Fund Distributions

Certain Scottish Widows Investment Solutions (SWIS) and Clerical Medical funds distribute income every six months.

The levels are set by looking at:

  • the actual income produced by the underlying assets of the fund, such as dividends from equities, rental income from property, coupons from fixed interest investments and interest on any cash in the fund
  • the capital growth of the underlying assets of the fund
  • the aim of the fund
  • the prospects for the next 6-12 months.

If we can achieve the aim of the fund by paying actual income (as outlined in the first bullet above), we will.

However, the value of the fund and its income can go down as well as up. To ensure the income paid doesn’t vary dramatically (if that’s the fund’s objective), each time we declare a distribution we may choose occasionally to operate an adjustment. We do this because it’s our primary aim to meet the overall objectives of the fund. The adjustment can mean dipping into any capital growth to top up income, or cutting income to preserve capital (in order to safeguard future income).

  • Fund name Price per unit Equivalent*
    SWIS Distribution Life S2 (Inc) 1.26 2.29%
    Clerical Medical Distribution Life (Inc) 1.44 2.30%
    SWIS UK Equity Income Life Fund 2.69 4.36%
    SWIS Managed Income Life Fund 1.23 2.87%

    *The annual equivalent distribution yield is based on the last distribution and capital price.

    Please note: the Clerical Medical Distribution Life (Inc) Fund is closed to new business.

     

  • Fund name Price per unit Equivalent*
    SWIS Distribution Life S2 (Inc) 1.16 2.00%
    Clerical Medical Distribution Life (Inc) 1.33 2.00%
    SWIS UK Equity Income Life Fund 2.59 4.01%
    SWIS Managed Income Life Fund 1.02 2.28%

    *The annual equivalent distribution yield is based on the last distribution and capital price.

    Please note: the Clerical Medical Distribution Life (Inc) Fund is closed to new business.

     

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