As another financial year has come to a close, we're proud to share an update on how the KiwiSaver investment performed over the 12 months ending 31 March 2025. At Aurora Capital, it’s a privilege to support our members on their retirement savings journey, and we're committed to providing the clarity and confidence needed to plan ahead.
Steady growth across our funds
We're pleased to report that all Aurora Capital Funds and Strategies delivered positive returns for the year. This reflects the strength of our diversified investment approach, designed to balance opportunity and risk especially during periods of market volatility.
Global shares led the way, returning nearly 15% (currency hedged), as technology innovation and easing interest rates boosted investor optimism in the first half of the year.
Market shifts and emerging trends
While early 2024 was upbeat, the mood shifted in early 2025. Markets became more cautious due to:
Growing concerns over global trade tensions
The potential for higher inflation
Intensifying competition in AI, following China's launch of DeepSeek, a powerful new model
Despite this, our diversified portfolios were well-positioned to weather these fluctuations.
Local insights: A challenging year for NZ equities
New Zealand shares lagged behind global markets, returning just 3.9%. The local economy faced notable headwinds, including two quarters of GDP contraction, the most significant six-month downturn outside of COVID in decades.
However, there were bright spots. Strong dairy exports and improving business confidence signs toward year-end pointed to a more stable outlook ahead.
Bonds and income: A quiet win
Fixed income investments also contributed positively. With inflation pressures easing, many central banks shifted from raising interest rates to cutting them, which boosted bond performance and supported a more balanced return across portfolios.
Need help or have questions?
If you have any questions or would like to review your KiwiSaver for the year ahead, talk to your financial adviser or contact us to talk to an Aurora KiwiSaver specialist at hello@aurora.co.nz or 0800 242 023.
DISCLAIMER
This information is provided in a general nature only and should not be construed as or relied on as financial advice. This is not a recommendation to invest in a particular financial product or class of financial products. You should seek financial advice specific to your circumstances from a Financial Adviser before making any investment decisions.
Past performance is not a reliable indicator of future performance. The value of your investment may go up and down.