The Nauru Intergenerational Trust Fund was established in 2015 to contribute to the long-term budgetary self-reliance of the Republic of Nauru. The Minister for Finance is the Chairman of the management committee.
The Fund continues to grow through investment earnings and contributions from the Government of Nauru, Australia, Taiwan, New Zealand and initially the Asian Development Bank. As of 30 June 2020, the value of the fund was $140 million, an increase of $28 million over the year.
The 2020 financial year will be remembered as one of the more extreme with regard to market volatility. Nevertheless, the Fund achieved a positive return of 1.7 per cent over the past 12 months and remained ahead of its return objective since inception. Since inception, the Fund’s performance as of 30 June 2020 was 7.2 per cent, against a target of 5.8 per cent (CPI + 4.5 per cent).
The Fund has a long term investment horizon that allows for a high exposure to growth assets to generate strong real investment returns. This is reflected in its investment strategy that aims for a 85 per cent allocation to growth assets, and 15 per cent defensive.
The Fund continues to meet its objectives to:
- Achieve a return of inflation + 4.5% over rolling 10-year periods.
- Have a risk of negative returns of no more than 4 years in every 20 years.
Current Chairman’s Report
Chairman’s Report 2020-21Previous Chairman’s Reports
Chairman’s Report 2019-20Chairman’s report
Background
November 2021 August 2021 May 2021 February 2021
2020
Feb 13, 2020 May 20, 2020 August 2020 November 2020
2019
Feb 13, 2019 May 28, 2019 Aug 19, 2019 Nov 26, 2019
2018
Feb 27, 2018 May 22, 2018 Aug 23, 2018 Nov 27, 2018 Dec 03, 2018
2017
Feb 6, 2017 May 23, 2017 Aug 25, 2017 Dec 6, 2017
2016
Feb 18, 2016 June 6, 2016
Contacts
Secretary of Finance
Department of Finance
Government Offices
Yaren District
Nauru
