Charges
You pay charges on your investments, which are calculated as a percentage of the value of your pension fund invested in each investment fund. Any administration fees are paid by Cummins.
Lifestyle fund charges
Here are the charges for the individual funds that make up the lifestyle options. You can see the ongoing charges in the Chair’s governance statement.
| Fund name | Annual management charge | Additional expenses | Total expense ratio |
|---|---|---|---|
| Grow fund | 0.12% | 0.00% | 0.12% |
| Strengthen fund | 0.28% | 0.02% | 0.30% |
| Prepare fund | 0.38% | 0.04% | 0.42% |
| Shariah equity fund | 0.18% | 0.17% | 0.35% |
| Shariah multi-asset fund | 0.17% | 0.15% | 0.32% |
| Shariah bond fund | 0.12% | 0.20% | 0.32% |
Self-select fund charges
Here are the charges for the self-select funds. You can see the ongoing charges in the Chair’s governance statement.
| Fund name | Annual management charge | Additional expenses | Total expense ratio |
|---|---|---|---|
| AAA-AA-A corporate bond all-stocks index fund | 0.15% | 0.00% | 0.15% |
| Annuity focused fund | 0.14% | 0.00% | 0.14% |
| Cash fund | 0.13% | 0.00% | 0.13% |
| Ethical global equity fund | 0.30% | 0.00% | 0.30% |
| Grow fund | 0.12% | 0.00% | 0.12% |
| Property fund | 0.74% | 0.13% | 0.87% |
| Shariah equity fund | 0.18% | 0.17% | 0.35% |
| Strengthen fund | 0.28% | 0.02% | 0.30% |
| UK equity fund | 0.10% | 0.00% | 0.10% |
| World emerging markets equity fund | 0.34% | 0.01% | 0.35% |
| World equity fund (hedged) | 0.15% | 0.00% | 0.15% |
| World equity fund (unhedged) | 0.13% | 0.00% | 0.13% |
Investment switching charges
There’s also a charge for switching your investments within the Plan or when your funds move automatically within the lifestyle option.
The charge for switching is deducted from your pension fund and is based on several factors, including the value of your fund at that time and the types of units you are switching into or out of.
The Trustee has reviewed the switching charges and decided that the need to offer you the opportunity to switch into lower-risk funds as you get closer to retirement outweighs the charges.
