Bringing you live news and features since 2006 

New Zealand Stock Exchange launches Kauri Bond Indices


The New Zealand Stock Exchange has launched the NZX Kauri Bond Indices, a new set of indices covering debt securities issued in New Zealand dollars by non-resident issuers.

The New Zealand Stock Exchange has launched the NZX Kauri Bond Indices, a new set of indices covering debt securities issued in New Zealand dollars by non-resident issuers. They are typically aimed at the institutional investor and are not traded on the exchange’s markets.

Issuance of Kauri bonds surged last year after the Reserve Bank of New Zealand expanded the range of securities it accepts for local banks transacting through the Overnight Reverse Repo Facility. The new rules meant that a limited amount of supranational, sovereign/semi-government and agency issuers (SSAs) were accepted.

The Kauri Bond Indices have been developed in conjunction with ANZ, one of the country’s largest banks. ‘Demand has come from domestic bank liquidity managers, institutional fund managers and international investors, totalling more than NZD5.5bn,’ says ANZ head of markets John Body. ‘The introduction of a Kauri SSA index is in response to feedback from investors and is an important development for the market.’

The NZX Kauri Bond Indices complement the exchange’s other debt indices, which are widely used by investors to benchmark the performance of fixed-interest investments and include the NZX Government Bond Indices, NZX Corporate Bond Indices, NZX Bank Bill Indices and NZX Swap Indices.

In the past year the NZDX, the exchange’s trading market for debt securities, has grown by 24 per cent, with the total market capitalisation rising to NZD11.02bn at the end of March from NZD8.89bn a year earlier.

‘NZX is delighted to work with ANZ, a major participant in the NZDX Market, to develop this set of indices,’ says the New Zealand Stock Exchange’s head of market products, Geoff Brown.

‘We have seen strong growth in both retail and institutional investor appetite for listed fixed-interest instruments, with the market offering a broader range of tradable securities for the New Zealand investing public.’

Latest News

Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..
Confidence in the continuing strength of bitcoin and Ethereum is driving wider interest in altcoins and other digital assets, according..

Related Articles

Graham MacKenzie, Toronto Stock Exchange
The evolution of ETFs has been a multi-decade experience for Toronto Stock Exchange says Graham MacKenzie, managing director, Exchange Traded...
Frank Koudelka, State Street Global Services
ETF data provider and ETF Express data partner, Trackinsight, has published its Global ETF Survey 2024 Report: ‘50+ Charts on...
Matteo Greco, Research Analyst at Fineqia International writes that bitcoin (BTC) ended the week at approximately USD52,150, showing a notable...
US Distribution Awards trophies
The winners of the first US ETF Distribution Awards at the Exchange conference, hosted by ETF Express and sponsored by...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by