ABI Life and Pension Fund sector definitions

ABI fund sectors provide a framework for classifying unit-linked life and pension funds with similar investment objectives into defined fund categories, known as sectors.

The sector definitions establish clear eligibility criteria for fund classification and are designed to group funds with similar characteristics. They are not intended to measure the relative risk or performance of funds.

To ensure the sectors remain relevant and up to date, our members review the definitions at least twice a year. Any updates are published on this website.

To ensure the ABI Fund Sectors remain relevant and up to date, we periodically review and update sector definitions. Recent updates include:

• Global Emerging Market Sector - This sector will require funds to have 80% of their equities in emerging markets and across more than one equity region. (Open consultation: closing 26 January 2027) 
• UK Smaller Companies – The sector now classifies smaller companies as the smallest 15% of UK company shares by market capitalisation, increased from the previous threshold of 10%. (Updated December 2024)
• Global Fixed Interest – The requirement for 80% global bond exposure has been removed. Additional guidance on investment grade classification and fund flags has been added. (Updated December 2024)

Since January 2020, LSEG Lipper has been responsible for maintaining the ABI Fund Sectors Master List and administering fund classification on behalf of the ABI. Its responsibilities include:

• Collecting fund data from providers
• Classifying funds against the ABI Fund Sector definitions
• Monitoring compliance with sector requirements
• Maintaining and publishing the ABI Fund Sectors Master List
• Managing registrations of new funds and transfers between sectors

Queries relating to fund classification, moving funds between sectors, registering new funds, or obtaining a copy of the ABI Fund Sectors Master List should be directed to Refinitiv.

For questions relating to the ABI fund sector definitions, please contact [email protected]