Child Trust Fund Lifestyling
Learn more about Lifestyling a Child Trust Fund and reducing the risk of the investment the Plan in its final years.
What is Lifestyling?
When the Planholder reaches age 15 the way the Plan is invested will change through the process Lifestyling.
The purpose of Lifestyling is to progressively reduce the investment risk of the Plan in its final years, by moving the investments from the current fund, to the Foresters Stakeholder (Schroders) Managed 1 Fund, which follows a more conservative fund strategy designed to provide growth potential with reduced risk, learn more >
Child Trust Fund - Stakeholder Options
If Lifestyling applies to your Plan we will write to you in advance with further information, also giving you the option to either move all of your investment to the Foresters Stakeholder (Schroders) Managed 1 Fund straightaway or to opt-out of Lifestyling and keep your investment in its current fund.
Child Trust Fund Extra
Lifestyling is an option available to Child Trust Fund Extra customers. By choosing to Lifestyle, the Plan will follow the Lifestyling rules as set out below.
Please find the Lifestyling conditions below together with further information about the Foresters Stakeholder (Schroders) Managed 1 Fund.
Please note, if your Child Trust Fund – Stakeholder Options is investing in the Scottish Widows Balanced Growth Portfolio Fund, Lifestyling will not apply as your current investment is already risk-controlled, where no more than 60% of the fund will be held in shares with a minimum of 40% in more stable investments like bonds and other fixed interest holdings.
Foresters Stakeholder (Schroders) Managed Fund
The fund is professionally managed by Schroders with the aim to generate capital growth over the medium to long-term by investing in a portfolio of UK and international company shares, global government and corporate bonds, and cash. No more than 60% of the portfolio is invested in stocks and shares. The fund has a medium-low risk profile.
As a snapshot
- The fund aims to grow your investment over the medium to long-term.
- Medium-low investment risk.
- An actively managed fund – the investment professionals at Schroders make the investment decisions for you.
- The fund aims, before charges, to outperform a customised benchmark.
- Considers environment, social and governance (ESG) factors as part of the investment selection process.
- Invests in UK and global shares, government bonds, higher quality corporate bonds and cash.
- 45% to 60% of the fund will be invested in shares or share-related investments.
Read the latest investment bulletin to see how the fund performs
What are your options?
1. To receive the benefits of Lifestyling you do not need to do anything, the investments and any further contributions will start switching to the Foresters Stakeholder (Schroders) Managed Fund.
2. Move all of the investments to the Foresters Stakeholder (Schroders) Managed Fund straight away.
3. Opt out of Lifestyling and keep the investments in the current fund.
If you would prefer option two or three please write to the Administration Department confirming your chosen option. This needs to be a signed document which can be scanned and emailed to us at service@foresters.co.uk (using the email we have for you on record) or sent by post. Alternatively, you can call us on 0333 600 0333, Monday to Friday 8:30am to 5:00pm.
Understanding Lifestyling
Please find below a list of the lifestyling conditions. These Lifestyling conditions should be read in conjunction with the Terms and Conditions for the Child Trust Fund - Stakeholder Options or the Child Trust Fund Extra Terms and Conditions.
DefinitionsFund Switch - The cancellation of units in one fund and their allocation instead to an alternative Fund or Funds. The Unit Account Value on the effective day of the Fund Switch will be the same before and after the Fund Switch. Maturity Date - This refers to the child’s 18th birthday. Plan - This means the Child Trust Fund - Stakeholder Options which is evidenced by the document, with that heading attached and the Schedule. Registered Contact - This is the person who can give instructions for the management of the account. Schedule - This means the document with that heading attached. You - This means the Registered Contact. Your has a corresponding meaning. |
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ApplicabilityThese conditions apply to Child Trust Fund - Stakeholder Options Plans, which have commenced Lifestyling under these conditions and not ceased at your request. The conditions apply to the Child Trust Fund Extra Plans which have requested for Lifestyling to commence under the conditions. |
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ConditionsOn each of the dates shown in Column A of Table 1 below, we will A) Fund Switch the proportion shown in Column B of the Plan’s holdings in any fund(s) other than the Foresters Stakeholder (Schroders) Managed 1 Fund to the Foresters Stakeholder (Schroders) Managed 1 Fund. If the date shown in Column A is not a business day, then the Fund Switch will be carried out using the prices calculated on the next business day; and, B) Determine the proportions of contributions directed to each fund as shown in Column B of Table 2 on the later of the dates shown in Column A of Table 2. These proportions of contributions, except for the Foresters Stakeholder (Schroders) Managed 1 Fund, will then be reduced by the relevant percentage shown in Column B of Table 1. For the avoidance of doubt, the reduction is multiplicative – for example, if the proportion of contribution allocated to a fund is 80% and the relevant percentage shown in Column B of Table 1 is 33%, then the proportion of contributions will be reduced by 26.4% (that is, 33% of 80%) to 53.6%. We may round the resulting percentages of contribution. The proportion of contributions allocated to the Foresters Stakeholder (Schroders) Managed 1 Fund will then be 100% less the resulting percentages for all other funds. These amended proportions will then apply to all contributions received after the date shown in Column A of Table 1, unless subsequently amended by these conditions or by an instruction received from you. |
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Table 1
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Table 2
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Child Trust Fund Lifestyling Important Documents
Important documents
Child Trust Fund - Stakeholder Options Brochure and Terms and Conditions
Child Trust Fund Extra Brochure and Terms and Conditions
Your MyPlans account
As someone who appreciates the importance of saving for your child’s future, we want to make it as simple as possible for you to continue to save on their behalf. If you haven’t already activated your child’s online MyPlans account you can do so by clicking the button below.
MyPlans provides you with 24/7 account management, the ability to view the value of the investment, to access important documents and have all your savings in one place.
