Important PruFund information
We are pleased to confirm that the Expected Growth Rates (EGR) remain unchanged for the next quarter. The Expected Growth Rate is the annualised rate which will be applied daily to increase the unit price of the fund. They are set quarterly by the Prudential Assurance Company Ltd (PAC) Directors, having regard to the expected long-term investment return on the assets of the fund.
Find out the latest EGR rates and historic EGR rates.
The smoothing rules have resulted in unit price adjustments being applied to all of the funds in the PruFund range as specified below. These adjustments were applied on 25 August 2009.
| Flexible Investment Plan | |
| PruFund Growth Fund | +3.26% |
| PruFund Protected Growth Fund* | |
| Prudential Investment Plan | |
| PruFund Growth Fund | +3.26% |
| PruFund Protected Growth Fund* | +3.26% |
| PruFund Investment Plan | |
| PruFund Growth Fund | +3.26% |
| PruFund Growth & Income Fund | +3.25% |
| Flexible Retirement Plan Trustee Investment Plan |
|
| PruFund Growth Fund | +8.15% |
| PruFund Protected Growth Fund* | |
| International Prudence Bond | |
| PruFund Growth (Sterling) Fund | +8.15% |
| PruFund Protected Growth (Sterling) Fund | |
| PruFund Growth (Euro) Fund | +4.88% |
| PruFund Protected Growth (Euro) Fund | |
| PruFund Growth (US Dollar) Fund | +4.73% |
| PruFund Protected Growth (US Dollar) Fund |
*Closed to new business with effect from 3 August 2009
These adjustments have been carried out in line with the disclosed smoothing rules and reinforce that the smoothing formula is behaving exactly as it was designed to.
Planholders who invested in the holding account on or after 26 May 2009 will not be impacted by these adjustments.
The PruFund Cautious Fund and PruFund Protected Cautious Fund (launched on 25 August 2009), have a starting unit price of 100.0p. Any investments in these funds prior to this date have been invested in the relevant holding account and will now be switched into the smoothed funds.
Why are the Unit Price Adjustments (UPAs) different across the range of funds?
There are different start dates, asset allocations and/or currencies across the PruFund Range of Funds, and as a result the size and timing of UPAs may differ across the range. Additionally, the tax treatment of some funds (specifically the Pensions and International series) is different to the tax treatment applying to the Life series.
Latest PruFund Growth Fund performance Vs industry indices
The table below shows the performance of the PruFund Growth Fund which was launched on 25 November 2004 and is available on the Flexible Investment Plan and Prudential Investment Plan. The PruFund Protected Growth Fund (previously available on these products) mirrors the performance of this fund.
The performance of the pension and offshore variants of these funds will differ due to the different tax treatment of the funds. In addition, the Euro and Dollar variants of the funds will have different performance as they are invested in appropriate assets relative to the denomination of the fund.
Until we have at least one year's performance on the full range of PruFund Funds, we will continue to show the performance of the PruFund Growth Fund only.
| Since launch 26/11/04 - 25/08/2009 |
|
| PruFund Growth Fund | +24.1% |
| FTSE 100* | +22.3% |
| ABI Defensive (up to 35% Equity) Managed Sector | +10.1% |
| ABI UK Cautious (up to 60% Equity) Managed Sector* | +9.0% |
| ABI Balanced (Up to 85% Equity) Managed Sector | +16.1% |
| FTSE All Share* | +24.9% |
PruFund returns shown above are gross of applicable plan charges, including AMC but net of tax.
* As at close of business 21 August 2009. Source: Lipper, bid to bid, net income reinvested but net of fund tax.
