A full version of this article first appeared in the New Zealand Herald in early 2024KiwiSaver balances might have looked a little sad over the last couple of years but Milford KiwiSaver financial adviser Liam Robertson is cautiously hopeful about the road ahead.“Markets are a wee bit more positive than they were a couple of years ago,” he says. “Things are still quite volatile, but there are signs that we are starting to move away from some of the pain that came about because of Covid.”With inflation reducing and interest rates expected to trend down in the next 12-24 months, now is a good time to review investments. Liam has some key tips to make sure people get the best from KiwiSaver.Get the government contributionNow is the perfect time to make sure you have put the minimum required amount into your KiwiSaver account to get the maximum annual government contribution of $521.43. This is money the government will add to your KiwiSaver if you meet eligibility requirements, and you contribute at least $1042.86 between July 1 and June 30 each year. You can top up you KiwiSaver between now and the end of June to ensure you pass the threshold.The amount excludes employer contributions and applies to KiwiSaver members aged 18-64 who mainly live in New Zealand. It’s important to note you will still receive 50c from the government for every dollar you contribute, up to the maximum of $1042.86. Set a goalIt’s crucial to know what you want, whether you are saving for your first home, or retirement. “It’s easy to take an ‘out of sight, out of mind approach’,” Liam says. “The sooner people set a goal and figure out how to use KiwiSaver to achieve it, the better.Right fund and contribution levelOnce a goal is clear, it’s time to choose the right fund. Choosing a fund depends on an investor’s timeframe and risk tolerance. If you are in your late 30s and have already withdrawn from your KiwiSaver for your first home, you might look towards retirement.In this case, a growth or aggressive fund might be appropriate, depending on your risk appetite, Liam says. There will likely be enough time for compound returns to work their magic and for a KiwiSaver balance to recover from the ups and downs of the market.If your goal is to purchase a house in the next couple of years, or if you are nearing retirement and intend to withdraw your funds then, it might be more appropriate to switch to a lower-risk fund, he says. Online tools, such as the Sorted Retirement Calculator, help calculate returns long-term, based on how much is contributed and the type of fund chosen. Why choose Milford’s KiwiSaver Plan?Milford has just been named Consumer People’s Choice KiwiSaver Plan for the seventh consecutive year.The award was announced in April, following Consumer NZ’s KiwiSaver satisfaction survey, where people shared their experiences with their KiwiSaver provider. A total of 1,996 New Zealanders aged 18 and over were surveyed online during January and February 2024. Milford’s overall satisfaction rating was 69%, with average across all providers at 52%. “Milford was the runaway winner when it came to satisfaction with investment returns,” Consumer said when announcing the award. “Milford performed strongly across the board, with above-average performance for investment returns, the fairness of its fees and charges, and for keeping customers updated about their investments,” Consumer said in it’s press release. If you would like to talk with any of Milford’s Wānaka-based Wealth Management team about the Milford KiwiSaver Plan, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-advice

All employers in New Zealand, no matter what size, are now able to use 90-day trial periods.Previously these were only open to employers with 19 or fewer employees but the changes took effect in December last year. That means if you’re hiring people on certain work visas, you’ll need to consider immigration requirements relating to the use of trial periods – specifically accredited employers and employees on an Accredited Employer Work Visa (AEWV).  Any trial periods must also be agreed to and included in the employment agreement before your employee starts work, or the trial period will be invalid.Beware though, if an employee is a member of a union and employed on a collective employment agreement that says they can’t have a trial period then these can’t be used.

By Amanda CleaverFinancial Adviser With financial scams on the increase, it can be difficult deciding who to trust with your money. It’s a big decision picking an investment partner, especially considering the wide range of investment companies and services available. One of the most common things I hear is how much our clients value being able to meet face-to-face with a real person based in Wānaka. With an office in Wānaka since 2016, Milford prides itself on our commitment to our clients and to the Wānaka community. Here are a few steps you can take to form a sound investment partnership.Set your goalsBefore deciding who to invest with, it’s worth identifying your investment goals. What are you trying to achieve with your money?Two common goals are:I’m still working but I want to understand how much I need to save for my retirementI’m retired and I want to draw an income to cover my expenses But there are a range of other goals you could also have. For instance, you may want to set up an education fund for your children or perhaps you’ve come into some money and you simply have no idea I how to best invest it. The key is taking the time you need to consider and identify your goals, being as specific as possible.Consider the optionsNext, get an understanding of the different types of companies you could work with and if they have the products and services you need to help you reach your individual goals.Begin by doing a little research. Here are a few questions to ask about the investment companies you are considering:How have their investments performed over the long term?Are their fees transparent?Do the staff invest their own money in the same funds as you?Do they offer financial advice?Can you view your investment details at any time?Do they clearly explain their investment decisions?How often will they contact you?Different people like to interact in different ways and on different schedules, so these questions can help you assess whether the relationship would work for you. This step is all about understanding your options and finding a partner who is a good fit.Check inOnce you’ve identified your goals and found the partner you believe will help you get there, you can start investing. But try to avoid falling into a ‘set and forget’ mindset. We suggest a ‘set and review’ mindset instead. You don’t need to monitor your investments constantly but it’s worth a regular check-in. You should definitely review your investments when your life circumstances change.This will help ensure your investments are still aligned to your goals. It’s also a chance to assess whether your investment partner is doing a good job. If they’re not, you can always go back to step two and reconsider your options.Peace of mindAlthough it can be challenging, finding the right investment partner can be very rewarding – financially and by providing peace of mind. That, in turn, can give you time to focus on other things that really matter in your life. Use these three tips as a guide and, before you know it, you’ll be well on your way to achieving your financial goals.If you’re not currently a client of Milford’s and you are struggling with any of these steps, we have a team of financial advisers based in Wānaka who would be happy to meet with you, in person, free of charge.If you would like to talk with any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

