Find out more about Key Information Documents

Why do we create them and what do they say?

We give you Key Information Documents (or KIDs) for lots of our products and the funds they have available. The fund versions are called Investment Options Documents (IODs) - but they are part of the Key Information Document (KID), and you should read them together.

You can find the latest KIDs, and a list of the products they’re applicable to, and IODS here

We give you Key Information Documents (or KIDs) for lots of our products and the funds they have available. The fund versions are called Investment Options Documents (IODs) – but they are part of the Key Information Document (KID), and you should read them together.

Other companies who provide similar products, both in the UK and Europe, do the same and we all use a consistent format.

Since January 2018, we’ve made these documents available to new investors. You should read them before you invest into the relevant products.

You should also read them before you make a financial decision about one of those products - like paying more money in or changing the fund(s) you invest into.

In each section, we’ll tell you what you need to know in relation to the product (KID) or the specific fund (IOD). Here are some examples of some of the information you’ll find.

Section in a KID or IOD What’s in the section? 
What are the risks and what could I get in return?

Risk Indicator

  • This section will show the ‘Risk Indicator’ (this is a term you’ll see in the KIDs and IODs) using a scale of 1 to 7, and information on what that means.
  • The IOD gives you the ‘Risk Indicator’ score for each individual fund.
  • The score on the KID shows the range of ‘Risk Indicators’ from the funds available in that product.

Performance Scenarios

  • This section also shows you different 'Performance Scenarios'.
  • The IOD gives you the ‘Performance Scenario’ for each individual fund.
What are the costs?
  • There are costs associated with your investment option, and this section shows what they are.
  • The IOD tells you the specific charges for the individual fund and will include product charges, if they apply.
  • The KID shows the range of charges for all funds available to the product. 
How long should I hold it and can I take money out early?
  • Each product has a ‘Recommended Holding Period’ and in this section we tell you what it is and why.
  • We also give a brief overview of what happens if you want to leave the product. 
Other relevant information?
  • Here we include any further information we think might be useful. We’ll also point you to other documents that might help. 

A KID isn’t personalised to you and the type of information included is the same for anyone that gets it. It’s set out in a consistent format with other companies who provide similar products. This is to help you make comparisons across the industry.

A personalised illustration uses information that is specific to you.

The ‘Insured Event’ and ‘Performance Scenarios’ are based on past fund performance data. So they’re an estimate of possible future performance based on evidence from the past on how the value has varied.

Past data isn’t a reliable way to tell you how well an investment will do in the future. So these shouldn’t be the only things you use to make your investment decisions.

Regulations change over time and so can terminology. Along with other companies, when we introduced KIDs and IODs, we started to use new terminology that’s consistent across UK and Europe.

This means wording about fund charges and costs is different to what you might have seen in other documents.

Here’s a table of different terms you’ll see in these new documents, compared to other material we provide.

Terminology you might see  Does it appear in KIDs and IODs?  Does it appear in other material we provide (or might have provided in the past)?  Is there anything else you need to know? 
Portfolio Transaction Costs  Yes  No  This is the impact of the costs of buying and selling underlying investments for the product. 
Other Ongoing Costs 

Yes

It’s the same or very close (due to a slightly different calculation method for some funds) to the ‘Yearly Total’ figures you might see in other places. 

No  This is the impact of the Annual Management Charge and further costs. 
Annual Management Charge 

Not on its own

This is included in the ‘Other Ongoing Costs’ figure. 

Yes 

We take an Annual Management Charge for looking after your investment, from each of the funds you invest in.

This is sometimes shortened to AMC. 

Further Costs 

Not on its own

This is included in the “Other Ongoing Costs” figure. 

 

Yes 

In addition to our Annual Management Charges, there may be further costs incurred.

You may also have seen this as ‘Additional Charges’ or 'Additional Expenses'.

Yearly Total 

This isn’t a term that is used in KIDs or IODs.

This figure is closest to the ‘Other Ongoing Costs’ above. 

Yes  An alternative name for this could be ‘Total Charges’. 

If you invest in the Prudential International Investment Portfolio or the Prudential Onshore Portfolio Bond, you might need to read a Key Investor Information Document (KIID) instead of an IOD.

If we manage the fund(s), we provide you with the relevant IOD. If we don’t manage the fund(s), you can find the right KIID with the help of your financial adviser or from the fund manager directly.

You should read our KID and, either the relevant IOD or, the KIID for the fund(s) you want to invest in.

Need help? Have questions?

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