Hedged Global Bond Fund

This fund invests mostly in investment grade bonds in developed markets, hedged to New Zealand dollars.

 

The minimum suggested investment timeframe is 3 years.

Simplicity Fee

0.15%

Market Average

0.67% *

* Market average fee sourced from Sorted Smart Investor based on $10,000 in single sector funds with a similar asset allocation as at 1 November 2024. Simplicity fee as at 1 November 2024.

Why invest in this fund?

Targets lower volatility

With a higher allocation to income assets, this fund suits investors seeking more stable short-term returns.

Hedged to the NZ dollar

This fund is fully hedged to the NZ dollar, to minimise the impact of currency fluctuations.

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.

What this fund invests in

Over 3,500 investments in more than 20 countries.

 

It tracks the Bloomberg MSCI Global Aggregate SRI Exclusions Float Adjusted index (hedged into New Zealand dollars) and is designed to be the hedged global bond component of a diversified investment portfolio.

Target asset allocation

Performance

-1.69%

1 Month

4.30%

6 Months

8.88%

1 Year

2 Years

3 Years

5 Years

* These returns are to 31-10-2024 and are before tax and after fund management fees. 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.

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Lower risk
Higher risk

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

How does the NZ Bond Fund differ from the Global Bond Fund?

The Global Bond Fund has exposure to a broad range of global securities (both Government and Corporate bonds), while the NZ Bond Fund is 100% invested in New Zealand bonds and has a higher weighting to Government Bonds. 

To see the top 10 holdings and full holdings for both Funds please use our Where is the World is My Money tool at this link

Which benchmark does this follow?

The Hedged Global Bond Fund follows the Bloomberg MSCI Global Aggregate SRI Exclusions Float Adjusted Index (hedged to NZ Dollars).

Why is the Global Bond Fund hedged?

To minimise foreign exchange risk, the Global Bond Fund targets 100% hedging to New Zealand dollars, meaning that its performance is not expected to be impacted by currency exchange rate fluctuations, only by movements (up and down) in the value of the underlying investment assets. 

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 %)