We regularly review and update our funds to ensure they continue to meet their objectives and provide value for our customers. Here you can find the latest information on changes, important notices, and other updates that may affect your investments.
Workplace Pensions
July 2026
Change to the name and objective of the Prudential International Bond Fund
We’ve changed the underlying fund that the Prudential International Bond Fund invests in. As a result, we have also changed the name and objective of the Fund with effect from 27 July 2026.
We chose to switch to the alternative underlying fund as we believe there was potential for poor customer outcomes in the previous fund. We believe the switch to the new underlying fund helps to mitigate against this risk and allows customers in the insured fund to continue receiving appropriate outcomes.
There are no changes to the Prudential risk rating or Annual Management Charge.
The table below shows the details of the change:
| Fund details before change | Fund changes after change |
|---|---|
Prudential International Bond Fund | Prudential Global Government Bond Fund |
Objective: The investment strategy of the fund is to purchase units in the M&G PP International Bond Fund - the underlying fund.
Underlying fund objective: The fund invests in all the major government bond markets outside the UK with principal holdings in the US, Japan and Europe. The fund aims to outperform the benchmark by 0.75% per annum before fees on a rolling three-year basis. | Objective: The investment strategy of the fund is to access the M&G Global Government Bond Fund - the underlying fund.
Underlying fund objective: The fund aims to provide a combination of capital growth and income, net of the Ongoing Charge Figure, higher than the average return of the Bloomberg Global Treasury Index over any five-year period. |
August 2024
Changes to our PDG IV Lifestyle Options
From August 2024, we added the Prudential Dynamic Growth V (PDG V) Fund into the Prudential Dynamic Growth IV (PDG IV) Lifestyle Options.
This change impacted members at different times, depending on which PDG IV Lifestyle Option they were invested in.
Members who were less than 15 years from retirement weren't impacted.
We also made a slight change to the name of the PDG IV Lifestyle Options.
The table below shows the details of the change:
| Name of Lifestyle Option before the change | Name of Lifestyle Option after the change |
|---|---|
| Prudential Dynamic Growth IV Targeting Annuity | Prudential Dynamic Growth Targeting Annuity |
| Prudential Dynamic Growth IV Targeting Cash | Prudential Dynamic Growth Targeting Cash |
| Prudential Dynamic Growth IV Targeting Drawdown | Prudential Dynamic Growth Targeting Drawdown |
November 2024
Closure of the Prudential UK Smaller Companies fund
We’ve closed the Prudential UK Smaller Companies fund and moved members' money to the Prudential UK Equity fund with effect from 19 November 2024.
We’ve also redirected any future contributions due to be paid to the Prudential UK Smaller Companies fund into the Prudential UK Equity fund.
The table below shows the details of the change:
| Closing fund | Alternative fund |
|---|---|
| Prudential UK Smaller Companies | Prudential UK Equity |
We’ve chosen the Prudential UK Equity fund from our current fund range as the alternative fund as it has the most similar investment objectives to the fund we've closed.
Historical
Earlier fund closures
The table below shows the details of the change:
| Closing fund | Alternative fund | Date of closure |
|---|---|---|
| Baillie Gifford Sustainable Growth | Prudential M&G Positive Impact | 11 March 2024 |
| Baillie Gifford Diversified Growth | Prudential Dynamic Growth II | 11 March 2024 |
| Prudential Threadneedle Property S3 fund | Prudential Dynamic Growth I S3 (PDGI) | 19 January 2022 |
| Prudential UK Property S3 | Prudential Dynamic Growth I S3, or an alternative fund selected by an individual member or scheme. | 22 June 2021 |
| Prudential UK Property S1 | Trustees of each individual scheme chose the alternative fund for the scheme and notified their members.Where trustees did not choose an alternative we moved members’ investments to the Prudential Discretionary S1 fund | 3 June 2021 |
| Prudential Threadneedle Adventurous Pathway | Prudential Dynamic Global Equity Passive | 25 January 2021 |
| Prudential Threadneedle Balanced Pathway | Prudential Dynamic Growth V | 25 January 2021 |
| Prudential Threadneedle Cautious Pathway | Prudential Dynamic Growth III | 25 January 2021 |
| Prudential Threadneedle European Equity | Prudential Europe Equity Passive | 25 January 2021 |
| Prudential Threadneedle UK Equity High Alpha | Prudential UK Equity | 25 January 2021 |
Pension and investment funds
Our funds may be subject to changes, and we want to keep you informed with what's happening. You'll find information on recent changes below.
