Fund information (customers already with Utmost before January 2020)

This information is for customers who were already with Utmost Life and Pensions before 1 January 2020.

This is the place to find out about the unit linked fund which your Utmost life or pensions policy is invested in.

You can also click the link below for additional information:

Investment funds bulletin (customers with Utmost before January 2020)

What is a unit linked fund?

A unit linked fund is type of collective investment, sometimes known as an insured fund, offered by insurance companies. Collective investments allow you to combine your money with that of other customers in order to invest in a wider range of assets than if you were investing on your own.

Fund managers then invest the collective money into various assets in line with the fund objectives. Here at Utmost Life and Pensions our unit linked funds are mostly invested in other collective investment schemes managed by J.P. Morgan Asset Management, except for the property funds which are managed by Schroder Investment Management Limited.

These investments can include other collective investments, such as unit trusts and Open Ended Investment Companies (OEICs), as well as directly investing in stocks and shares, bonds, property and cash.

Premiums you pay for your life policy or pension are allocated to units in your selected fund or funds. You will share any gains or losses of the fund with the other policyholders who have selected that fund.

Your policy documentation and regular updates will show which funds you have selected and how many units you have been allocated. Because our products have different policy terms and conditions, when you choose a fund you may notice reference to a series.

You are allocated units in a series within your selected fund according to which investment product you have chosen and the charging structure.

When investing, remember the value of your investment can go down as well as up and you may get back less than the amount paid in.

Our funds have different risk ratings and you will need to select a fund which matches the level of risk you are willing to accept.

What’s the difference between risk ratings?

Utmost have five risk ratings; low, low-to-medium, medium, medium-to-high and high risk. These are designed to provide an indication of the potential level of risk and reward that is attributed to each fund based on the types of assets which are held within the fund and how the fund is managed.

Other companies may use different descriptions and so it’s important that you don’t compare our risk ratings with other investments you may have, or compare another company’s risk ratings with your Utmost investments.

How do the Utmost risk ratings work?

Funds for Life policies

What is a very low risk rated fund?

Very low

Return of capital is the priority ahead of potential growth. Growth will not necessarily meet inflation.

Utmost do not currently have any very low risk funds available for life policy customers.

What is a low risk rated fund?

Low risk

Return of capital is the priority ahead of potential growth although your capital is not guaranteed. With low risk funds, it is possible that your investment return will be insufficient to meet your financial goals and may not keep pace with inflation. Potential for low levels of price fluctuation. Growth is likely to be modest.

If you have an Utmost life policy you will choose to invest in the Life Deposit Fund or the Life Tax Exempt Deposit Fund.

Life Deposit Fund:

The Utmost Life Deposit fund is invested in the JPMorgan Sterling Liquidity Fund.

Investment objective

To preserve capital whilst aiming to provide a return in line with prevailing short term money market rates. The price of accumulation units in the Deposit fund is guaranteed not to fall.

Life Tax Exempt Deposit Fund:

The Utmost Life Tax Exempt Deposit fund is invested in the JPMorgan Sterling Liquidity Fund.

Investment objective

To preserve capital whilst aiming to provide a return in line with prevailing short term money market rates. The price of accumulation units in the Deposit fund is guaranteed not to fall.

What is a low-to-medium risk rated fund?

Low-to-medium risk

Investments that offer some element of protection from losses alongside the possibility of long-term investment growth or income. The value of your capital could go up or down. With low-to-medium risk funds, it is possible that your investment return will be insufficient to meet your financial goals. Returns may not keep pace with inflation.

If you have an Utmost life policy you will choose to invest in the Life Fixed Interest Fund.

Life Fixed Interest Fund:

The Utmost Life Fixed Interest fund is invested in the JPM UK Government Bond fund.

Investment objective

To achieve a positive return by investing primarily in a portfolio of UK government bonds.

What is a medium risk rated fund?

Medium risk

Investments that offer some element of protection from losses alongside the possibility of long-term investment growth or income. The value of your capital could go up or down. With low-to-medium risk funds, it is possible that your investment return will be insufficient to meet your financial goals. Returns may not keep pace with inflation.

If you have an Utmost life policy you will choose to invest in the Life Managed Fund or the Life Property Fund.

Life Managed Fund:

The Utmost Life Managed fund is invested in the JPM Multi-Asset Moderate Fund, which is a blend of shares, bonds and cash seeking to take moderate levels of risk to generate moderate growth over the long term. The initial asset allocation is equities 60%, fixed income 35%, property 0% and cash 5%. Percentages are subject to change based on the investment manager views over time.

Investment objective

To provide capital growth in the long term by investing in a combination of asset classes including equities, fixed income, property and cash with the potential for moderate to high levels of price fluctuations.

