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Prudential PruFund Growth Positive Unit Price Adjustments 25/08/2020

I have just finished listening to Prudential about their quarterly update on their ‘PruFund’ range of ‘smoothed’ multi asset funds.

PruFund Funds are reviewed for their Expected Growth Rates (EGR) and their Unit Price Adjustments (UPA) on either a monthly or quarterly basis.  They also have daily smoothing limits too.

The good news is that there has ben no change to EGRs, on PruFund Growth this remains the same at 5.70% gross per annum for pension and ISA investments.

Further good news on the UPA follows for Series A and Series D PruFund Growth:

Series A                                2.73% increase to fund value

Series D                                2.74% increase to fund value

The difference in increase is accounted for by a slight difference in product charges.

Series A covers Flexible Retirement Plan pensions and the ISA product and Series D covers the Prudential Retirement Account, earlier investments.

Please note that Series E for later Prudential Retirement Account investments had a positive UPA of 2.58% applied on 25/06/2020 on a monthly review.

‘Smoothing’ can include further price reductions as well as possible increases.  Volatility will remain based on the current market situation and outlook.

Different charging structures will impact on actual net returns as disclosed in reports etc.

Should you have any questions on the above please do not hesitate to contact me.

Steve Speed

25/08/2020