The Government has announced bright-line changes are coming, namely a return to the 2-year bright-line tax rules for properties sold after 1 July 2024. But sellers beware. Nothing has been changed or updated yet. Until the proposed changes are passed through parliament, the current rules apply. If you’re looking to sell now, the current bright-line rules are still relevant. Here’s a quick summary:Selling before 1 JulyExisting bright-line rules applySelling after 1 July2-year bright-line rules applyMain home rules revert back to the old rules from 1 July50% land used as main home for 50% or more of the timeIf you’re thinking of selling, get legal advice before you put your property on the market, so you don’t get caught out. We’re always here to help so just give us a call.

The Government has announced bright-line changes are coming, namely a return to the 2-year bright-line tax rules for properties sold after 1 July 2024. But sellers beware. Nothing has been changed or updated yet. Until the proposed changes are passed through parliament, the current rules apply. If you’re looking to sell now, the current bright-line rules are still relevant. Here’s a quick summary:Selling before 1 JulyExisting bright-line rules applySelling after 1 July2-year bright-line rules applyMain home rules revert back to the old rules from 1 July50% land used as main home for 50% or more of the timeIf you’re thinking of selling, get legal advice before you put your property on the market, so you don’t get caught out. We’re always here to help so just give us a call.

By Jason KururangiMilford Portfolio ManagerGold is an interesting commodity; beautiful in its glitter and yet it primarily sits in sunless, secured vaults all over the world. While Milford does not own gold directly in our Funds, from time-to-time we may have exposure to gold producing companies.One of the founding principles in economics is the relationship between supply and demand. Gold is no different. Its overall supply does grow through time as gold is not necessarily "consumed" but is often stored. The rate of growth, however, is somewhat constrained given the finite amount of gold available to be mined. For supply to grow quicker (assuming mined gold is just stored), mine production needs to grow, and this is typically a relentless battle against more complex deposits, lower grades and higher costs. Given this, gold is considered scarce, despite additional supply coming to market each year. Regarding gold demand, there are typically three key drivers which arguably have the most influence over price in the short term:Gold tends to be held as an asset by central banksDemand for jewellery As an inflation hedge and store of valueThe past few years have seen a volatile backdrop for gold. Gold has seen significant central bank buying in the lead up to the Ukraine War and post. Significant incremental buying in 2023 was seen by China and Poland (Source: World Gold Council). One of the arguments here for central bank buying is to help some economies be less reliant on the US dollar and US dollar assets. Gold provides a diversified set of reserves for central banks and is particularly common in some emerging markets. An arguably more complex driver is the perception of gold as an inflation hedge. This is a complex interplay that in its simplest logic states that if growth is high, this tends to be when the supply of money in the economy is growing. Unless interest rates are raised to slow growth, inflation is higher which reduces the purchasing power of that currency. The value of an asset like gold, however, should retain its relative purchasing power. Conversely, if a central bank is pursuing tight monetary policy to contain this inflation, it can have the opposite effect on gold. Why is this interesting now? When central banks begin cutting interest rates to support growth, you tend to see real interest rates (interest rates adjusted for inflation) also decline, and therefore an improvement in the value of scarce real assets like gold. Where this gets increasingly complicated is around the nature of central bank policy and timing of moves. It is also intertwined with central bank physical buying of gold, which at this stage remains elevated. We appear to be in an environment suitable for gold to perform well with growth and inflation higher, as well as one where there is a chance of lower global interest rates which would likely continue to be supportive for gold. So whilst we are not necessarily calling the gold price to continue going up, there is certainly a scenario where scarce assets like gold continue to appreciate in price.   If you would like to talk with any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

