What's happening?

The M&G Property Portfolio Pension Fund and M&G Property Portfolio Life Fund (“the Funds”) will be closed by M&G. The closure will be subject to regulatory approval from the Financial Conduct Authority (“FCA”). 

The funds have been in suspension since 12:00pm on 19 October 2023 with no further trades being accepted. 

M&G have announced an indicative timeline of approximately 18 months to close the funds, however, it could be longer dependent on market conditions. 

Standard Life had already selected the M&G fund for closure under corporate action CA1563.  

As part of a regular review process, our governance team had already identified these funds as no longer delivering good customer outcomes and made the decision to close the funds before M&G announced their intentions to suspend their funds prior to full closure. This means we had already made an assessment on suitable alternatives and had written to customers to inform them of the change as part of a previous corporate action (CA1563). M&G’s actions will now supersede our previous plans under that corporate action.  

What does this mean for my clients?

  • As a result, we’ll be writing again to affected customers, to update them on the proposed actions being undertaken by M&G, the impact of M&G’s decision to close these funds and provide them with an updated timeframe
     
  • Customers who are invested in the fund don’t need to take any action if they’re happy with the replacement funds that we’re proposing. We’ll move their investments automatically into these new funds as the fund closure progresses and when we receive redemption proceeds from M&G as they sell their property portfolio. Details of the replacement funds can be found in the tables at the bottom of this page
     
  • We’ll continue to honour certain transactions (deaths/retirement/existing income drawdown and life product withdrawals) in line with our obligations to our customers
     
  • Our expectation is that we will receive redemptions proceeds as and when M&G sell the property assets within the funds. These proceeds will be passed through to our customers upon receipt from M&G
     
  • If a customer has an existing drawdown income payment or Life fund withdrawal which targets the funds, these will continue to be paid
     
  • If a customer wishes to increase the amount of these payments, they will be unable to select the funds for the disinvestment
     
  • Where a regular premium is being invested into the SL M&G Property Portfolio funds, we will arrange for the investment to be redirected into the appropriate replacement fund as per the tables below. We will also back date the redirection of the investment to the point at which the M&G fund was placed into suspension – 19 October 2023


Please speak to your Standard Life Account Manager for more information.
 

Group Pension Products and the Flexible Retirement Plan

Current fund – Group Pensions & Flexible Retirement Plan New fund – Group Pensions & Flexible Retirement Plan
SL M&G Property Portfolio Pension Fund
(fund code – 1M)		 Standard Life Property Pension Fund
(fund code – FM)

Individual Pension Products

Current fund – Individual Pension Products New fund– Individual Pension Products
SL M&G Property Portfolio Pension Fund (fund code – 1M) Standard Life Individual Property Pension Fund (fund code – NR)

Life Products

Current fund - Life Products New fund - Life Products
SL M&G Property Portfolio Life Fund    (fund code – 3F) Standard Life Property Investment Life Fund (fund code – YR)

 

The information on this site is for qualified financial advisers and must not be relied on by anyone else. If you are not an adviser please go to our customer website for more information about our products and services.