Irish Life Retirement Portfolio 3

Retirement Portfolio 3 invests across a broad mix of assets, including bonds, shares, property, cash, and externally managed specialist funds. The fund aims to combine lower-risk assets such as cash with higher-risk assets such as shares to support its retirement-focused objective. It is actively monitored and may be rebalanced over time by Irish Life Investment Managers.

Retirement Portfolio 3 is specifically designed for investors in post-retirement products who are making, or may need to make, withdrawals from their plan. The fund is structured to balance the need for returns with a target risk level that is intended to suit this stage of retirement. It also does not guarantee to produce an income, so payments from the fund are not assured.

Retirement Portfolio 3 uses several risk management strategies and keeps a mix of lower-risk and higher-risk assets. Non-euro currency exposures may be fully or partly hedged back to euro to reduce foreign currency risk, which means exchange-rate movements can have less impact on returns. The fund is also monitored and rebalanced regularly, and its asset mix may change over time.

Retirement Portfolio 3 follows an Article 8 sustainability approach and targets investments that help contribute to its sustainability goals. It does this by excluding or reducing exposure to companies with poorer sustainability characteristics and increasing exposure to companies with better sustainability characteristics. Sustainability characteristics are also considered when selecting property and alternative funds.

Retirement Portfolio 3 highlights currency risk and securities lending risk. Currency risk means that changes in exchange rates can affect returns when the fund holds investments outside the euro area. Securities lending risk means that if the fund lends out assets to earn extra return, there is a risk that the borrower may not return them as expected.