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| One month | Three months | One year | Three years (p.a) | Five years (p.a) | |
|---|---|---|---|---|---|
| Fund performance1 | 2.77% | 5.59% | 6.60% | 7.35% | 3.69% |
| Appropriate Market Index (AMI)2 | 3.04% | 5.79% | 7.75% | 7.15% | 3.29% |
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 |
|---|---|
| Fisher & Paykel Healthcare | 15.48% |
| Infratil Limited | 11.24% |
| Auckland International Airport Ltd | 9.41% |
| Contact Energy Limited | 6.84% |
| Meridian Energy Ltd NPV | 6.36% |
| Spark New Zealand Ltd | 4.86% |
| The A2 Milk Company Limited | 4.69% |
| EBOS Group Limited | 4.40% |
| Mainfreight Limited | 4.02% |
| Summerset Group Holdings Ltd | 3.81% |
Commentary
As of 30 September 2025
Market Overview
Fund Commentary
The largest positive contributors to the fund’s relative return were overweight positions in Infratil (IFT), Kiwi Property (KPG), NextDC (NXT), and an underweight (nil holding) in restricted stock Sky City (SKC).
IFT delivered a positive 16.5% return over the quarter. Assisted by its addition to the flagship S&P/ASX 200 index. Also, an independent valuer increased its valuation of CDC (Canberra Data Centres), IFT’s largest investment. Furthermore, IFT hosted a well-received investor day, and announced further contract wins for CDC. KPG delivered a positive 20.5% return. The real estate sector performed extremely well over the quarter. Partly on the back of lower interest rates and a more dovish outlook. KPG participated in the sector rally. NXT delivered a positive 16.7% return. The company produced a solid FY25 result alongside an extremely strong outlook that led to significant earnings upgrades. NXT will also look for capital partners to help fund the large pipeline of developments in front of it.
The largest negative contributors to relative return were from underweight positions (nil holdings) in Heartland Group (HGH), Fonterra (FSF), and an overweight position in Summerset (SUM). HGH delivered a positive 35.3% return. The company’s result revealed improved performance over the second half of their financial year. Following share price weakness since February, the stock has rebounded back to prior levels. FSF delivered a positive 13.3% return. The FY25 result was solid, including earnings at the top-end of its guidance range, progress on the simplification program, sale of its Mainland business, and a strong FY26 outlook. SUM delivered a negative 4.1% return. Despite the company producing a good result, it came under pressure from a large shareholder selling stock during the period.
Key portfolio changes during the month included establishing a new position in Vista (VGL), and divesting Precinct Properties (PCT) and Restaurant Brands (RBD). In addition, adding to positions in Port of Tauranga (POT), KPG, and Ingenia Communities (INA). Reducing our positions in Waypoint (WPR), Channel Infrastructure (CHI), and Chorus (CNU). (Bold denotes stocks held in the portfolio).