New Zealand's sovereign fund will transition away from fossil fuels and seek new investments in alternative energy, energy efficiency and infrastructure, said chairman Adrian Orr.
The state fund is the latest institution to incorporate factor investing into its long-term strategy. CIO Matt Whineray shrugs off concerns some have raised about smart-beta trades getting crowded.
Changes include increasing the allocation to global equities from 70% to 75%, of which 65% is to be targeted at developed markets and 10% to emerging markets.
Matt Whineray, general manager of investments at New Zealand Super Fund.