ANNUAL REPORT FISHER FUNDS TWO KIWISAVER SCHEME

Transcription

1 2018 ANNUAL REPORT FISHER FUNDS TWO KIWISAVER SCHEME

2 DETAILS OF THE SCHEME The Fisher Funds TWO KiwiSaver Scheme (the Scheme ) comprises six Funds; the Preservation Fund, the Cash Enhanced Fund (or Default Fund), the Conservative Fund, the Balanced Fund, the Growth Fund and the Equity Fund (together the Funds ). The annual report for the Scheme covers the period 1 April 2017 to 31 March 2018.»» The Scheme is a registered KiwiSaver scheme.»» The Manager of the Scheme is Fisher Funds Management Limited ( Fisher Funds ), who is also the investment manager of the Scheme. For more information about our investment team, investment philosophy and historical investment returns please refer to our website ff2kiwisaver.co.nz.» The Supervisor of the Scheme is Trustees Executors Limited (the Supervisor ).» The 3 August 2017 product disclosure statement for the Scheme is open for applications and available at ff2kiwisaver.co.nz/kiwisaver-twoproduct-disclosure-statement.» The 31 March 2018 quarterly fund update for each Fund is currently available at ff2kiwisaver.co.nz/fund-updates.» The 31 March 2018 financial statements and auditor s report for the Scheme have been registered under the Financial Markets Conduct Act 2013 and are available at ff2kiwisaver.co.nz/annual-reports. 2

3 AT A GLANCE 31 MARCH ,060 CLIENTS 6.9% BALANCED FUND RETURN TOTAL CONTRIBUTIONS $279M $1.94B INVESTED IN THE SCHEME HELPED 852 PEOPLE PURCHASE THEIR FIRST HOME 3

4 INFORMATION ON CONTRIBUTIONS AND SCHEME PARTICIPANTS MEMBERSHIP The table below shows the numerical changes in the membership of the Scheme during the year ended 31 March 2018: Membership at beginning of year PLUS Total number of members New members 7,555 Transfers from other KiwiSaver schemes Transfers from Australian superannuation schemes Transfers from other registered schemes LESS Members accumulation ($) 106, ,745,069, Retirement 649 Transfers to other 8,669 KiwiSaver schemes Transfers to Australian superannuation schemes Death 118 Other exits 970 Membership at end of year 7 104, ,940,007,000 1 The number of members at the start of the year comprises 62,050 contributing members and 44,416 non-contributing members. 2 The number of members at the end of the year comprises 60,752 contributing members and 43,308 non-contributing members. 4

5 CONTRIBUTIONS RECEIVED The table below details the total amount of each type of contribution received by the Scheme during the year ended 31 March 2018 and the number of members credited with each type of contribution: Contributions received were allocated to members as follows: Number of Members Total amount ($) Member contributions 73,195 $139,444,316 Employer contributions 72,986 $81,627,716 Crown contributions 70,781 $28,368,235 Member lump sum contributions Member voluntary contributions over minimum contribution rate Transfers from other KiwiSaver schemes Transfers from other registered schemes Transfers from Australian superannuation schemes 4,618 $16,690,782 2,235 $2,841, $4,703, $592, $4,405,846 5

6 CHANGES RELATING TO THE SCHEME The following is a summary of material changes relating to the Scheme made during the year ended 31 March GOVERNING DOCUMENT There were no changes to the Governing Document for the Scheme. THE TERMS OF OFFER OF INTERESTS IN THE SCHEME There were no changes to the terms of offer of interests in the Scheme. THE STATEMENT OF INVESTMENT POLICY AND OBJECTIVES (SIPO) On 9 June 2017 we made a change to the SIPOs of the Funds to update the prohibited investments clause. The SIPOs of the Funds are available at ff2kiwisaver.co.nz/resource-centre. RELATED PARTY TRANSACTIONS There were no material changes to the nature or scale of related party transactions for the Scheme. All related party transactions during the year to 31 March 2018 were on an arm s length basis and enacted on normal commercial terms. 6

7 OTHER INFORMATION FOR PARTICULAR TYPES OF MANAGED FUNDS WITHDRAWALS The table below details the number of members of the Scheme during the year ended 31 March 2018 that have made a withdrawal of the type listed. Number of Members Retirement 1,289 First home purchase 852 Significant financial hardship 380 Death 118 Permanent emigration 125 Serious illness 89 Transfers to other KiwiSaver schemes 8,669 Transfers to Australian superannuation schemes Other withdrawals 384 INVESTMENT PERFORMANCE The investment performance of each of the Funds for the year ended 31 March 2018 was: Fund name 31/03/2017 Unit Price $ 31/03/2018 Unit Price $ 7 Return* % Preservation Fund % Cash Enhanced Fund % Conservative Fund % Balanced Fund % Growth Fund % Equity Fund % * Returns are before tax and after fees (excluding Administration fees) and are calculated based on the change in unit price over the period. Past performance is not indicative of future performance. Returns are not guaranteed by any person. Members should refer to ff2kiwisaver.co.nz for the current unit price for each Fund and longer term investment returns. 7

