The NZD Growth Fund is a New Zealand Dollar denominated fund employing an active asset allocation strategy and a passive investment management strategy invested 16% in income assets (New Zealand and international fixed interest), with 84% exposure to growth assets (Australasian and international equities).

 

Investment Objectives

The fund seeks to track composite indices (before annual fund charge and tax), comprising: 8% Bloomberg NZ Bond Govt 0+ Yr Index; 8% Bloomberg Global Aggregate Index, 100% hedged to NZD; 15% Morningstar New Zealand (total return) Index, including imputation credits; 15% S&P/NZX 50 Portolio Index, including imputation credits; 27% MSCI World Index NR ex NZ, Tobacco, Controversial and Nuclear Weapons; and 27% MSCI World Index NR ex NZ, Tobacco, Controversial and Nuclear Weapons, 100% hedged to NZD.

Investment Managers

The table below sets out the target asset allocation and underlying investment managers for the Fund.

For more information you can access the Funds Statement of Investment Objectives and Policy (SIPO).

Asset Class

Investment Manager

 Product Name Benchmark Asset Allocation 1
New Zealand fixed interest

Simplicity NZ Limited

 Simplicity NZ Bond Fund  8%

International fixed interest

 Smartshares Limited  Smartshares Global Aggregate Bond ETF 8%

Australasian equities

 Simplicity NZ Limited Simplicity NZ Share Fund 15%

Australasian equities

 Harbour Asset Management Limited Harbour NZ Index Shares Fund 15%

International equities

 Mercer (N.Z.) Limited

Mercer Socially Responsible Overseas Shares Index Portfolio (27%)

Mercer Socially Responsible Hegded Overseas Shares Index Portfolio (27%)

 54%
Total assets 100%

 

1 The Benchmark Asset Allocation, Maximum and Operating ranges are set out in the SIPO.

 

Fund Performance

Please find below the latest performance figures for the NZD Growth Fund as at 31 March 2024.  The returns are after fees and taxes:

 

PIR Tax Rate

Month

Quarter

12-months

3-Year

5-Year

Inception

28%

3.06%

6.99%

16.05%

3.10%

5.31%

6.85%

0%

 2.96% 6.63% 16.19% 3.18% 5.34%  6.92%

* NZD Growth Fund was established on 24 December 2018

* Returns for periods longer than one year are annualised 

The chart below shows the fund return after fund charges and tax (at 28%) for each full calendar year the fund has been in existence. The last bar shows the performance of the current calendar year to date (1 January 2024 to 31 March 2024):