introductionAn

to Architas

Who is Architas? 2

Our approach 4

How are the Architas funds diversified? 6

Asset classes 8

Things to consider before investing 10

The Architas funds 12

Important information 16

CONTENTS

1Welcome to Architas

Choosing investments can be a daunting experience. There are thousands of investment funds on offer but how do you know which one is right for you?

At Architas, we have simplified the process by offering a suite of funds to meet the needs of investors. By investing in an Architas fund of funds, you could benefit from the combined skills of some of the best managers in the world. These managers are chosen and monitored by our large team of investment professionals.

At every stage, our aim is to focus on delivering returns and controlling risks.

We want to try to help you fulfil your investment aims, whether that is achieving growth, generating an income or preserving your wealth.

Welcome!

Matthieu André Chief Executive Officer Architas

WELCOMETO ARCHITAS

Past performance is not a guide to future performance. Architas MA Active Risk Profiled Fund range awarded the Professional Adviser Best Multi-Asset Fund Range (Volatility Managed) Award. Defaqto 5 Diamond Rating for Risk Targeted Fund Family given to the Architas Risk Profiled Fund ranges. Defaqto 5 Diamond Rating for Multi-Asset Income given to the Architas Diversified Real Assets Fund and the Architas Diversified Global Income Fund. Rayner Spencer Mills Rated Fund rating awarded to the Architas Diversified Real Assets Fund range in 2018. Rayner Spencer Mills Rated Fund Range rating awarded to the Architas MA Active Risk Profiled Fund range in 2017. Architas MA Active Risk Profiled Fund range awarded the Square Mile Recommended rating in 2018. Architas MA Active Dynamic Fund awarded the Investment Adviser 100 Club Award. Architas MA Active Intermediate Income Fund awarded the Lipper Long Term (10y) Performance Award in 2016 within Mixed Asset GBP Balanced.

2

WHO ISARCHITAS?

We were formed in 2008 to provide investment solutions aimed at meeting the varying needs of today’s investor. As at 30 September 2019, we managed and advised on assets worth over £24 billion.

We are a member of the global AXA Group, a worldwide leader in financial services with over 170,000 employees worldwide – we are a specialist investment manager built on the successful foundations of a world leader. (We are 100% owned by the AXA Group but we have no legal right of access to the assets of the AXA Group.)

We understand that making the decision to invest is not something that you will make lightly – you are likely to be planning for important events in your life. This is why we have employed a wide range of investment professionals to manage and look after your investments.

1. INVESTMENT DESIGN AND ASSET ALLOCATION

2. FUND PRE-SELECTION

33Who is Architas?

Jaime Arguello, our Chief Investment Officer, leads the team of investment professionals who have a combined industry experience of over 250 years. Each member brings a unique knowledge from a different sector and industry. The team carries out expert research to uncover investment opportunities and uses our relationship with the AXA Group to negotiate excellent buying terms with fund groups to deliver better value to you.

Our investment process starts with choosing the asset classes (shares, bonds, property and alternatives) to make up our fund portfolios. We then look to identify the best funds from those asset classes, after a careful screening process and carrying out thorough investment and operational due diligence. Once we have picked the ideal balance of funds and added them to the portfolio, we carefully monitor them to make sure they are performing as expected.

Our team uses a number of sophisticated tools and systems to research and monitor the funds within the portfolios. They also hold regular face-to-face meetings with fund managers to get an even better understanding of the fund and the manager’s style.

We have designed our effective investment process to give you confidence that your investments are being carefully managed and regularly monitored.

3. FUND SELECTION

4. PORTFOLIO CONSTRUCTION

5. MONITORING AND RISK MANAGEMENT

4

OURAPPROACH

An illustration of a fund of funds portfolio

What is a multi-manager fund of funds?A multi-manager fund of funds is a convenient way to invest with a wide range of different investment managers through one simple portfolio. Our fund of funds bring together investment managers that are each specialists in their own fields in a competitively priced single investment.

