Generate KiwiSaver invests $14 Million Investment in Christchurch Community Housing

Generate celebrated the completion of 35 new community homes in Christchurch, a milestone funded by their $14 million investment in this impactful project. 

Generate says this investment is a testament to their dedication to making a positive difference in New Zealanders’ lives while ensuring fair market returns are given to their KiwiSaver members. 

Since 2020, Generate has invested over $45 million into affordable housing for New Zealanders, and the support for constructing these 35 homes in Christchurch has contributed to financing 192 new residences. They hope this attempt at responsible investing will help tackle the housing crisis and showcase a genuine commitment to improving lives and building thriving communities.

The homes in Christchurch support New Zealanders who might be struggling because of the cost of living and the shortage of affordable housing. They also meet many sustainability goals by achieving the New Zealand Green Building Council’s Homestar 7 standard.

Does social impact investing still result in good returns?

Generate’s funds have performed comparably well, with the Defensive fund having a 1-year return of 2.4% and the Conservative fund having a 1-year return of 4.5%. Generate’s Moderate fund produced a 5-year return of 4.1%, while their Balanced fund had a 1-year return of 10.1%. With the higher performing Generate funds, their Growth fund produced a 5-year return of 6.6%, whereas the Focused growth fund had a 5-year return of 6.8%

This showcases that its commitment to making a positive social impact does not come at the expense of investor returns. They are dedicated to achieving financial objectives and fostering a positive social impact by aligning their investment strategies to create a brighter future for New Zealanders.

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Published December 2022