Iwi Investment 2022
In our eighth annual Iwi Investment Report, we review the 2022 financial year for ten of New Zealand’s iwi: Ngāi Tahu, Ngāpuhi, Ngāti Awa, Ngāti Pāhauwera, Ngāti Porou, Ngāti Whātua Ōrākei, Raukawa, Tūhoe and Waikato-Tainui, and for the first time Ngāti Toa. The combined assets of these iwi makes up approximately 69% of all post-settlement iwi assets, which we estimate to be now be worth around $11.7 billion.
The general environment for investing was very challenging in 2022, with share, property and other markets falling and our benchmark portfolio returning negative 13.1%. Despite this, the ten iwi performed relatively well, with:
- all ten iwi reporting returns exceeding our benchmark;
- Ngāti Toa and Waikato-Tainui reporting the highest returns at 31.9% and 22.9%, respectively;
- all iwi except for Ngāti Porou reporting positive returns on assets, with Ngāti Porou’s performance reflecting its relatively high exposure to financial markets.
While all iwi outperformed the benchmark in 2022, only Waikato-Tainui, with a property-dominant portfolio (including the upcoming Ruakura inland port) was able to achieve returns higher than the previous year.
Many of the iwi have continued to either diversify their asset base through direct investments in new sectors such as fruit (Ngāpuhi, Ngāti Awa and Ngāti Porou growing investments in berryfruit, kiwifruit and blueberries respectively) and mining (with Tūhoe’s recent purchase of Awahou Quarry). Iwi also continue to make further investments in equities and property or develop new investment opportunities in sectors where they already have a presence, as they look to improve returns and manage risks into the future.
Featured in the TDB Digest April 2023