New Zealand Superannuation Fund dropped 5.3% to NZ$28.1 billion ($17.8 billion) for the quarter ended Sept. 30, said a spokeswoman for the Auckland-based sovereign wealth fund.
New Zealand Super announced Tuesday the value of its portfolio — which has an 80% weighting to growth assets — dropped 2.29% in September, following a fall of 4.3% in August and a gain of 1.24% in July.
The net decline for the quarter, amid a sell-off for stocks globally, left the sovereign wealth fund's gain for the 12 months ended Sept. 30 at 5.19% — a sharp slowdown from the 14.6% gain the fund announced recently for its fiscal year ended June 30.
For the five years ended June 30, coming out of the global financial crisis, New Zealand Super enjoyed an annualized return of 16.8%, a pace the fund's chairman, Gavin Walker, warned last month could not be maintained.
As of Sept. 30, the sovereign wealth fund's allocations was 64% global equities, 12% fixed income, 6% timber, 5% private equity, 4% each infrastructure and New Zealand equities, 3% “other private markets,” and 1% each property and rural farmland.