Changes to the underlying funds of various GAM Star Global Funds
22 Nov 2024
- S129 GAM Star Global Balanced (EUR)
- S127 GAM Star Global Balanced (GBP)
- S128 GAM Star Global Balanced (USD)
- S132 GAM Star Global Growth (EUR)
- S130 GAM Star Global Growth (GBP)
- S131 GAM Star Global Growth (USD)
- S126 GAM Star Global Cautious (EUR)
- S124 GAM Star Global Cautious (GBP)
- S125 GAM Star Global Cautious (USD)
(Together the “Affected Mirror Funds”)
We have been notified by GAM Star Fund plc (the “Company”) of various changes to the underlying funds of the Affected Mirror Funds. These changes will take effect 27 November 2024 (the “Effective Date”).
Summary of changes to the objective and policy
The Company has advised us that the investment objective of the underlying funds of the Affected Mirror Funds will change from a capital growth approach to a capital preservation approach accompanied by stable returns. The revised investment objective will be to ‘achieve capital preservation accompanied by stable returns via dynamic asset allocation’.
The investment policy of the underlying funds will change to a direct and indirect multi-asset strategy as opposed to generating indirect exposure only to different asset classes via investment in collective investment schemes.
The Company believes that the changes to the investment objective and policy of each of the underlying funds will enhance the Company’s product offering by emphasising a direct investment approach over indirect investment in other funds. The Company’s investment team has been consolidated and strengthened to more efficiently meet client’s needs, achieve their risk/return goals and optimise risk management.
As the above is just a summary, further details of the objective and policy changes applicable to the underlying funds of each Affected Mirror Funds can be found in the Appendix in the Sample Letter opposite.
Change of benchmark
The benchmark for the underlying funds of the Affected Mirror Funds, used for performance monitoring purposes, will be changed to a ‘Risk-Free Rate’ as appropriate for the relevant class currency. Please refer to the Appendix in the Sample Letter for further details.
Change of name to GAM Star Global Balanced and GAM Star Global Growth
The Company has decided to change the names of the underlying funds of the Affected Mirror Funds to better reflect the investment objective and policy changes. To reflect how the underlying fund
names will be amended, on the Effective Date, the names of our Affected Mirror Funds will be updated in line with these, as follows:
| Affected Mirror Fund name before Effective Date | Affected Mirror Fund name after Effective Date |
|---|---|
| S129 GAM Star Global Balanced (EUR) | S129 GAM Star Global Flexible (EUR) |
| S127 GAM Star Global Balanced (GBP) | S127 GAM Star Global Flexible (GBP) |
| S128 GAM Star Global Balanced (USD) | S128 GAM Star Global Flexible (USD) |
| S132 GAM Star Global Growth (EUR) | S132 GAM Star Global Aggressive (EUR) |
| S130 GAM Star Global Growth (GBP) | S130 GAM Star Global Aggressive (GBP) |
| S131 GAM Star Global Growth (USD) | S131 GAM Star Global Aggressive (USD) |
Policyholders do not need to take any action as a result of the above if they are happy with the changes.
We recommend that policyholders seek the advice of their usual financial adviser before making any investment decisions.
Should you have any questions regarding these changes, please contact the Investment Marketing team.
For further information on the underlying GAM funds please visit www.gam.com