Some of our funds are also multi-asset and this means that the funds used to make up the portfolios (the underlying funds) will be from a range of asset classes that tend to behave in different ways to one another during varying market conditions.

Each underlying fund has its own characteristics that make it a worthwhile holding for the long run. However, there will inevitably be periods when certain funds will do better than the average and others worse. The aim is that by investing in a number of them, the risk could be spread across the portfolio without too much exposure to any one asset class or area of the world.

UK EQUITIESSpecialist

fund managers

EMERGING MARKETS BONDS

Specialist fund

managers

ASIAN EQUITIESSpecialist

fund managers

US BONDS

Specialist fund

managers

EUROPEAN BONDS

Specialist fund

managers

ALTERNATIVESSpecialist

fund managers

UK PROPERTYSpecialist

fund managers

ARCHITAS FUND OF FUNDS

UNDERLYING FUND MANAGERS

5Our Approach

Why should I consider multi-manager investing and the Architas funds?There are a range of possible benefits of multi-manager investing, which are shown below.

DiversificationDiversification or not ‘putting all your eggs in one basket’ is at the heart of how we build our fund of funds. We do not believe that any one manager or asset class will perform consistently well all of the time – there will be highs and lows in performance over different periods.

By spreading our funds, we aim to distribute the investment risk across a range of assets, geographic regions, managers, and investments such as corporate bonds, US shares and UK property. By doing this, we aim to reduce the risk the portfolio would be exposed to if the assets were all in one area or asset class.

Bringing together funds that tend to behave differently in varying market conditions may help to prepare a portfolio for a range of market conditions. There is no guarantee that this strategy will work all of the time. The effect of changing economic conditions is complicated and the performance of one asset class can affect another.

Managing riskOur investment team take the hard work out of monitoring risk for you. Our experienced team manages risk in many ways. We do this:

1 In the way we choose our investments, making sure that each fund we invest in has been thoroughly researched and analysed;

2 by choosing different managers within our portfolios who have different styles to make sure we do not invest too much in any one area; and

3 by regularly monitoring and rebalancing the underlying investments to make sure that each fund is invested in a range of assets that, in our view, suits its risk profile.

Thorough researchWe choose managers based on our own thorough research. This is carried out by our team of investment professionals who each have their own specialist areas.

They have the tools needed to help them do in-depth work on managers.

The team holds approximately 1,000 face-to-face meetings each year around the world, including in the US and Asia, and only make a decision to invest once they feel they have a solid understanding of the manager, how they add value and the role they could play in our portfolios.

Tax advantagesMulti-manager funds can provide a tax efficient way to hold a wide range of underlying holdings. Our fund managers can make changes to the portfolios whenever they want without having to pay capital gains tax (CGT). If your holdings are held in an Individual Savings Account (ISA), you will not pay any CGT when you come to sell your investment, otherwise you only pay CGT if the gain takes you over your yearly CGT limit.

The value of investments and any income from them can fall as well as rise so you may get back less than you invested. The value of funds can change purely as a result of changes in exchange rates. Tax rules can change over time and the value of any tax benefits will depend on your circumstances. Please speak to a tax professional for more advice.

6

HOW ARE THE ARCHITAS FUNDS DIVERSIFIED?

The value of an investment can fall as well as rise and is not guaranteed, which means you could get back less than you have invested. The value of funds can fall and rise purely as a result of changes in the exchange rate.

Using the Architas Multi Asset (MA) Active Intermediate Income Fund, here is an example of how we invest across different asset classes, geographies and investment managers.

What is diversification across asset classes? There are five main asset classes – cash or money markets, bonds, property, alternatives and shares (also known as equities). By spreading investments across different asset classes, you could possibly benefit from more consistent returns than a fund which invests in one asset class.

