Estimated Growth Rate and Unit Price Adjustments
The following information is intended for individuals who are familiar with investment terminology. Please contact your financial adviser if you need an explanation of the terms used.
Estimated Growth Rate (EGR)
The EGR is an annual percentage rate that we use, together with the fund charges, to calculate any increase to the unit prices at the end of each working day. It is calculated using long term growth expectations of the underlying assets. To arrive at the EGR, we use data from external asset management companies who specialise in the analysis of different asset types and how they might perform in future market conditions. The EGR is based on the data supplied to us by the asset management companies. We scrutinise the data to ensure that the analysis it supports is reasonable, and we will change the asset management company if necessary.
The EGR is reviewed on a quarterly basis. If the review date is due to take place on a non-working day such as a bank holiday, we move the review to the next working day. These reviews can result in an increase, decrease or no change to the current EGR. If exceptional conditions arise that significantly alter the external asset management company’s outlook on financial markets, we will carry out an additional review of the EGR to update the current rate.
The current and historical EGRs are shown in the table below.
Unit Price Adjustment (UPA)
While the unit price of the Fund will normally increase in line with the EGR, minus the Annual Management Charge, the unit price can be adjusted if the difference between the Smoothed Price and the Unsmoothed Price moves above pre-set levels. Each day we check that the Unsmoothed Price is not more than 10% higher or 10% lower than the Smoothed Price.
Twice a month there is a further check to make sure that the Unsmoothed Price is not more than 5% higher or 5% lower than the Smoothed Price.
Changes to the unit price could also arise in relation to a smoothing reset following exceptional inflows or outflows from the Fund.
The current and historical UPAs are shown in the table below.
| Estimated Growth Rate* | Unit Price Adjustment | |||||
|---|---|---|---|---|---|---|
| EGR (%) | From | To | UPA (%) | Date | Type of adjustment | |
| Standard Life Smoothed Return Pension Fund |
6.34 | 31.01.24 | Current date | +3.07 -2.80 +2.63 |
07.07.25 07.04.25 07.10.24 |
Monthly Monthly Monthly |
*The EGR published above reflects the latest information which is subject to change. Any change to the EGR will be published within one business day. We recommend you check this regularly to ensure you remain up to date with the latest available information.
For more information on EGRs or UPAs, please read the Standard Life Smoothed Return Pension Fund Technical Guide - What you need to know, or speak to your financial adviser.