ANZ KiwiSaver Scheme Conservative Fund

Fund report as at 30 June 2021

How has the fund performed?

Performance as at 30 June 2021

Rate

3 months

2.05%

1 year

5.88%

3 years (p.a.)

5.50%

5 years (p.a.)

4.66%

Since launch

5.50%

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

What happened this quarter (three months to 30 June 2021)

  • Following a challenging start to the year, global bond markets fared much better during the second quarter, shrugging aside inflation concerns to deliver modest gains. This came as central banks in the US and Europe reiterated their view that the current inflationary pressures were likely to be transitory.
  • Global share markets had a particularly good quarter on the back of some strong company earnings. Shares also benefited as the global vaccination roll-out continued at pace, meaning an easing in lockdown restrictions and subsequent pick-up in growth.
  • The fund’s tactical positioning was beneficial as it was overweight to the strong-performing share markets and underweight to weaker-performing bond markets. Favouring international shares over New Zealand shares also helped, as did the overweight to international property – one of the better-performing asset classes this quarter.
  • Strong manager selection within international bond holdings helped, with notable outperformance being delivered by the corporate bond manager.
  • The fund maintains its current positioning of overweight to international shares, Australian equites, listed property and listed infrastructure. We expect these asset classes to deliver stronger returns as more countries reopen for business post COVID-19 lockdowns, and as global growth recovers.

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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 modest yearly return allowing for modest 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 September 2020. The y-axis (vertical) shows values from $0 to $2,500 in $500 increments. The line is labelled 'Conservative Fund'. The line starts at a value of approximately $1,000 for September 2007. The trend is slightly upwards until between September 2008 and September 2009 when the upwards trend increases. The trend then mostly continues upwards until the line finishes at a high labelled $2,048.33 sometime after September 2020.

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

What does the fund invest in?

The fund invests mainly in income assets (cash and cash equivalents and fixed interest), with a smaller exposure to growth assets (equities, listed property and listed infrastructure). 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:

- 20% Cash and cash equivalents
- 60% Fixed interest

Growth assets:

- 2.25% Listed property
- 17% Equities
- 0.75% Other (listed infrastructure)

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


Important information

ANZ New Zealand Investments Limited is the issuer and manager of the ANZ 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 before getting a financial product. To talk to one of our team at ANZ, please call 0800 736 034, or for more information about ANZ’s financial advice service or to view our financial advice provider disclosure statement see anz.co.nz/fapdisclosure