abrdn AAA Bond Fund Institutional Accumulation

Investment Objective To generate income and some growth over the long term (5 years or more) by investing in Sterling-denominated bonds with a high degree of creditworthiness. Performance Target: To achieve the return of the Markit iBoxx Sterling Non Gilts AAA plus 0.65% per annum over rolling three year periods (before charges). There is no certainty or promise that the Performance Target will be achieved. The Markit iBoxx Sterling Non Gilts AAA Index (the "Index") is a representative index of the market for sterling denominated AAA rated bonds, excluding bonds issued by the UK Government. Investment Policy Portfolio Securities - The fund will invest at least 60% in Sterling denominated bonds (which are like loans to companies or governments that pay interest). - The fund may invest in bonds issued anywhere in the world by governments and corporations. The fund will employ techniques to reduce (hedge) risk related to currency movements on non-sterling bonds. - At the point of investment, bonds shall have a credit rating of 'AAA-' or higher from at least one major rating agency such as Standard & Poor's, Moody's or Fitch, with the exception of any UK Government bond held by the fund (up to a 20% limit). - The fund may also invest in other funds (including those managed by abrdn), cash and assets that can be turned into cash quickly. Management Process - The management team use their discretion (active management) to identify investments based on analysis of global economics along with analysis of an investment's prospects and creditworthiness (debt repayment ability) compared to that of the market. - Due to the fund's risk constraints, the fund's performance profile is not expected to deviate significantly from that of the Index over the long term. Please note: The Fund's ability to buy and sell bonds and the associated costs can be affected during periods of market stress which could include periods where interest rates move sharply. Derivatives and Techniques - The fund will routinely use derivatives to reduce risk, reduce cost and/ or generate additional income or growth consistent with the risk profile of the fund. - Derivatives are linked to the value of other assets. In other words, they derive their price from one or more underlying asset. They can generate returns when the value of these underlying assets rise (long positions) or fall (short positions). - Derivatives include instruments used to manage expected changes in interest rates, inflation, currencies or creditworthiness of corporations or governments. Investors in the fund may buy and sell shares on any dealing day (as defined in the Prospectus). If you invest in income shares, income from investments in the fund will be paid out to you. If you invest in accumulation shares, income will be added to the value of your shares. Recommendation: the fund may not be appropriate for investors who plan to withdraw their money within three years. Investors should satisfy themselves that their attitude to risk aligns with the risk profile of this fund before investing.