Choosing your fund options

Whatever investment you’re considering, you must first decide on the level of risk you’re comfortable with taking and the level of return you’re looking for in the long term.

Choosing the right mix of asset classes

Generally speaking, if you’re willing to take more risk with the goal of achieving a higher level of return from your investment, your portfolio may hold more company shares (also referred to as equities). 

As you grow older, your appetite for risk will probably decrease. The general rule of thumb used to be that the percentage of bonds you hold is likely to increase. However, a reasonable asset mix for you will also depend on other factors. 

You may want to increase the percentage of bonds you hold if:

  • your priority is to have a more secure investment, particularly in the run-up to retirement
  • you’re comfortable with lower growth potential in order for your investment to have the potential to generate a more predictable income

No asset class is free from risk. Using the different characteristics of each asset class in a balanced portfolio can help to smooth fluctuations in performance and balance risk.

We are unable to give financial advice. If you are unsure about the suitability of your investment, speak to your financial adviser. The views expressed on this page should not be taken as a recommendation, advice or forecast.

The value of your investment can go down as well as up so you might not get back the amount you put in.

Building block funds vs stand-alone funds

To further help you decide which funds are appropriate for your needs you should consider whether you would prefer investing in our building block funds or stand-alone funds.

Funds within the equities and fixed income asset classes are what we consider 'building block' funds. Funds within these asset classes should be held as part of a wider investment portfolio. In other terms you should consider creating a ‘diversified portfolio’, where an investment portfolio is spread across a blend of asset classes like equities and bonds. As different asset types are likely to perform well at different times and in different market conditions, investing in a good mix means you won't have ‘all your eggs in one basket’ and could mean more consistent returns over the long term too.

To help you easily identify our 'building block' funds you will see the following icon displayed on the fund pages of our building block funds. 

Our multi-asset funds are what we class as 'stand-alone' funds. You can hold these funds individually, and not necessarily as part of a wider investment portfolio. Multi-asset funds spread your money across different asset types so you don't have ‘all your eggs in one basket’, offering you an off-the-shelf solution if you’re looking for diversification in one investment.

To help you easily identify our stand-alone funds you will see the following icon displayed on our multi-asset fund pages.

Understanding our funds

At M&G, understanding is at the heart of what we do. Here we explain a little more about each asset class to help you decide which fund or funds might be right for you.


Your financial choices help to shape the world we live in. Some of the money you invest has the potential to fund something better: for people, for communities, and for the planet.


Multi-asset funds typically invest across a range of assets, thereby offering investors a mix of equities, fixed income securities, cash and currencies in a single portfolio.


Equities are shares of ownership in a company. Over the long term, investing in equities has the potential to generate higher returns, which could help you meet your investment objectives.

Fixed income (bonds)

Fixed income securities, also known as bonds, potentially offer a more predictable income for investors when compared to riskier asset classes, such as equities, and could help to bring an important element of diversification to your investment portfolio.

Share classes

For the majority of M&G funds, Investors can choose between three share classes. Each share class has been designed with different investment needs in mind.

Understanding our charges

We believe it is important that you understand our charges when you invest with us.

Fund Charges Calculator

Our calculator can help you see the amount of charges, in pounds and pence, you might expect to pay on the different funds in our range. Please note that this tool is for guidance only and charges are subject to change.

Annual Value Assessment

A review of our charges, performance, service and products.


Our annual assessment of the value provided to investors in each of M&G’s UK-based funds is designed to help you to see whether M&G’s charges are justified in the context of the overall service we deliver. 

Fund Charges

Our charges vary between the funds that you can invest in, and then by the class of share you might hold. The more you invest in a fund, the lower your charges will be as a percentage of your investment.


For details of the latest charges for each fund, please see our table of ongoing charges

Further information

Looking for advice

If you’re looking to invest, switch funds or transfer an investment, there’s a few reasons you might consider getting financial advice.
Find out more


We’ve put together a list of the most common financial jargon you might hear when investing and explained it all in plain English. 
Find out more

Your questions answered

You can quickly find the answer to most investment questions by searching our range of FAQ categories below.
Find out more

Contact the team

Contact us