Superannuation fund rises above break even

Last updated 05:00 18/06/2009

Relevant offers

Politics

Asset sales fund over-committed by $424 million, Labour claims MPs to get pay rise, but by much less than expected 'Zero' chance of key RMA reforms going ahead: John Key Prime Minister John Key warns property speculators will get caught Plastic bag phase-out plan rubbished Police cleared over Banks investigation Beehive Live: Focus on Saudi deal What you need to know about the Government's deal with the Saudi businessman NZ to open embassy in Iraq Auckland Council boss gets more spending power

The New Zealand Superannuation Fund made a profit 3.47 per cent, or $587 million in May, the same month the Government turned off the tap of contributions for the next decade.

The Labour government had planned to put about $2 billion a year in the "Cullen fund" to build up a fund that would partly pay for pensions.

The fund is now just above break even $27m above state contributions since it started in 2003, despite the huge international sharemarket slump last year. The Super fund has received $14.46b in Crown contributions.

In recent months, world shares have bounced back and returns have improved on overseas bonds.

Meanwhile, strong performances by the Australian and New Zealand sharemarkets also helped lift most KiwiSaver accounts into the black in the March quarter.

New Zealand shares were up 10 per cent, Australia's 14 per cent and world shares about 3 per cent in the period.

 

Ad Feedback

- The Dominion Post

Special offers
Opinion poll

Should the speed limit be raised to 110kmh on some roads?

Yes

No

Vote Result

Related story: 110kmh limit moves closer

Featured Promotions

Sponsored Content