Standard Life Global Index 80

The Standard Life Global Index 80 Fund invests mainly in a diversified mix of index funds, with approximately 80% in global shares and about 20% in global bonds and other fixed income investments. Its bond exposure can include corporate bonds, government-backed securities and index-linked bonds. The fund can also hold cash, deposits and other collective investment schemes. It is designed to spread investments across global markets, including emerging markets.

Yes. The Standard Life Global Index 80 Fund follows a passive approach and seeks to track broad market exposure rather than pick individual stocks or bonds. It does this by investing in index funds, including funds run by Vanguard Asset Management (Europe). This means its returns are intended to move in line with the markets it follows, before costs and any tracking differences.

The Standard Life Global Index 80 Fund may use a currency hedged share class for some of its overseas exposure to help reduce currency risk. Currency risk means that changes in exchange rates can make overseas investments worth more or less in sterling terms, even if the underlying assets do not change. The fund does not eliminate this risk completely, but it aims to mitigate some of it.

The Standard Life Global Index 80 Fund is exposed to both equity and bond market risk, so its value can rise and fall with stock markets and interest rates. Its bond holdings also face credit risk, meaning an issuer could fail to pay income or repay capital as promised. The fund may invest in emerging markets and China A shares, which can carry higher political, economic, foreign exchange, liquidity and regulatory risks than developed markets. It also carries index tracking risk, meaning it may not match its benchmark exactly.

The Standard Life Global Index 80 Fund may suit investors looking for long-term growth with some income from a globally diversified multi-asset portfolio. Its 80/20 mix aims to combine the higher growth potential of shares with the stabilising effect of bonds. Income is reinvested into the fund, so it is reflected in the unit price rather than paid out separately. The fund may also use limited derivatives and securities lending to help manage risk or offset costs.