If you rent out a holiday house, room or even your existing home for short stay holiday accommodation through providers like Airbnb and Bookabach, there’s some GST changes that you need to know about.From 1 April, these operators became responsible for charging and collecting GST of 15% on all short-stay holiday lets and it applies even if you earn less than $60,000 a year and aren’t GST registered.Here’s how the changes will work!If you’re GST registered:You need to let your online platform know that you’re GST registered.You will no longer need to issue tax invoices to customers or the platform.You will need to report your accommodation sales in your GST return as zero-rated.You will still be entitled to claim GST on your costs, just as you’ve done in the past, but you won’t receive a flat rate credit from the platform.If you’re not GST registered:You won’t need to register or account for GST as the platform will do this for you. Don’t panic, this doesn’t mean that your property will instantly come into the ‘GST net’ and become taxable on sale.As before, you’ll still need to monitor whether your short-stay property accommodation sales reach the GST threshold, and if they do, you’ll need to register for GST (and then the above will apply).You should also receive extra money from the online platform, and this will be calculated at 8.5% of the GST exclusive price of your accommodation price.

Milford, in managing its Investment Funds and KiwiSaver Plan, is constantly analysing the financial performance and prospects of many of the world’s leading companies to assess their suitability as possible investments. Here Milford Investment Analyst Dr Deborah Lambie discusses Uber. Uber can be thought of as the largest transportation company in the world. It has been a pioneer in the ride-hailing and broader gig economy. Uber has around 6 million drivers completing an average 25 million trips a day, across 70 countries. This is equivalent to every single person in New Zealand taking five trips per day! Uber shares have had a stellar run and are up 125% over the past 12 months. This actually comes after a tough period of time for the shares. From when Uber listed back in 2019 to the end of 2022, its shares almost halved. This was driven by: Covid - where the volume of rides fell almost 80%; regulatory concerns around drivers’ pay; and a large group of sceptics who just didn’t believe Uber could generate a profit. But fast forward to now, Covid is behind us, Uber’s food delivery business Uber Eats has become a global leader, and the company has delivered three consecutive quarters of profits, with some of the profits now being returned to investors through share buybacks. Uber has proven its significant scale across many geographies, and the dual service of mobility and delivery, provide a competitive advantage. It is expected to grow its earnings at over 50% per year over the next three years. This is attracting a new cohort of long-term investors who are buying Uber for its compounding earnings growth. These factors have driven the strong recent share price rally and the new all-time high share price.This profitability inflection has been driven by three main factors. Firstly, coming out of Covid, we have now seen a full recovery of Uber rides, which is the most profitable part of the business. Secondly, Uber can generate more revenue per customer because it has both rides and delivery on the same platform. Finally, Uber has cut back-office costs significantly.Looking forward, Uber’s advertising business is also showing a lot of promise for the future. It is still small but has been gaining traction and is highly profitable. Uber is currently benefitting from the “network effect”. As its user base grows, demand for rides and drivers increases, which in turn leads to an increase in the supply of drivers, which in turn improves service received by users, driving continued user base growth (and so on). Ultimately this flywheel effect accelerates growth and Uber’s earnings.Uber has recently been included in the S&P 500 index which is driving a higher quality, long-term shareholder base, attracted to Uber’s strong growth outlook and competitive advantage. Plus, Uber’s profitability and cash flow generation is accelerating, which will be returned to shareholders through increasingly large share buybacks – all of these have also contributed to Uber’s strong share price performance. However, it is important to be aware there are several risks around an investment in Uber that Milford remains acutely focused on - competition is heating up, there is regulatory scrutiny especially around its classification of drivers, and systems to ensure the safety of both its drivers and riders is paramount. It’s a rapidly evolving space, that we are actively monitoring.If you would like to talk with any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-advice.Level 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

