Matt Whineray has held a series of senior roles at the Guardians since joining the organization in 2008 as the General Manager Private Markets.
As CIO he manages a team of 35 investment professionals with responsibility for asset allocation, public and private market investments globally and in New Zealand. He oversees that the fund is making responsible investment and he is also in charge of appointing of external money managers.
Matt Whineray was formerly Head of Financial Sponsor Coverage for non-Japan Asia at Credit Suisse (Hong Kong). Prior to that, he was a Managing Director of First NZ Capital and a Vice President at Credit Suisse First Boston (New York). He began his career as a Barrister and Solicitor with Russell McVeagh.
Matt Whineray is the Chief Investment Officer of NZ Super Fund which manages New Zealand’s $25 billion Superannuation Fund
Investors with a long-term horizon can outperform more short-term focused investors over the long-run. Needless to say, the fund has also benefited from the almost 12 trillion dollars of asset purchasing programme by the main central banks which has made the buy and hold strategy profitable in the long term.
Matt Whineray is required to manage the fund according to Newzealand government Act which requires the fund to be invested in a way that “maximizes returns without undue risk to the Fund as a whole”.
So it is more value investing using fundamental analysis. The fund’s portfolio is spread across the two main asset classes, equities (stocks) which is defined growth assets with higher risk and income (bonds) as stable income.
Moreover, like many sovereign funds the portfolio is diversified over various asset class across developed and emerging markets.
The fund uses a reference portfolio set by the board to determine the percentage of the portfolio allocated. What is interesting to note is that only 5% of the fund was allocated towards NZ equity, which contrasts with Global equities – developed markets 65%, Global equities – emerging markets 10%, which (the fund defines) as the total growth of 80%. Only 20% of the fund’s assets were allocated to fixed income, according to 2015 Reference Portfolio.
Matt Whineray is required to manage the fund according to Newzealand government Act which requires the fund to be invested in a way that “maximizes returns without undue risk to the Fund as a whole”
Matt Whineray talks about responsible investment which has gone on to be apart of the funds mainstream strategy. His fund was one of the early signatures to the UN’s responsible investment (know as UNPRI) which is now considered the global industry’s benchmark.
“Environment, social issues have an impact on long-term returns” – it sounds very idealistic but is it profitable. Defence (weapon makers) outperforming the index last year (as I forecasted) and most likely this year too. Green wind turbine investors have lost a fortune. Maybe you need to invest in the world the way it is (be a realist) and not the way you would like it. Can ethical investing really be profitable. It is not easy investing Green.
Everyone loves progress – they just hate change, so that’s the ongoing challenge for investors – Matt Whineray
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