We are making changes to this fund on 16 February 2023. The changes are detailed in the following letter that was sent to Shareholders.
Effective from 1 February 2023, the Investment Policy for M&G (Lux) Dynamic Allocation Fund (the “Fund”) has been amended to allow the Investment Manager to access China A Shares through the use of a Qualified Foreign Investor (“QFI”) licence. There has been no change to the maximum amount the Fund is permitted to invest in China A Shares nor to its Investment Strategy.
The fund could previously access mainland China A-Shares indirectly via Shanghai Hong Kong Stock Connect and the Shenzhen-Hong Kong Stock Connect (the “Stock Connects”). The Stock Connects allow access to less than a third of Mainland China’s equity universe and their trading hours also differ from those of Mainland China’s exchanges, which further limits the Fund’s access to these exchanges.
The QFI status, which was granted to the Investment Manager by the China Securities Regulatory Commission, now allows the fund to invest directly in mainland Chinese exchanges, widening the fund’s investment universe, and allowing the fund manager to take advantage of investment opportunities in a more timely manner in accordance with the Fund’s Investment Policy.
Please refer to the new “Specific China QFI risks” section in the Fund’s Prospectus for further information.
The updated Investment Policy can be found in M&G (Lux) Investment Funds 1’s Prospectus which is available in this page’s “Key Documents” section.
The value and income from the fund's assets will go down as well as up. This will cause the value of your investment to fall as well as rise. There is no guarantee that the fund will achieve its objective and you may get back less than you originally invested. Past performance is not a guide to future performance.