Introducing the latest recipients of the Kahu Youth Trust Educational Scholarships.Kahu Youth Trust Chair, Randal Dodds, proudly awarded four deserving individuals the Kahu Youth Trust Educational Scholarship. These scholarships aim to provide a vital financial stepping stone for youth in our community to pursue their dreams and achieve career fulfilment. Among the recipients are Jasmine Edwards, embarking on her hairdressing apprenticeship journey, and Benjamin Hawkins, pursuing his Electrical Pre-Trade at Otago Polytechnic. Also receiving scholarships are Khedrup Dorjee, setting his sights on NZSIA Level 2 Ski Instructing, and Ruby Burke, delving into Photography and Media Design at Otago Polytechnic. At Kahu Youth Trust, our mission is clear: to empower ALL youth in the Upper Clutha to live their best lives. Through safe spaces, mentoring, after school clubs, drop-in sessions, holiday programmes and a variety of engaging programmes, we provide opportunities for personal and professional growth.  We understand that the journey to success often requires financial support, which is why our scholarships target those who have been out of school for at least six months, seeking to further their education and career prospects. Whether pursuing university degrees, polytechnic courses, or trade studies, we aim to ease the financial burden and encourage our youth to reach their full potential. This is especially important during our current cost of living crisis.  The Kahu Youth Trust Educational Scholarship isn't just about funding—it's about investing in the future of our community. By nurturing talent and providing opportunities, we believe in equipping our youth with the tools they need to thrive in their chosen paths. Join us in celebrating these remarkable individuals and their bright futures they're destined to create. Applications for the next round of scholarships will open in November 2024. Visit kahuyouth.org for more info.Paetara Aspiring Central35 Plantation Road, Wānaka 

This is an abridged version of an article published by BusinessDesk in June 2023Artificial intelligence has already experienced the full range of praise and criticism – from Bill Gates’ belief that the advent of ChatGPT is as significant as the invention of the internet, to contentions from leading AI experts that it could make humans extinct.The world is now watching AI’s next steps with some of the big questions being: how will AI be monetised, and what to make of Gates’ strong endorsement of AI’s ability to change the world after ChatGPT’s landmark arrival and impact. The key is that previous iterations of AI could read and write – but ChatGPT actually understands the content – and can generate it.Milford Senior Analyst Daniel Wu is one of those closely watching AI’s progress in a ChatGPT world and, while he has no doubt of the significance AI will play in the future, one of his main messages is cautionary: it’s a long-term situation; don’t just get swept up in the hype.“The benefits of generative AI will be felt over years, not quarters,” he says. There is plenty of room for development of the future business and consumer use of AI – but no clear view yet of who might be at the forefront. One potential problem is commoditisation: “The issue is the data; most of it is derived from the same pool of publicly available data, which could lead to rapid commoditisation of these large language models.”There could be, Wu says, a group of AI providers essentially offering much the same products and services – producing “table stakes”, the business term for the minimum entry requirement for a product or service.Proprietary data is thus a key part of the development of AI into premium applications, as opposed to the “low hanging fruit” and “easy wins” of widely available AI applications. Premium applications will likely be seen in AI taking over some routine tasks in businesses and consumer-facing developments such as enhanced bots which make the consumer experience more enjoyable. As for the worldwide headlines and warnings from experts like Geoffrey Hinton, regarded as one of the fathers of AI, that AI could make humans extinct, Wu says his feeling is that the target is actually regulators.“By their very nature, regulators are naturally slow and tend to lag behind the rapid pace of technology advances. So ethical and existential considerations and issues around regulation of AI are some of the challenges facing AI and investing in the AI space. Regulators will need to pick up their pace in confronting these challenges.”If you would like to talk with any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-advice.Level 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

By Amanda CleaverWanaka-based Financial AdviserHow can you improve your investing outcomes? By ensuring your investing efforts start with a clear purpose.Clients often tell me they are investing to “grow their capital”. Which sounds reasonable right? I would argue that everyone, whether they consciously acknowledge it or not, has a deeper reason for investing than just wanting to grow their capital. Sometimes we just need to be prompted or guided to explore our intentions further as this can involve taking a look at ourselves and our core values. Defining a goal can be critical though, especially when investors are facing heightened emotions brought on by challenging markets.Connecting your investments to a fundamental goal helps you focus on how a short-term emotional decision could impact on your long-term outcomes. For example, if your goal is saving a certain amount for retirement or children’s education in 10 years’ time, then fluctuations in your investment capital today should not have any lasting impact on achieving your goal. Having your defined goal in mind should ultimately help you stay disciplined and drown out the noise of short-term market movements. Conversely, if you don’t have a clear purpose or goal for your investment portfolio, when faced with volatility in markets, it will be easier for self-doubt to creep in. If you’ve got no defined goal, you might wonder if it’s better to have this money in the bank and accept lower long-term returns. Staying invested then becomes a psychological battle that you’re more likely to lose. This can lead to making bad decisions at the worst possible times, and, at worst, selling out short of achieving your goal.The principles of goal setting teach us goals should be S.M.A.R.T. Specific, Measurable, Achievable, Relevant and Time-based. Expert advisers can work collaboratively with you to set your goals and then coach you to keep you on track on an ongoing basis. When it comes to applying this to investing, take your goal and apply a timeframe to it. Add this to your personal tolerance and capacity for risk and suitable investments become apparent. Personally, I have multiple goals with different timeframes and each with its own risk profile. At times even I need to remind myself of my goals and their timeframes which helps ground my emotions during periods of market volatility. If you trust in the investing process, then setting up the right investment to match your goals and then sticking to the plan will ultimately reap rewards and help you achieve your goal sooner. I’d encourage any investor to start with a defined goal, no matter what age or stage they’re at in their lives and investing experience. Milford has a team of advisers and digital advice tools to aid in the process of taking those goals and finding a suitable investment.If you would like to discuss your situation with Amanda, or any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-advice.Level 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

