Geyser’s Investment Policy

At Geyser Community Foundation, we are proud to be the caretakers of nearly $10 million in charitable funds, held across 62 individual funds. These funds exist thanks to the generosity and foresight of our donors, and it is our responsibility to manage them wisely and in line with our shared values.

We are updating our Statement of Investment Policy and Objectives (SIPO).

What is the SIPO and why is it important?

The Statement of Investment Policy and Objectives (SIPO) is the guiding document for how we manage investments. It sets out:

• Our investment strategy and philosophy
• The governance framework around investments
• Our long-term growth objectives
• Our approach to responsible investing

In New Zealand, SIPOs are required under the Financial Markets Conduct Act for all managed investment schemes. Geyser reviews its SIPO every three years to ensure it remains fit-for-purpose. You can read our existing SIPO here.

Investment Risk Profile and What it Means

When we talk about investment risk, we’re really talking about the balance between growth investments (such as shares and property) and income investments (such as bonds and cash). Each profile has a different balance of risk and return:

• Low risk (60/40)
  About 60% growth assets and 40% income assets. Like keeping most of your savings in the bank: steady and safe, but slower growth. Annual distributions are likely to stay around 2–2.5%.

• Moderate risk (70/30) 
  About 70% growth assets and 30% income assets. Like keeping some in the bank while also investing a larger portion in shares. There are ups and downs, but stronger growth potential over time. Annual distributions could rise to around 3–4%.

• Higher risk (80/20)
  About 80% growth assets and 20% income assets. Like investing most of your savings in shares: bigger swings in value, but greater potential for long-term growth.