RLP Property fund update
RLP Property Fund restrictions removed
We made the decision to restrict some transactions from our RLP Property fund, effective from Monday 30 March 2020. The decision has now been made to end this restricted period with effect from 29 September 2020.
If any of your transactions were affected by the restrictions then we will contact both you and your adviser to advise the next steps.
Please find below a list of questions and answers on removing the restrictions to our Property Fund. If you have any further questions then please contact your usual Royal London contact in the first instance. Or visit our Contact us page.
What’s changing?
The COVID-19 pandemic had caused the valuers of the properties owned by the fund to have more uncertainty in their valuations and to reflect this they attached a material uncertainty clause to their valuations. This clause has now been removed and this has allowed us to remove the restrictions that had been in place with effect from 29 September 2020.
What happens next?
If you have an outstanding transaction which you requested during the restricted period, we will contact both you and your adviser to confirm the next steps.
Some transactions will be processed automatically and others will require further confirmation to allow us to proceed with them.
The table below provides a full list of restricted transactions and details how each will be processed:
| Transaction type | What's going to happen | Action required |
|---|---|---|
| Transfers - Partial Payment already paid |
We will process the remainder of the payment automatically and confirm this relates to your previous request. Your transaction will be processed using the price on 29 September. | No action required. |
| All other delayed transactions | If you requested a transaction that was deferred during the restricted period we will write to you to confirm you still want to proceed. | Contact us before 6 October to receive the price on 29 September. Confirmation received after this date will be processed in line with our usual practices. |
What will happen to my regular contributions?
If you pay regular contributions’ then we will write to both you and your adviser to advise the next steps.
Your regular contributions which would usually have been paid into RLP Property were, during the deferred period, redirected to RLP Deposit. This redirection has been removed and all new regular contributions will be invested in the RLP Property Fund again.
For money redirected to the RLP Deposit fund during this period the following will happen -
• If you have automatic rebalancing instructions in place, then we will automatically move your contributions to your chosen investment split the next time your policy rebalances.
• If you don’t have automatic rebalancing in place then your contributions will remain in the RLP Deposit fund unless you take action to move them elsewhere.
How will my fund value be affected?
We can’t guarantee what will happen in the markets, however we do not expect a significant fall in the value of your investment in the Property Fund when the fund restrictions are removed. This expectation is guided by the valuations we have received from the valuers before and during the material uncertainty clause applying.
Will the Property Fund go back into deferral?
We can’t guarantee that this won’t happen again. Much depends on how the UK continues to emerge from lockdown as the economy reopens and how any emerging secondary outbreaks are contained. Placing restrictions on the funds is only done when it it’s in the best long-term interests of our customers.
Further information?
If after reading the FAQs you still have unanswered queries then please contact your usual Royal London contact in the first instance. Or visit our Contact us page.