Investment options for Maori Entities

Speech written by Tama Potaka, NZ Super Fund senior investment advisor, presented at Maori Business Conference, 5 June 2018.

Introduction

Kia ora koutou, it is wonderful to be here. Matanuku – thank you for inviting some comments on Investment Options for Māori Entities.

Reflecting on the earlier kōrero today, I want to acknowledge Chapman Tripp and NZ Trade and Enterprise who are both at the advisory coalface of Iwi/Māori investment. I would also acknowledge speakers who are scheduled to make additional comments later today.

I recently attended the Pacific Islands Investment Forum – previously known as the Pacific Provident Funds and Social Security Forum for CEOs – in Rarotonga. Aside from NZ Super, delegates to the Forum represent circa $30 billion of long term institutional investment across the Pacific. The key focus of the Forum was the Three C’s – Compare, Collaborate and Co-Investment. The nature of these organisations – pension funds, social security funds, sovereign wealth funds – reminded me of the Iwi/Māori organisational landscape. We can do much better at comparing, collaborating and co-investing. It also reiterated that Te Moana-nui-ā-Kiwa (the Pacific Ocean) is at the centre of global action – geopolitics, financial and environmental challenges are either at our beach or within launch range.

Some countries are building islands in the Pacific – others are trying to survive drowning and degradation. We have a lot to share with our Pacific whanaunga both there and here in Aotearoa.

For any specific opportunity and investment class, Iwi/Māori groups may have choices around going active/passive, direct/indirect, equity/debt, by ourselves or with others. I would like to focus today’s comments on co-investment with reference to a recently established Iwi/Māori direct investment vehicle – the Te Pūia Tāpapa Fund.

My key message today is that co-investment can take many forms – and it is useful to figure out how co-investment matches endowments, beliefs, and your risk/return appetite.

Click here to read the full speech presented by Tama Potaka at the Maori Business Conference: https://www.nzsuperfund.co.nz/sites/default/files/documents-sys/Tama_Potaka_-_Maori_Business_Conference_.pdf

Tama Potaka is the senior investment advisor at the The NZ Super Fund.