As the New Zealand dollar strengthened to historical highs against a number of international currencies, we encouraged our clients to take a longer term approach and invest more into international equity markets. This made sense as it was like buying when things were on special. Our dollar went further due to currency strength plus the high quality companies being purchased were cheaper in historical terms than what smaller potentially more risky New Zealand companies could be purchased for.
Core to almost every portfolio was the OneAnswer International Share Fund. This fund is managed by the well respected and highly awarded investment team from ANZ Investments (ANZI).
Recently, Morningstar upgraded their analyst rating on this fund to ‘Gold’ (the highest possible rating) plus gave it the highest possible quantitative rating of 5 stars. Morningstar made the following comments in their review:
“OneAnswer International Share Fund continues to set the standard in its peer group, with the carefully designed multi-manager approach providing an all-in-one global equities solution for New Zealand Investors…Altogether, this offering is the standout international equities option and we see no reason for investors to look elsewhere.”
The awarding of a Morningstar ‘Gold’ rating and five stars is an outstanding achievement for any fund manager and confirms our belief in using the ‘best of breed’ active managers available in New Zealand and Australia. As with all investments, nothing is guaranteed and from time to time funds can and do underperform. However, at this point of time, our clients can have confidence that they are in capable hands with the ANZI OneAnswer International Share Fund. And with all things being equal, this fund should continue to outperform the majority of its peers. The team within Milestone will continue to closely watch performance of all our clients’ portfolios and recommend changes to meet client changing financial goals and changing financial markets.