The Target Date Funds (TDFs) used as the default investment arrangement for members of the DC Section of the Scheme are ‘wrapper’ funds which invest in a range of equity, bond, and diversified investments managed by AllianceBernstein ("AB").
Each TDF is a multi-asset investment fund, where the underlying investment components are anchored to a long-term asset allocation strategy. Each TDF includes a diversified mix of opportunities from across the investment spectrum and from around the world. These are implemented through individual stocks as well as through funds as components. AB sources the investments from other fund managers, and some are designed as custom investment components for the TDFs. These are not all publicly available for wider access, or publicly reported upon (via Trustnet, for example).
Custom investment components: Examples of the custom investment components include Private Equity and Sustainable Opportunities. Since 2021 AB has been adding to these components to further diversify the range of growth-oriented investments within the TDFs, and to enhance long-term return opportunities without changing the risk profile of the TDFs.
Private Equity: Invests in a combination of listed public equity of private equity-related companies and investment trusts, along with an index-tracking fund.
Sustainable Opportunities: Includes holdings in renewable energy infrastructure like wind, solar, and battery storage, and digital infrastructure that serves to connect and empower individuals and businesses.
Target Date Fund Charges: Each member pays a single all-in charge. There are no additional costs derived from the investment components, including if/when they change and new ones are added, or through the method of investment implementation.
Fund identifiers for ‘wrapper’ funds: In line with The Pension Regulator’s guidance for a ‘wrapper’ fund such as a TDF, we have provided ISINs for the underlying funds below.
The information is correct at 31 December 2024 and is reviewed quarterly.
Please note that the mix of underlying investment components, holdings, and funds in which a TDF invests can change over time to provide a smoother investment journey towards a targeted retirement date.
You can download factsheets for each of the TDFs (as at 31 December 2024) here.
Diversifiers |
|
Underlying fund/investment |
|
Private Equity
|
Custom sleeve
|
iShares MSCI World SRI UCITS ETF – IE00BMZ17T93 |
| Property & Infrastructure |
Global Real Estate |
Amundi Index FTSE EPRA NAREIT Global – LU1854486229 |
|
AB Sustainable Opportunities
|
Amundi Index MSCI World SRI – LU2022263029 |
|
| Private Credit | Private Credit 1 |
Amundi Global Corp SRI 1 to 5 Years GBP-Hgd UCITS ETF - LU2382233182 |
| Private Credit 2 |
Amundi Global Multi-Factor Equity (Unhedged) - FR0013443215 |
|
| Commodities | Commodities |
iShares Roll Select Commodity Index Fund – IE00B79N2S02 |
Bonds |
|
Underlying fund/investment |
| UK Government – Fixed |
Short Duration Medium Duration Long Duration |
Aquila Life Up to 5 Years UK Gilt Index Fund – GB00B00C2321 Aquila Life 5 to 15 Years UK Gilt Index Fund – GB00B00C1M40 Aquila Connect Over 15 Year Gilt Fund – GB00B00C3H37 |
| UK Government – Index Linked |
Short Duration Long Duration |
Aquila Life Up to 5 Years Index-Linked Gilt Index Fund – GB00B00C2214 Aquila Connect Over 5 Year Index-Linked Gilt Fund – GB00B00C3J50 |
| Corporate – Investment Grade |
ESG Global Corporate Bonds (AB Blended Global Bond) ESG Short Duration Global Credit |
iShares ESG Screened Global Corporate Bond Index Fund Hedged –IE00BP2C1Z01 Amundi Global Corp SRI 1 to 5 Years GBP Hgd – LU2382233182 |