OneAnswer KiwiSaver Scheme New Zealand Fixed Interest Fund
Quarterly fund report
How has the fund performed?
Performance as at 31 December 2025
Rate | |
|---|---|
3 months | -0.29% |
1 year | 4.84% |
3 years (p.a.) | 5.47% |
5 years (p.a.) | 0.57% |
10 years (p.a.) | 2.68% |
Since launch (p.a.) | 4.01% |
Performance is after the annual fund charge and before tax. KiwiSaver rates, fees and agreements.
What happened this quarter (three months to 31 December 2025)
New Zealand government bonds were weaker over the quarter, despite further monetary easing by the Reserve Bank of New Zealand (RBNZ). While the RBNZ cut the Official Cash Rate twice – by 50 basis points and then 25 basis points – markets interpreted December’s move as potentially the last in the easing cycle, triggering a late-quarter bond sell-off.
Over the quarter, the 10-year government bond yield rose 31 basis points, closing at 4.40%.
Economic data reinforced the RBNZ’s cautious stance: inflation moved closer to target, while Q3 GDP surprised to the upside after prior contractions, suggesting signs of stabilisation of the domestic economy. The quarter saw a gradual improvement in business confidence that ended with a big jump in December’s reading. The ANZ Business Confidence Index surged to a 30-year high, suggesting firms are feeling more upbeat about the year ahead.
Global factors were limited with bond markets more mixed: The Federal Reserve cut interest rates twice during the final quarter, each by 25 basis points, while the European Central Bank held interest rates steady, suggesting their period of monetary policy easing may have ended. UK bonds were some of the strongest-performing bond markets after a surprise drop in inflation saw the Bank of England cut interest rates and expectations are for more in the coming months.
Despite a challenging final quarter, 2025 was a positive year for New Zealand bonds and the fund overall, reinforcing the role of fixed interest products in diversified portfolios.
For more information on investment markets
What does the fund invest in?
The fund invests mainly in New Zealand fixed interest assets. Investments may include:
- Fixed interest assets in New Zealand dollars, or issued by New Zealand located or incorporated entities and hedged back to New Zealand dollars
- Cash and cash equivalents.
This chart show the mix of assets that the fund generally intends to invest in – 100% fixed interest.
See the fund's actual investment mix on page 3 of the fund update.
Important information
ANZ New Zealand Investments Limited (‘ANZ Investments’) is the issuer and manager of the ANZ KiwiSaver Scheme, the OneAnswer KiwiSaver Scheme and the ANZ Default KiwiSaver Scheme (no longer a default scheme and closed to new members). For the scheme guides and product disclosure statements see KiwiSaver documents and forms or ask at any ANZ branch.
This material is for information purposes only. Please talk to us if you need financial advice about your situation and goals or about our products and services. See our Financial advice provider disclosure statement (PDF 39.9KB).
Past performance does not indicate future performance. The actual performance any given investor realises will depend on many things, is not guaranteed and may be negative as well as positive.