AMP reviews fund composition

AMP has implemented changes to the make-up of its KiwiSaver funds in response to a review of its strategic asset allocation.

The AMP KiwiSaver Scheme Default Fund will reduce its cash allocation and increase its holdings in New Zealand and global bonds.

And AMP KiwiSaver Scheme non-Default members will now have a dedicated stake in airports, railways, and pipelines around the world.

“It also means their investments are more widely diversified, which is a point of difference from those KiwiSaver schemes that are heavily exposed to the New Zealand market,” said Jack Regan, Managing Director, AMP New Zealand.

AMP announced in February that it was transferring its AMP Wealth KiwiSaver Scheme members to the AMP KiwiSaver scheme, which would utilise the strengths of both schemes.

The Financial Markets Authority will decide whether to approve the move in August.

Regan said AMP Wealth KiwiSaver members would be given more information next month.

AMP has more than 260,000 KiwiSaver Scheme members across its two KiwiSaver schemes, and 16 per cent market share of KiwiSaver funds under management.