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ABI life and pension funds the ABI sectors

What are the ABI Sectors?

The ABI Sectors is a system for the classification of life and pension funds. Every sector sets clear criteria that must be followed by funds wishing to belong to that sector. We introduced the ABI Sectors in 1997 to ensure that life and pensions funds operating similar investment strategies are grouped together, so that consumers and financial advisers can compare them on a like-for-like basis. 

The ABI Sectors contain over 8,000 life and pension investment funds, representing over £700 billion in assets under management. 

Do the sectors explain risk? 

No, the sectors are not designed to reflect the relative risk of funds. They are designed to group together funds that are similar, so that they can be compared on a like-for-like basis. 

How are the ABI Sectors managed? 

The ABI’s Investment Classification Panel (ICP) acts as the impartial governance mechanism for the ABI Sectors. The ICP is made up of experts from ABI member companies and fund data providers. It meets every two months. 

The ICP is responsible for developing the criteria for each sector. It also monitors whether investment funds comply with these criteria. 

Criteria for funds in the ABI Sectors

For more information on criteria for funds see ABI sector definitions.