GET KIWISAVER RECOMMENDATIONS

KiwiSaver, investing, financial advisers

Milford KiwiSaver Performance - September 2021

  • Fabook Messenger Sharing Link

 

We will be going over Milford’s KiwiSaver Performance for the past quarter and recent news. This includes how Milford structures their funds, the returns, some investments that are in the funds, and fees that may apply if you are interested.

Coming out of August, Milford is continuing to see good returns across their funds and is forecast to show good performance into the next quarter.

What has Affected the Milford KiwiSaver Funds?

Milford has pinpointed some key positives and negatives for KiwiSaver Investors to keep an eye on going forward. All in all, the funds are looking favourable for investors with a robust economy. Investors may continue to see smaller returns from the invested bonds.

Positives:

  • The global release of vaccines is still having a positive impact on people being able to get back to work. 

  • Central Banks in the US and Europe clarifying that the current inflationary pressures will not last long (easing on inflation).

Negatives/Risks

  • Spread of the Delta variant and the effectiveness of vaccines.

  • Inflationary surprise that will force central banks to increase interest rates.
Performance of Milford's KiwiSaver Schemes as of August 31st
 

1 Year

5 Years (pa.a)

Since Launch (p.a.)

KiwiSaver Aggressive Fund

24.44%

-

20.73%

KiwiSaver Active Growth Fund

23.46%

12.58%

13.19%

KiwiSaver Balanced Fund

17.30%

10.32%

10.63%

KiwiSaver Moderate Fund

10.47%

-

14.71%

KiwiSaver Conservative Fund

5.40%

5.76%

8.34%

KiwiSaver Cash Fund

0.41%

-

0.39%

You can see how they compare with other providers or view a list of the best KiwiSaver funds here

Aggressive Fund

The KiwiSaver Aggressive Fund saw returns of 2.6% in August, with 1-year returns of 24.44%.  As previously mentioned, this was supported by central banks reporting eased inflation. The aggressive fund aims to have a high proportion of assets in growth assets over income (Shown Below). It also has an estimated base fee of 1.15%.

Investments Include:

 

% of fund net assets

Type

Country

NZD Cash Current Account (NAB Bank)

8.31%

Cash and cash equivalents

New Zealand

Microsoft Corporation

2.68%

Australasian equities

New Zealand

Alphabet Inc - Class C

2.67%

Australasian equities

United Kingdom

Thermo Fisher Scientific Inc

2.07%

Australasian equities

New Zealand

Mastercard Inc - Class A

1.85%

Australasian equities

New Zealand

 

Actual Investment Mix:

Active Growth Fund

Milford’s KiwiSaver Active Growth Fund saw good returns of 2.5% in August, with a 1-year return of 23.46%. Fixed-income returns were reported to be flat compared to other investments. These are good compared to the Aggressive fund that returned 2.6%, as the Active Growth Fund has a larger proportion of income assets (Shown Below). The base fund fee for Active Growth is estimated to be 1.05%.

Investments Include:

 

% of fund net assets

Type

Country

NZD Cash Current Account (NAB Bank)

5.72%

Cash and cash equivalents

New Zealand

Contact Energy Ltd

3.08%

Australasian equities

New Zealand

Virgin Money UK PLC

2.97%

Australasian equities

United Kingdom

Fisher & Paykel Healthcare Ltd

2.89%

Australasian equities

New Zealand

Spark New Zealand Ltd

2.76%

Australasian equities

New Zealand

Actual Investment Mix:

Balanced Fund

Milford’s KiwiSaver Balanced Fund saw returns of 2.2% in August, with 1-year returns of 17.30%. Again, this can be attributed to the strong gains from shares and recovery from Covid-19. The Fund has seen less of a return than the previous two, with slightly more assets being distributed towards Income Assets (Shown Below). The base fund fee for Balanced is also estimated to be 1.05%.

