growth with a lower chance of losing money than the Balanced and Growth fund options. It invests mostly in fixed interest investments with the balance in other investments such as equities, property and some cash. This is the lowest risk fund option under this bond and therefore offers the lowest growth potential.

Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 189.7p -14.4%  
              89.7%
31 December 2021 221.7p -1.5%
31 December 2020 225.1p 4.0%
31 December 2019 216.5p  8.1%
31 December 2018 200.3p  1.9%
31 December 2017 196.5p 1.5%
Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 189.7p -14.4%  
              89.7%
31 December 2021 221.7p -1.5%
31 December 2020 225.1p 4.0%
31 December 2019 216.5p  8.1%
31 December 2018 200.3p  1.9%
31 December 2017 196.5p 1.5%

Balanced fund

This fund option is designed to provide the potential for modest growth without exposure to undue risk. It mainly invests in broadly equal amounts of equities and fixed interest investments and also other investments such as property and cash. This is the middle risk fund option and is higher risk than the Cautious fund option and lower risk than the Growth fund option.

Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 238.7p -9.6% 138.7%
31 December 2021 264.0p 4.3%
31 December 2020 253.1p -1.9%
31 December 2019 257.9p  2.1%
31 December 2018 252.5p  3.9%
31 December 2017 243.1p 6.9%
Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 238.7p -9.6% 138.7%
31 December 2021 264.0p 4.3%
31 December 2020 253.1p -1.9%
31 December 2019 257.9p  2.1%
31 December 2018 252.5p  3.9%
31 December 2017 243.1p 6.9%

Growth fund

This fund option is designed to provide the potential for the highest level of capital growth of the three fund options but with an increased risk to capital. This fund option invests mostly in equities with the balance mainly invested in fixed interest investments. There are also other investments such as property and cash. This is the highest risk fund option and offers the highest growth potential.

Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 313.5p -8.3% 213.5%
31 December 2021 341.9p 16.0%
31 December 2020 294.7p 4.6%
31 December 2019 281.7p  4.8%
31 December 2018 268.7p  3.7%
31 December 2017 259.0p 12.4%
Unit Price Date Unit Price*  Growth (%) for the 12 months to the date shown  Total percentage growth from 4 November 2005 (launch) to 31 December 2022
31 December 2022 313.5p -8.3% 213.5%
31 December 2021 341.9p 16.0%
31 December 2020 294.7p 4.6%
31 December 2019 281.7p  4.8%
31 December 2018 268.7p  3.7%
31 December 2017 259.0p 12.4%

Columbia Threadneedle Investments

  • Since 1 November 2011 the asset management of our funds has been undertaken on our behalf by Columbia Threadneedle Investments. Columbia Threadneedle is responsible for the day to day management of the assets within investment guidelines set by LV=.
  • Columbia Threadneedle is a leading international investment manager that manages £584bn of assets (as at 31 December 2022), investing on behalf of individuals, pension funds, insurers and corporations. Columbia Threadneedle is the global asset management group of Ameriprise Financial, a leading US-based financial services provider. Columbia Threadneedle’s website address is columbiathreadneedle.co.uk.