Octopus Growth Fund 2
Our Balanced Growth approach.
At a glance
Balancing caution and adventure. The middle risk choice out of our three growth approaches.
This fund has some sustainability characteristics due to being responsibly invested. Sustainable investment labels help UK investors find funds that have a specific sustainability goal. This fund doesn’t have a UK sustainable investment label because it doesn’t have a specific sustainability goal.
Highlights
- Balances risk and reward
Likely to be a bit more of a ‘bumpy’ ride than lower risk investments.
- Aims for steady growth
A balanced approach to growing your money in the longer term.
- All done for you
Managed for you by our dedicated team of investment experts. All in one neatly packaged approach.
How is your money invested?
Typically 70% of your money goes into higher risk investments with higher potential returns and 30% into lower risk investments with lower potential returns.
Our experts review this mix regularly within the adjustment range, for higher growth potential.
Typically 70%
invested for higher potential returns with higher risk
Typically 30%
invested for lower risk with lower growth potential
Remember, the value of investments can go up and down, so you may get back less money than you put in. Tax depends on your individual circumstances and the regulations may change in the future.
Where your money’s invested
Our experts manage the mix of investments, within the adjustment range and to achieve the approach objectives.
Here’s the detail at 31 December 2025.
Lower risk
2% Cash
5% Short maturity bonds
1% UK Government bonds (Gilts)
3% Global Government bonds
1% UK corporate bonds
8% Global corporate bonds
Higher risk
7% Shares (emerging market)
7% Shares (UK)
4% Real estate investment trusts
50% Shares (overseas developed)
5% Bonds (emerging markets)
7% Bonds (high yield)
What do these terms mean?
Bonds: These are like IOUs, used by companies and governments to raise money. The buyer effectively lends money to the seller, in return for interest on their investment over a set amount of time. When that time’s up, the value is paid back.
Gilts: These are just a type of bond. But instead of lending money to a company, it’s lent to the UK Government.
Shares: A share is a tiny bit of a company. Share owners are called shareholders. If a company does well, shareholders are rewarded with a proportion of the profits, paid out as dividends. The value of shares rises and falls according to the company’s performance, and other factors.
Real estate investment trusts (REITs): These are pools of money gathered by a company from investors. They’re used to buy, manage or invest in property and land (real estate) to generate income – a way of investing in commercial property without needing millions.
How the fund invests
Your money is invested in a group of funds, rather than directly in stocks and shares. This is known as a fund of funds.
Top holdings
The following is up-to-date as of 31 December 2025.
abrdn Evolve World Equity Fund
abrdn Evolve European Equity Index Fund
abrdn Evolve American Equity Fund
abrdn Evolve Asia Pacific ex-Japan Equity Index Fund
abrdn Evolve UK Equity Fund
abrdn SICAV I – Responsible Global High Yield Bond Fund
iShares MSCI Emerging Markets ESG Enhanced UCITS ETF
abrdn Global Corporate Bond Screened Tracker Fund
iShares MSCI Japan ESG Enhanced UCITS ETF
L&G ESG Emerging Markets Government Bond Index Fund
What you could have earned already
The table below illustrates the annualised total returns of the fund for the period shown, compared with its benchmark. Remember, past performance isn’t a reliable guide to future performance.
The following is up-to-date as of 31 December 2025.
| December 2020 to December 2021 | December 2021 to December 2022 | December 2022 to December 2023 | December 2023 to December 2024 | December 2024 to December 2025 | |
|---|---|---|---|---|---|
| This fund | 9.5% | -8.3% | 9.5% | 8.4% | 12.9% |
| Performance Comparator* | 10.8% | -9.6% | 11.6% | 12.8% | 10.4% |
This fund changed strategy in October 2021. To help you compare it with other funds we have replicated the performance of the markets the fund invests in, to indicate what the performance may have been prior to the strategy change. The simulated return takes into account the current annual charge of 0.45% and that the mix of assets are rebalanced once per month, but does not include the separate account fee of 0.30% per year.
*The fund doesn’t use a benchmark as a guide for investing or as a target to beat. But we do use a performance comparator which investors may want to compare the fund’s performance against. This comprises 60% shares and 40% bonds. Shares are represented by the MSCI All Countries World Index GBP, whilst bonds are represented by the Bloomberg Global Aggregate Bond Index – GBP Hedged. The fund invests differently to the performance comparator therefore returns will always be different. For example there are differences in the way the fund is built vs. the comparator, along with the cost of investing, which is included for the fund return, but not the comparator. You cannot invest in the performance comparator.
Source: Lipper, year on year, 31 December 2020 to 31 December 2025, bid to bid with net income reinvested.
Key information
In our important documents you’ll see our Balanced Growth approach referred to as the Octopus Growth Fund 2. Before applying, please make sure you’ve read the following:
Key Investor Information Document – Octopus Growth Fund 2Want to check out the performance of another fund?