Summer Global Equities
Summer Global Equities fund performance summary as at 31 July 2025.
Fund at a glance
Unit price (as at 31 July 2025): $2.2706
Date the fund started: 19 September 2016
For information on fees, see our Fees page.
For more information on the Summer Global Equities fund, read the latest quarterly fund update and the product disclosure statement.
Fund objective and strategy
See the Global Equities page for the Summary of investment objective and strategy.
Fund returns
| PIR | Total since inception (annualised) | 1 Month | 3 Month | 1 Year | 3 Years^ |
| 28% | 9.15% | 1.19% | 5.67% | 9.92% | 13.25% |
| 17.50% | 9.45% | 1.11% | 5.74% | 9.92% | 13.46% |
| 10.50% | 9.65% | 1.05% | 5.78% | 9.92% | 13.60% |
^ 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
The top 10 investments make up 47.38% of the fund.
Manager's Commentary
How did your portfolio perform?
The Summer Global Equities Fund (the fund) delivered a return net of fees and before tax of 0.98% during July. For the 12 months to the end of July, the fund delivered a return net of fees and before tax of 9.91%.
Collectively, all three of our managers are underweight in the ‘Magnificent 7’ stocks, which has been a significant contributor to recent underperformance. Within this group, however, our managers hold a positive view on Alphabet and Amazon. In addition, Novo Nordisk, a key supplier of GLP-1 weight-loss drugs, and Baxter, also in the healthcare industry, declined following results that warned of lower-than-expected earnings growth. Conversely, overweight positions in Thermo Fisher and Alphabet contributed positively, supported by strong revenue growth and margin improvements.
We actively manage the fund’s foreign currency exposures. Over the month, the New Zealand dollar fell against the US dollar and the Euro but rose against the Japanese Yen.
What happened in the markets that you invest in?
Global equity markets continued their positive run following one from the “liberation day” US tariff announcements in April. Developed market equities have reach all-time highs, whilst Emerging Market equities were boosted by strong gains in China and South Korea.
In the US, the Republican ‘One Big Beautiful Bill’ was passed into law, featuring more expansionary policies than its earlier version, partly funded by the tariffs now levied on imports. The risk of tariff costs being passed through to US domestic consumer prices and stronger growth from government spending saw the Federal Reserve kept interest rates unchanged.
US June quarter reporting season is underway with results generally beating expectations that were revised lower immediately after April 2nd liberation day. The very largest stocks, alongside technology and AI stocks, delivered strong Q2 earnings and lead that market higher. Cyclical stocks outperformed defensives, and growth stocks outpaced value stocks.
The Chinese economy showed resilience, with sentiment and liquidity gradually improving. A further pause in US tariffs, alongside further government stimulus measures, will support low single digit economic growth rates.
What are we thinking about the future?
Policy measures to support growth in the US, China and Europe have been effective in dampening the worst impact of higher trade tariffs and reducing the probability of a global recession. However, we expect a 15% base tariff on goods into the US will dampen global growth and productivity. Although the flow through to consumer prices has been muted so far, we do not expect this to last.
Using very long-run historic data relating to growth in earnings and the underlying economy, the data implies that the S&P 500 is materially overvalued. The current group of market leaders are very profitable and growing - but competition usually reasserts itself and profit margins tend to mean revert to long term averages.
Our Growth Managers have struggled to see upside in the world’s largest and (generally) growing companies. They continue to find attractive alternatives in other geographies and therefore the fund remains underweight the US market and overweight Europe and Japan relative to the benchmark.
Our low-volatility manager has outperformed the market when global equities have sold-off as we saw in the first quarter of the year. We continue to balance the global equities strategy across the three managers with their different and complimentary styles.
This is not a recommendation to buy or sell any financial product and does not take your personal circumstances into account. All opinions reflect our judgement on the date of communication and may change without notice. Past performance is not a reliable guide to future performance. We recommend you take financial advice before making investment decisions. We have prepared this web page in good faith based on information obtained from other sources, but we do not guarantee the accuracy of that information. We do not make any representation or warranty (express or implied) that this web page is accurate, complete, or current and to the maximum extent permitted by law disclaim any liability for loss which may be incurred by any person relying on this web page.
