Expansion capital is a key Super Fund investment strategy

Expansion capital is a key active investment strategy for the Super Fund in its domestic market, New Zealand. The Guardians of New Zealand Superannuation uses a number of active investment strategies to add value to the New Zealand Superannuation Fund (“NZ Super”).

How does NZ Super define expansion capital in a New Zealand context? How do they access it, and how does it align with their endowments and investment beliefs?

All expansion capital portfolio companies have proven products and established business models that would benefit from additional capital, or a refreshed strategy to accelerate their growth. This distinguishes them from venture capital portfolio companies which still have technology and commercialisation risk i.e. they need to provide evidence that there is sufficient demand for their product.

The Guardians of New Zealand Superannuation uses a number of active investment strategies to add value to the New Zealand Superannuation Fund (“NZ Super”). Expansion capital is a key active investment strategy for the Fund in its domestic market, New Zealand.

This paper explains how we define expansion capital in a New Zealand context, how we access it, and how it aligns with our endowments and investment beliefs. It also explains the performance of the strategy to date.

Read the White Paper