This fund invests in a broad selection of NZ listed companies with potential for growth of income and capital, and may also invest in some Australian shares if the portfolio managers see opportunities, as part of an actively managed portfolio.
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.
Commentary
As of 31 August 2025
Market Overview
Fund Commentary
The largest positive contributors to the fund’s relative return were from overweight positions in NextDC (NXT), Worley (WOR) and Ingenia Communities (INA). NXT rose 13.7% (in AUD) following the announcement of a good result and also a very strong outlook. NXT will also look for capital partners to help fund the large pipeline of developments in front of it. WOR added 10.0% (in AUD) on the back of a good result, strong margins and a large order book which supports earnings for a number of years. INA reported a better than expected result and also guided to strong growth in the year ahead. INA rose 13.0% (in AUD) over the month.
The largest negative contributors to relative return were from underweight positions in A2 Milk (ATM) and Westpac Bank (WBC) and an overweight position in Sky City Entertainment (SKC). ATM announced a solid earnings result, a $300m special dividend and a transaction that gets them extra China label licences by selling one manufacturing site and buying another. ATM added 21.5% over the period. WBC reported a good third quarter result on the back of strong revenue growth and higher than expected net interest margin. WBC added 15.6% over the month. SKC conducted a deeply discounted $240m capital raising during the period to improve its balance sheet. SKC have identified property assets for divestment but to avoid being a forced seller the capital raise was conducted to ensure it did not breach banking covenants. The capital raise resulted in SKC falling 26.3%.
Key portfolio changes during the month included adding to our positions in Chorus (CNU), EBOS (EBO), Fletcher Building (FBU), Infratil (IFT), NXT, ResMed (RMD), Ryman Healthcare (RYM), Scales (SCL), Sky Network Television (SKT) and SUM. The fund also participated in the Sky City Entertainment capital raising. Positions in ATM, Channel Infrastructure (CHI), Mercury Energy (MCY), Fisher & Paykel Healthcare (FPH), INA and Spark (SPK) were reduced. (Bold denotes stocks held in the portfolio).