Summer Global Equities
Summer Global Equities fund performance summary as at 30 September 2025.
Fund at a glance
Unit price (as at 30 September 2025): $2.3761
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% | 9.55% | 2.51% | 6.12% | 14.33% | 18.20% |
| 17.50% | 9.84% | 2.45% | 5.97% | 13.94% | 18.58% |
| 10.50% | 10.03% | 2.42% | 5.87% | 13.68% | 18.84% |
^ 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 43.86% 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 2.36% during September. For the 12 months to the end of September, the fund delivered a return net of fees and before tax of 13.30%.
The fund underperformed as value and low-risk stocks lagged while growth and technology stocks outperformed. Our underweight positions in U.S. technology and overweighs in healthcare detracted. Healthcare holdings—Alcon, Dexcom, Boston Scientific, and Baxter—fell on concerns over US healthcare subsidies, drug-pricing reforms, and potential Medicare reimbursement cuts. Dexcom faced FDA quality issues and product recalls; after addressing these concern shares partially recovered off the month’s low. The stock retains its position in the portfolio given its attractive fundamentals; 27.5× forward earnings with projected 20% annual earnings growth.
The portfolio remains fully invested with 45% allocated to the minimum volatility manager, 25% to our thematic Growth manager and 30% to the Transition Manager via broad-market ETFs. We are in the final phase of due diligence ahead of a new manager appointment.
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 last month’s positive run with a further 3.6% gain in US dollar terms in September, reaching a new end-month record high. Gains were led by US equities and Asian regional stocks, with growth stocks outperforming their value peers as AI euphoria continued. Chinese tech stocks rallied sharply, with the Hang Seng Tech Index and Taiwan Index outperforming helped by domestic policy support for chipmaker TSMC and accelerated AI adoption and capex spend.
The MSCI Europe ex-UK Index disappointed, with lacklustre performance from German equities dragging on the overall index. Higher inflation and rising bond yields, together with new tariffs on heavy-duty truck exports to the US, dented Germany’s automobile industry. A slowing consumer backdrop and weak retail outlook also weighed on market performance.
In the United States, short-term Treasury yields fell as investors’ attention shifted from upside inflation risks to downside growth risks. While manufacturing activity remained resilient, labour market data showed signs of cooling, with lower payroll growth and fewer monthly job gains. Markets now expect a rate cut from the Federal Reserve this month.
What are we thinking about the future?
Global equities remain at all-time highs amid continued debate over tariffs, potential (and lately real) Federal Reserve rate cuts, and the sustainability of AI-driven investment returns. Earnings expectations held steady in September following the material downgrades seen in April. Consensus forecasts point to a solid 11% growth in forward 12-month earnings. Market sentiment remains positive, suggesting continued support for equities. Macro data—including services PMIs, consensus GDP forecasts, and surprise indices—point to improving economic momentum. However, inflation remains sticky. The gap between manufacturing input costs and output prices is widening, alongside a firm Core CPI, highlights persistent price pressures.
Monetary and financial conditions remain broadly supportive for equities, as they were in August. Valuations, however, continue to pose a headwind. The S&P 500 is trading 2.7 standard deviations above its long-term fair value. As a result, a more cautious, slightly bearish long-term outlook is warranted—an assessment we share.
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.
