Ethical at heart

Ethical at heart

Welcome to the first edition of the quarterly newsletter under the Christian KiwiSaver Scheme banner.

As you know, in March we relaunched our KiwiSaver scheme with a new name. Underneath the new name, there are three simple words: ethical at heart. We chose these words because ethics run through everything we do, not just how we invest your money. We apply Christian values to the way we conduct our business and interact with you, our members, and others. It’s the way we’ve always done it.

As Christians, we want to be good stewards of the resources we have been given. In the Bible, stewardship is interpreted as a concept which goes beyond financial management, it’s also about the good we do for others. While making profits is acceptable and necessary, it should not be at any expense, for example through dishonesty, theft, monopoly or the exploitation of the poor. Our mission at Christian KiwiSaver Scheme is to try and ‘do good’ with your money – seeking healthy long-term returns whilst avoiding certain industries that would generally be inconsistent with a Christian worldview, and investing positively in others. We’ve just uploaded a short video on to our website of me explaining what it is to make investment choices that resonate with what we believe.

The quarter ended March was an interesting one. In our last newsletter, we heralded the long overdue return of volatility to the markets. Volatility between quarters, including negative returns, is normal and not a time to panic. The three Funds all returned positive returns for the year ending 31 March 2018. There’s more on this below.

Later in May, we will be sending you your personal annual statement for the year ended 31 March 2018. You can also log-in to your account on the Scheme’s website to check your account details.

Thank you again for your ongoing support of Christian KiwiSaver Scheme!

Mark Wilcox
Chief Executive

Investment returns

Investment returns to 31 March 2018

Returns over one, three and five years were all positive. However, in the latest quarter investors were reminded that returns are not always positive. The three-month returns were affected by many things but largely concerns about international trade, growth and interest rates. Where will the trade tensions between nations lead? What might they do to growth? Do current interest rates reflect the expected outcome?

These concerns led to some large share price movements in the quarter. Despite the ongoing uncertainties we remain cautiously invested (across each of the Income, Balanced and Growth Funds). By cautious we mean invested in assets where we expect to get a fair return and the capital back over the long haul.

Investment returns at 31 March 2018, before fees and tax:

3 Months 1 Year (p.a.) 3 years (p.a.) 5 years (p.a.)
Income Fund 0.7% 4.0% 4.2% 4.6%
Balanced Fund -1.0% 6.2% 7.1% 8.0%
Growth Fund -1.7% 7.6% 8.7% 9.8%

Thinking about entering the property market?

Thinking about entering the property market?

Since 1973 The New Zealand Anglican Church Pension Board has been offering mortgage finance. We offer competitive interest rates to Christian KiwiSaver Scheme members and Christians of all denominations. Our regular rates are 97.5% of the averaged rates of the five major banks. We also offer special rates for mortgages over $100,000.

We offer both table and interest-only mortgages. Finance is also available for new builds. We require a 20% deposit, regardless of whether it is owner-occupied or an investment property.

Returns earned from mortgages are put back into the Board’s funds to serve our Christian mission, not into shareholder’s pockets like at a bank. The returns also form part of the investment portfolio for Christian KiwiSaver Scheme.

The staff at the Board are here to help you with any questions you might have regarding your mortgage or potential finance. Customer service is one of our strengths.

Contact us about providing finance for your new property today!