Book traversal links for Article (12) – Historical Performance
Article (12) – Historical Performance
Effective from 9/10/2019The Company should provide the historical performance of at least the Top 5 Funds to the policyholder, where the performance of the policyholder's account is dependent on either an internal or external fund, which should include at least 5 years of fund performance or all years if the fund has not yet completed 5 years. A separate fund performance report based on the client’s chosen portfolio of funds should also be provided, considering the following requirements.
- The Company must either provide information for all funds available with respect to a particular product, or provide information for all of the funds the Company offers. The Company and the Distribution Channel cannot pick and choose which funds to show a particular client.
- The fund’s performance should be updated annually, or more frequently, after the finalization of the Company's accounts. A copy of the performance of each fund should be provided to the Authority whenever it is updated.
- If there are particular funds that are not applicable to a specific product, the Company can use only the funds available for that product to determine the Top 5 Funds.
- The Company can segregate funds to match the risk appetite of the policyholder, such as low / medium / high risk. For segregated funds, the Company should strive to provide the performance for the Top 5 Funds in each group, unless fewer than 5 funds are available within a group.
- If any of the Top 5 Funds has existed for less than five years, the Company should provide more fund options to policyholders.
- The requirements for sharing the performance of the Top 5 Funds are at the point of sale and on an annual basis for the policyholder.
- The Top 5 Funds only needs to include funds available to policyholders in the UAE and not globally.