What can the Summer Balanced Selection actually invest in?
The fund's Statement of Investment Policy and Objectives (SIPO) defines the asset classes it can hold and the allowable target / min / max weights for each.
Strategic asset allocation ranges
| Asset class | Target | Min | Max |
|---|---|---|---|
| Cash and cash equivalents | 7% | 0% | 50% |
| New Zealand Fixed Interest | 19% | 0% | 50% |
| International Fixed Interest | 19% | 0% | 50% |
| Australasian Equities | 17% | 0% | 50% |
| International Equities | 35% | 20% | 70% |
| Listed Property | 3% | 0% | 50% |
| Other | — | 0% | 10% |
Mandate flexibility (sum of max − min across all ranges): 310%. Wide range — high manager discretion typical of active management.
Explicit exclusions (4)
- Companies deriving ≥5% revenue from production of cluster munitions, landmines, biological/chemical weapons, depleted uranium/blinding laser/incendiary/non-detectable fragment weapons
- Companies deriving ≥5% revenue from nuclear weapons production or dual-use delivery/components/services
- Companies deriving ≥5% revenue from tobacco product production
- Companies deriving ≥5% revenue from manufacture or sale of automatic or semi-automatic weapons for civilian use
Responsible-investment approach
Product involvement exclusion screening is applied before direct investment using MSCI screening tools; companies deriving 5% or more revenue from cluster munitions, landmines, biological/chemical/nuclear weapons, depleted uranium weapons, tobacco production, or civilian automatic/semi-automatic weapons are excluded. ESG Risk Assessment framework is applied to directly held Australasian securities using Forsyth Barr CESG ratings, LSEG Workspace and MSCI controversy data.
Derivatives policy
Derivatives may be used where the Investment Manager considers doing so is consistent with the risk profile of a fund and will contribute to the performance objectives of that fund. Foreign exchange derivatives may be used for currency hedging within the ranges established by the Board.