Objectives and performance
Our investment fund is designed to meet the future costs of accidents that have already happened, so future levy payers won’t have to pay for past injuries.
Why does ACC invest?
We invest to help foster fairness between generations by ensuring there’s enough money put aside today to pay for the future care of people who are already injured.
We favour long-term investments that can deliver relatively certain income streams over long periods of time. These investments match our long-term cash flow requirements, and also help offset the risk of declines in interest rates.
If interest rates fall, we may need to put aside more money now to fund every dollar of future claim costs. If not offset by strong investment returns, a decline in interest rates may mean levies need to increases.
Our investment objective
We manage our investments to achieve the best possible balance of return and risk in the following ways:
- we continually review strategic asset allocations to ensure they provide the best possible balance of risk and expected returns.
- we actively manage our investment portfolio to gain better risk-adjusted returns than we would achieve from passive investments.
We consider multiple factors when deciding what to invest in, including our ethical investment policy and our commitment to combatting climate change.
Learn more about our ethical investment policy
Learn more about our climate change commitment
Our service agreement and policy further details how we manage our investment activities.
Measuring performance
Our investment performance is measured by how well we’ve achieved our objective of enhancing returns and reducing risk, and how our performance compares with the performance of global investment markets. We aim to achieve investment returns (after costs) of 0.15% or more above our composite benchmark.
The fund currently has
2024/25
2024/25
We have outperformed our benchmark in all but two of the last 33 years. To the best of our knowledge, no other investment fund anywhere in the world has outperformed market-based benchmarks on such a consistent basis.
Our investment management costs are measured as a proportion of total funds under management. The management expense ratio for 2025 was 0.15%.
Service Agreement | 2025/26
The Service Agreement sets out the initiatives we are pursuing to progress our strategic goals, the outputs we are funded to provide, and the expected performance standards against which we will assess our operational performance during the next four years.
Last published: 18 March 2026