Spreading investments across different asset classes may help to reduce the ups and downs of investment returns. As a result, the potential losses in one asset class could possibly be softened by gains in another.

DIVERSIFICATION ACROSS ASSET CLASSES

DIVERSIFICATION ACROSS GEOGRAPHIC REGIONS

Why is spreading investments across different geographic areas important? Within each asset class it is possible to spread investments even further. Each asset class offers a range of investment options – for example across countries, industries, types of properties and bonds.

Spreading investments across countries, industries, types of property and bonds helps to balance the overall portfolio. Spreading it out even further within asset classes means that the portfolio is not concentrated in any one area and may help to reduce the effect of a downturn in a specific asset class or geographic region.

What is diversification across investment managers?Investment managers with different investment styles tend to perform better at different times under different economic and market conditions. We combine a range of investment managers with complementary styles using sophisticated techniques to make sure we achieve a spread of investments.

Spreading investments across managers with a range of investment styles helps to balance the overall portfolio. It means that the portfolio is not overly exposed to any one style and, as a result, when one investment style is out of favour, the overall portfolio is not affected in a significant way.

DIVERSIFICATION ACROSS INVESTMENT MANAGERS

77How are the Architas funds diversified?

Due to rounding, the figures shown in each of the fund breakdowns may not add up to 100% and the allocations may change. Information from Architas, correct as at 31 December 2019.

Equities 55.89%UK 23.05 %North America 14.63 %Asia Pacific but not Japan 6.99 %Europe 4.10 %Japan 4.00 %Global emerging markets 3.13 %

Bonds 38.83%UK corporate 20.04 %UK gilts 12.75 %Global government 3.04 %Global 3.01 %

Other 5.28% Alternatives 3.67 %

Property 1.44 %Cash – money markets 0.17 %

UK 57.45 %US 14.63 %Global 9.71 %Asia Pacific but not Japan 6.99 %

Europe 4.10 %Japan 4.00 %Emerging markets 3.13 %

BlackRock UK Gilts All Stocks Index 12.66 %Liontrust Sustainable Future Corporate Bond 9.95 %J O Hambro Capital Management UK Dynamic 7.54 %Artemis Income 6.98 %Vanguard UK Investment Grade Bond Index 5.10 %BlackRock Corporate Bond Index 4.99 %AB – American Growth Portfolio 4.14 %Architas Selection European Equity Institutional 4.10 %Baillie Gifford Japan 4.00 %Man GLG Japan Core Alpha 3.90 %Architas Selection US Equity Institutional 3.66 %iShares MSCI UK Small Cap UCITS ETF 3.31 %TB Evenlode Income 3.15 %Robeco Global Credits 3.01 %BlackRock Overseas Government Bond Index 2.95 %BlackRock Advantage US Equity Fund 2.71 %John Laing Environmental Assets 2.49 %

Fidelity Asia Pacific Opportunities 2.33 %BlackRock Edge S&P 500 Minimum Volatility ETF 2.10 %LF Lindsell Train UK Equity 2.07 %Robeco BP US Premium Equities 2.01 %Hermes Global Emerging Markets  2.01 %Amedeo Air Four Plus 1.18 %RWC Global Emerging Markets 1.06 %Hermes Asia ex Japan Equity 0.76 %Tritax Big Box 0.57 %Ediston Property Investment Company 0.48 %Primary Health Properties 0.39 %Cash 0.15 %Vanguard UK Long Duration Gilt Index 0.09 %BlackRock $ Treasury Bond 20+yr 0.08 %Robeco QI Emerging Conservative Equities 0.06 %JP Morgan Sterling Liquidity 0.02 %

Funds are grouped according to their benchmarks. Global includes all funds which do not have a specific regional benchmark.

8

ASSET CLASSES

SHARESShares of companies are a popular choice for long-term investors. As a shareholder you share in the value of the company’s assets through the share price and in the company’s profits by possibly receiving dividends. However, there are possible risks in investing in shares and you may get back less than you invested.

