AXA Life has taken the decision to close the Sun Life Assurance Society plc (SLAS) With Profits Fund to new customers and has written to customers invested in the fund to inform them of the change.
The closure of the fund to new customers will not change the way that the fund is managed or the way that bonuses are set. This decision does not affect the AXA Sun Life plc With Profits Fund, which continues to be open to new customers.
AXA Life has made this decision because few customers have invested in the SLAS With Profits Fund in recent years. As a result, it is now in the best interests of existing customers that we close the fund to new business and continue to distribute the assets of the fund to policyholders through bonuses as the fund runs down.
Although we have closed the SLAS With Profits Fund to new customers, it is still a large fund. Currently it has around 300,000 policies invested in it. The SLAS With Profits Fund will continue to operate with the same approach to investment and bonuses.
Peter Shelley, With Profits Actuary at AXA Life, said: ‘The decision to close the Sun Life Assurance Society With Profits Fund to new customers will not affect the way that we manage the fund and calculate the bonuses we pay to customers in that fund. The terms and conditions of our customers’ policies are unaffected by this decision.’
