Your seedlings are growing

Your seedlings are growing

Your Christian KiwiSaver Scheme is unique in having direct investment in a pine forest in the southern Hawkes Bay, Hapua Forest.

Just like KiwiSaver, forestry is a long-term investment with a typical forest usually taking some 25 years to mature. Our forestry land value has soared in recent times as investors have come to realise the ability of forestry to provide a carbon offset.

We’ve almost completed harvesting our first crop which was planted as seedlings in 1992-1993 and since 2018 we’ve been steadily replanting our land. So far over 300,000 seedlings have been planted. The next photo shows an area of seedlings planted in 2018.

Replanting in 2020 faced some obstacles with COVID-19 affecting the availability of labour and the Hawkes Bay drought delaying replanting. Some of the forest land is also not suitable for replanting, we don’t plant along the banks of the waterways and there are areas of native bush that we wish to protect and leave to regenerate. See the photo below of an area of retained native bush.

In our October 2019 article, we mentioned that we source our seedlings from Murrays Nurseries Woodville. Seedlings are ready for planting when 25–30 centimetres tall and are mainly planted by hand. It’s labour intensive and done by skilled teams. The number of trees planted per hectare can vary from 600 to 1,400.

Radiata pine was first introduced to New Zealand in the late 1850s to see if it would be a good candidate for widespread planting. Its excellent growth rate prompted seed imports from California in the 1870s, mainly for shelterbelts and woodlots. By the first forestry planting boom in the 1920s and 1930s, it had been adopted as the species of choice.

It proved to be versatile and grew well throughout New Zealand on a variety of soil types, including coastal sands, heavy clays, gravels and volcanic ash deposits.

Logging is a big deal in New Zealand. It is our third largest industry after dairy and meat.

A third of the world’s radiata forests are grown in New Zealand, with Australia and Chile being other major producers. New Zealand now has 1.75 million hectares of planted forest, of which some 90 percent is radiata pine, much in first rotation forests. These forests cover around 7% of New Zealand, which’s about the same area as 10 Stewart Islands. A substantial part of New Zealand (24%) is also covered in indigenous (native) forest.

There are other articles on Hapua Forest in February 2019 and October 2019.

Your annual KiwiSaver check up

Your annual KiwiSaver check up

Like almost anything of value we own, your KiwiSaver account needs a little love and attention now and then. Let’s call it a health check. It won’t take long, and your KiwiSaver account will love you for it.

Look at it as a “do-it-yourself Warrant of Fitness”. We suggest it be done annually; perhaps at the beginning of each year or when you receive your annual member statement.

  1. Is your investment profile suitable for your current situation?

This is about where your funds are invested. Is your choice of investment funds too conservative, too aggressive or just right?

The Sorted website has a useful tool to help you called Investor Kickstarter at www.sorted.org.nz/tools/investor-kickstarter. You answer a few questions and it provides a guide to what type of investor you are, a typical investment mix for your type and what sorts of returns you could expect.

  1. Are you contributing enough?

If you can afford it, should you increase your contribution rate or make extra voluntary contributions?

If you have suspended making contributions, is it time to recommence contributing?

The Sorted website has another useful tool to help you with these questions, the KiwiSaver Savings Calculator www.sorted.org.nz/tools/kiwisaver-savings-calculator. You answer a few questions and it provides a guide on how big your balance could be at age 65 and how much you could get per week in retirement. Try different contribution rates to see the impact on your future savings.

  1. Is your Personal Investor Rate (PIR) correct?

You don’t want to have too much tax taken from your KiwiSaver earnings or too little and face a tax bill by having the wrong PIR rate. Your PIR is based on your income. If that changes, so might your PIR. We have a handy guide to help you with calculating your PIR on the scheme’s website www.christiankiwisaver.nz/documents.

If these three items are in good order, your KiwiSaver account should be running well.

Our staff are happy to help you with any questions you have on this.

