With Profits Fund
We've produced a number of documents on our With-Profits Fund. The contents are summarised below so you can decide which one is suitable for you. We've also provided links to up-to-date information on bonus rates and market value reductions (MVRs).
We're committed to treating all of our customers fairly. To ensure that we do this we have an independent With-Profits Committee. The Committee reviews how the with-profits fund is managed and scrutinises any major proposal that affects the fund. It provides advice directly to the Clerical Medical Board.
The Committee has four members, none of whom have any management or executive role with the company (or our parent company, Lloyds Banking Group). Two members are non-executive directors.
For further information about what the With-Profits Committee does, you can read the terms of reference (PDF, 103KB).
Principles and Practices of Financial Management (PPFM)
The PPFM goes into great detail, focusing on the standards, methods and controls we adopt to ensure we run with-profits robustly and fairly. It also explains how we respond to changes in the business and economic environment.
With-profits summary
This is a customer friendly version of our PPFM (also referred to as our CF-PPFM) that gives you important information about how our with-profits investments work, including MVRs and bonus rates.
PPFM annual report to policyholders
This report tells you how we have managed the fund for the previous year in line with the PPFM.
With-profits investment factsheet
This provides information on the fund's investment objective, its assets - their breakdown and performance, and gives examples of sample policy returns.
Market Value Reductions
This document provides information on a reduction we might apply to with-profits investments. It includes example scenarios along with details of when we guarantee not to apply MVRs.
The links below are downloadable versions of the items described above:
- Principles and Practices of Financial Management (PDF, 104KB)
- Annual report (PDF, 39KB)
- With-profits summary (PDF, 3MB)
- With-profits investment factsheet (PDF, 57KB)
If you'd like to check the latest information on bonus and MVR rates, please see the items below:
- Bonus rates (PDF, 29KB)
- Market Value Reduction rates (PDF, 41KB)
- Market Value Reductions leaflet (PDF, 106KB)