Investment performance
We measure the Fund's investment performance in two ways:
- relative to the NZ 90 day Treasury Bill return — the reward for taking market risk
- relative to a passive reference portfolio benchmark — the value added by the Guardians' active management.
Given our long-term mandate, we expect to return at least the Treasury Bill return + 2.8% over any 20-year moving average period. This is our long-term performance expectation.
The below graph shows how the first dollar invested in the Fund has grown over time, versus our Reference Portfolio and Treasury Bill benchmarks.
|
Performance as at |
Sept 2022 |
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) |
-6.60% |
-10.77% |
6.30% |
10.92% |
9.28% |
|
Reference Portfolio Return (after costs, before NZ tax) |
-7.81% |
-18.35% |
4.11% |
8.26% |
7.63% |
|
Value-added (actual return less Reference Portfolio Return) |
1.21% |
7.58% |
2.19% |
2.65% |
1.65% |
|
Estimated $ earned relative to Reference Portfolio |
$707 million |
$4.57 billion |
$5.09 billion |
$10.94 billion |
$13.08 billion |
|
NZ income tax (paid) / received |
$0 billion |
$(0.02) billion |
$(3.41) billion |
$(7.15) billion |
$(9.47) billion |
|
Treasury Bill Return |
0.20% |
1.24% |
1.07% |
1.80% |
3.36% |
|
Net Return (actual return less Treasury Bill Return) |
-6.80% |
-12.02% |
5.23% |
9.12% |
5.92% |
|
Estimated $ earned relative to Treasury Bills |
$(3.97) billion |
$(7.35) billion |
$10.8 billion |
$28.58 billion |
$32.21 billion |
|
$ change in net asset position |
$(3.57) billion |
$(4.16) billion |
$17.96 billion |
$34.23 billion |
$54.31 billion |