Diversified Funds

GoalsGetter Nikko AM Balanced Fund

Join KiwiSaver Invest Now

About the fund

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)

1
2
3
4 Medium to High
5
6
7

Target Asset Allocation

Growth 62.00%
Income 38.00%
Nikko

Summary of Nikko AM

Nikko AM, established in 1994, manages funds for a wide range of clients including charities, corporations, local governments, and individual investors. As a New Zealand-based investment manager, it benefits from the global expertise of its parent company, Nikko Asset Management, one of Asia’s largest asset managers. Led by Stuart Williams since 2023, Nikko AM actively manages New Zealand equity and fixed income assets, partnering with Goldman Sachs, NAM Europe, and ARK for global investments. Believing in active management, they seek to uncover market opportunities.

Find out more about Diversified Funds from Alan Clarke

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.

Commentary

As of 31 March 2025

Market Overview

  • Global equity markets were weaker over March, giving up the gains from January and early February to finish the first quarter of 2025 in the red.
  • Politics dominated the narrative in March, with announcements on upcoming tariffs and trade policy changes from the new US administration making headlines.
  • The Kiwi was stronger versus the US Dollar over the month and the quarter, and weaker over the quarter against the other majors.
  • The first quarter of 2025 saw a reversal of the trend of the last couple of years in terms of sector and regional leadership.

Fund Commentary

The fund was down -2.3% in the first quarter of 2025, behind the return of the benchmark (-1.8%).

Global equity markets were weak over the first quarter, and local markets also fell. The Global Multi-Manager Equity Fund trailed the global benchmark, and the two local strategies (Core and Concentrated) also underperformed the NZX50 Index. WCM (‘growth’ style) and JPMorgan (‘core’) underperformed while Royal London (‘core’ style) was ahead of benchmark. Ryman, Spark and NextDC were the main contributors to underperformance locally. Ryman surprised the market with a N$1bln capital raise to reduce debt, and Spark downgraded earnings. Ingenia Communities and Worley both performed well for the funds on strong earnings reports and better than expected forward earnings guidance. Pleasingly for the diversified funds the defensive section of the portfolio performed well in the ‘risk-off’ environment of the second half of the quarter. The cash, local, and global bond funds all outperformed, or were in line with, their respective benchmarks. The Global Bonds Fund’s outperformance was driven by GSAM’s country and duration strategies, while their cross-sector strategy detracted from performance. The overweight to Swedish rates versus an underweight Japanese rates added value as Japanese rates sold off amongst stronger inflation and wage data, as well as a 25bps hike from the BoJ. In Sweden, the Riksbank cut rates and the heightened global tariff risks saw Swedish rates rally.

Performance

GoalsGetter KiwiSaver Scheme
Open Close

Performance

at 31 March 2025
One month Three months One year Three years (p.a) Five years (p.a)
Fund performance1 -2.69% -2.32% 4.56% 3.34% 6.41%
Appropriate Market Index (AMI)2 -2.47% -1.82% 5.93% 4.99% 7.62%
  1. Returns are before tax and after the deduction of fees and expenses and including tax credits (if any).
  2. AMI: Composite - refer to the GoalsGetter KiwiSaver Scheme SIPO

5 year cumulative performance $10,000 invested

Top 10 Holdings

Security Name Percentage
Jpm Global Select Equity X Acc Usd 12.23%
Infratil Limited 1.58%
Contact Energy Limited 1.53%
Fisher & Paykel Healthcare 1.31%
Microsoft Corp 1.27%
Amazon Com Inc 1.23%
Kiwi Property Group Limited 1.16%
Meridian Energy Ltd NPV 1.07%
Goodman Property Trust 1.06%
Summerset Group Holdings Ltd 1.06%