Summer New Zealand Equities

Summer New Zealand Equities fund performance summary as at 30 June 2021.

Fund at a glance

Unit price  (as at 30 June 2021): $1.7086

Date the fund started: 19 September 2016

For information on fees, see our Fees page.

For more information on the Summer New Zealand Equities fund, read the latest quarterly fund update and the product disclosure statement

Fund objective and strategy

See the New Zealand 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% 11.95% 2.69% 2.77% 14.92% 11.41%
17.50% 12.31% 2.72% 2.81% 15.16% 11.74%
10.50% 12.56% 2.74% 2.84% 15.31% 11.96%

^ 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 Fisher & Paykel Healthcare Corporation Limited 10.06%
2 Spark New Zealand Limited 6.91%
3 Contact Energy Limited 6.38%
4 Infratil Limited 5.55%
5 Fletcher Building Limited 5.35%
6 Ebos Group Limited 4.41%
7 Mainfreight Limited 4.38%
8 Meridian Energy Limited 4.26%
9 SKYCITY Entertainment Group Limited 3.50%
10 Auckland International Airport Limited 3.40%

The top 10 investments make up 54.20% of the fund.

Manager's Commentary

Market Commentary

The New Zealand Equity market delivered a modestly positive return over the June quarter, lagging the very strong returns of both the Australian and Global equity markets. NZ is seeing a very strong economic recovery in line with its global counterparts, driven by an employment recovery, government stimulus and low interest rates.

However, the ways to gain direct exposure to that backdrop in the listed NZ market are constrained by our preponderance of defensive and healthcare exposed sectors.  Tourism exposed stocks also lagged the market as international travel resumption continues to be deferred, whilst A2 Milk struggled after providing disappointing earnings guidance as it attempts to clear excess inventory.

Portfolio Performance

Summer New Zealand Equities delivered a return of 2.77% for the June quarter

We have now lapped the worst of the Covid-19 induced economic lockdowns, and stock performance is being driven by the anticipation and delivery of stronger earnings outcomes than expected just 6 to 9 months ago.

Key contributors to outperformance over the quarter were overweight exposures in Refining NZ, Kathmandu and Contact Energy, assisted by underweights in Auckland Airport and Ryman Healthcare. Major detractors to performance included overweight exposures in My Food Bag and Tower, and an underweight in Arvida.


The New Zealand economy, fiscal accounts and debt levels have recovered from the Covid-19 shock quicker and more powerfully than all commentators expected.  This is leading to increases in both short and long term interest rates as the extraordinary measures the Reserve Bank took to offset the shock are no longer required. Inflation is rising towards the Reserve Bank’s target range.

Global growth and supply disruptions are also boosting export prices for many NZ export commodities, whilst a lack of international travel has spurred residential construction.  This provides a strong back drop for continued earnings recovery, provided companies have the ability to pass on rising input costs such as materials and labour. Despite the roll out of vaccinations world-wide, global tourism is lagging our prior expectations and companies exposed to that theme are still in an earnings downgrade cycle.

China is a potential risk factor, as its economy is already slowing (it recovered from Covid-19 much quicker than western economies) at the same time as it is imposing trade barriers on some products.  



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.