Making investing simple for you and your clients
Built using Vanguard's low-cost index building blocks, LifeStrategy® funds offer a simple way to invest in global markets. Through one singe fund or model portfolio, you can give your clients access to a balanced portfolio of equities and bonds from around the world. You just need to decide which format they would prefer, and which mixture of equities and bonds best suits their view to risk.
That is why LifeStrategy® has been providing value to advisers and their clients for more than 10 years.
Why LifeStrategy®?
Highly diversified
Vanguard’s LifeStrategy® funds and model portfolios give you access to thousands of shares and bonds in one straightforward package, to help smooth out the ups and downs of investing.
Clear choice
With five different equity-to-bond mixes that are regularly rebalanced back to the target allocation, advisers and clients simply need to choose the most suitable mix.
Low cost
Our portfolios are built using Vanguard’s own low-cost index funds. By keeping costs low, our investors keep more of their investment returns.
Fund or model portfolio?
Let’s face it, few investors are the same. Some will like the simplicity of a single fund. Others will appreciate the transparency of being able to see beneath the bonnet. Some investors will want to focus on their home market, while others will want global exposure. That is why LifeStrategy® is available in fund and model portfolio formats.
Vanguard LifeStrategy Funds | Vanguard LifeStrategy MPS Classic | Vanguard LifeStrategy MPS Global | |
|---|---|---|---|
Statement presentation | Single fund | Breakdown of all 15 – 18 funds | Breakdown of all 15 – 18 funds |
Portfolio rebalancing | Daily | Quarterly | Quarterly |
Costs | OCF² of 0.22% | All-in costs of 0.21-0.22%³ | All-in costs of 0.21-0.22%³ |
Tilt to UK equities and bonds |
2 As at 31 December 2023. The Ongoing Charges Figure (OCF) covers the fund manager’s costs of managing the fund. It does not include dealing costs or additional costs such as audit fees.
3 As at 31 December 2023. All-in costs include Ongoing Charges Figures (OCF) and an annual portfolio management fee that covers the discretionary management of the managed portfolio service, ongoing oversight, and regular rebalancing of the portfolios. The portfolio management fee is exclusive of VAT and any adviser, platform, or dealing charges. The OCF covers the fund manager’s costs of managing the fund. It does not include dealing costs or additional costs such as audit fees.
More about our LifeStrategy® range
LifeStrategy brochure
An introduction to Vanguard’s LifeStrategy® fund and model portfolio range.
Tactical asset allocation or a LifeStrategy® Fund?
Show your clients how LifeStrategy® compares to individual asset class performance.
LifeStrategy® Funds
Vanguard LifeStrategy® funds are designed for investors that value simplicity and want a higher exposure to UK markets. We offer five funds with varying asset mixes, catering to different risk profiles and investment horizons.
LifeStrategy® 20%
For investors with a very low tolerance to risk.
20% equity and 80% fixed income.
LifeStrategy® 40%
For investors with a low tolerance to risk.
40% equity and 60% fixed income.
LifeStrategy® 60%
For investors with a moderate tolerance to risk.
60% equity and 40% fixed income.
LifeStrategy® 80%
For investors with a high tolerance to risk.
80% equity and 20% fixed income.
LifeStrategy® 100%
For investors with a very high tolerance to risk.
It only invests in equities.
LifeStrategy® model portfolio solutions
Like our funds, LifeStrategy® model portfolios are available as a range of five individual portfolios with varying levels of potential risk and return based on their mix of shares and bonds.
UK tilt or global exposure?
There are two options within our LifeStrategy® model portfolios: LifeStrategy® MPS Classic and LifeStrategy® MPS Global. The difference between the two is the proportion of the portfolio invested in UK shares and bonds.
The Global portfolios invest in the UK in line with its share of global share and bond markets. The Classic portfolios, however, feature a higher proportion in UK equity (up to 25%) and UK bonds (up to 35%) than the Global portfolios.
Vanguard LifeStrategy MPS Classic 20% | Vanguard LifeStrategy MPS Global 20% | |
|---|---|---|
UK equities | 4.9% | 0.9% |
UK bonds | 27.4% | 2.9% |
Global equities (excl UK) | 14.7% | 18.6% |
Global bonds (excl UK) | 50.9% | 74.4% |
Other | 2% | 2% |
Notes: Model portfolio compositions are as at 31 December 2023. Percentage figures are rounded to the nearest tenth. Source: Vanguard.
LifeStrategy® fact sheets
Costs and Charges
Important risk information
Investment risk information
The value of investments, and the income from them, may fall or rise and investors may get back less than they invested.
Past performance is not a reliable indicator of future results.
Some funds invest in emerging markets which can be more volatile than more established markets. As a result the value of your investment may rise or fall.
Investments in smaller companies may be more volatile than investments in well-established blue chip companies.
The Vanguard LifeStrategy® Funds may invest in Exchange Traded Fund (ETF) shares.
ETF shares can be bought or sold only through a broker. Investing in ETFs entails stockbroker commission and a bid- offer spread which should be considered fully before investing.
Funds investing in fixed interest securities carry the risk of default on repayment and erosion of the capital value of your investment and the level of income may fluctuate. ovements in interest rates are likely to affect the capital value of fixed interest securities. Corporate bonds may provide higher yields but as such may carry greater credit risk increasing the risk of default on repayment and erosion of the capital value of your investment. The level of income may fluctuate and movements in interest rates are likely to affect the capital value of bonds.
The Funds may use derivatives in order to reduce risk or cost and/or generate extra income or growth. The use of derivatives could increase or reduce exposure to underlying assets and result in greater fluctuations of the Fund's net asset value. A derivative is a financial contract whose value is based on the value of a financial asset (such as a share, bond, or currency) or a market index.
For further information on risks please see the “Risk Factors” section of the prospectus.
Important information
This is a marketing communication.
This document is directed at professional investors and should not be distributed to, or relied upon by retail investors.
For further information on the fund's investment policies and risks, please refer to the prospectus of the UCITS and to the KIID before making any final investment decisions. The KIIDS for this fund is available, alongside the prospectus via Vanguard’s website.
For further information on the investment policies and risks of the model portfolio(s), please refer to the prospectus of the UCITS and to the KIID of the underlying funds before making any final investment decisions. The KIID for each fund is available, alongside the prospectus.
This document is designed for use by, and is directed only at persons resident in the UK.
The information contained in this document is not to be regarded as an offer to buy or sell or the solicitation of any offer to buy or sell securities in any jurisdiction where such an offer or solicitation is against the law, or to anyone to whom it is unlawful to make such an offer or solicitation, or if the person making the offer or solicitation is not qualified to do so. The information in this document is general in nature and does not constitute legal, tax, or investment advice. Potential investors are urged to consult their professional advisers on the implications of making an investment in, holding or disposing of shares and /or units of, and the receipt of distribution from any investment.
The Authorised Corporate Director for Vanguard LifeStrategy Funds ICVC is Vanguard Investments UK, Limited. Vanguard Asset Management, Limited is a distributor of Vanguard LifeStrategy Funds ICVC.
For investors in UK domiciled funds, a summary of investor rights is available in English.
Issued by Vanguard Asset Management Limited, which is authorised and regulated in the UK by the Financial Conduct Authority.
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