We'd recommend reviewing this section if you’re considering your investment choices. This content is for information purposes only. Please speak to your financial adviser if you require any more information.
February 2026
Change to the objective of the Prudential Royal London Sustainable Leaders Fund
This Prudential fund invests in an underlying fund managed by Royal London. The manager has made changes to the underlying fund’s objective to provide further clarity for customers. As a result, we’ve updated the objective of the Prudential fund.
There are no changes to the Prudential risk rating or fund charges.
The table below shows the details of the change:
Previous objective | Updated objective |
|---|---|
Objective: The investment strategy of the fund is to purchase units in the Royal London Sustainable Leaders Trust - the underlying fund. Underlying Fund Objective: The Scheme’s financial objective is to achieve capital growth over the medium term, which should be considered as a period of 3-5 years and to outperform the FTSE All-Share Index (the "Index") over a rolling 5-year periods. There is however no certainty or promise that the Scheme will achieve this performance target.
The Scheme’s sustainability objective is to invest in companies that make a positive contribution to one or more of the “Sustainability Themes” (listed below), through their products or services as determined by the Investment Adviser using its Sustainability Standard (as defined in the Investment Strategy).
The fund is actively managed and may invest in a range of other assets, including derivatives, for diversification, liquidity or efficient portfolio management (“EPM”) purposes:
| Objective: The investment strategy of the fund is to purchase units in the Royal London Sustainable Leaders Trust - the underlying fund. Underlying Fund Objective: The fund is actively managed and aims to achieve capital growth where at least 80% of the fund is invested in shares of UK companies that are listed in the UK. UK companies are those that are either domiciled in, incorporated in, or have a significant economic exposure to, the UK.
The remainder of the fund (up to 20%) may be invested in shares of overseas listed companies. Overall, at least 70% of the fund is invested in sustainable companies or issuers and up to 30% may be held in non-sustainable companies or issuers (as defined in the Investment Strategy section). The remaining portfolio will not conflict with the sustainability objective of the fund which includes “Screening for conflict with the sustainability objective”.
The Scheme’s sustainability objective is to invest in companies that make a positive contribution to one or more of the “Sustainability Themes” (listed below), through their products or services as determined by the Investment Adviser using its Sustainability Standard (as defined in the Investment Strategy).
The fund is actively managed and may invest in a range of other assets, including derivatives, for diversification, liquidity or efficient portfolio management (“EPM”) purposes:
|
February 2026
Change to the objective of the Prudential Baillie Gifford American Fund
This Prudential fund invests in an underlying fund managed by Baillie Gifford. The manager has made changes to the underlying fund’s objective. As a result, we’ve updated the objective of the Prudential fund.
There are no changes to the Prudential risk rating or fund charges.