Life Property Fund:

The Utmost Property funds are managed by Schroder Investment Management.

Click here to read our Property Fund Suspension

Investment objective

Primarily invest in the Schroder UK Real Estate Fund. The aim of this fund is to invest in UK properties and to diversify risk by holding a mixed portfolio of retail, office, industrial and other property throughout the UK.

What is medium-to-high risk rated fund?

Medium-to-high risk

Long-term growth and income are the priority. The value of your capital could go up or down, potentially by greater amounts than funds in the ‘medium’ risk category.

If you have an Utmost life policy you will choose to invest in the Life Equity Fund.

Life Equity Fund:

The Utmost Life Equity fund is invested in the JPM UK Equity Core Fund.

Investment objective

To achieve long-term capital growth by investing mainly in UK companies.

What is a high risk rated fund?

High risk

A high potential for capital growth or income. But also a high risk of capital loss. The value of your capital could go up or down, more frequently and by greater amounts, than lower risk funds.

Utmost do not currently have any high risk funds available for life policy customers.

What is a very high risk rated fund?

To provide capital growth in the long term by investing in the highest risk asset classes with the potential for the highest levels of price fluctuations.

Utmost do not currently have any very high risk funds available for life policy customers.

Funds for pension policies

What is a very low risk rated fund?

Very low risk

Return of capital is the priority ahead of potential growth. Growth will not necessarily meet inflation.

Utmost do not currently have any very low risk funds available for pension policy customers.

What is a low risk rated fund?

Low risk

Return of capital is the priority ahead of potential growth although your capital is not guaranteed. With low risk funds, it is possible that your investment return will be insufficient to meet your financial goals and may not keep pace with inflation. Potential for low levels of price fluctuation. Growth is likely to be modest.

If you have an Utmost pension policy you will choose to invest in the Pension Deposit Fund.

Pension Deposit Fund:

The Utmost Pension Deposit fund is invested in the JPMorgan Sterling Liquidity Fund.

Investment objective

To preserve capital whilst aiming to provide a return in line with prevailing short term money market rates. The price of accumulation units in the Deposit fund is guaranteed not to fall.

What is a low-to-medium risk rated fund?

Low-to-medium risk

Investments that offer some element of protection from losses alongside the possibility of long-term investment growth or income. The value of your capital could go up or down. With low-to-medium risk funds, it is possible that your investment return will be insufficient to meet your financial goals. Returns may not keep pace with inflation.

Utmost do not currently have any low-to-medium risk funds available for pension policy customers.

What is a medium risk rated fund?

Medium risk

Investments that offer some element of protection from losses alongside the possibility of long-term investment growth or income. The value of your capital could go up or down. With low-to-medium risk funds, it is possible that your investment return will be insufficient to meet your financial goals. Returns may not keep pace with inflation.

If you have an Utmost life policy you will choose to invest in the Pension Managed Fund or the Pension Property Fund.

Pension Managed Fund:

The Utmost Pension Managed fund is invested in the JPM Multi-Asset Moderate Fund, which is a blend of shares, bonds and cash seeking to take moderate levels of risk to generate moderate growth over the long term. The initial asset allocation is equities 60%, fixed income 35%, property 0% and cash 5%. Percentages are subject to change based on the investment manager views over time.

Investment objective

To provide capital growth in the long term by investing in a combination of asset classes including equities, fixed income, property and cash with the potential for moderate to high levels of price fluctuations.

Pension Property Fund:

The Utmost Property funds are managed by Schroder Investment Management.

Click here to read our Property Fund Suspension

Investment objective

Primarily invest in the Schroder UK Real Estate Fund. The aim of this fund is to invest in UK properties and to diversify risk by holding a mixed portfolio of retail, office, industrial and other property throughout the UK.

What is a medium-to-high risk rated fund?

Medium-to-high risk

Long-term growth and income are the priority. The value of your capital could go up or down, potentially by greater amounts than funds in the ‘medium’ risk category.

If you have an Utmost pension policy you will choose to invest in the Pension Equity Fund.

Pension Equity Fund:

The Utmost Pension Equity fund is invested in the JPM UK Equity Core Fund.

Investment objective

To achieve long-term capital growth by investing mainly in UK companies.

What is a high risk rated fund?

High risk

A high potential for capital growth or income. But also a high risk of capital loss. The value of your capital could go up or down, more frequently and by greater amounts, than lower risk funds.

Utmost do not currently have any high risk funds available for pension policy customers.

What is a very high risk rated fund?

Very high risk

To provide capital growth in the long term by investing in the highest risk asset classes with the potential for the highest levels of price fluctuations.

Utmost do not currently have any very high risk funds available for pension policy customers.