August was another month where markets had to balance encouraging economic and company news against several unresolved risks.

New Zealand shares continued their gradual recovery, while global markets remained resilient overall, although rising bond yields, inflation concerns and renewed geopolitical tensions reminded investors that the path forward is unlikely to be completely smooth.

What went well?

• NZ shares kept rising – The NZX 50 gained around 1% in August, extending its run of monthly gains.

• Global markets stayed resilient – Strong company earnings continued to support overseas shares.

• Tech continued to lead – Strong results from Nvidia boosted confidence in the technology sector.

• Lower oil prices helped – Oil fell at points during the month, easing some inflation pressure.

• NZ’s outlook is improving – Lower interest rates are providing some support to households and businesses.

What captured our attention?

• NZ inflation remains a focus – NZ annual inflation rose to 4.1% in June, above the RBNZ’s 1–3% target range, keeping the path for interest rates uncertain.

• Bond yields remain high – Rising long-term yields are keeping pressure on markets.

• Geopolitical risks returned – Renewed Middle East tensions pushed oil prices higher at month-end.

• Markets remain concentrated – A small group of very large companies continues to drive much of the global market’s performance.

• Growth remains uncertain – Investors are watching whether company earnings can keep growing if economic activity slows.

The Bigger Picture

Market Commentary – August 2026

August was another month of resilience for markets, despite ongoing uncertainty around inflation, interest rates and geopolitics. The NZX 50 continued its recovery, while global shares were supported by solid company earnings and continued economic growth.

There are still plenty of moving parts for investors to watch, particularly inflation and interest rates, elevated bond yields and geopolitical tensions. For us, this reinforces the importance of staying diversified and focused on the long term rather than reacting to individual market headlines.

As we look ahead, our feature this month takes a closer look at where KiwiSaver money is invested – and the real-world businesses and assets that members are helping to own.

Your investment is closer to everyday life than you think

When you look at your investment balance, it can be easy to see it simply as a number on a statement. But behind that number are real businesses, assets and investments working together to help grow and protect your money over the long term.

At Anglican Financial Care, our portfolios are diversified across more than 200 investments, including local and global companies, fixed interest, cash and alternative investments.

That means your money can be invested in businesses and assets connected to things we all rely on: from healthcare and transport to energy, infrastructure and housing.

Why does this matter?

Because investing isn’t simply about finding the next company whose share price might rise. It’s about building a portfolio where different investments can contribute in different ways, helping to spread risk and provide resilience when market conditions change.

Some investments are focused on long-term growth, while others provide income or greater stability. Having a mix means your overall investment isn’t dependent on one company, industry, country or economic outcome.

We also consider how your money is invested. Our approach combines active investment management with our Christian values and Ethical Investment Policy, alongside our responsibility to act in the best interests of those who entrust their money to us.

So whether you are building your retirement savings or already enjoying retirement, there is much more behind your investment than the balance you see on a statement.

Your money is invested across the real economy, with the aim of providing long-term returns while managing risk and investing with purpose.

The above information is for information purposes only and is not financial advice. Past returns are not a guarantee of future returns. We recommend you seek advice from a licensed financial advice provider when making decisions about your investments.

The New Zealand Anglican Church Pension Board trading as Anglican Financial Care are the manager and issuer of Christian KiwiSaver Scheme, The Retire Fund and The New Zealand Anglican Church Pension Fund. Product Disclosure Statements and Fund Updates are available on the Documents page of the AFC website Forms and Documents.