The table below shows the details of the change:
Previous objective | Updated objective |
|---|---|
Objective: The investment strategy of the fund is to purchase units in the Baillie Gifford American Fund - the underlying fund. Underlying Fund Objective: The objective is to produce capital growth over the long term. The fund will invest principally in equities of companies which are listed, quoted, traded, incorporated, domiciled or conducting a significant portion of their business in the United States of America. Investment may be direct or indirect and the portfolio will be concentrated, usually between 30-50 stocks. The fund may also invest in other equities, cash and near cash. Up to (but no more than) 10% in value of the-fund may be invested in each of the following: (1) collective investment schemes, including those managed or operated by the ACD and (2) deposits. The fund will be actively managed, and investment may be made in any economic sector. Performance Objective: To outperform (after deduction of costs) the S&P 500 Index, as stated in sterling, by at least 1.5% per annum over rolling five-year periods. | Objective: The investment strategy of the fund is to purchase units in the Baillie Gifford American Fund - the underlying fund. Underlying Fund Objective: The objective is to produce capital growth over the long term. The fund will invest principally in equities of companies which are listed, quoted, traded, incorporated, domiciled or conducting a significant portion of their business in the United States of America. Investment may be direct or indirect and the portfolio will be concentrated, usually between 30-50 stocks. The fund may also invest in other equities, cash and near cash. Up to (but no more than) 10% in value of the-fund may be invested in each of the following: (1) collective investment schemes, including those managed or operated by the ACD and (2) deposits. The fund will be actively managed, and investment may be made in any economic sector. Performance Objective: To outperform (after deduction of costs) the S&P 500 Index, as stated in sterling, over rolling five year periods. |
January 2026
Closure of the Prudential Fidelity Asia Fund
We closed the Prudential Fidelity Asia Fund on 16 January 2026, as our confidence in the fund producing consistent returns in the future has reduced.. The Prudential Asia Pacific Fund was selected as the replacement fund. The costs and charges for this replacement fund will be lower.
We’ve included information on the fund objective, risk rating and fund costs and charges for the closing fund and our selected replacement fund below. To find the fund series you're invested in, check your letter, annual statement or speak to your financial adviser.
May 2025
Change to the objective and benchmark of the Prudential M&G UK Sustain Paris Aligned Fund
The fund manager, M&G, applied a Sustainability “Improvers” label to the UK Sustain Paris Aligned fund as part of the Sustainability Disclosure Requirements (SDR). As a result of this, the fund objective and benchmark changed to enhance and clarify the Fund’s ESG-related disclosures.
The fund will continue to be managed in the same way, there is no change to the Prudential risk rating or fund charges.
The table below shows the details of the changes:
Previous benchmark | Updated benchmark |
|---|---|
FTSE All-Share Index | FTSE Custom All-Share ex IT Exclusions 5% Capped Index |
Previous objective | Updated objective |
Objective: The investment strategy of the fund is to purchase units in the M&G UK Sustain Paris Aligned Fund - the underlying fund. Underlying Fund Objective: The fund has two aims:
At least 80% of the fund is invested directly in equities and equity related securities of companies, across any sector and of any size, which are incorporated, domiciled or do most of their business, in the UK. The fund is concentrated and usually holds shares in fewer than 50 companies. The fund invests in securities that meet the ESG Criteria and Sustainability Criteria. The following types of exclusions apply to the fund's direct investments:
| Objective: The investment strategy of the fund is to purchase units in the M&G UK Sustain Paris Aligned Fund - the underlying fund. Underlying Fund objective: The Fund aims to:
*The overarching Paris Agreement climate change goal is to hold the increase in the global average temperature to well below 2 °C above pre-industrial levels and pursue efforts to limit the temperature increase to 1.5 °C above pre-industrial levels. The principal way to achieve this is to avoid the buildup of greenhouse gases, which in turn will prevent the most severe impacts of climate change, such as extreme weather events, sea-level rise, and biodiversity loss. **The long term target is for investments made by the Fund to reach Net Zero by 2050. Derivatives may be used for Efficient Portfolio Management and hedging. |
Prudential International Investment fund
Our Prudential International funds may be subject to changes, and we want to keep you informed with what's happening. You'll find information on recent changes to Prudential International funds below.
We'd recommend reviewing this section if you’re considering your investment choices. This content is for information purposes only. Please speak to your financial adviser if you require any more information.
We offer a range of funds you can invest in. You can find the relevant Key Information and Investment Option documents for each fund here.
For more information about our available fund range, please read our client fund guides:
May 2024
Change to the objectives PIA PruFund Risk Managed Funds
Following a review we have made some changes to the objectives of the PIA PruFund Risk Managed Funds to aid consistency. The changes are to wording only, the investment strategy and operation of the funds remains unchanged.
