Our commitment to responsible investment

It applies to everything we do

We identify opportunities and vote for positive change on ESG issues in organisations we invest in. And, none of our funds have direct or indirect holdings in companies producing tobacco or controversial weapons. We not only exclude companies based on what they produce, but we also exclude based on their behaviour and impact on people and the environment.

Performance is always a priority

The investment approach we've taken provides a greater opportunity to generate better market returns. Our responsible investment decisions reflect good long-term business sense. Investors can feel good about doing the “right thing” without compromising potential returns.

We're in control of where we invest

Our New Zealand-based investment management team has control over which industries and companies our funds are invested in. Decisions about what is or isn't invested in is in our control, guided by our Responsible Investment Policy.

How we apply our Responsible Investment Policy

Our Responsible Investment Policy sets out how we will incorporate responsible investing principles and practices into our investment decisions. This includes decisions to invest in securities and decisions to appoint investment managers.

We do our research

We make use of MSCI ESG Research and ISS ESG Research who provide us with in-depth research, ratings and analysis of the impact on the environment, social issues (like work conditions for employees) and governance-related business practices of thousands of companies worldwide. Their research provides us with critical insights that help us identify ESG risks and opportunities that traditional investment research may overlook.

Influencing positive change where we invest

Using the collective power of our investors we can use proxy voting to influence positive change on ESG issues in organisations we invest in. Through world-class research provided by ISS Governance, we identify opportunities and - where relevant - vote for change as a Socially Responsible Investor. This might mean voting against certain directors who are blocking progress on key issues, or voting for shareholder proposals that ask company boards to take action on specific ESG issues. Longer term, we think these votes make good sense both for achieving greater progress on real issues and for achieving stronger long term returns.

Kiwi Wealth Proxy Voting History

What we don't invest in

We focus our investment exclusions on three areas

Zero tolerance exclusions

We exclude all companies involved in any of the following product areas from both direct and indirect investment.

Tobacco

We exclude any company involved with tobacco production, or where tobacco is the primary industry.

Controversial and nuclear weapons

This category covers weapons such as cluster bombs, landmines, depleted uranium weapons, chemical and biological weapons, nuclear weapons. We exclude any company involved in the manufacture and production of controversial and nuclear weapons.

Whaling and whale meat processing

We exclude any company involved in the hunting of whales and the processing of whale meat.

Fossil fuels

We exclude companies operating in the most carbon intensive industries and with significant revenues from exploration and extraction of fossil fuels reserves.

Environmental, social, and governance exclusions

We exclude any companies which exhibit highly objectionable behaviour, particularly in the context of human rights abuses, abuse of the environment, and endemic illegal activities (whether by national or local law).

These companies will be excluded from directly managed investments only, including where such investments may be made by another investment manager under an Investment Management Agreement.

Areas of sensitivity

The following industries are considered areas of sensitivity, due to their greater propensity to victimise people and/or the environment. Companies in these areas that are identified as performing poorly in key areas most likely to cause such victimisation will be excluded for direct investment only:

Defence equipment

Companies producing and supplying defence equipment should have sufficient control against bribery and corruption, including improperly supplying such equipment to sanctioned countries.

Gambling services

Companies providing gambling services should mitigate the social impact of gambling addiction by implementing a suitable responsible gaming policy.

Thermal coal

Companies using thermal coal to generate electricity should demonstrate sufficient commitment to transition to renewable generation.

Nuclear power

Companies using nuclear reactors to generate electricity should demonstrate sufficient commitment to transition to renewable generation.

Palm oil

Companies producing or distributing palm oil should demonstrate sufficient commitment to preventing deforestation through observing RSPO and source tracing standards.

Kiwi Wealth Investment Exclusion List

The Responsible Investment Association Australasia

Digging deep on our investments to make sure they’re responsibly invested

All the funds in our Kiwi Wealth Managed Funds, and the wholesale funds our Private Portfolio Service invests in, are certified as responsibly invested by the Responsible Investment Association Australasia (RIAA). Though we’re still waiting for certification on our new Default KiwiSaver fund, all of the other funds in the Kiwi Wealth KiwiSaver Scheme are certified as responsibly invested by the RIAA as well.

We’ve chosen RIAA to certify our KiwiSaver Scheme, Managed Funds, and the wholesale funds our Private Portfolio Service invests in as their Responsible Investment Certification Program is the leading initiative for distinguishing quality, responsible investment products and services in Australia and New Zealand.

Being certified by RIAA means that investors have confidence that Kiwi Wealth has implemented an investment style and processes that systematically consider environmental, social, governance, or ethical considerations. It also means that we’ve met the strict operational and disclosure practices required by the Responsible Investment Standard.

Learn more about the RIAA and the responsible investment certification process.

Initiatives we support

Proud supporters of responsible investment initiatives

Task Force on Climate-related Financial Disclosures

Net Zero Asset Managers Alliance

Who we invest in

We're committed to transparency

Transparency is a core value of Kiwi Wealth - here is what we invest in for each of the funds available in our KiwiSaver Scheme and Managed Funds.

Kiwi Wealth KiwiSaver Scheme Full Portfolio Holdings

Take a look at the full portfolio holdings for each of our KiwiSaver funds.

Kiwi Wealth Managed Funds Full Portfolio Holdings

Take a look at the full portfolio holdings for each of our Managed Funds.