BONDSBonds are contracts that allow a number of investors to pool together to loan money to a company, government or other institution, over a fixed term. The holders of the bonds then receive interest payments over the length of the term and get their initial investment (capital) back at the end. Bonds are usually issued by banks on behalf of the borrowing institution. If the borrowing institution fails, there is a risk that you will not receive back either the interest due or your original capital.

CASH OR MONEY MARKETSCash or money markets are usually lower risk than other asset classes and normally very accessible (easy to cash in). Money market investments are where you put your money on deposit, such as into a bank account. These types of investments are not without risk as interest rates may be lower than inflation which will eat away your buying power. There is also a possible risk if the institutions go out of business.

ALTERNATIVESAlternatives cover a range of investments that are an alternative to bonds, shares, property and cash. The main subgroups are commodities such as oil, hedge funds and real assets such as infrastructure like toll roads or airports. Unlike a conventional portfolio of shares or bonds, which are relatively straightforward to price, putting a value on an airport, wind turbine or a motorway is more difficult and investors can be exposed to what is known as ‘valuation risk’.

PROPERTYProperty investments are those through companies which own and manage a range of properties, both commercial and residential. The value of property is a matter of the valuer’s opinion and not fact. There could be delays involved with property (disinvestments and switches) due to the fact that property can take time to sell.

We consider these to be the five main asset classes that you can invest in. We aim to diversify our portfolios by including investments from some or all of these areas. Not every fund will contain investments from all of the asset classes.

The value of an investment can fall as well as rise and is not guaranteed, which means you could get back less than you have invested. The value of funds can fall and rise purely as a result of changes in the exchange rate.

9Our Approach

10

During conversations with your adviser, you will discuss your investment goals, how you feel about taking risk, and the amount of risk you would be willing and able to take in return for potential gains.

Your adviser may ask you to fill in an ‘attitude to risk’ questionnaire. This is a series of questions that will help your adviser understand more about your approach to investing and attitude to risk, and can help identify which type of investor you are.

Everyone is different so these are very important factors when assessing the suitability of an investment solution for you.

THINGS TO CONSIDER BEFORE INVESTING

What is your investment aim?The reason why you are investing is an important starting point. You may be investing to plan for your retirement so a long-term investment opportunity could be suitable for you or you may be looking to earn an income, in which case you may want to consider investments that pay out an income.

What is your attitude to risk?Financial markets are unpredictable and you are likely to see the value of your investments go down as well as up. You have to ask yourself, “Am I comfortable with that prospect?” There is an element of risk with all investments – higher risks could possibly lead to higher returns, while lower-risk investments may mean lower returns and less possibility of increasing the value of your money. What is important to know is how much risk and capacity for loss you would be willing and able to accept – how much of your investment can you afford to lose without it affecting your investment goals?

There are a number of different methods and tools for assessing your appetite for risk, so the outcome of your conversations may vary depending on the tools used. There is no guarantee that the risk profiles or levels will prove to be accurate and so you should only use them as a guide.

How long do you want to invest for?This will influence what types of investments you choose and how much risk you are able to take. You may want to spend some of the money you are investing sooner than the rest.

11Our ApproachOur Approach

12

THE ARCHITAS FUNDS

We have designed our fund ranges to be suitable for a variety of investors with different investment aims.

Architas Risk Profiled FundsWe manage these funds in a way that aims to control the amount of risk investors are exposed to. Each fund is given a risk target or profile which acts as a guide to how much risk you may be exposed to by investing in that fund. The funds in the lower-risk profile are designed to be less risky than those in the higher-risk profile. Our risk-profiling system is based on an assessment of the predicted future performance of various asset classes. We cannot guarantee the accuracy of these predictions.

We choose investments for the portfolios in line with risk target levels that the fund must not go above or fall below. The fund manager chooses investments in a way that, when all the underlying funds are combined, the overall portfolio aims to stay within its targeted risk band.