By Remy MorganMilford Credit Analyst Throughout the pandemic and up until 2022, the relatively low interest rate environment has made it tough for corporate bond yields to compete with the earnings or dividend yields generated by equity investments. However, rising global interest rates have changed this dynamic, and bond yields are now looking more attractive than they have in a long time. Corporate bonds are debt instruments issued by companies that typically pay a regular fixed interest payment for the life of the bond, until the initial investment amount is repaid to the investor. The amount of the periodic interest payment is set at a rate that reflects the interest rate environment at the time the bond is issued. In a low interest rate environment, bonds typically have a lower yield and vice versa. Equities (or shares) reflect an ownership stake in a company. Returns on an equity investment are tied to company earnings. Higher earnings typically support higher dividend income paid to the investor (noting not all equity investments pay dividends), as well as share price appreciation.  While not without its own risks, bond interest payments are a contractual obligation of the company, required to be paid in all but the most extreme situations. A dividend payment for an equity investment is, however, discretionary. In a weaker economic environment, where earnings may be lower, this may see reduced dividend payments (and therefore a lower dividend yield). Bonds also have an advantage of higher priority claim to repayment versus equity holders in a downside scenario such as a company failure, but do not benefit from the upside of company earnings growth that supports equity share price appreciation.Since 2022, interest rates have been on the rise globally as central banks have tightened monetary policy in an attempt to curb inflation. The rising interest rate environment has created several headwinds to growth for company earnings: slower economic growth, rising unemployment and falling consumer demand. Taking all these factors into consideration, this explains why bonds continue to look more attractive than they have in years. If you would like to discuss your situation with any of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice. For more information on our financial advice services please visit milfordasset.com/getting-advice.

Abridged article printed with thanks to Business Desk.Thanks to the pioneering trailblazers who took their place at the board table before us, workplace gender inequality for women is widely accepted as an imbalance that society is slowly intervening to redress. Yet despite this progress, women remain underrepresented amongst investors, and behind their male counterparts when it comes to achieving financial success. According to research undertaken by Financial Services Council NZ in 2021, 60% of women surveyed rated their investing literacy as low, compared to 40% of men. The basics are well documented, including the unique challenges that impact a woman’s wealth trajectory such as the wage gap, time away from work as primary caregiver of children or elderly parents, and longer life expectancy.Another known barrier is a lack of confidence to make informed financial decisions and a shortage of access to relevant information. Research undertaken by Milford Asset Management in late 2022* showed that women clients who started investing with little knowledge of the financial landscape, soon gained confidence through information, online tools and advice. Liz Greive, investor and Founder of Share my Super, understands only too well the boundaries that have beset women in the world of investing.“At the time we started putting funds aside, 25 years ago, I think the culture was that this was men's work. At first I didn't go to the meetings with our financial adviser, and then I thought, ‘you know, I'm being left out in the cold here’. Even though I'd always run our household finances, supervised quite big building projects, and run my own successful consultancy business, I was excluded.”When she did start attending the meetings, Greive admits the lack of investment knowledge available to women was a barrier. “My opinion wasn't asked for and I basically just sat and listened and found it all totally bamboozling. I never had the confidence to say I don't understand this. So, I started the journey of learning about investing.”It’s a different landscape today with more women feeling confident to seek financial advice. Half of Milford’s 180 employees are women and 42% of the Milford financial adviser team are women versus the National average of 22.5% (research out of the University of Otago and RMIT University Melbourne). “Normalisation of investing amongst younger women will start to develop when they see other women visible in the investing world,” says Greive. “All the young people I know have more confidence in finance, they may be more exposed to it in their career paths. I also think where there is joint ownership of wealth, both parties should be involved in all decisions. We need to normalise women in finance, making them more visible, telling their stories and offering women opportunities to meet with other women and network.”This equally applies to older women who, no matter their age or stage of life, could benefit from connecting with other women interested in investing. Greive says investor discussion and educational groups would create space for women to meet with others in the same situation.Her key piece of advice for women of all ages is to get involved: “Make sure you are included - that you are jointly involved in any investments, any bank accounts, everything is visible to you, major ownership is in your joint names - and that you are always involved and consulted.”*Quantitative research of 37 Milford clients carried out by independent research agency TRA for period November - December 2022.If you would like to discuss your situation with one of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

