Notification of closure of various Emirates Funds

26 Jun 2024

Notification of closure of:

• R94 Emirates NBD Balanced Managed
• R95 Emirates NBD Active Managed

(together the “Affected Mirror Funds”)

We have received notification from the board of directors of Emirates NBD SICAV (the “Company”) of its decision to terminate and liquidate the underlying funds of the Affected Mirror Funds, with effect from 19 June 2024 (the “Effective Date”), due to the value of the underlying assets no longer allowing for economically efficient management. The underlying funds closed to new investment effective 19 June 2024 and the Company expect the liquidation to be finalised on or around 1 July 2024 (the “Liquidation Date”).

Accordingly, the Affected Mirror Funds have been closed to new investment with immediate effect, and will fully close following the Liquidation Date.

When a FPIL fund is closed, we select another fund from our internal fund range (a “Default Replacement Mirror Fund”) to act as an alternative investment for the resulting proceeds being switched out of the closing fund. The below table details the Default Replacement Mirror Funds we have selected:

Any regular premium or contributions to the Affected Mirror Funds have been redirected to the relevant Default Replacement Mirror Funds with immediate effect and we will no longer accept any instructions to switch in, or request to increase regular premium payments, to the Affected Mirror Funds.

Policyholder unit holdings in the Affected Mirror Fund(s) will be switched to the relevant Default Replacement Mirror Fund(s) following receipt of the liquidation proceeds from the Company, which is anticipated to be the week commencing 1 July 2024.

We select a Default Replacement Mirror Fund based on various factors which include but are not limited to (1) investment objective and strategy, (2) assets mix, (3) risk profile and (4) currency denomination. Please refer to the Appendix in the sample client communication opposite for comparative information between the Affected Mirror Funds and the Default Replacement Mirror Funds.

Policyholders can choose to switch their current holdings in the Affected Mirror Fund(s) and/or redirect premiums or contributions, into a different fund in the FPIL range. Policyholders can do this at any time, but in order to override the switch of holdings to the Default Replacement Mirror Fund(s) that we have selected, we require alternative instructions by 3pm UK time on Friday 28 June 2024. 

Whilst appropriate due diligence has been carried out on the Default Replacement Mirror Funds, we do not accept any liability for the future performance of these, or any other FPIL mirror fund. No FPIL charges will arise from these transactions.

These changes will happen automatically within affected policies and policyholders do not need to take any action if they agree with the stated 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.