Cost savings push NZ Super to new climate indexes

The New Zealand Superannuation Fund (NZ Super) has explained its decision to shift the benchmark for nearly half of its total $55.7 billion AUM as a matter of cost and time savings. Between July and September, NZ Super shifted the universe from which it selects $25 billion of passive investments in global equities, to two MSCI market indices that are designed to improve the environmental, social and governance (ESG) profile of the portfolio. The change was intended to reduce inves…