Which funds are affected?
- Phoenix
Wealth M&G Property Portfolio fund (temporarily suspended)
- Phoenix
Wealth M&G Property Portfolio fund S3 (temporarily suspended)
- Phoenix
Wealth M&G Property Portfolio fund S4 (temporarily suspended)
- And the M&G Property Portfolio fund itself, available through a self-invested policy
Why is this happening?
The M&G
Property Portfolio fund invests mainly in physical assets, such as buildings
and land. In much the same way as selling residential property can take time,
it can take time to sell commercial property. It’s important to get the best
price for a property and therefore the best deal for investors in the fund.
When the
number of requests to take money out or switch to another fund exceeds the rate
at which properties can be sold at a favourable price for investors, M&G can
decide to introduce a delay period. This allows properties to be sold in a
controlled way and is generally considered to be in the best interests of both
those who wish to leave the fund and those who wish to stay in it.
What does this mean for customers invested
in one of these funds?
- The fund suspension
means that you are currently unable to pay into, or make withdrawals from the
fund until it starts dealing again.
- If you have any
ongoing transactions that are impacted by this suspension, we’ll let your
adviser know what action you can take. If you don’t have an adviser, we’ll
contact you directly.
- M&G
is decreasing the annual management charge on its fund by 30% during suspension
and as a result we will pass these savings on.
We will continue to update our website when we receive further information.
If you have a policy query, please call us on 0345 129 9993. We're here
from 8.30am to 5.30pm, Monday to Friday.
You can find more information on this
suspension, and the latest updates, on the M&G website.