News Publication date November 16, 2020
In our notification on the website on 20 March 2020 informing policyholders of the suspension of the Utmost Property Funds, we confirmed that we would update you when this situation changed. The current position is set out below.
Ex-Reliance Life policyholders
With effect from 1st October 2020 the underlying Schroders Property Fund was unsuspended and we are now able to process withdrawals, switches and other transactions for policyholders invested in the ex-Reliance Life Property Funds.
Ex-Equitable Life policyholders
Aberdeen Standard Investments have confirmed that, with effect from 16 November 2020 they have lifted the suspension on their Property Funds. The ex-Equitable Life Property Funds also lifted the suspension on that date. We are now able to process withdrawals, switches and other transactions for policyholders invested in those funds.
If you would like further information, do visit our unit-linked website or email us on email@example.com in first instance. Alternatively contact us on 0330 159 1530
We have added some frequently asked questions below to help you understand the suspension of the Property Fund.
Financial Conduct Authority rules allow funds to be suspended, to protect the fund and the policyholders invested in it. A fund suspension is not necessarily a bad thing, if used to protect the fund for those selling, as well as those remaining invested. It also stops people trying to take advantage of buying into the fund at a reduced value, at the expense of the existing investors.
We had to take this action as the underlying assets were suspended and no price to value the fund was available.
If high levels of market volatility continue, further suspensions may be necessary. Our guide on how we manage our unit-linked funds is available on our website and it explains that there may be exceptional circumstances where it is not possible to price a fund in the usual way.
We contacted our ex-Reliance Life policyholders when their Property Fund re-opened on 1 October and now the ex-Equitable Life Property Fund has reopened, we will be back in contact with these policyholders over the coming days, to check how they would like to proceed.