Another way to assess the riskiness of a fund is to check its Synthetic Risk and Reward Indicator score (SRRI), which is based on the fund’s past performance and which you can find in the Key Investor Information document for the fund. You can ask us for a copy, go to our website architas.com or get one from your investment adviser.

RISK PROFILE

ARCHITAS MULTI-ASSET (MA) ACTIVE FUNDS

ARCHITAS MULTI-ASSET (MA) BLENDED FUNDS

ARCHITAS MULTI-ASSET (MA) PASSIVE FUNDS

Architas MA Active Reserve Fund

Architas MA Blended Reserve Fund

Architas MA Passive Reserve Fund

Architas MA Active Moderate Income Fund

Architas MA Blended Moderate Fund

Architas MA Passive Moderate Fund

Architas MA Active Intermediate Income Fund

Architas MA Blended Intermediate Fund

Architas MA Passive Intermediate Fund

Architas MA Active Progressive Fund

Architas MA Blended Progressive Fund

Architas MA Passive Progressive Fund

Architas MA Active Growth Fund

Architas MA Blended Growth Fund

Architas MA Passive Growth Fund

Architas MA Active Dynamic Fund

Architas MA Passive Dynamic Fund

13The Architas funds

Active, Blended or Passive – what does this mean and how do I choose?

ACTIVE FUNDSActive management is a style of investing where a fund manager uses their own skill and judgement to choose the fund’s investments. Our fund managers aim to achieve better performance by picking actively managed underlying funds they believe will provide a good level of performance.

Our fund managers rely on their own skills and judgement supported by the experience and research of our wider investment team, to decide which investments to buy, hold or sell.

Because they have the freedom to select their investments, our active fund managers can vary the mix of holdings within our portfolios to try to achieve better performance than the funds’ benchmark and aim to manage the negative effects of difficult periods.

BLENDED FUNDSBlended funds are, as the name suggests, a blend of active and passive managed funds. Blended funds bring together the possible benefits of both active and passive investing in one investment as the portfolios will be made up of a combination of actively and passively managed funds. There is no set allocation between the two styles. The choice is based on where the fund manager sees the best opportunities for good performance and how to gain access to them at the best price.

PASSIVE FUNDSAlso known as tracker funds, passive funds track a certain market benchmark, such as FTSE 100 index, and aim to achieve performance as close to that benchmark’s performance as possible. Within the Architas passive funds, our role is to monitor the chosen market benchmark for each passively-managed underlying fund and make sure that it matches its risk and return characteristics as closely as possible and in the most cost-effective way.

The Architas Multi-Asset Passive Funds use a fund of funds approach. This means that instead of trying to match one market benchmark, the funds invest in a variety of different index tracker funds, which in turn hold assets to replicate their chosen indices giving greater diversification across asset classes, sectors and geographies.

14

Architas Income Generating FundsThese funds are for those investors who want an income from their investments. We invest in a range of income-paying funds which are spread across different asset classes in world markets. The aim is to deliver an attractive level of income alongside the possibility of increasing your initial investment (capital growth).

You can assess how much income a fund might generate by looking at its yield. This is a measure of income as a percentage of the value of the fund. However, the yield may go up and down and is not guaranteed. It may be affected by the timing of income payments, how they are taxed, and yearly management charges (the yearly fees for managing the fund). Your adviser will be able to give you more information.

Architas MA Active Reserve Fund

Architas MA Active Moderate Income Fund

Architas MA Active Intermediate Income Fund

Architas Diversified Global Income Fund

Architas Global Equity Income Fund

Architas MM Monthly High Income Fund

It is important to remember that the value of investments and any income provided by it can fall as well as rise and is not guaranteed; which means you could get back less than you invested.

Architas Specialist FundsOur specialist funds are a selection of funds that have been created to provide the opportunity to invest in funds which invest in a specific asset class or geographical region or which have a specific investment aim.