 

Christmas message 2020

Christmas message 2020

Our hearts filled with wonder and awe

I greet you in the name of the infant saviour, whose birth we celebrate at Christmas, our hearts filled with wonder and awe. I bring greetings from all at Anglican Financial Care this Christmas. We are coming to the end of an extraordinary year where our lives have been disrupted by the onset of a global pandemic. The message of hope coming to us in human form in the birth of the Christ child this Christmas is needed more than ever.

The story of Jesus’ birth as St Luke tells it, provides a lot of detail that at first glance seems quite trivial. There is reference to Emperor Augustus, Quirinius the governor of Syria, evoking the names of rulers who left indelible marks on the collective memory of the people, probably because of their ruthless use of power. We hear of Joseph having to travel with Mary to Bethlehem because he is a descendant of King David for the purpose of a census, which rulers only ever organised when they needed more tax to fund their latest project. We hear of shepherds, outsiders everyone kept away from, keeping watching over their flocks under the light of the stars, evoking a reminder of the immensity of the universe God created, and yet it is the littles ones, the poor and the marginalised who first receive the Good News. All of these details might seem peripheral, but they matter a great deal. They tell us that Love has come from the heavens to dwell with us. Love has come down from heaven entering a real world where people are living real lives.

It is, in fact, a very simple message: Love has come down from heaven to dwell among us; Love that brings joy, peace, and healing to a broken world. In the birth of Christ we see Love being lived in a real human life, a vulnerable child showing us the fullness of God; God coming to our level to speak to us in a language we can easily understand. It is Love, bringing to birth the faith and hope that the world needs so much.

The arrival of a global pandemic has created much uncertainty for many. Livelihoods and incomes remain uncertain for many. In response, world governments are spending trillions of dollars to stimulate their economies and provide their citizens with income support. As this huge expenditure is rolled out across the world, now is the time to ask our governments to use that expenditure to restructure our economies to rid the world of poverty and ensure income security for the most vulnerable, and to move us into the future with a lower carbon footprint. The message of Christmas is that all human life, and all creation, is holy and precious, capable of being filled with God. If God treats every person as holy and loveable, then every human being must be treated with reverence and respect and enabled to participate in society with dignity. If creation itself is filled with the presence of God, it behoves us all to use our influence to care for the planet. Moving our economic policy settings to take action on these matters of such importance for our future would be a wonderful gift this Christmas, a way of giving thanks to God for the gift of Jesus Christ.

Love from heaven comes to dwell with us. This Love is simply present; fragile, vulnerable, dependent, and yet more splendid than we could ever have imagined. It is this Love that motivates us to act and to care, that moves and us and stirs us to ensure all people of the world may dwell in peace, and that the well-being of the planet is looked after for the future.

May the grace and peace of God indwell you and all you love this Christmas.

Dean Lawrence Kimberley
Chairperson

Fees reduced

Fees reduced

Fees reduced

We’ve reduced the fees members are charged with these reductions taking effect from 30 September 2020. As we continue to grow we are able to share the benefits of that growth with our members. This recent reduction will have a positive impact on the returns allocated to your account for the December 2020 quarter and thereafter.

We like to be transparent with our fees. We think you’ll agree that having one fee, and one fee only, is helpful in this respect. We won’t charge you any extras like performance fees when the Fund returns are particularly good. There are no hidden charges. And did you know that members aged under age 18 are not charged fees?

The new fees are:

Total annual fund charges

(% of Fund’s net assets value)

Fund Age 18 and over (new fee) Age 18 and over (old fee) Under age 18
Growth Fund 1.50% 1.60% 0%
Balanced Fund 1.35% 1.50% 0%
Income Fund 0.80% 1.00% 0%

Not already a member of Christian KiwiSaver Scheme? Join other like-minded Kiwi Christians growing their savings ethically today!

Investing in your child’s future

Investing in your child’s future

For many of us, lockdown gave us a chance to pause and reassess what’s important and what we value in our lives – such as family time or financial security.