 Investments Include:

 

% of fund net assets

Type

Country

NZD Cash Current Account (NAB Bank)

8.13%

Cash and cash equivalents

New Zealand

Contact Energy Ltd

2.09%

Australasian equities

New Zealand

Fisher & Paykel Healthcare Ltd

1.61%

Australasian equities

New Zealand

Spark New Zealand Ltd

1.47%

Australasian equities

New Zealand

Microsoft Corporation

1.23%

International equities

United States

Actual Investment Mix:

Moderate Fund

Milford’s KiwiSaver Moderate Fund has seen returns of 1.3% in August, with a 1-year return of 10.5%. With this Fund going forwards, we see a majority of assets distributed towards Income Assets, meaning that it is less affected by market shares that have a good performance. The base fund fee is about 0.95%.

Investments Include:

 

% of fund net assets

Type

Country

NZD Cash Current Account (NAB Bank)

14.51%

Cash and cash equivalents

New Zealand

Contact Energy Ltd

1.29%

Australasian equities

New Zealand

NZ Local Government Funding 1.5% 15/04/2026

1.01%

New Zealand fixed interest

New Zealand

Spark New Zealand Ltd

0.93%

Australasian equities

New Zealand

Scentre Group 5.125% 24/09/2080

0.85%

International fixed interest

Australia

Actual Investment Mix:

Conservative Fund

Milford’s KiwiSaver Conservative Fund saw returns of 0.72%, with a 1-year return of 5.40%. This shows good returns considering how low risk the Fund is. These can be attributed to the positive market pressures and is forecast to bring on similar returns. This also comes with a base annual fee of 0.95%.

Investments Include:

 

% of fund net assets

Type

Country

NZD Cash Current Account (NAB Bank)

7.02%

Cash and cash equivalents

New Zealand

NZ Local Government Funding 1.5% 15/04/2026

1.93%

New Zealand fixed interest

New Zealand

Scentre Group 5.125% 24/09/2080

1.03%

International fixed interest

Australia

Housing New Zealand 3.36% 12/06/2025

0.92%

New Zealand fixed interest

New Zealand

NZ Local Government Funding 1.5% 20/04/2029

0.90%

New Zealand fixed interest

New Zealand

Actual Investment Mix:

Cash Fund

Milford’s KiwiSaver Cash Fund saw returns of 0.05%, with a 1-year return of 0.41%. This is because of the 100% distribution into income assets, this means that it has not been affected by the strong market pressures. This comes with a base annual fee of 0.20%.

Investments Include:

 

% of fund net assets

Type

Country

Westpac 32 Day Constant Maturity Deposit 2020

19.93%

New Zealand fixed interest

New Zealand

NZD Cash Current Account (NAB Bank)

13.81%

Cash and cash equivalents

New Zealand

Port of Tauranga Ltd Certificate of Deposit 02/08/2021

9.96%

New Zealand fixed interest

New Zealand

NZD Cash Call Account (Bank Of China)

9.50%

Cash and cash equivalents

New Zealand

Meridian Energy Certificate of Deposit 14/07/2021

6.97%

New Zealand fixed interest

New Zealand

Actual Investment Mix:

  • Fabook Messenger Sharing Link
Are you real investing yet?
START HEALTHCHECK

You may also like

Fisher Funds KiwiSaver Scheme Growth Fund Review - Sep 2021

With a total of nearly 120,000 investors using Fisher Funds KiwiSaver Growth Fund, it is nearing a total value of $2,933..

Have KiwiSaver Managers reacted since the FMA tightened their belt?

As we know, in April 2021 the Financial Markets Authority (FMA) released guidance for KiwiSaver scheme providers. So, what does..

How Booster’s new fee structure is changing KiwiSaver

Booster has recently announced changes to its fee structure starting October 1st, 2021. This new structure will be based on..

ANZ removes membership fee from KiwiSaver funds

ANZ, one of New Zealand’s leading banking and financial services groups, is to cut the $18 membership fee from its KiwiSaver..

I want my KiwiSaver money invested ethically, should I invest with Fisher Funds?

The demand for ethical investments in KiwiSaver is becoming increasingly popular, with 49% of Kiwi’s looking for a responsibly..

ASB KiwiSaver Performance - September 2021

With Covid-19 stabilizing and lock-down coming to an end, it’s time to take a look at ASB and how it has affected KiwiSaver..