NZ Super partners with Māori Investment Fund to explore new investments

NZ Super
The teams from T Puia Tapapa Fund and NZ Super

New Zealand Superannuation Fund (NZ Super) has inked a partnership with Te Pūia Tāpapa Fund, the Māori Investment Fund in New Zealand in a bid to work together on new investment avenues.

NZ Super signed a Memorandum of Understanding (MoU) with Te Pūia Tāpapa Fund, based on which both will be preferred partners, committing to full and open dialogue over investment opportunities, an announcement from NZ Super said Tuesday.

Te Pūia Tāpapa Fund is a way for New Zealand’s indegenious communities Iwi and Māori organisations to pool resources and access larger scale direct investment opportunities and over NZ$110 million has been indicatively committed to the Fund to date.

“This unique arrangement reflects commonalities in our investment approach, and our shared long-term investment horizon. We look forward to collaborating on areas of mutual interest and working together on new investment opportunities,” said NZ Super Fund Chief Investment Officer Matt Whineray.

The Māori collectives reportedly have over $15 billion in assets under management. Te Pūia Tāpapa is a reference to a cluster of seed beds used to grow kumara, symbolising the creation of a co-investment fund for better growth and returns.

Meanwhile, till November last year indicative commitments of up to NZ$100 million were made by iwi, pan-tribal organisations, Māori land trusts and Māori incorporations to the proposed Iwi/Māori Direct Investment Fund, according to a statement by NZ Super Fund.

It had explained that the fund, which will help the Māori groups further diversify their portfolios and access larger scale direct investment opportunities than they can achieve on an individual basis, will see the groups pooling capital for collective investments. “Iwi and Māori groups have an increasing economic base, with potential to grow land, capability and capital,” it said.

Over 35 Māori groups had made indicative commitments to the Fund and include organisations like various Tūwharetoa organisations aggregating together as a single investor, Te Tumu Paeroa, and various Taranaki iwi entities.

The fund will have a 15-20 year investment horizon with an appointed Board and Manager, and a separate, independent, Investment Committee making investment decisions. Apart from NZ Super Fund which has assets close to NZ$38 billion at end of last year, the Maori Fund will also aim to build similar relationships with other institutional investors, with a view to creating and participating in co-investment opportunities.

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