The table below shows the details of the changes:
| PIA PruFund Risk Managed 1 | |
| Previous objective | Updated objective |
The fund aims to achieve long-term total return (the combination of income and growth of capital). The fund is actively managed and aims to limit the fluctuations ('volatility') your investment experiences, after allowing for smoothing, to 9% per annum over the medium to long-term. There is no guarantee that the fund will achieve its objective of managing the volatility to the target level. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
| PIA PruFund Risk Managed 2 | |
| Previous objective | Updated objective |
The fund aims to achieve long-term total return (the combination of income and growth of capital). The fund is actively managed and aims to limit the fluctuations ('volatility') your investment experiences, after allowing for smoothing, to 10% per annum over the medium to long-term. There is no guarantee that the fund will achieve its objective of managing the volatility to the target level. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
| PIA PruFund Risk Managed 3 | |
| Previous objective | Updated objective |
The fund aims to achieve long-term total return (the combination of income and growth of capital). The fund is actively managed and aims to limit the fluctuations ('volatility') your investment experiences, after allowing for smoothing, to 12% per annum over the medium to long-term. There is no guarantee that the fund will achieve its objective of managing the volatility to the target level. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
| PIA PruFund Risk Managed 4 | |
| Previous objective | Updated objective |
The fund aims to achieve long-term total return (the combination of income and growth of capital). The fund is actively managed and aims to limit the fluctuations ('volatility') your investment experiences, after allowing for smoothing, to 14.5% per annum over the medium to long-term. There is no guarantee that the fund will achieve its objective of managing the volatility to the target level. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
| PIA PruFund Risk Managed 5 | |
| Previous objective | Updated objective |
The fund aims to achieve long-term total return (the combination of income and growth of capital). The fund is actively managed and aims to limit the fluctuations ('volatility') your investment experiences, after allowing for smoothing, to 17% per annum over the medium to long-term. There is no guarantee that the fund will achieve its objective of managing the volatility to the target level. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
May 2024
Change to the objective of the PIA PruFund Growth Fund
Following a review we have made some changes to the objective of the PIA PruFund Growth Fund to aid consistency with other PruFunds.
The changes are to wording only, the actual investment strategy and operation of the funds remain unchanged.
The table below shows the details of the changes:
| Previous objective | Updated objective |
|---|---|
The fund aims to maximise growth over the medium to long-term by investing in shares, property, fixed interest and other investments. The fund currently invests in UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. | The fund aims to produce growth over the medium to long-term (5 to 10 years or more) while smoothing some of the ups and downs of short-term investment performance. The fund spreads investment risk by investing in a range of different asset types, which currently includes UK and international equities, property, fixed interest securities, index-linked securities and other specialist investments. |
May 2024
Change to the objective of the PIA PruFund Cautious Fund
Following a review we have made some changes to the objective of the PIA PruFund Cautious Fund to aid consistency with other PruFunds.
The changes are to wording only, the actual investment strategy and operation of the funds remain unchanged.
The table below shows the details of the changes:
| Previous objective | Updated objective |
|---|---|
The fund aims for steady and consistent growth over the medium to long term (5 to 10 years or more) through a cautious approach to investing. | The fund aims to produce growth over the medium to long term (5 to 10 years or more) using a cautious approach to investing while smoothing some of the ups and downs of short-term investment performance. |
Market update and investment risks
March 2026
The following reflects the general views of our Life Investment Office (LIO) and should not be taken as a recommendation or advice as how any specific market is likely to perform.
These views are as at the end of March 2026.
The value of investments can go down as well as up. Investors could get back less than they put in.
Please remember that past performance is not a reliable indication of the future performance.
The conflict in the Middle East and the accompanying spike in energy prices was the main event and significantly altered the macroeconomic landscape. Prior to the start of the conflict on 28 February, global economic activity had been resilient and the disinflationary trend remained on track. However, as the conflict continued through March, the disruption to global oil and gas supplies, caused by the closure of the Strait of Hormuz, raised the prospect of higher inflation and a potential slowdown in economic growth, so-called stagflation. As a result, major developed market central banks kept interest rates on hold and investors began to anticipate interest rate hikes instead of rate cuts.
In the UK, headline inflation fell to 3.0% year-on-year in February, from 3.4% in December. However, with petrol prices rising in March, inflation is expected to rise. The UK economy expanded by just 0.1% in the final three months of 2025, , while gross domestic product (GDP) grew 1.4% annually in 2025.