8 MANAGER S STATEMENT Fisher Funds as Manager of the Scheme confirms that for the year ended 31 March 2018:»» All the benefits required to be paid from the Scheme in accordance with the terms of the Governing Document and the KiwiSaver scheme rules have been paid;»» The market value of the Scheme property at the close of the financial year equalled (or exceeded) the total value of benefits that would have been payable had all members of the Scheme ceased to be members at that date and, where necessary, had provision been made for the continued payment of all benefits being paid to members and other beneficiaries as at the close of the financial year. CHANGES TO PERSONS INVOLVED WITH THE SCHEME DIRECTORS OF THE MANAGER Fisher Funds Management Limited 1. Hugh Gladstone Fisher resigned as a Director on 25 August Francis Ivor Charles Jasper resigned as a Director on 25 August Liberato Petagna resigned as a Director on 25 August Edward Francis Sippel was appointed as a Director on 25 August Sir John Wells resigned as a Director on 5 March

9 KEY PERSONNEL OF THE MANAGER Fisher Funds Management Limited On 18 April 2017, Bruce McLachlan started as our new Chief Executive Officer. Carmel Fisher stepped down as Managing Director in late May Carmel remains a Director on the Fisher Funds Board of Directors. On 27 July 2017, Glenn Ashwell resigned from his position as Chief Financial Officer and Chief Operating Officer. On 1 August 2017, Vedran Babic was promoted from Operations Manager to Chief Operating Officer. On 1 August 2017, Mark Brighouse stepped down as Chief Investment Officer and was appointed as Chief Investment Strategist. On 1 August 2017, Frank Jasper was appointed as Chief Investment Officer. On 2 October 2017, Jody Kaye started as Chief Financial Officer. DIRECTORS OF THE SUPERVISOR Trustees Executors Limited 1. Andrew Eason Scott-Howman was appointed as a Director on 24 April Franceska Eve Banga was appointed as a Director on 18 July Franceska Eve Banga resigned as a Director on 5 April Robert Paul Russell resigned as a Director on 17 May Matthew James Sale was appointed as a Director on 17 May 2018 CHANGE IN CONTROL OF THE MANAGER On 25 August 2017, the TSB Community Trust, through its group companies ( the Group ), purchased 51% of the ordinary shares 1 in Fisher Funds Management Limited, taking its shareholding to 100%. The Group then immediately sold 24.99% of the shares to TA FF HoldCo Limited, a holding company of TA Associates Management, LP, a global private equity firm with extensive funds management experience. 1 There is only one class of shares on issue in Fisher Funds Ordinary Shares which carry equal voting rights. 9

10 HOW TO FIND FURTHER INFORMATION Further information about the Scheme and the Funds can be found on the Disclose Register at companiesoffice.govt.nz/disclose. There are two parts to the Disclose Register: 1. The scheme register includes information such as the Governing Document, financial statements and the statement of investment policy and objectives. 2. The offer register includes information such as the product disclosure statement, quarterly fund updates, historic fund returns and other material information. This information is also available on our website ff2kiwisaver.co.nz or you can call us on to request this information. The information can be obtained from us without charge. CONTACT DETAILS AND COMPLAINTS If you have any questions about your investment in the Scheme, please contact: Head of Client Services Fisher Funds Management Limited Level 1, Crown Centre Hurstmere Road Private Bag 93502, Takapuna Auckland 0740 Freephone: Website: ff2kiwisaver.co.nz You may also contact the Supervisor at: The Manager, Governance and Investor Oversight Trustees Executors Limited Level 7, 51 Shortland Street PO Box 4197 Shortland Street Auckland 1140 Telephone:

11 The address of the securities registrar is: Trustees Executors Limited Level 5, 10 Customhouse Quay PO Box 409 Wellington 6140 Telephone: If you are not satisfied with the service you have received from Fisher Funds, please contact us. We have an internal complaints process and undertake to investigate your concerns promptly and fairly. You may contact us to make a complaint by telephone, or in writing as follows: The Compliance Manager Fisher Funds Management Limited Level 1, Crown Centre Hurstmere Road Private Bag 93502, Takapuna Auckland 0740 Freephone: complaints@fisherfunds.co.nz You may also contact the Supervisor at their address on the previous page. Fisher Funds and the Supervisor are both members of an independent dispute resolution scheme operated by Financial Services Complaints Limited (FSCL). Each of us has 40 working days to resolve your complaint. If you are not satisfied by the response, you may refer the matter to FSCL by ing info@fscl.org.nz or calling FSCL on Alternatively you may write to FSCL at: Financial Services Complaints Limited 4th Floor, 101 Lambton Quay PO Box 5967 Wellington 6145 Full details of how to access the FSCL scheme can be obtained from its website fscl.org.nz. There is no cost to you to use the services of FSCL. 11

12 Fisher Funds Management Limited Private Bag 93502, Takapuna Auckland 0740, New Zealand kiwisavertwo@fisherfunds.co.nz ff2kiwisaver.co.nz We're always here to help... FF /18