OneAnswer KiwiSaver Scheme Balanced Fund

Fund report as at 31 March 2022  

How has the fund performed?

Performance as at 31 March 2022


3 months


1 year


3 years (p.a.)


5 years (p.a.)


Since launch


Performance is after the annual fund charge, and before tax and membership fees (if applicable).

What happened this quarter (three months to 31 March 2022)

  • The Balanced Fund fell over the quarter in what was a challenging time for global financial markets.
  • International equity markets struggled against the backdrop of rising interest rates, uncertainty brought about by the Russia-Ukraine conflict and higher oil prices. Having fallen sharply in January and February, they staged a turnaround in March, but were unable to regain their losses.
  • Bond markets meanwhile have had a particularly tough time since the start of the year, as persistently high inflation in most economies prompted key central banks to raise interest rates. Bond investments tend to underperform when interest rates are rising and, with further hikes expected, the size and pace of the sell-off in bonds during the quarter was significant.
  • Despite broad-based weakness in markets, our underweight to weak-performing bonds and overweight to cash and strong-performing Australian equity and infrastructure investments was beneficial to relative performance. However, this was offset by negative selection within our international equities holdings, with three out of four of our managers underperforming the market.
  • We remain overweight to growth assets (international equities, property and infrastructure) and underweight to international fixed interest. While there’s the potential for further market volatility, we are positive on equities over the medium term.
  • As hard as it is, the recent market falls are part and parcel of investing. However, we would reiterate the importance of taking a long-term view on investing and, in this regard, the fund has delivered above-average returns over the longer term.

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How the fund has performed over time

The fund aims to achieve (after the fund charge and before tax) over the long term a moderate yearly return allowing for moderate movements of value up and down including occasional negative yearly returns.

The graph below shows the value of a $1,000 investment made at the time the fund launched.

Line graph, text description follows

The x-axis (horizontal) shows annual dates from September 2007 to March 2022. The y-axis (vertical) shows values from $0 to $3,000 in $500 increments. The line is labelled 'Balanced Fund'. The line starts at a value of $1,000 for September 2007. The trend is downwards until a low of approximately $800 between September 2008 and September 2009. The trend is then upwards, other than dips between September 2018 and September 2019, and between September 2019 and September 2020. The most recent quarter dips from a peak to finish at a value of $2,505.89 at the end of March 2022.

Performance is after the annual fund charge and before tax and membership fees (if applicable).

What does the fund invest in?

The fund invests in similar amounts of income assets (cash and cash equivalents and fixed interest) and growth assets (equities and listed property). The fund may also invest in alternative assets.

This chart shows the mix of assets that the fund generally intends to invest in.

Pie graph, text description follows

Income assets:

- 10% Cash and cash equivalents
- 40% Fixed interest

Growth assets:

- 6% Listed property
- 42% Equities
- 2% Other (listed infrastructure)

See the fund's actual investment mix on page 3 of the fund update.

Important information

ANZ New Zealand Investments Limited ('ANZ Investments') is the issuer and manager of the OneAnswer KiwiSaver Scheme. Important information is available under terms and conditions. Download the guide and product disclosure statement.

This material is for information purposes only. We recommend seeking financial advice about your situation and goals. Talk to your financial adviser, or call us on 0800 736 034 and we can put you in contact with one.