Investment
The Fund measures its performance in two ways:
- relative to the NZ 90 day Treasury Bill return; and
- relative to a passive Reference Portfolio benchmark.
It is our expectation, given our long-term mandate and hence portfolio construction, that we will return at least the Treasury Bill return + 2.7% over any 20-year moving average period.
| Performance as at 31 December 2019 | December 2019 | Last 12 months | Last 5 years p.a. | Last 10 years p.a. | Since inception p.a. |
| Actual Fund Return (after costs, before NZ tax) | 1.91% | 21.13% | 11.34% | 13.05% | 10.32% |
| Reference Portfolio Return (after costs, before NZ tax) | 1.98% | 22.74% | 9.32% | 10.50% | 8.94% |
| Value-added (actual return less Reference Portfolio Return) | -0.07% | -1.61% | 2.02% p.a. | 2.55% p.a. | 1.38% p.a. |
| Estimated $ earned relative to Reference Portfolio | $(33) million | $(602) million | $3.962 billion | $9.788 billion | $8.901 billion |
| NZ income tax (paid) / received | $0 billion | $(0.521) billion | $(2.481) billion | $(5.54) billion | $(6.913) billion |
| Treasury Bill Return | 0.08% | 1.37% | 2.00% | 2.33% | 3.82% |
| Net Return (actual return less Treasury Bill Return) | 1.84% | 19.76% | 9.33% p.a. | 10.72% p.a. | 6.50% p.a. |
| Estimated $ earned relative to Treasury Bills | $837 million | $7.396 billion | $15.872 billion | $29.198 billion | $28.595 billion |
| Long-term performance expectation | 0.30% | 4.06% | 4.68% | 4.92% | 6.34% |
| $ change in net asset position | $1.089 billion | $8.794 billion | $19.148 billion | $30.720 billion | $46.684 billion |