• The Fund seeks to provide an increase in the value of investments over the long-term (more than 5 years) together with some money paid out from those investments as income.
• The Fund is actively managed and seeks to achieve its investment objective by investing in a combination of shares (40-50% of the Fund’s investments) and bonds (issued by companies and entities which are not companies, such as government-related entities) (50-60% of the Fund).
• The Fund can invest worldwide and the majority of the Fund’s investments will be in developed countries. The Fund can invest in all countries, sectors and industries, subject to (i) Climate Considerations and (ii) Exclusions as described below.
• Climate considerations: At least 70% of the Fund’s assets will meet at least one of the Climate Considerations for company shares, corporate bonds and sovereign bonds: - Corporate climate considerations: When purchasing shares and corporate bonds for the Fund, the Manager will consider whether the company displays at least one of the following qualities, which would enable the Manager to be aware of what the company is doing which might support its journey towards net zero: (i) displays current Scope 1+2 carbon intensity that is at least 25% below the industry average; and/or (ii) has published an active emissions reduction target. Scope 3 emissions are not included. - Sovereign climate considerations: When purchasing sovereign bonds for the Fund, the Manager will consider whether the relevant country’s sovereign carbon intensity is at least 25% lower than the average carbon intensity of the sovereign constituents within the Composite Index. The Fund can hold investments that do not meet the Climate Considerations and certain investments are not subject to any Climate Considerations. The Fund will not invest more than 30% of its value in assets that do not demonstrate any of the Climate Considerations.
• Exclusions: The Manager seeks to avoid investing in companies involved in and/or deriving revenue (above a threshold specified by the Manager and set out in the exclusions policy at https://funddocs.vanguard.com/Vanguard_ActiveLife_Climate_Aware_Range_Exclusions_Policy.pdf). The Manager will not invest in sovereign bonds issued by countries where the fuel exports for the relevant country exceed 50% of total exports.
• The Fund attempts to remain fully invested and hold small amounts of cash except in extraordinary market, political or similar conditions where the Fund may temporarily depart from this investment policy to avoid losses.
• The Fund may use derivatives in order to reduce risk or cost and/or generate extra income or growth (known as “efficient portfolio management”). A derivative is a financial contract whose value is based on the value of a financial asset (such as a share, bond, or currency) or a market index.

Note: Sustainable investment labels help investors find products that have a specific sustainability goal. This product does not have a UK sustainable investment label, as the sustainability characteristics are not aligned to the FCA's labelling criteria. For more information about sustainable investment labels, please see the FCA page linked here.