Changes to the underlying fund of P73 Aviva Investors UK Property

01 August 2017

We have been notified by Aviva Investors (the “Company”) of changes to the underlying fund into which P73 Aviva Investors UK Property invests. The Company has informed us of the decision to convert the underlying fund into a Property Authorised Investment Fund (“PAIF”) structure.

As life companies are restricted on the amount that can be invested directly into a PAIF structure, Aviva Investors have created a feeder fund which will enable direct exposure to the PAIF – the Aviva Investors UK Property Feeder Acc Fund.

The changes are summarised below:

  • Fund structure change of the underlying fund 18 August 2017
  • Non Dealing/Suspension 17 August to 21 August 2017 to facilitate the fund change
  • Name Change, effective 18 August 2017
  • Additional risk disclosures, effective 18 August 2017

To facilitate the change, dealing on both the underlying fund and P73 Aviva Investors UK Property will be temporarily suspended from 17 August 2017 to 21 August 2017. Instructions received after the cut off time on Wednesday 16 August 2017 will not transact until the next available dealing date of Monday 21 August 2017.

The underlying fund name is changing and therefore the Friends Provident International fund name will also change with effect from the same date, which is detailed in the table below:

Fund name and code before 18 August 2017 Fund name and code from 18 August 2017
P73 Aviva Investors UK Property P73 Aviva Investors UK Property Feeder

The additional key risk disclosures highlighted by the Company following the restructure are summarised below:

  • Availability of Immoveable Property Investments – Property transactions contemplated by the fund is competitive and involves a high degree of uncertainty.
  • Investments in Unregulated Collective Investment Schemes are permitted.
  • Exchange Traded Derivative Transactions – Suspension of these instruments would make it impossible for the fund to liquidate such positions.
  • Over the Counter Counterparty Derivatives are permitted, and can have limited liquidity together with higher price volatility.
  • Investments in Smaller Companies are permitted and can be less liquid than larger companies.

Full details of all the risks can be found in the underlying fund’s literature.

Further information can be found in the client letter, which has been sent out to policyholders invested in this fund.

Should you have any questions regarding these changes, please contact International Funds & Investments.