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This fund aims for a steady investment return over the medium to longer term without too many ups and downs. The fund does this by investing across a range asset classes with exposure to shares for growth complemented by exposure to bonds and alternatives to reduce volatility.
Growth Fund Strategic Asset Allocation
Risk Indicator (volatility)
Target Asset Allocation
This number indicates the relative 'risk' level of this fund based on the types of assets it is invested in, ranging from level 1 (least risky) to 7 (most risky).
| Risk category | Description of volatility |
| 1 | Very low |
| 2 | Low |
| 3 | Medium |
| 4 | Medium to High |
| 5 | High |
| 6 | Very high |
| 7 | Extremely high |
The risk indicators are calculated using returns of the funds, the returns of the fund’s market index or a combination of both, for the previous five years. Index returns or a mix are used if the fund has existed for less than five years. All Managers are required to use the same methodology so you can compare the risk of different funds if you are researching more than one manager.
Hear from Alan Clarke, Portfolio Manager. In this video, he explains what an average day in his job looks like and how Diversified Funds work. Alan also talks us through the investment process and details the main reasons why you should consider a Diversified Fund for your next investment.
| One month | Three months | One year | Three years (p.a) | Five years (p.a) | |
|---|---|---|---|---|---|
| Fund performance1 | 2.40% | 5.03% | 19.02% | 2.71% | 4.45% |
| Appropriate Market Index (AMI)2 | 2.47% | 3.86% | 16.94% | 4.48% | 5.84% |
AMI (appropriate market index) is a theoretical portfolio with similar underlying assets as the fund. This allows investors to see a comparison of how the value of those assets have changed in the market relative to the fund.
| One month | Three months | One year | Three years (p.a) | Five years (p.a) | |
|---|---|---|---|---|---|
| Fund performance1 | 2.38% | 4.99% | 18.86% | 2.65% | 4.44% |
| Appropriate Market Index (AMI)2 | 2.47% | 3.86% | 16.94% | 4.48% | 5.84% |
AMI (appropriate market index) is a theoretical portfolio with similar underlying assets as the fund. This allows investors to see a comparison of how the value of those assets have changed in the market relative to the fund.
| Security Name | Percentage |
|---|---|
| Jpm Global Select Equity X Acc Usd | 12.60% |
| Infratil Limited | 1.90% |
| Microsoft Corp | 1.49% |
| Contact Energy Limited | 1.45% |
| Fisher & Paykel Healthcare | 1.35% |
| Amazon Com Inc | 1.29% |
| Nvidia Corp | 1.26% |
| Goodman Property Trust | 1.09% |
| Summerset Group Holdings Ltd | 1.07% |
| NZ Government 150534 4.25 Gb | 1.07% |
Commentary
As of 30 November 2024
Market Overview
Fund Commentary
Overall returns for Balanced Fund investors were strong in November, building on strong performance year-to-date. With the exception of NZ listed property, all asset classes posted solid absolute returns in November, with local and global equities leading the way. The Global Multi-Manager Equity Fund had another strong month with 3 of the 4 managers out-performing. WCM (‘growth’ style) was the standout for a second straight month. Mobile technology company AppLovin has seen their share price triple since mid-September, and there were also strong returns from McKesson (healthcare), Datadog (cloud-based infrastructure) and Sea Ltd (online marketplace). Nikko AM Europe (growth) and Royal London AM (core) were also well ahead of benchmark, with JPM AM (core) slightly underperforming. The Core and Concentrated Equity Funds underperformed the benchmark. Overweight positions in Ryman Healthcare and Sky TV, as well as being underweight Gentrack, were the main detractors from relative returns, while Aristocrat Leisure (overweight) had a strong month helped by a solid earnings result. Both the global bond and local bond fund outperformed their respective markets. The former was driven by strong performance from securitised holdings, as well as from being underweight Japanese rates and overweight Swedish rates. BoJ governor Ueda continued with a hawkish stance, while the Riksbank continued their cutting cycle on expectations of ongoing economic weakness. The local bond funds outperformance was driven by the funds higher yield accrual and long duration position.