The funds are spread across a number of different managers but focus on one asset class or geographical area.

Architas Diversified Real Assets Fund

Architas MM UK Equity Fund

Architas MM Strategic Bond Fund

Architas Positive Future Fund

15Our Approach

16

IMPORTANT INFORMATIONPlain English Campaign’s Crystal Mark does not apply to the text on this page.

Past performance is not a guide to future performance. The value of investments and any income provided by them can go down as well as up and is not guaranteed. You may get back less than you invested.

The Architas Multi-Manager Monthly High Income Fund featured in this brochure may invest over 35% of its assets in investments issued by a single local, national or supranational government.

The funds can invest entirely in units of collective investment schemes.

You can invest in these funds through a number of financial products. These funds may not be appropriate for investors who plan to withdraw their money within five years.

We take charges to cover the costs of managing the fund. If you are investing using a financial product, the product provider may take extra charges, and, if so, should give you details of these charges before you invest.

The AXA Group includes other fund management companies which we refer to as in-house managers, such as AXA Investment Managers, Architas Multi-Manager Europe Limited and AllianceBernstein. We, Architas, may choose to include funds managed by in-house managers, which we refer to as in-house funds, within our multi-manager funds.

AXA also works closely with a select number of external fund managers which are referred to as strategic partners. These partners are selected on the basis of their strengths under certain criteria and we may choose funds from the strategic partners to make up our multi-manager funds. In the UK, we follow

an in-depth research process that ensures that the funds selected for our multi-manager funds are included on the potential benefits they could bring to our Architas funds. We are not influenced by the AXA Group to include in-house or strategic partner funds over funds from other fund managers; funds are selected on their consistency to meet their objectives. We regularly review our selection of funds, including those from strategic partners and in-house managers, to ensure they continue to be appropriate and in your best interests.

More information about our use of funds from strategic partners and in-house managers is available at architas.com/inhousestratpartners/

If you need more information on any of our funds, you can ask us for a free copy of the Key Investor Information document (KIID) and the prospectus. The KIID is designed to help you make an informed decision before investing. You can also view or download all of our funds’ KIIDs from our website at architas.com

Architas Multi-Manager Limited does not assume liability for any advice provided in conjunction with this document. Architas Multi-Manager Limited is the provider and manager of the Architas funds and does not assess the suitability of its funds to individual investors. The presence on this document of the name of a financial adviser, or network of advisers, should not, in any way, be taken to imply that Architas Multi-Manager Limited has knowledge of, or influence over, advice that you have received or will receive. Your financial adviser shall remain, at all times, solely responsible for any financial advice and or recommendations provided in relation to your investment decisions.

Architas was set up in 2008 and is authorised and regulated by the Financial Conduct Authority (FCA). We provide access to investment managers’ services through a range of solutions, including regulated collective investment schemes. For more information on our funds, please contact your financial adviser.

The funds referred to in this document are all collective investment schemes authorised and regulated by the Financial Conduct Authority. AXA is a worldwide leader in financial protection and wealth management. Architas operates three legal entities in the UK; Architas Multi-Manager Limited (AMML), Architas Advisory Services Limited (AASL) and Architas Limited. Both AMML and AASL are owned by Architas Limited, which is 100% owned by AXA SA (a company registered in France). Architas Multi-Manager Limited is a company limited by shares and authorised and regulated by the Financial Conduct Authority (Firm Reference Number 477328). It is registered in England: No. 06458717. Registered Office: 5 Old Broad Street, London, EC2N 1AD.

Architas Multi-Manager Limited 5 Old Broad Street London EC2N 1AD architas.com

The Architas customer support team is on hand to answer your questions.

Call 0800 953 0197Monday to Friday 9.00am–5.30pm; calls may be recorded. Calls are free from landlines and mobiles within the UK.

ARC5149 • Expires 31 Jan 2021