What is an MVR?
An MVR is a Market Value Reduction (MVR). It may also be called a Market Value Adjustment (MVA) or Surrender Value Reduction (SVR).
Put simply this will reduce the surrender value of your policy to reflect exceptionally poor investment conditions. The purpose of the MVR is to ensure that both members that keep their policies and members that surrender their policies are treated fairly. This only impacts members who are surrendering their policies whilst the MVR is applicable. If you are considering surrendering your policy, please contact our Member Services team on 01689 891454 to discuss your options.
MVRs do not currently apply. They last applied from 24 March to 30 June 2020. The application of the MVR was triggered by the global downturn in financial markets resulting from the COVID-19 pandemic. As at 20th March 2020 the UK stock market had fallen by more than 30% since the start of 2020, whilst the Metfriendly With-Profits Fund had fallen by 10% over the same period.
Visit the With-Profits Fund page for more information on its performance.