Change to lifestrategy funds

safe_hands2

I've had an email from Vanguard with the following information:

"We’re updating the classification of the LifeStrategy funds from ‘UK UCITS’ to ‘Non-UCITS Retail Schemes’ (or NURS).

Our LifeStrategy funds are ‘funds of funds’, which means they mostly invest in other funds – specifically, those managed by Vanguard. As the LifeStrategy funds grow, they may approach the maximum limit they can hold in another fund. This limit does not apply to NURS, so by changing the LifeStrategy funds’ structure, they can continue to invest in the underlying Vanguard funds in line with their current investment strategies. This means costs can be kept low, bringing value to investors."

This doesn't sound like anything to worry about, but as I don't really understand what it means, can anyone explain if there's any implications on my investment please?

El_Torro

Just sounds like a change to make sure they are compliant with regulation, no changes to the way the money is invested. Especially since as they say VLS funds only invest in Vanguard funds anyway. 


As you might have guessed I'm no more clued up about what it means than you are Doesn't sound like anything to worry about though. Maybe someone more clued up than us will comment at some point.

dunstonh

This doesn't sound like anything to worry about, but as I don't really understand what it means, can anyone explain if there's any implications on my investment please?

No issues.    UCITS has more restrictions than NURS.  

NURS can involve assets with less consumer protection, but just because it can doesn't mean it will.

It is not a concern.

Bostonerimus1

Yes nothing to worry about in itself. Vanguard Lifestrategy funds contain Vanguard funds and there are rules about the type and percentages of those constituent funds. What you should watch out for is any change in the rules about what and how much the fund buys.

safe_hands2

Thanks everyone.