ScotLife property fund moves to offer price
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Scottish Life has changed its property pension fund back to offer price.
The firm switched the fund, which was worth £595m at the end of August, to bid price in November 2007. Although, Scottish Life has allowed redemptions from the fund, including switches and transfers, throughout this period.
The move back to offer price is effective immediately.
A Scottish Life spokesman says: “We have been experiencing positive net inflows to the SLPPF on the back of increasing confidence in the commercial property market and the good reputation of Royal London Asset Management’s property team so we have decided to move back to offer price.”
Standard Life has also lifted the queuing system for customers looking to surrender, switch money or transfer out of the company’s pension and UK unit linked property funds.
Standard Life introduced the queue in January 2009 but says that signs of improvement are being seen in the market.
Firms including Friends Provident, Scottish Widows and Aegon stopped allowing withdrawals on their property funds in late 2007 and early 2008 due to a massive increase in redemptions. Some are allowing redemptions again.
Hargreaves Lansdown chief executive Peter Hargreaves recently announced he is positive on commercial property for the first time in six years.
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