UTC (UK) Pension Scheme - Annual Report & Chair's Statement

Docusign Envelope ID: 7C50003C-051D-4E0C-907A-F452AD5C4EA2

UNITED TECHNOLOGIES CORPORATION (UK) PENSION SCHEME YEAR ENDED 31 DECEMBER 2023

STATEMENT REGARDING DC GOVERNANCE

Legal & General

Investment Fund

Expense ratio

Transaction Costs Incurred During Scheme Year

Average Transaction Costs*

Global Equity 70:30 Index Over 15 years Gilts Index

0.214% 0.100% 0.257% 0.176% 0.100% 0.223% 0.120% 1.533%

0.043% 0.192% 0.047% 0.030% 0.207% 0.065% 0.042% -0.071%

0.02% 0.08% 0.04% 0.03% 0.10% 0.03% 0.02% -0.31%

Multi Asset

UK Equity Index

Over 5-year Index Linked Gilts World (ex UK) Equity Index

Cash

Managed Property

Global Equity Market Weights 30:70 GBP 75% Hedged

0.225%

0.037%

0.08%

* Covering a five-year period. In certain circumstances the methodology used for calculating transaction costs (known as slippage) can lead to negative costs being reported. This can be, for example, where other market activity pushes the price of the asset being traded down, whilst the transaction was in progress, resulting in the asset being purchased for a lower price than when the trade was initiated.

Standard Life

Investment Fund

Expense ratio

Transaction Costs Incurred During Scheme Year

Average Transaction Costs**

Standard Life Money Market Pension Fund SL BlackRock Managed (50:50) Global Equity Pension Fund Standard Life Deposit and Treasury Pension Fund SL iShares Over 15 Year Gilt Index Pension Fund SL Vanguard FTSE Developed Europe ex UK Pension Fund SL Vanguard FTSE UK All Share Index Pension Fund Standard Life Property Pension Fund Standard Life FTSE Tracker Pension Fund Standard Life Overseas Equity Pension Fund SL Vanguard FTSE Developed World ex UK Pension Fund Pension 2 With Profits 2 Fund* Pension 2 With Profits 2 2006 Fund*

1.01%

0.00%

0.00%

1.02%

0.03%

0.15%

1.01%

0.08%

0.05%

1.02%

0.03%

0.00%

1.02%

0.09%

0.09%

1.02%

0.08%

0.12%

1.03% 1.01%

0.23% 0.04%

0.17% 0.03%

1.01%

0.22%

0.24%

1.02%

0.00%

0.06%

0.00% 0.00%

0.01% 0.01%

0.15% 0.15%

* There are no explicit fund management charge or additional expenses but when Standard Life calculate a With Profits value they take into account deductions for costs. These deductions are broadly the same as the management charges and additional expenses for investment linked funs with similar assets. Standard Life also make deductions, which may vary, for the cost of providing guarantees. ** Covering a four-year period. In certain circumstances the methodology used for calculating transaction costs (known as slippage) can lead to negative costs being reported. This can be, for example, where other market activity pushes the price of the asset being traded down, whilst the transaction was in progress, resulting in the asset being purchased for a lower price than when the trade was initiated.

Demonstrating the impact of costs and charges

To demonstrate the impact of the costs and charges applied through the Scheme’s Scottish Widows AVC policy (in which TACC Benefits are also invested), illustrations have been produced in line with statutory guidance, the latest version being the October 2022 guidance from the Department for Work & Pensions entitled “Reporting of costs, charges and other information: guidance for trustees and managers of

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