HUNTER GLOBAL FIXED INTEREST FUND

HUNTER GLOBAL FIXED INTEREST FUND

An actively managed fund which invests in global bonds.

Investment Objective

The investment objective of the Fund is to provide a total return, before costs and tax, 1% p.a. higher than the Bloomberg Global Aggregate Index – 100% New Zealand dollar hedged over a rolling three-year period.

Investment Philosophy and Approach

We have partnered with California-based fund manager PIMCO to offer this global bond fund in New Zealand. It contains a broadly diversified portfolio of international fixed income securities, derivatives and cash.

We believe that:

  • active managers can add value through their active research and market insights;
  • it is possible to identify managers who regularly add value on an after fees basis; and
  • active management can also help mitigate market risk.

However, we also recognise some investors have a preference for low cost, tax efficient “market” exposures.

PIMCO

PIMCO is one of the world’s premier fixed income investment managers with over US$1.95 trillion assets under management as at 31 December 2024. Launched in 1971 in Newport Beach, California, PIMCO introduced investors to a total return approach to fixed income investing. In the 50+ years since, they have continued to bring innovation and expertise to partner with clients seeking the best investment solutions. Today they have 23 offices across the globe and more than 3,150 professionals united by a single purpose: creating opportunities for investors in every environment.

Fund details

  • New Zealand-domiciled PIE Fund
  • Daily unit pricing
  • Intends to distribute $0.02 per unit regularly in March and September each year
  • Directly held portfolio of underlying securities
  • For more details click here.

ESG

The Hunter Global Fixed Interest Fund is designed for investors like KiwiSaver providers, community trusts, charities, and corporate superannuation schemes, many of whom have a strong focus on responsible investment.  Accordingly, the Fund has explicit exclusions to tobacco, armaments, fossil fuels, pornography, and gambling.  In addition, PIMCO is a UNPRI signatory and ESG is an important factor in all their investment decisions. Companies involved in ‘very severe’ controversies (those that score 0 (‘red flag’) on MSCI’s ESG Controversy criteria) are excluded from all portfolios.