Not one, but two workplace incidents hit the headlines this week. In Australia, Bunnings was ordered to pay out $1.3million to a former worker after she was seriously injured lifting a 11kg bucket of fertiliser. And, what’s more, the fertiliser manufacturer was ordered to contribute!Here in our own backyard, Trade Depot was forced to pay out almost $500,000 in fines and reparations when a customer was struck by a forklift and had to have her lower leg amputated.In the case of Trade Depot, the company was found to have no effective traffic management plan in place to keep pedestrians and moving vehicles separate. One-way systems, barriers, speed bumps, signage and designated crossing points could have prevented this terrible accident. These cases are a good lesson for Kiwis employers on the importance of health and safety at work.While the massive Bunnings payout was in Australia, New Zealand has its own very stringent health and safety laws which are largely based on the Australian work health and safety laws. The rule of thumb and guiding principle of the Health and Safety at Work Act 2015 (HSWA) is that workers and other persons should be given the highest level of protection against harm to their health (both physical and mental), safety, and welfare from any workplace risks, so far as is reasonably practical. And businesses must be able to demonstrate this. HSWA has shifted the focus here in New Zealand, from merely monitoring and recording health and safety incidents, to proactively identifying and managing all risks. As a business you have the primary responsibility for the health and safety of all your workers and any other workers they influence or direct. You are also responsible for the health and safety of people at risk from the work that your business carries out.Are you across your obligations and actively managing workplace risks? If you need advice on workplace policies and health and safety, get in touch, we can help.

Despite the cost-of-living crisis now taking a significant toll on consumer’s pockets, New Zealand’s labour market remains strong, with the unemployment rate at a relatively low 4.0% for December 2023. From mid-2021, the country experienced acute labour shortages nationwide, limiting business services and output. These labour shortages were well publicised and broad based, spanning across lower wage roles (hospitality, retail), essential services (transport, healthcare) and specialist industries (IT, manufacturing). The Milford Private Markets team invests directly into private companies across a range of sectors, working closely with our investee companies at both the board and senior management level to help them achieve their growth plans. We have, therefore, seen first-hand the impact of the tight labour market across numerous sectors in the economy. During this period of acute labour shortages, many of our private equity portfolio companies experienced difficulty hiring staff. These companies were often forced to reduce output, run reduced services, and ultimately paid significantly higher wages to retain staff. However, in the past 6 - 9 months, we have noticed a marked shift in the labour market. We are seeing a significant number of applications for roles within our portfolio companies, making it easier to fill roles such as truck drivers, hospitality staff and fruit pickers/packers. In some areas we are seeing upwards of 500 applications for roles that were previously difficult to fill. However, not all sectors are benefitting from the easing labour market. At New Shoots, an early childhood education business, we continue to have difficulty hiring teachers for our centres. A meaningful driver of the easing labour market conditions has been the significant uptick in net migration over the past 12 months. Provisional estimates for the 12-months to November 2023 show net migration of 127,400 people – the largest inflow ever recorded and adding much-needed capacity to the workforce.Whilst the unemployment rate has steadily risen from 3.4% in March 2023, the latest 4.0% unemployment rate figure for December 2023 released recently came in below our (and the market’s) expectations, given the anecdotal evidence we’re experiencing. This will be an important data point for the Reserve Bank of New Zealand (RBNZ) to understand as it considers interest rate changes this year. High immigration adds to demand in the economy, which is typically inflationary. However, in a significantly labour-constrained environment, high net migration can have the opposite effect, taking staffing pressure off businesses and cooling wage inflation.The key question is whether the RBNZ sees the current level of unemployment as inflationary, and keeps rates high (or even increases them) to curb inflation. Or is there still a possibility for the New Zealand economy to navigate a path like we’re seeing in the USA, where employment has remained strong while inflation falls? There is risk that the better-than-expected unemployment data is masking the weakness in the NZ economy, and further rate hikes by the RBNZ could seriously hurt an already struggling consumer. These “crystal ball” questions will set the tone for both businesses and consumers for the year ahead.If you would like to discuss your situation with one of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Financial Adviser Disclosure Statements are available on request free of charge. Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

