The Nikko AM Europe team manages this fund, investing in a selection of around 40-50 companies from around the world, covering a diverse range of regions and sectors. The manager selects companies where they believe there is potential for quality and future value.
Currency exposure created as a consequence of investment in global shares is 100% hedged to the New Zealand dollar.
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 July 2025
Contributors: Oracle Corporation's stock surged in July following strong results, with cloud infrastructure revenue up 52% and total cloud revenue up 27%. The company also raised its outlook for fiscal year 2026, projecting over 40% growth in total cloud revenue. Strategic partnerships with IBM and Cleveland Clinic, along with the announcement of a 4.5GW contract with OpenAI as part of Stargate, also boosted the shares. Shares of Synopsys, Inc. rebounded after news that the US had lifted previously imposed export controls on EDA providers for exports to China. With that potential headwind disappearing - or at least becoming less imminent - the strength of the core business and demand for high-performance computing came back into focus. Peer company Cadence reported a strong quarter in July with a record backlog, which came despite the month-long China ban, setting the stage for Synopsys’ next earnings release. NVIDIA Corporation continued its AI-driven momentum, helped by the rescinding of the US ban on the sale of H20 GPU chips to China and continued stock purchases. Strong demand for its Hopper and upcoming Blackwell chips is expected to persist, as hyperscalers continue to increase their capex forecasts for this year and next.
Detractors: Despite strong revenue growth and effective cost management, Elevance Health, Inc. faces elevated medical cost trends in its ACA and Medicaid businesses, significantly impacting margins. These cost pressures prompted a downward revision in full-year earnings guidance, driving the share price lower. Netflix, Inc. shares had been strong leading into results but failed to exceed already inflated expectations. The company also faced several headwinds, including the departure of popular HBO and Disney content from the platform, increased competition, and rising content costs. Nonetheless, we believe the company is extremely well positioned to continue growing its subscriber base. Despite delivering solid first half 2025 results and a 100bps EBITDA margin expansion, Kerry Group plc's shares fell in July due to concerns over slowing volume growth and a general market avoidance of defensive stocks. The announcement of a senior executive retirement and ongoing macroeconomic concerns also weighed on the stock