Summer Global Fixed Interest

Risk indicator

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Potentially lower returns Potentially higher returns

The risk indicator is rated from 1 (low) to 7 (high). The rating reflects how much the value of the fund’s assets goes up and down (volatility). A higher risk generally means higher potential returns over time, but more ups and downs along the way. The risk indicator is based on the returns data for the five years to 30 June 2026.

* The composite benchmark for each multi-asset class fund is made up of the single asset class benchmarks weighted by the target asset allocation for the asset class.

Summary of investment objective and strategy

To achieve long-term returns (before fees, taxes and other expenses) greater than the Bloomberg Global Aggregate Total Return Index (hedged to New Zealand dollars).

These kinds of investments will typically have low to moderate levels of movement up and down in value.

Strategic investment mix

Category %
Cash and cash equivalents 5.00%
New Zealand fixed interest 0.00%
International fixed interest 95.00%
Total income assets 100%
Australasian equities 0.00%
Listed property 0.00%
International equities 0.00%
Total growth assets 0%
Total portfolio 100%

Minimum suggested investment timeframe

At least three years

Fund at a glance

Unit price (as at 30 June 2026): $1.1788

Date the fund started: 19 September 2016

Fund returns

PIR 1 Month 3 Month 1 Year 3 Years^ Total since inception^
28% 0.37% 1.29% 1.59% 2.79% 1.34%

^ Annualised

Fund returns are calculated net of fund charges, trading expenses and accrued tax for a New Zealand resident individual paying tax at the Prescribed Investor Rate identified above.

Top 10 investments

# Asset name % of fund net assets
1 Hunter Global Fixed interest Fund 96.89%
2 ANZ transactional bank account 3.11%
Top 10 investments total 100.00%

Manager's Commentary

How did your portfolio perform?
Summer Global Fixed Interest (the fund) delivered a return after fees and before tax of 0.51% for the month of June. For the 12 months to the end of June, the fund delivered a return after fees and before tax of 1.90%.

Apart from a small holding of directly held New Zealand dollar cash (typically 5%, in-line with the fund’s target allocation to cash) the fund’s investment exposure is through its investment in the Hunter Global Fixed Interest Fund, a multi-rate PIE fund hedged to the New Zealand dollar (NZD). PIMCO Australia Pty (PIMCO) is the investment manager.

What happened in the markets you invest in?
Global fixed interest markets were in the green in June, with the fund’s benchmark, the Bloomberg Global Aggregate Total Return Index (NZD hedged), posting a 0.27% return for the month. 

Interest rate moves were relatively modest over June and credit spreads largely flat. Key market proxy, the US 10-year Treasury was flat over the month, while credit spreads (proxied by the spread on the ICE BofA BBB US Corporate Bond Index) were essentially also flat, widening by only 0.02%.
   

What are we thinking about the future?
PIMCO remains focused on country selection and duration positioning, favouring markets with attractive yields or greater downside risk protection, while maintaining an overall overweight duration stance (6.6 years vs index 6.2 years) and a preference for yield curve steepening. The manager remains cautious on corporate credit given tight valuations, instead favouring securitised assets such as mortgages and agency MBS, alongside selective exposure to higher-quality financial and emerging market issuers. PIMCO also maintains diversified tactical currency positions, including a short USD stance, and believes a quick resolution to the Iran conflict would support steeper yield curves, while a prolonged conflict would likely be inflationary and detrimental to global growth. 

The Hunter fund’s gross yield to maturity is around ~4.97% and the weighted-average portfolio credit quality at AA-. 

Portfolio Holdings

Summer Global Fixed Interest Portfolio Holdings

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