Uncertainty in financial markets is okay. Share markets are remarkably resilient over the long run. It’s important not to be influenced by all the short-term negative news headlines and world events. There will always be something to worry about – but to really grow savings and reach investment goals, stay the course and ignore the short-term noise.Goal setting helpsSetting goals guides your focus and sustains momentum by giving you something to work towards. Goals give oxygen to dreams and are the first step in achieving something special. The sooner you begin, the sooner you’ll be on track to achieving your financial objectives. Make the most of KiwiSaverKiwiSaver is a long-term investment. For many people, it will become one of their main sources of income in retirement. So make sure you’re making the most of it.We all want peace of mind when it comes to our money. Getting in the right fund and choosing a KiwiSaver provider you trust, who offers investment expertise and easy access to specialist financial advice, is a great place to start.Expert financial advice more accessible than everHistorically, financial advice has been seen as out of reach for many people. But, through technology like digital financial advice, that’s starting to change.A fresh set of eyes and ears can really help bring clarity and perspective. You can kick off the new year with a chat to the Milford Wanaka team over the phone or access our incredibly handy online planning and advice tools. Anyone investing with Milford or switching their KiwiSaver to us from another provider can harness the power of financial advice.KiwiSaver is only the startKiwiSaver is a great place to start your investing journey. If you are considering saving and investing more, then an investment fund is worth a look. As with a KiwiSaver fund, an investment fund will usually involve a mix of shares, bonds and cash across local and overseas markets, and will be managed by a professional fund manager. By placing some of your lump sum savings (or making regular contributions) into an investment fund, you can benefit from the fund’s diversification, the skill and track-record of the investment team and the power of compounding investment returns. But, unlike KiwiSaver, you can make withdrawals when you need to.However, don’t forget that most investment funds have a minimum recommended investment time frame you should commit to – to give the best chance of achieving your goals.If you would like to discuss your situation with one of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Top Five Tips for InvestingFirst appeared in the NZ Herald on 23 January 2023.Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

By Philip Morgan Rees, Milford Head of Private Wealth.The ‘Sage of Omaha’, renowned US investor Warren Buffet, once said: “Someone’s sitting in the shade today, because someone planted a tree a long time ago”.The quote speaks to Buffet’s long-term vision for investing, and is particularly poignant when it comes to intergenerational wealth planning.Intergenerational wealth transfer is the movement of wealth between generations. Intergenerational wealth planning, therefore, is the strategy which ensures that process unfolds smoothly and in line with you and your family’s wishes.Today, we’re also hearing another term – ‘The Great Wealth Transfer’. This applies specifically to the transfer of wealth from the Baby Boomer generation – a process which Forbes magazine described as the ‘greatest wealth transfer in history’.The numbers are staggering, with the wealth transfer in New Zealand alone expected to involve well over $1 trillion of assets. Transactions of this scale obviously have many implications.Let’s step through our top three:Families can be complicatedEstablishing a road map is really important. By having a plan around what will happen to your money, and who will be involved, you’ll be in a much stronger position to control your finances. This is the best way to avoid surprises and ensure your goals for your family are managed and met.Involve themLots of people find it difficult to talk about money with their family, especially when planning for a time when they’re no longer around. But, when it comes to successfully passing on your wealth, it’s vital to involve them in the process. This includes introducing them to your financial adviser.The first transfer of wealth is usually between spouses. Often the next generation will step up to help, taking over the management of the family’s finances from their parents, through their involvement in a family trust or via the use of Enduring Powers of Attorney. This transition takes time, so it’s important to start early.The joy of givingWith intergenerational wealth planning, sooner is always better. Working with a financial adviser, you’ll start by identifying your own needs. This process is about enhancing your retirement through sound planning which ensures you’re not left short.Remember you don’t have to be confined to strategies which unfold after you’ve gone. There’s nothing quite like the joy of giving while you’re still alive. Who says you can’t enjoy watching them in the shade of that tree you planted?!If you would like to discuss your situation with one of Milford’s Wanaka-based Wealth Management team, please feel free to get in touch on 03 443 4695. Intergenerational WealthFirst appeared in the NZ Herald on 18 January 2023.Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice For more information on our financial advice services please visit milfordasset.com/getting-adviceLevel 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695

