Current Asset Allocation
Each of these portfolios contains different proportions of UK equities, international equities, bonds, cash and alternatives to reflect the investment aims of UK wealth managers. The changes in their values (i.e. the movement up or down of the UK shares, international shares, bonds etc) are represented by the movements of the related indices.
Asset allocations changes to the MSCI PIMFA Equity Risk Index Series can (but may not) occur up to 4 times per year.
Implementation dates for any potential future asset allocation changes are aligned to MSCI’s Global Index Review rebalancing calendar.
Last reviewed – May 2019 – No changes agreed
Last reviewed – July 2019 – No changes agreed
Last reviewed- November 2019 Changes agreed
Next review- February 2020
|Asset Class||Equities||Bonds||Cash||Real Estate||Alternatives|
|Underlying Asset Index||UK Equities [MSCI United Kingdom IMI]||International Equities (MSCI All country World Index (ACWI) ex-UK (in GBP))||Bonds: UK Gilts [Markit iBoxx £ Gilts]||Bonds: Corporates [Markit iBoxx £ Corporate]||Bonds: Inflation-Linked [Markit iBoxx UK Gilt Inflation Linked]||Cash (Cash equivalent) [Custom Index of Bank of England Base Rate - 0.75% w/ floor of 0%]||Commercial Property [MSCI UK IMI Liquid Real Estate]||Hedge Funds/ Alternatives [Custom Index of 100% Long MSCI World Diversified Multiple Factor Index + 70% Short MSCI World Index]||Total|
|Equity Risk 1 Index||10||10||15||22.5||5||20||5||12.5||100|
|Equity Risk 2 Index||17.5||20||10||20||2.5||7.5||5||17.5||100|
|Equity Risk 3 Index||27.5||30||5||12.5||2.5||5||5||12.5||100|
|Equity Risk 4 Index||30||45||2.5||5||0||2.5||5||10||100|
|Equity Risk 5 Index||35||60||0||0||0||2.5||0||2.5||100|