Fund merger - Goldman Sachs BRIC Equity Portfolio fund
On 16 November 2020, the Goldman Sachs BRIC Equity Portfolio fund will close by way of merger.
Impacts on
these defined fund range product
Impacts on
open-architecture products including
- PIMS
- Choice
- Select
BACKGROUND TO THE MERGER
The Board of Directors of Goldman Sachs Funds ("Goldman Sachs") has announced that it will be merging the Goldman Sachs BRIC Equity Portfolio fund ("the merging fund") into the Goldman Sachs Emerging Markets Equity Portfolio fund. The Board believes that there has been an evolution in the investment market away from thematic investing and that investors would be better served with broad-based emerging market exposure, with the flexibility to invest across countries and sectors that present the best investment opportunities.
We have decided not to accept the merger and instead will switch holdings into the Schroder ISF BRIC fund (the “receiving fund”), which we feature in the existing fund range. As this is more similar to the merging fund, it allows investors to continue to access the BRIC Equity sector.
THE ACTION WE HAVE TAKEN WITH IMMEDIATE EFFECT FOR OUR DEFINED FUND RANGE PRODUCT PLAN OWNERS
We have closed the merging fund to new business and switches in with immediate effect. Existing investors in the fund can continue to invest in the fund until Wednesday 11 November 2020, after which point holdings will be automatically switched, and any regular premium allocation redirected, into the receiving fund.
We have written to plan owners, or their appointed investment adviser, impacted by the merger informing them of the action we have taken and their option for switching to a new fund if they prefer. Servicing financial advisers will receive a sample of the letter for their information. Samples of these letters can be found opposite.
| Merging fund details | Receiving fund details |
|---|---|
| Goldman Sachs BRIC Portfolio Acc USD ISIN: LU0234580636 | Schroder ISF BRIC A Acc USD ISIN: LU0228659784 |
| Goldman Sachs BRIC Portfolio Acc EUR Hgd ISIN: LU0248245358 | Schroder ISF BRIC A Acc EUR ISIN: LU0232931963 |
ACTION TO BE TAKEN FOR OPEN-ARCHITECTURE PLAN OWNERS
Portfolio bond investors with units in the merging fund will automatically transfer into the Goldman Sachs Emerging Markets Equity Portfolio fund on the merger date. If Plan owners do not wish to invest in this fund, they can complete a dealing instruction and send it to us before the dealing cut-off date or, if registered for online dealing, complete a deal online in our Online Service Centre. Further details, including dealing cut-offs are available in the Goldman Sachs notification opposite.