FTAdviser.com

Advertising

Engage said the fund, which will be managed by Insight Investment, will look at a “far more diverse” range of assets with the aim of delivering improved returns at no extra cost and with lower levels of risk.

Because the change in mandate will require the fund to bear additional costs, Engage has decided to reduce its annual management charge by 0.75 per cent to 0.5 per cent.

The With Profits fund will now be invested in Insight’s Wealth Builder Balanced fund, which has generated annualised returns of 9.7 per cent over the last five years, outperforming its benchmark by 1.6 per cent a year.

Karl Elliott, marketing director at Engage, said: “The Insight Wealth Builder Balanced fund has already proved its formula delivers a highly competitive return alongside a low level of volatility, outperforming its benchmark since its launch in 2003.”