Objective, policy and name changes – Threadneedle UK Corporate Bond Fund
Effective from the 31 August 2019, Columbia Threadneedle will be making changes to the objective and policy of the Threadneedle UK Corporate Bond Fund. At the same time it will also change the fund’s name to Threadneedle Sterling Corporate Bond Fund. It believes these changes provide a better description of how the fund is managed.
Impacts on
these guided-architecture products
Impacts on
open architecture products including
- PIMS
- Choice
- Select
Summary of change
Columbia Threadneedle ("Threadneedle") is making some changes to the wording of the objective and policy of the fund to allow the fund to invest more broadly in sterling denominated bonds and provide more detail and clarity of how the fund is invested. The new objective and policy reflect that the fund invests mainly in investment grade sterling denominated corporate bonds issued by UK companies and non-UK companies, and corporate bonds issued in other currencies that have been hedged back to sterling.
The fund already holds some investments in countries worldwide, and this revised description has the effect of allowing the fund to hold a greater proportion of bonds from issuers outside of the UK and Europe, if that is considered appropriate. In addition, the objective and policy provide details of other asset classes the fund may hold.
Information is also included regarding the benchmarks used as a point of reference against which the fund’s performance may be compared.
As the fund has the flexibility to invest in non-UK corporate bonds, Threadneedle has decided to change the fund’s name to reflect its wider investment universe, as well as its exposure to sterling.
We have written to our guided-architecture policyholders, or their appointed investment adviser, informing them of the changes. Servicing financial advisers will receive a sample of the letter for their information.
You can view samples of the policyholder and investment adviser letters opposite along with the Threadneedle notification.
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For more information about Threadneedle visit www.columbiathreadneedle.com