Summary of Generate

Generate is a New Zealand fund manager who has carved out a significant niche for itself in the investment landscape since its establishment in 2012 by Henry Tongue and Sam Goldwater. They are an award-winning New Zealand owned KiwiSaver and wealth manager, with a track record of strong long-term performance and industry recognition for their community and environmental impact investments. Tongue is the CEO, primarily focusing on non-investment aspects, while Goldwater leads all the investment decisions. Their combined expertise has been a key driver behind Generate’s success, whereby it is now one of the larger non-bank KiwiSaver Providers.

The firm partners with financial advisers to distribute their products and as a result, almost all Generate’s members have joined through this channel. Generate has enjoyed strong growth in its assets under management from less than $700 million in 2017 to over $5 billion today.

Generate’s Investment Philosophy

• Generate is an active fund manager they research and study the markets every day and adjust their fund investments to take advantage of opportunities that the market presents.
• International investment markets are not perfect, according to Generate. Too often human nature, including fear and greed, will drive investment decisions. This creates a market where someone may want to buy or sell assets at a price below or above their fair value. Active management aims to take advantage of those situations.
• Active managers, such as Generate, rely on analytical research, forecasts, and their own judgment and experience in making investment decisions on what securities to buy, hold and sell. The opposite of active management is called passive management, better known as "indexing", where an investor simply buys a proportion of all the shares in an index, like the NZX50, and will receive the same return as the market.
• Generate has identified market-leading investment managers who have all fashioned outstanding track records over a long period of time. They invest in funds that have substantial funds under management and are run by well-resourced teams of investment managers and research analysts located around the world. Importantly, some of their managers seek positive returns from rising and falling asset prices.

Why invest with Generate?

• Strong long-term KiwiSaver performance – Generate’s funds consistently rank highly for long-term performance, and often beat the average investment return of KiwiSaver funds in their respective categories (in the Morningstar quarterly KiwiSaver report).
• Service – Generate is proud of their member service and have won several awards for this including the Consumer NZ People’s Choice Award for KiwiSaver, the Reader’s Digest Quality Service Award for Superannuation, a Trusted Brand Award for KiwiSaver, and the Canstar Award for Most Satisfied Customers.
• Responsible investing – specific exclusions within Generate’s funds include a number of harmful industries and they are proud to say they’ve made a number of impact investments that are actually making the world a better place. All of Generate's funds have been recognised as 'Mindful Funds' by Mindful Money, and they have also been a signatory to the United Nations Principles for Responsible Investing since 2018.
• Kiwis taking care of Kiwis - Generate is proudly New Zealand owned and operated and is passionate about helping their members save for the retirement lifestyle they deserve. Generate now has over 140,000 members.

Summary of the funds: 

GoalsGetter KiwiSaver Generate Focused Growth Fund
The Focused Growth Managed Fund aims to provide a higher return over the long term. It invests in an actively managed portfolio made up predominately of growth assets with a minor allocation of income assets. Target investment mix includes International Equities 65.00% and Australasian Equities 15.00% and Listed Property 15.00%

GoalsGetter KiwiSaver Generate Balanced Fund
The Balanced Managed Fund aims to provide a medium return over the medium term. It invests in an actively managed portfolio made up of slightly more growth assets than income assets. Target investment mix includes International Equities 30.00%, New Zealand Fixed Interest 28.00%, Australasian Equities 15.00%, and Listed Property 15.00%.

GoalsGetter KiwiSaver Generate Thematic Fund
The Thematic Managed Fund aims to provide a higher return over the long term. It invests in an actively managed portfolio of growth assets predominately made up of mid-large cap international equities with a very minor allocation of income assets.  Target investment mix includes international equities 98.00%

This summary is provided for general information purposes only. The information provided is not intended to be financial advice. The information provided is given in good faith and has been prepared from sources believed to be accurate and complete as at the date of issue, but such information may be subject to change. Nikko Asset Management New Zealand Limited is the manager of the GoalsGetter KiwiSaver Scheme. A copy of the Product Disclosure Statement for the GoalsGetter KiwiSaver Scheme Generate Funds is available here.

*Information above is as at 31 May 2024