NZ Cash Fund
This fund invests in a portfolio managed by us of cash, short term bonds and other debt securities. Its objective is to provide stable returns over all periods.
The minimum suggested investment timeframe is 1 year.
Note: Effective from 1 July 2024 the Defensive Investment Fund was renamed the Simplicity NZ Cash Fund, a single sector fund designed to be the NZ cash and cash equivalent component of a diversified investment portfolio. The Fund’s investment management fee reduced from 0.25% per annum to 0.10% per annum, in line with our other NZ single sector investment funds.
Simplicity Fee
0.10%
Market Average
0.67% *
$8,160,253
Fund size
As at 30/11/2024
Why invest in this fund?
Targets lower volatility
With a high allocation to income assets, this fund suits investors seeking more stable short-term returns.
Low, low fees
We're focused on keeping fees low. Because the less we take, the more you can make.
Access to your money at any time
No minimum investment term, and you can set up regular or one-off withdrawals at any time.
You can make money and do good
We keep our fees very low, and give 15% of these fees to the Simplicity Foundation - which supports many deserving Kiwi charities.
What this fund invests in
The target asset allocations are 100% in income assets (100% cash and cash equivalents).
The return from the Fund is likely to be stable and volatility is likely to be lower than the other Funds.
This option is suited to investors seeking low volatility of returns.
Target asset allocation
Performance
1 Month
6 Months
1 Year
2 Years
3 Years
5 Years
* These are Defensive Investment Fund returns to 30-11-2024 and are before tax and after fund management fees. From 01-07-2024, the Defensive Investment Fund became the NZ Cash Fund, a single sector fund that invests in cash and cash equivalent assets. Yearly returns are per annum. Past performance is not necessarily an indicator of future performance and return periods may differ.
Risk Profile
The risk indicator reflects how much the value of the Fund’s assets goes up and down (volatility). A higher risk generally means higher potential returns over time, but more ups and downs along the way.
Note that even the lowest category does not mean a risk-free investment, and there are other risks that are not captured in this rating. This risk indicator is not a guarantee of a fund’s future performance. While risk indicators are usually relatively stable, they do shift from time to time. The risk indicator reflects the most recent quarterly fund update or the PDS if a fund update has not yet been produced and will continue to be updated in future fund updates. See the product disclosure statement (PDS) for more information about the risk indicator and the risks associated with investing in this fund.
Frequently Asked Questions
Why has this fund changed from a defensive fund to a cash fund?
Based on the performance of the Defensive Fund and feedback received since its inception, Simplicity took the view that investors’ objectives will be better served by a lower cost single sector fund which is focused on achieving more stable returns from cash and cash equivalent investments.
Based on the performance of the Defensive Fund and feedback received since its inception, Simplicity took the view that investors’ objectives will be better served by a lower cost single sector fund which is focused on achieving more stable returns from cash and cash equivalent investments.
How is the NZ Cash Fund different from the Conservative Investment Fund?
The NZ Cash Fund is a single sector fund which is designed to be the NZ cash and cash equivalent component of a diversified investment portfolio. The NZ Cash Fund's investment management fee is 0.10% per annum, in line with our other NZ single sector investment funds, which is lower than the investment management fee for the Conservative Fund.
The NZ Cash Fund’s risk indicator has been calculated based on the Bloomberg NZ Bond Bank Bill Index performance for the period to 31 May 2024, and it has a lower risk rating than the Conservative Fund.
The NZ Cash Fund is a single sector fund which is designed to be the NZ cash and cash equivalent component of a diversified investment portfolio. The NZ Cash Fund's investment management fee is 0.10% per annum, in line with our other NZ single sector investment funds, which is lower than the investment management fee for the Conservative Fund.
The NZ Cash Fund’s risk indicator has been calculated based on the Bloomberg NZ Bond Bank Bill Index performance for the period to 31 May 2024, and it has a lower risk rating than the Conservative Fund.
How does the NZ Cash Fund differ from a Term Deposit?
The NZ Cash Fund is different from term deposits where you invest a set amount for a specified time, and you’re guaranteed a certain rate of return on top of the original amount you invested. With the NZ Cash Fund you’re investing in a portfolio managed by us of cash, short-term bonds and other debt securities which go down as well as up in value.
The NZ Cash Fund allows investors to withdraw their money at any time, whereas term deposits have a fixed term, and withdrawing funds before maturity will generally incur penalties, a loss of interest, or both.
The NZ Cash Fund is different from term deposits where you invest a set amount for a specified time, and you’re guaranteed a certain rate of return on top of the original amount you invested. With the NZ Cash Fund you’re investing in a portfolio managed by us of cash, short-term bonds and other debt securities which go down as well as up in value.
The NZ Cash Fund allows investors to withdraw their money at any time, whereas term deposits have a fixed term, and withdrawing funds before maturity will generally incur penalties, a loss of interest, or both.
Key Documents
Latest Fund Update
This document is produced quarterly and tells you how the fund has performed and what fees were charged and will help you to compare the fund with other funds.
Product Disclosure Statement
This document gives you important information to help you decide whether you want to invest. There is other useful information about this offer on companiesoffice.govt.nz/disclose
Statement of Investment Policy and Objectives (SIPO)
This policy describes Simplicity NZ Limited’s Governing Principles, provides a description of the Scheme, outlines its purpose and philosophy, its investment objectives and policies. It also covers investment performance monitoring and reporting.
Responsible Investment Policy
This policy describes Simplicity NZ Limited’s approach to responsible investment. This policy is to be read alongside our scheme governing documents, including the Statement of Investment Policy and Objectives (“SIPO”), Product Disclosure Statement (“PDS”) and Other Material Information (“OMI”).
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Minutes to join
Grab your IRD number and driver licence or passport, and fill in the form. We’ll do everything else %)