The proposed sale of 45 percent of Kiwibank to ACC and the New Zealand Superannuation Fund will have surprised many people.
Not just the deal itself, but the fact that ACC's investment fund is so large. Many people will have had no idea that the fund was so large. They might also have been surprised by how quickly the Super Fund has grown.
ACC's global investments totalled $31.406 billion at the end of March 2015, according to its Annual Report issued late last year.
The Super Fund is far more proactive in updating the public about its investments.
It says at the end of February 2016 its investments totalled just over $28 billion.
The two funds are both long term investors but take different approaches to investing.
Around two thirds of ACC's investments are in fixed income products, like bonds. But most of the Super Fund's money is invested in shares (equities).
ACC keeps more money in fixed income assets because of its liabilities. Those liabilities are the payments it will make to fund future claims by people who will be injured in accidents.
The Super Fund has no liabilities. It will be 2029 before it starts making payments to help fund New Zealand's retirement costs.
ACC has been running its investment fund for almost 25 years.
It says it has averaged returns of just over ten percent per year, before costs.
The Super Fund was launched in September 2003. As of February 29th 2016 it says its long term returns averaged 9.05 percent after costs, but before New Zealand tax was paid.
Both have outperformed the benchmarks they measure themselves against.
These were the Super Fund's top 10 New Zealand share investments at the end of February.
1. Z Energy - $257.7 million (or 0.9 percent of the fund's value)
2. Metlifecare - $202.3 million
3. Fisher & Paykel Healthcare - $128.9 million
4. Auckland International Airport - $124.1 million
5. Fletcher Building - $115.8 million
6. Meridian Energy - $101.1 million
7. Spark New Zealand - $100 million
8. Ryman Healthcare - $76.3 million
9. Trade Me Group - $65.4 million
10.Contact Energy - $59.5 million
1. Apple - $160.1 million (or 0.6 percent of the Super Fund's total value)
2. Zurich Airport - $136.4 million
3. Alphabet (Google) $126.9 million
4. Microsoft - $114.6 million
5. Exxon Mobil - $ 99.9 million
6. Johnson & Johnson - $87.5 million
7. General Electric - $82.7 million
8. Facebook - $71.7 million
9. Wells Fargo - $69.8 million
10. Nestle $69.8 million
Not all of its money is invested in shares.
Global equities accounted for 65 percent of the fund, with another four percent of assets invested in New Zealand shares.
Fixed Income assets (bonds) made up 11 percent of assets.
The remaining assets include Timber (six percent), Private Equity (six percent), Infrastructure (four percent), Rural Farmland (one percent) and "other private markets" (3 percent).
The fund says 39 percent of its investments were in North America, 27 percent in Europe and 16 percent in New Zealand.
The next biggest exposure was Japan (6 percent) and Australia (5 percent.)
New Zealand Bonds made up 38 percent of the portfolio, according to its Annual Report.
New Zealand Index Linked Bonds totalled 20 percent.
New Zealand Equity (shares) made up nine percent of the fund.
Global Equities totalled 16 percent.
Australian Equities accounted for four percent.
New Zealand and Australian Property and Infrastructure invesments totalled four percent.
Global Bonds made up three percent of assets.
There were cash reserves of six percent and the remaining assets included a small amount of private equity (unlisted) investments.
ACC's annual report details its top fifty equity (share) holdings.
Nine of the top ten holdings were New Zealand companies. One was Australian -- the Commonwealth Bank of Australia, which owns ASB in New Zealand.
Fletcher Building $186.98 million
Infratil $86.90 million
Spark New~Zealand $162.70 million
Kiwi Property Group $158.85 million
Auckland International Airport $158.44 million
Fisher & Paykel Healthcare Corporation $141.25 million
Ryman Healthcare $117.11 million
Contact Energy $115.01 million
Commonwealth Bank of Australia $107.76 million
Mainfreight $87.63 million