Converting LV= Smoothed Pension to a with-profits investment

As we move towards building a secure and long term mutual future, we'll be enhancing the Smoothed Managed Funds range. 

With effect from Monday 12 December 2022, your client's LV= Smoothed Pension will be converting to a unitised with-profits investment basis. For business being quoted and applied for now, and already placed into LV= Smoothed Pension, investments will also be converted across to a unitised with-profit basis with effect from the same date. This change will make all LV= Smoothed Pension policyholders eligible to benefit from future LV= mutual bonus declarations. Here you can find more information on our mutual bonus.

To give you notice of these changes and the opportunity to consider what is being proposed, we'll be issuing adviser letters from Friday 4 November 2022. We'll also be writing to all customers impacted by these changes, starting from Friday 11 November 2022. A copy of both the adviser and customer letters is available below:

In the unlikely event that a policyholder doesn’t want their plan to convert to with-profits they, of course, always have the option of surrendering their plan and having the money paid into their Flexible Transitions Account (LV= FTA) plan bank account. It can then be reinvested in other asset types within their LV= FTA Plan.

Broadening our range of funds

As a reminder, your client also has access to two new risk rated funds – Smoothed Managed Extra Cautious and Smoothed Managed Impact Growth, covering a broader range of investor risk profiles. These are now available in addition to the existing range of fund options -  Smoothed Managed Cautious, Smoothed Managed Balanced, and Smoothed Managed Growth.

We’re here to help protect your client's funds and with the unique features of the LV= Smoothed Pension, you can do just that. 

Product Profile

Your clients will benefit from our LV= Smoothed Pension at any stage of their lives. See further information on target markets, risks and eligibility in the product profile.

The main features of the LV= Smoothed Pension

Your client’s investments may go down as well as up, and they could get back less than invested. Whilst there is no minimum or fixed term, our LV= Smoothed Pension is designed to provide steady growth for a period of at least five years and ideally longer.

Your clients will benefit from our LV= Smoothed Pension at any stage of their lives. See further information on target markets, risks and eligibility in the product profile.

*10-year guarantee period only available with Smoothed Managed Cautious fund.

  • An in-built smoothing mechanism – uses fund price averaging to reduce the impact of market volatility on your clients’ investments.
  • An online valuation tool - the current value of your client’s investment is just a few clicks away.
  • Funds are independently risk-rated by multiple agencies to help you assess client suitability.
  • An investment option - managed to our mandate by Columbia Threadneedle Investments.
  • An optional capital guarantee* – lock-in fund value for a fixed 10-year term, helping reduce downside risk.
Contact Phone

Need to get in touch?

You can contact your Business Development Manager for more information about our LV= Smoothed Pension, or for anything else call us on 0800 032 8298.