Pathfinder gets into bonds - green and orange

The Pathfinder Green Bond Fund, the first retail fund in New Zealand to invest solely in green bonds, will form part of the Pathfinder KiwiSaver fixed income allocation as well as being available to regular investors.

Pathfinder chief investment officer Paul Brownsey says until now Pathfinder had no exposure to fixed income due to the risk of low interest rates rising sharply.

“With interest rates back up we think it’s a good time to go into bonds. So that’s part of the timing for this PIE fund.”

Brownsey says the new green fund will be Pathfinder's preferred way of fixed income investing for its KiwiSaver fund; around 12% for conservative risk and 5% for growth.