abrdn Life UK Ethical Equity Fund

Sustainable, Responsible &/or ESG Policy:

Investment Objective

To generate growth over the long term (5 years or more) by investing in UK equities (company shares) which adhere to the abrdn UK Ethical Equity Investment Approach.

Performance Target: To achieve a return in excess of the FTSE All-Share Index over rolling five year periods (after charges). There is no certainty or promise that the Performance Target will be achieved. Due to the ethical nature of the management process, there are a material number of stocks and sectors in the FTSE All-Share Index that the fund is unable to invest, which means the fund's performance profile may deviate significantly from that of the FTSE All-Share Index.

The FTSE All-Share Index (the "Index") is a representative index of the UK stock market.

Investment Policy
Portfolio Securities

• The fund will invest at least 70% in UK equities.
• The fund may invest up to 20% in non-UK listed companies.
• All investments will adhere to the abrdn UK Ethical Equity Investment Approach (the "Investment Approach") as set out in the prospectus. 
• The fund may also invest in other funds (including those managed by abrdn), cash and assets that can be turned into cash quickly.
• The fund applies a set of company exclusions which are related but not limited to fossil fuels, animal testing, weaponry, pornography, gambling, tobacco and alcohol.
• In addition, the investment team carries out qualitative and quantitative assessment of companies' ESG characteristics.
• The qualitative assessment utilises abrdn's equity investment process, where companies invested in are given an overall quality rating, a component of which is the ESG Quality Rating which enables the management teams to qualitatively identify ESG leaders and avoid ESG laggards.
• The quantitative assessment utilises the abrdn ESG House Score to evaluate how companies manage their ESG risks and assigns a score accordingly. The global universe of scored companies is then sorted and split into 7 equal groupings, with at least 70% of the fund invested in companies in the top two groups.

Management Process

• The management team use their discretion (active management) to maintain a diverse asset mix at sector and stock level. 
• Their primary focus is on stock selection using research techniques to select companies where the management team have a different view than that of the market, and which align with their views regarding future economic and business conditions.
• Due to the ethical nature of the management process, there are a material number of companies and sectors in the Index that the fund is unable to invest, which means the fund's performance profile may deviate significantly from that of the Index

(Source: KIID, as at January 2026)