Information About RLUM Unit Trusts

Select...

Where your money is invested

Where your money is invested depends on which funds you chose:

  • most of our funds are invested in shares
  • some funds are invested in less risky corporate bonds and government gilts
  • your fund may be invested in particular geographical regions such as the US or Europe.

To help reduce your risk and to benefit from diversification, you can spread your investments across a number of our funds.

You may wish to ensure that the portfolio of funds you choose reflects your investment objectives and risk profile.

For all funds, your returns may go up or down and you may get back less than you invested.

You should refer to the latest monthly fund fact sheets for more information about each of the funds.

Taking your money

You can cash in part or all of your investment at any time. However, withdrawing money will reduce the overall value of your investment. Please note that our minimum withdrawal is £250.

Once we have received your instruction to cash in your investment, either in part or in full, and this has been processed by us, you will not be able to change your mind and we will issue payment to you. Further details can be found in the Supplementary Information Document.

If your investment is part of an ISA then you should remember that the proceeds are free from both Income Tax and Capital Gains Tax.

If at any time when monthly subscriptions are not being paid, the value of units held in a unit trust is less than, or would as a result of your instructions to repurchase units, fall below £500, we may repurchase the whole unit holding and we will pay the proceeds to you.

Additional Investments

You can make additional investments at any time. However, please note that there are limits on how much you can invest into an ISA in any tax year. You can still invest anything over this amount by investing outside the ISA wrapper.

The documentation you receive as confirmation of your purchase/instruction will include a Cancellation Notice; you will then have 30 days in which to inform us of your wish to change your mind. If the value of your investment falls between us investing your money and you returning the cancellation notice, we will return to you the lower amount. Full details of your cancellation rights can be found in our Supplementary Information Document.

Client Money

Any cash held in your account will be held separately from cash belonging to us. The banks we use acknowledge your money is held as client money which is protected in the event of the insolvency of RLUM Ltd. In the event of the insolvency of one of the banks we use, any client money we hold for you is protected under the Financial Services Compensation Scheme (FSCS) up to a maximum of £85,000 for each client and bank with whom client money is held. This limit is applied to 4 banks that are separately authorised and can only be applied once, therefore banks operating under different brands within the same authorisation are covered under the same limitation. The compensation limit of £85,000 includes any other money held by you in accounts with the authorised banks we use, therefore if you have current or deposit accounts with the same bank these will all count towards the compensation limit of £85,000. For further information visit fscs.org.uk.

Our client money arrangements for ISA and unit trust investors

RLUM Ltd maintain separate client money accounts with third party banks outside of The Royal London Group. We use the Delivery versus Payment* (DvP) exemption to process payments when units are purchased until your money is cleared  through the normal banking process, during which time the money is not protected as client money. Any request to  withdraw your money will be held as client money whilst we process your instruction and will remain so until you present your cheque at your bank. Funds held in such client money accounts are held on trust and segregated from our own funds (see also the section headed Compensation in the event of insolvency). Interest is not paid on any money held in
this way. (*DvP or delivery versus payment, describes the process whereby money is held temporarily outside of client money whilst investment instructions are processed and the money by the bank.