The US economy was more robust, with GDP growing 2.1% in 2025. However, the economy expanded at an annual rate of 0.7% in the fourth quarter, which was much lower than expected. In February, the annual inflation rate was 2.4%, slightly above the Federal Reserve’s 2.0% target, but higher US gasoline prices are expected to push up future inflation readings.
This view was supported by eurozone inflation data, which saw annual inflation rise 2.5% in March from 1.9% in February
The price of UK government bonds (gilts) fell 1.9%, underperforming both US Treasuries and European sovereigns. The yield of the 10-year UK gilt rose to 4.9%, from 4.5% at the end of 2025.
The quarter was uniformly negative for global government bonds, as markets digested the implications of the conflict in the Middle East.
The Federal Reserve held interest rates steady as the central bank noted it was “too soon” to know how the conflict would affect the outlook. The 10-year US government bond return fell 0.1%, while US corporate bonds fell 0.4%.
Gilts were among the weakest performers among developed market government bonds, and, while German bunds fared better, they were still in negative territory, as were most European government bonds. Japanese government bonds were also weak.
What do you mean by fixed interest?
- Fixed interest securities, more commonly known as "bonds", are loans issued by companies or by governments in order to raise money.
- Bonds issued by companies are called Corporate Bonds, those issued by the UK government are often called Gilts or UK Government bonds and those issued by the US government are called Treasury Bonds.
- In effect, all bonds are I owe you's that promise to pay you a sum on a specified date and pay a fixed rate of interest along the way.
- Index-linked securities are similar but the interest payments and redemption value are normally increased by a price index e.g. for UK government index-linked securities, interest payments and redemption value are increased in line with the UK Retail Price Index.
What are the general risks of this type of asset?
- On the whole, investing in Government or Corporate Bonds is seen as lower-risk than investing in equities. To date, no UK government has ever failed to pay back money owed to investors. But with Corporate Bonds there is a risk that the company may not be able to repay its loan or that it may default on its interest payments.
- Corporate and Government bonds are sensitive to interest rate trends. An increase in interest rates is likely to reduce their value, and hence the value of any fund investing in them.
For the three months to end-February 2026 (“the review period” and the latest available data at the time of writing), capital values for All UK commercial property rose by just 0.1%, according to property consultant CBRE. However, this was an improvement on the previous three-month period to end-November 2025, when capital values fell by 0.5%. Capital values rose in retail and industrials but fell marginally in offices. Including rental income, the total return over the review period was 1.4%. Total returns were positive across all three main sectors – retail, offices and industrials, with retail being the strongest. Rental values grew in all three sectors in the three months, but was strongest, by far, in industrials.
What do you mean by property?
- For our funds we would mean commercial property investment. This generally means the fund is sharing in the returns from the ownership of some buildings (for example, offices and shopping centres).
- The value of the property may increase and tenants may pay rent to the owners of the building.
What are the general risks of this type of asset?
- Property can be difficult to buy and sell quickly. Fund managers may have to delay withdrawal of money by customers from a property fund until they can sell some of the buildings the fund invests in.
- The actual value of a property is what someone is prepared to pay for it - an actual sale value. As sales are infrequent, interim valuations are based on a valuer's opinion and may be revised up or down from time to time. This can affect the value of a fund invested in commercial property, with the value possibly fluctuating significantly and could result in an investor not getting back the amount they originally invested.
- This leads to a number of risks for funds investing in property:
- Cash could remain uninvested as property assets can be difficult to buy, leading to lower returns than expected.
- The value of the fund may be reduced if a large number of withdrawals are requested and it is necessary for properties to be sold at reduced prices.
- There may be delays removing your money from the fund if property cannot be sold.
- Property fund valuations may be revised periodically, upwards or downwards.
- Rental income is not guaranteed. Defaulted rent and unoccupied properties could reduce returns.
- If the size of the fund falls significantly, the fund may have to hold fewer properties, and this reduced diversification may lead to an increase in risk.