We often get requests to provide a heads up on what happens when one property owner damages another party’s land. Where do the responsibilities and obligations begin and end? And, not surprisingly, the big question: who pays?While there are general common law rules, there is no one-size-fits-all answer to all situations. There are exceptions, if’s and but’s, and unexpected fishhooks. Our overarching advice is, if you have had your property damaged or have caused damage to someone else’s land, get legal advice specific to your particular circumstances, and get it urgently.To give you a general guide, though, let’s take a look at some of the fundamental common law rules that govern such situations. Perhaps at the heart, is the overarching legal expectation that any landowner has the right to enjoy their property, and that your neighbours should not do anything to their land that affects yours.Duty of careEvery landowner has a duty of care not to use his or her land in a way that causes a neighbour’s land to collapse. Major headaches can occur around the likes of earthworks, including excavation. First off, as a landowner you have “the right of support for the land in its natural state”. In plain English, that means no-one adjacent or subjacent to you should do anything to their land that affects the stability of yours. That can include the likes of excavation and drawing off underground water or silt. For example, go and whip out that retaining wall at your peril. However, it’s important to note that, where land is unstable, an adjoining landowner usually does not have a duty to stabilise it, only a duty not to remove any support already present. Also, if a landowner replaces a natural support with an artificial support, they don’t incur liability. There is no particular liability, either, when a support, such as a retaining wall, has been removed by natural causes, like a flood.An owner of higher land is likely to be liable to an adjoining owner of lower land if soil he or she has placed on the land escapes to the lower land, for example by the collapse of a retaining wall.So, what’s the legal remedy for damage caused by the withdrawal of land support? Damages, usually – and that can, in some instances, include claims for damage to affected buildings.If you’re the one doing the excavating, it’s really important you understand you typically remain liable, even after the property’s sold – liability does not automatically pass down to new owners. Contractors, particularly the likes of excavators, also need to take heed – when you work on a property, you carry a duty to exercise reasonable care. A landowner who suffers damage due to your actions can take a claim against you, and that includes not only your client, but also any affected neighbours.A territorial authority also owes a duty of care to a landowner in relation to the inspection of buildings during construction, and consequently it might be liable, not only to the owner of the building it inspected, but to adjoining owners if damage is caused to their land.Again, every case is different, and there can be legal exceptions, depending on the circumstances.Do your homeworkLike most things legal, prevention is way better than the cure. If you are doing anything on your property that poses potential risk to another, make sure you have done your homework, scoped the work thoroughly, and called in the experts where needed.If you’re unfortunate enough to incur damage to your land through the actions of others, as hard as it might be, keep your cool. It can be a complex area, so it’s best to go see your lawyer as soon as possible, explain the situation and get their initial advice, so you are fully informed and understand your options. 

Money is an emotional topic– and with good reason. You work hard for it, and your hopes and dreams for your future, and that of your family, are inherently linked to it. Retirement savings don’t just appear out of nowhere on your last day of work. There are several actions you can take in each decade of your life that will help ensure you are set up to enjoy your later years. Imagine your retirement fund is a tree that you plant at a young age and tend to over the years so that by the time you finally retire, there’s plenty of shade to relax under and lots of delicious fruit to feed you and your family. It’s more important now than ever to put a sound plan in place to get you to where you want to go. Below are our top tips for all your life stages, to help you retire comfortably.20s: Your 20s bring great potential and opportunity for getting yourself on the path to financial security. Start by considering an emergency fund and a Will, opening a KiwiSaver account, and try to avoid consumer debt. In your 20s your biggest asset is likely your ability to earn an income; consider engaging an insurance specialist to understand what personal risks you can insure against. 30s: With a little more financial stability under your feet, your 30s are your time to shine, and to really set yourself up for your future. These are the years to work on eliminating personal or student debt (starting with the highest interest rate first), consider purchasing a house, and if you have, or plan to have, children then now is a good time to put some money aside for their future.40s: In your 40s, broadening your investments can boost your future retirement lifestyle. Focus on paying down your mortgage, growing your investment portfolio, and ramping up your KiwiSaver contributions.Although this is not always an easy conversation to have, you could start discussing finances with your parents, as it is important they have a sound financial plan in place.  50s: With that long-sought retirement drawing nearer, protect the assets and investments you’ve built through diversification and sound planning. Now is a good time to firm up your retirement goals, review your risk profile, diversify between investments. Estate planning should be considered throughout your life-stages and it’s always a good idea to ensure your Will is up to date. While checking on your Will, why not consider setting up an Enduring Power of Attorney that can be acted upon should you become incapacitated. Appropriate professional advice is important here.60s: In your 60s and onwards, the choice is yours. You’ve worked hard and you’ve got there! Now is the time to enjoy the fruits of the tree you planted through your planning, saving and investing. Enjoy the lifestyle you’ve earned, and continue planning for what the future may bring. If you haven’t already, seek advice on how much you can afford to spend each year, and if your current investment portfolio remains suitable. Throughout your life stages: Consider specialist advice. Would you benefit from a consultation with Milford’s Wanaka-based team? Whether you are saving for your future, building a legacy of wealth for your family or looking to utilise your nest egg to generate retirement income, our advisers can help guide you towards realising your goals.Disclaimer: Past performance is not a reliable indicator of future performance. Milford Funds Limited is the issuer of the Milford KiwiSaver Plan and Milford Investment Funds. Please read the relevant Milford Product Disclosure Statement at milfordasset.com. Before investing you may wish to seek financial advice For more information on our financial advice services please here.Level 1/19 Sir Tim Wallis Drive, Wānaka Tel: 03 443 4695