OneAnswer KiwiSaver Scheme Australasian Property Fund

Fund report as at 30 September 2018

 

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How has the fund performed?

What does the fund invest in?

What sort of fund is this?

How has the fund performed?

Performance as at 30 September 2018

3 months

1 year

3 years (pa)

5 years (pa)

Since launch

5.35%

15.28%

11.59%

13.11%

7.36%

Performance is after the annual fund charge, and before tax and membership fees (if applicable). For more information, see legal information and disclaimers.

What happened this quarter (3 months to 30 September 2018)

  • The New Zealand property market had an exceptional quarter, up 5.8%, supported by a renewed interest in higher-yielding property stocks as local interest rates look set to remain lower for longer. Australian property delivered more muted returns, up 1.9%, as the sector was held back by the weaker performance of the broader Australian share market.
  • Overweight positions in Ryman Healthcare and Precinct Properties had the biggest positive impact on performance this quarter. Ryman Healthcare, an owner and operator of retirement villages, saw its share price rise 17%, as it continues to benefit from a solid growth outlook driven by long-term demographic trends. Meanwhile, shares in Precinct Properties rose 8%, following a strong profits results and news of a new $300m redevelopment in downtown Auckland at a site adjacent to its Commercial Bay development.
  • However, there were a number of headwinds to performance. The fund holds an overweight position in Australian aged-care company Aveo Group, which despite delivering a strong result saw its shares fall 17% on the back of increased regulatory risk. The fund also holds an underweight in Goodman Property Trust, which happened to be one of the better-performing companies this quarter.

Need more information?

  • Read our Market Review for more information on investment markets
  • Key read: why it’s wise not to try to time the market or chase returns

What does the fund invest in?

In the table below, the ‘target investment mix’ shows the mix of assets the fund generally intends to invest in.

Investment mix as at 30 September 2018

Asset class

Target
investment mix

Actual
investment mix

Cash and cash equivalents

0.0%

0.1%

Listed Property

100.0%

99.9%

 

What sort of fund is this?

Fund description

Invests mainly in New Zealand and Australian listed property assets. Investments may include:

  • listed companies, funds or trusts that invest in property, and
  • cash and cash equivalents.

Target investment mix

The mix of assets that the fund generally intends to invest in.

See the fund's actual investment mix in the table above.

Fund objective

Aims to achieve a positive yearly return (after the fund charge and before tax) that over the long term outperforms the relevant market index.