Legal & General index tracker funds expand choice on Portfolio Bond range of products

Legal & General index tracker funds expand choice on Portfolio Bond range of products

The Publicity Team

Legal & General House

Kingswood

Tadworth

Surrey KT20 6EU

Telephone 01737 374443

Fax 01737 374275

Website

www.legalandgeneral.com

Legal & General is launching six internal index tracker funds on its Portfolio Bond on 8 April, increasing the range to include a wider choice of geographical sector funds.

The new funds added are:

Legal & General UK Equity Index Fund

Legal & General European (excluding UK) Equity Index Fund
Legal & General Global 100 Equity Index Fund

Legal & General Japan Equity Index Fund
Legal & General Pacific (excluding Japan) Equity Index Fund
Legal & General US Equity Index Fund

The new funds will be available on all three charging options of the Portfolio Bond (standard, initial and high allocation)* either direct to Legal & General or on the Cofunds platform and through the
Legal & General Discounted Gift Portfolio Bond.

Simon Pistell, Legal & General’s Managing Director, Savings Business said, “We are committed to offering an extensive choice of funds that allow IFAs to closely match clients’ objectives, keeping charges low and improving reduction in yield (RIY) long term. The consensus view is equity markets around the world are expected to rise again and for long-term investors this probably represents a buying opportunity. However, equity markets are likely to continue to be volatile for some time yet. Perhaps for this reason, tracking an Index may represent an attractive option for investors who are seeking to capture any potential growth. At Legal & General we have long held the view that both active and passive funds have an important part to play in a balanced portfolio.

That is why we’re increasing the range of index tracker funds available to bond investors. Our ‘High Allocation’ charging option provides an additional benefit of an immediate gain on investment in Portfolio Bond, which could further enhance potential returns from any recovery in equity markets.”

The total fund choice on both Portfolio Bond and Portfolio Plus SIPP extends to more than 320 insured funds from over 50 leading fund managers, one of the widest choices of insured funds available, and over 2,000 Investments in the Collectives Fund Supermarket through Cofunds.

Legal & General is writing to financial advisers to inform them of the new funds available on its Portfolio Bond range. Customers and IFAs need take no action, although they could choose to review their fund choice in light of the additional options. IFAs, who require more information should contact their normal Legal & General representative or call the Investment Helpdesk 0845 070 6452. Lines are open from 9am to 5pm Monday to Friday. We may record and monitor calls. Call charges will vary.

Note*: Portfolio bond offers three charging options:

Standard - No initial charge for allocations above 100%, level annual fund charges taken throughout the investment period (basic allocation rates up to 102.00%).

Initial - Initial charge taken up front from the investment premium, level annual fund charges throughout the investment period, loyalty bonuses at the 5th and 10th anniversaries (basic allocation rates up to 96.75%).

High Allocation - High initial allocation, establishment charge for the first seven years, level annual fund charges taken throughout the investment period (allocation rates up to 106.25%).

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