On this page:
| One month | Three months | One year | Three years (p.a) | Five years (p.a) | |
|---|---|---|---|---|---|
| Fund performance1 | -1.32 | 0.47 | 1.10 | 6.06 | 1.12 |
| Appropriate Market Index (AMI)2 | -0.40 | 1.86 | 4.79 | 7.76 | 1.61 |
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 | 18.43% |
| Infratil Limited | 13.05% |
| Auckland International Airport Ltd | 8.81% |
| Contact Energy Limited | 8.21% |
| Meridian Energy Ltd NPV | 6.57% |
| Mainfreight Limited | 5.65% |
| EBOS Group Limited | 4.55% |
| Spark New Zealand Ltd | 4.42% |
| A2 Milk | 4.24% |
| Freightways Limited | 3.22% |
Commentary
As of 30 September 2026
Global equities posted modest gains over the September quarter with the MSCI World Index up 1.3%, although the path was volatile and performance diverged sharply across regions. The S&P 500 rose 2.0%, as resilient US corporate earnings and continued artificial-intelligence capital expenditure offset a late quarter rise in bond yields and inflation concerns, linked to renewed Middle East tensions and firmer oil prices. The FTSE 100 gained 1.0%, reaching a fresh record above 10,900 in September before easing into quarter-end. Japan was the standout laggard, with the Nikkei 225 falling 4.7% over the quarter as the index unwound part of its strong first-half rally amid Bank of Japan policy uncertainty and yen volatility. The Australian S&P/ASX 200 added 1.3% while in New Zealand the S&P/NZX 50 rose 1.9%, closing the quarter near 13,830 after setting an intra-quarter record high of 14,069 in late August before retreating through September. The NZ domestic earnings season remained an important focus over the quarter, with a run of full-year results from NZX names feeding into stock-specific moves, while broader sentiment was increasingly shaped late in the quarter by rising global bond yields, oil prices near US$100 a barrel and ongoing Middle East-related geopolitical risk.
The largest positive contributors to relative return were overweight positions in Vista Group (VGL) and Sky Network Television (SKT), and an underweight position in Chorus (CNU). VGL (+19.2%) delivered a small upgrade at its half-year result. More importantly, it confirmed strong momentum in existing-customer cloud conversions and new-customer wins, against a backdrop of a reasonably strong US box office. SKT (+13.3%) met expectations at its full-year result, while also delivering a higher-than-forecast dividend and guiding to material dividend growth over time. CNU (-15.4%) delivered a robust result. However, it also indicated that it was continuing to explore expansion into adjacent markets, which may be at odds with the preferences of investors seeking dividend maximisation. It was also part of a group of long-duration infrastructure assets that struggled amid higher bond yields.
The largest negative contributors to relative return were overweight positions in NextDC (NXT), Infratil (IFT), and Ryman (RYM). Despite strong data-centre demand, NXT and IFT were affected by volatility across AI-related stocks and higher bond yields. NXT (-25.7%) also raised A$1.1 billion through a convertible note, highlighting the capital required to convert bookings into earnings. IFT (-8.2%) hosted a well-attended investor day in Sydney, where it delivered several positive messages alongside a CDC-driven FY27 earnings upgrade. RYM (-18.1%) was weighed down by a large offshore seller, amid continued housing-market weakness that drove a broader sector de-rating.