HL MULTI-INDEX BALANCED

The HL Multi-Index Balanced fund is the middle risk fund of the range. On a scale of one to ten, if investing entirely in global shares is a ten, this fund would receive a rating of six.

HL Multi-Index Balanced

Risk rating (6/10)

Compared to:

HL Growth Fund (Default investment Fund)

Risk rating (8.5/10)

How does HL Multi-Index Balanced work?

The fund typically invests a little over half of your money into global company shares, including some in higher risk emerging market shares. The remainder is invested into a mix of different types of bonds.

This fund favours bonds issues by companies with good credit ratings which carry less risk compared to higher risk options. These bonds are more risky compared to Government Bonds, so the fund also has some investments in both higher and lower risk types to ensure a good spread of risk across the fund.

The fund is expected to capture around 60% of the ups and downs of the stock market, although there are no guarantees. View the HL Multi-Index Balanced factsheet Download HL Multi-Index Balanced Key Investor Information Document

Expected returns

We forecast a full range of outcomes for markets, allowing us to calculate the most likely potential returns for this fund, as well as good and bad outcomes. The potential outcomes you could expect from this investment are based on you investing £10,000 as a lump sum for 10 years:

HL Multi-Index Balanced

Bad outcome
Average outcome
Good outcome
£11,844.30
£17,358.40
£22,776.89

Compared to:

HL Growth Fund (Default investment fund)

Bad outcome
Average outcome
Good outcome
£11,171.50
£19,716.15
£28,176.94

Where does HL Multi-Index Balanced invest?

Equities

Developed Markets
46.10%
Emerging Markets
9.30%

Fixed Income

Global Corporate Bonds
25.00%
Government Bonds
13.52%
Higher Risk Bonds
6.00%
Seeking Growth
61.50%
Seeking Stability
38.50%

Equities

UK Equity
9.8%
Developed Ex UK Equity
36.3%
Emerging Market Equity
9.3%
Global Smaller Companies
0.0%

Fixed Income

Global Corporate Bonds
25.0%
Global Sovereign Bonds
10.5%
Global Inflation Linked Government Bonds
3.0%
Global High Yield
3.0%
EM Sovereign Bonds ($)
1.0%
EM Sovereign Bonds LC
1.0%
EM Corporate Bonds ($)
1.0%

Charges

Yearly charge based on an example £1,000 investment and a maximum HL platform fee of 0.45% and assuming no growth.

HL Multi-Index Balanced

Fund charge (0.30%)
HL platform fee (0.45%)
Total annual charge (0.75%)
£ 3.00
£ 4.50
£ 7.50

Compared to:

HL Growth Fund (Default investment fund)

Fund charge (0.10%)
HL platform fee (0.45%)
Total annual charge (0.55%)
£ 1.00
£ 4.50
£ 5.50

See how the costs will affect your investment in detail

The fund charge is taken automatically from the money within your pension. It includes all fund expenses but transactions within the funds can have additional costs. These costs are incurred by all funds when investments within them are bought or sold. All these costs are reflected in fund charges.

The HL platform fee covers the automatic changing of funds within your pension when needed and the cost of looking after your investments. This won’t exceed 0.45% per year and is taken from your pension once a month.

The funds are administered by Hargreaves Lansdown Asset Management Ltd and the underlying funds are managed by Hargreaves Lansdown Fund Managers Ltd, both part of the Hargreaves Lansdown Group. If you invest, HL will benefit from the fund charge, as well as the HL platform fee.