You often will hear financial experts recommending putting away enough money to cover at least three months’ worth of expenses for a ‘rainy day’. This can be a big ask for many of us, but the pandemic has shown to us how important it is to have a buffer set aside if we do encounter tough times.

We often say, it’s never too late to start saving – not just for ourselves, but for our children and grandchildren too.

Day-to-day, we often find ourselves running around chasing a busy schedule under the pressures of everyday life. Before you know it, your children will be almost grown-up. As adults, we know that this brings with it more responsibility, including more significant expenses.

You might find yourself wanting to help them out as they navigate the challenges of adulthood such as buying a car, becoming a parent, getting an education or getting into their first home. The recent financial shock to the economy may have caused you to think about how you can help set up good saving habits for your children.

Suppose you have found yourself with some additional savings after spending less than usual during lockdown. Now might be the time to start thinking about how you can give your children’s savings a kick start. One of the options could be a KiwiSaver account.

 

How may KiwiSaver be able to help children?

A first step in setting good long term saving habits is to set your children up with a KiwiSaver account. This may be one part of the plan as you look to set your child up for the road ahead. They may not see the value of it now but, however in the future, it will likely benefit them. At Christian KiwiSaver Scheme we don’t charge any fees for under 18s.

According to IRD, as of June 2019, around 300,000 children under 18 were enrolled in KiwiSaver.

KiwiSaver can be a great start for children when they look at buying a first home. They can use some of their KiwiSaver balance towards a deposit. We have seen in the media over recent years how some First Home Buyers have found it difficult to get on the property ladder. Starting to save early could help alleviate some of the pressure down the track.

Opening a KiwiSaver account in most cases is more accessible to parents than looking at other types of managed funds. With no fees for under 18s at Christian KiwiSaver Scheme and no minimum regular contributions needed for your children’s accounts (unless the child has chosen to contribute if they are employed), you or your child can contribute as much or as little to the account as you want – it’s on your terms.

Joining KiwiSaver young ensures your child will have a head start in saving for their long term future.

If you want to enrol a child with Christian KiwiSaver Scheme, you can do this by filling out an application form at the back of our Product Disclosure Statement and sending it to PO Box 12-287, Thorndon, Wellington 6144.

 

Not already a member of Christian KiwiSaver Scheme? Join other like-minded Kiwi Christians growing their savings ethically today!

Membership of the Christian KiwiSaver Scheme is offered only to:

  • employees of organisations whose primary activities are in our opinion Christian mission or ministry. This includes employees of charitable entities associated with or operating in the Christian Church, or employees of entities which we approve as having a Christian special character; and
  • persons who express a Christian faith and have a commitment to Christian community involvement when applying (and their immediate family members and dependants).

Christian KiwiSaver Scheme is managed and issued by The New Zealand Anglican Church Pension Board (trading as Anglican Financial Care). The Product Disclosure Statement and Fund Updates are available under Documents.

Do you know what type of investor you are?

Do you know what type of investor you are?

Financial markets can go up but they can also go down as we have recently seen with the Covid-19 pandemic. While we may not like seeing our investments decrease, this can happen when a major global event occurs. It is important to understand what your investment goals are and the timeframe you are working towards for when you may need access to those funds. This will depend on your own personal situation.

Being in the investment fund that best suits you is very important. Not knowing can cost you money if you make decisions that are a reaction to investment markets (e.g. a negative return) rather than a change in your personal circumstances or your feelings about risk.

Changes in the investment markets don’t change your investor type, changes in your personal circumstances are what influences your investor type.

You can also have more than one investor type (this can also be called your ‘investor profile’) depending on your personal investment goals. Confused? The Sorted website has some good information on it to explain how you can work this out and decide which type of Fund may best suit you. You can sign up on the Sorted site and save your personalised findings.

Sorted also has a personality quiz where you can find out if you’re a money maestro, practical domestic, authentic dreamer, money mechanic or one of the 12 other types.