Generate has updated some of the offer documents for the Generate KiwiSaver Scheme and Generate Unit Trust Scheme (Managed Funds).
These updates include changes to the investment mix of some funds, revised risk indicators, lower annual fund charges across our Managed Funds, and a range of other updates to ensure our documents reflect how our funds operate today.
Here’s a summary of the key changes.
Changes to how some of our funds are invested
We’ve updated the target investment mix for some of our KiwiSaver and Managed Funds following approval from our Investment Committee.
The changes include increasing the allocation to international equities and reducing the allocation to Australasian equities in certain funds.
Notably our Focused Growth KiwiSaver Fund and Focused Growth Managed Fund will also increase their target allocation to growth assets from 95% to 98%, with a corresponding reduction in cash.
These changes are intended to support the fund’s long-term investment objectives and reflect the investment strategy approved for each fund.
Updated risk indicators
Risk indicators are calculated using a prescribed methodology and may change over time as a result of changes in the fund’s historical returns. The following risk indicators have been updated:
- KiwiSaver Moderate Fund: 3 to 4
- KiwiSaver Australasian Fund: 5 to 4
- Australasian Managed Fund: 5 to 4
- Stepping Stones 61 to 64: 3 to 4
- Stepping Stones Growth 61 to 75: 3 to 4
A higher risk indicator means a fund has experienced fluctuations in returns over the period used to calculate the indicator. A lower risk indicator means a fund has experienced less fluctuation. It does not mean we expect the fund to perform better or worse in the future.
Lower annual fund charges for our Managed Funds
We’ve updated the fees and costs disclosed for our Managed Funds. This includes removing GST from the base management fee and reflecting small changes to underlying third-party fees. As a result, estimated annual fund charges have decreased for a majority of the Managed Funds.
Together, these changes mean annual fund charges have decreased across our Managed Funds.
Generate Managed Funds
Previous estimated annual fund charge
New estimated annual fund charge
CashPlus Managed Fund
0.46%
0.46%
Fixed Interest Managed Fund
0.83%
0.82%
Conservative Managed Fund
1.15%
1.13%
Balanced Managed Fund
1.29%
1.26%
Focused Growth Managed Fund
1.31%
1.29%
Thematic Managed Fund
1.25%
1.23%
Australasian Managed Fund
1.25%
1.23%
Global Managed Fund
1.25%
1.23%
Where can I find the updated documents?
You can find the latest versions of our Product Disclosure Statements, Statements of Investment Policy and Objectives, and Other Material Information documents here:
KiwiSaver
Product Disclosure Statement
Statement of Investment Policy and Objectives
Other Material Information
Managed Funds
Product Disclosure Statement
Statement of Investment Policy and Objectives
Other Material Information
If you have any questions about what these changes mean for your investment, please get in touch with our team.