Close Brothers Group Stakeholder Pension Plan – Extended Fund Range Choosing your own investments When you're considering making your own investment choice, there are some things you need to think about before you select your own funds. This guide gives detailed information about the funds available to you and what you need to be aware of before making your choice. This guide was produced inApril 2021. Contents Should I make a different investment choice? page 3 Understanding investment programmes page 4 Your investment programme options page 6 Choosing your own investment funds page 15 Working out your attitude to investment risk page 18 Fund risk warnings page 20 Charges page 22 The funds you can choose from page 23 More information and help page 35 Important documents This guide should be read alongside the ‘How contributions are invested’ guide which explains where your contributions are invested when you join the scheme. You should also read it with the Key features document for an understanding of the plan aims and risks. If you do not have any of these documents, please call 0800 068 1431 2 Should I make a different investment choice? We understand that some people may find the default If, after reading the ‘How contributions are invested’ guide, you investment solution does not match their attitude to decide the default investment solution isn’t appropriate, or investment risk or invests in areas that they wouldn’t choose you would like to choose your own investments, this guide for themselves. provides you with information about the options available. It’s important to ensure that your investments are right for you Once you’ve decided where to invest contributions, you can and are in line with the amount of investment risk you are update your plan using Membersite, www.aviva.co.uk prepared to take. This will depend on your own personal /membersite, or contact us using the details on page 35. circumstances, such as how long you have left until you retire and whether you have made other provisions for retirement. eValuate with Aviva helps you to consider your attitude to investment risk and forecast your possible future retirement income by looking at a range of scenarios. It also shows you the funds available on your scheme. You can access this online at www.aviva.co.uk/membersite. 3 Understanding investment programmes An investment programme manages your investments An investment programme will end at your investment throughout your pension journey. As you approach programme retirement date (IPRD), which you can change retirement it moves your investments in preparation for at any time. Your IPRD can be different from your selected taking your pension benefits. Your default solution is an retirement date and falls on your chosen birthday. If you investment programme. On pages 6 to 14 we show the continue to make contributions after your IPRD (for additional investment programmes you can choose from. example, if you choose to take your pension benefits as income drawdown), these will be invested in the An investment programme breaks your pension journey proportions shown at the IPRD in the investment into two phases: programme charts. Growth phase - When you are a long way from retirement, your money is invested in funds that aim to grow your pension savings over time. Pre-retirement phase - In the years approaching retirement, the level of risk to which your money is exposed is gradually reduced in preparation for taking your pension benefits. The length of the pre-retirement phase is determined by the investment programme. For our My Future investment programmes, this is 15 years. Your pension journey This diagram shows how investment programmes manage your pension journey, from joining your pension scheme to your investment programme retirement date (IPRD). 4 Which types of investment Lifestyle investment programmes Lifestyle investment programmes are designed to give you the programme are available to me? flexibility to choose some your own investments if you wish. A Lifestyle investment programme only begins when you reach Lifetime investment programmes the pre-retirement phase of your pension journey. Lifetime investment programmes are designed to do During the growth phase, your contributions are invested in everything for you. A Lifetime investment programme begins the pre-lifestyle investment programme fund(s), which are when you join it and manages your investments throughout determined by the scheme. You can change these fund(s) at your pension journey. any time. Your contributions are invested in the funds which make up When you reach the pre-retirement phase, a Lifestyle the investment programme. These funds are fixed for the life investment programme gradually takes control of your of your plan and cannot be changed. investments, to prepare you for retirement. Whilst you are invested in a Lifetime investment programme, If you leave a Lifestyle investment programme, your future you cannot invest in other funds at the same time. If you wish contributions will be invested in the pre-lifestyle fund(s). to choose your own investments, you must leave the investment programme first. You will be informed before a Lifestyle investment programme begins so that you can change your decision if you wish. If you leave a Lifetime investment programme, we’ll need to know how you would like future contributions to be invested. Lifestyle investment programmes may be suitable for members who want the option of choosing their own Lifetime investment programmes may be suitable for pre-lifestyle funds. They are not suitable for members who members who want their entire pension journey managed for want full control of their investments during the them. They are not suitable for members who want the option pre-retirement phase of their pension journey. of choosing their own investment funds. What are the differences between Lifetime and Lifestyle investment programmes? Lifetime Lifestyle Manages your investments so that you don’t have to Begins when you join the programme Begins when you reach the pre-retirement phase of your journey The funds are fixed for the life of your plan You can choose your own funds during the growth phase Reduces your exposure to risk as you approach retirement You can leave or join the investment programme at any time 5 Your investment programme options Details of the default investment solution are available in the Please be aware there is no guarantee that these programmes ‘How contributions are invested’ guide. The following will benefit your retirement savings. investment programmes are also available to you. The value of an investment is not guaranteed and can go The following charts show how each programme aims to down as well as up. You could get back less than the amount invest your money as you approach your investment paid in. programme retirement date (IPRD). All movements of funds For more information, please see the Key features document. If are managed by each programme at no extra cost. you are unsure about which is the best option for you, we These investment programmes may be subject to changes to suggest you speak to a financial adviser. the funds included in each programme or to the timings of the fund movements and their frequency, in accordance with the terms of your plan. As your investments are moved to different funds within a programme, your AMC may change. Bespoke options The following programmes have been designed by the employer's financial adviser. Close Brothers Pre-2010 10 Year Lifetime Investment Programme 100 Funds in programme 90 80 n Aviva Pension BlackRock (50:50) Global Equity 70 Index Tracker IE Fund 60 n Aviva Pension BlackRock Over 15 Year Gilt Index 50 Tracker IE Fund 40 n Aviva Pension Money Market IE Fund 30 20 Target % invested in fund 10 0 10+ 9 8 7 6 5 4 3 2 1 IPRD* Years to retirement * Investment programme retirement date. For more information on IPRD see page 4. 6 Close Brothers Pre-2010 15 Year Lifetime Investment Programme 100 90 80 70 60 50 40 30 20 Target % invested in fund 10 0 15+ 14 13 12 11 10 9 8 7 6 5 4 3 2 1 IPRD* Years to retirement Funds in programme n Aviva Pension BlackRock (50:50) Global Equity Index Tracker IE n Aviva Pension BlackRock Over 15 Year Gilt Index Tracker IE Fund Fund n Aviva Pension BlackRock Over 5 Year Index-Linked Gilt Index n Aviva Pension Money Market IE Fund Tracker IE Fund * Investment programme retirement date. For more information on IPRD see page 4. 7 Close Brothers Pre 2010 DC Lifetime 5 Year Investment Programme 100 Funds in programme 90 80 n Aviva Pension BlackRock (50:50) Global Equity Index Tracker IE Fund 70 n Aviva Pension BlackRock Over 15 Year Gilt Index Tracker IE Fund 60 50 n Aviva Pension Money Market IE Fund 40 30 20 Target % invested in fund 10 0 5+ 4 3 2 1 IPRD* Years to retirement * Investment programme retirement date. For more information on IPRD see page 4. 8 Through our management of the Stewardship funds, we aim Stewardship - Responsible to use our influence as a shareholder to encourage positive Investing environmental, social and governance (ESG) practices among the companies we invest in. Aviva’s Stewardship Lifetime investment programme gives You can find out more about our Stewardship philosophy by members the opportunity to invest for their retirement while visiting www.aviva.co.uk/retirement/fund-centre/ contributing to a sustainable future for the world around us. It stewardship/. is made up of funds from our Stewardship range. The Stewardship Lifetime investment programme aims to Launched in 1984, Aviva’s Stewardship range was the UK’s provide the potential for growth in the early years, and to first ethical fund range.