The NZ Super Fund is betting big on private markets. And it just hired the person to steer that bet. William Fletcher starts next month as head of private equity and alternative investments.
The fund he will manage is $93 billion strong. Roughly 13% of it—over $12 billion—sits in private equity and alternatives.
That is money placed in assets that do not trade on public exchanges. It is money that cannot be sold in a hurry. That is the kind of money that needs a steady hand.
The Guardians of New Zealand Superannuation thinks Fletcher has one. Fletcher comes from Fisher Funds, where he ran the global private equity and alternatives portfolio.
Before that, he spent eight years as an executive director in investment banking at Goldman Sachs in Auckland. He also worked for JPMorgan in the UK and for Carlyle AlpInvest in the Netherlands. His career stretches across Europe, the UK, and now back to New Zealand.
That international reach matters. The Super Fund does not just invest locally. It hunts for returns everywhere.
Earlier this year, Private Equity International magazine named the Super Fund its Asia-Pacific fund of the year. The fund’s global network of asset managers and investment partners is a key part of its strategy.
Fletcher will oversee direct private equity investments. He will also manage relationships with external managers who hold mandates covering listed and unlisted securities. The job is part dealmaker, part gatekeeper.
“I am excited to be joining an organisation of the Super Fund’s calibre,” Fletcher said in a statement. He called the fund’s objective “really important for all New Zealanders.” The fund is meant to help pay for future superannuation costs.
That means every investment decision carries weight. A bad bet on a private company can lock up capital for years. A good one can boost returns for a generation of retirees.
Guardians co-chief investment officer Will Goodwin said Fletcher’s international experience “matched the Super Fund’s global investment focus.” He said it would help the fund further develop its broad network of asset managers and partners. That network is how the fund gets access to the best private deals. The hire comes right after the Super Fund committed $35 million to Movac’s latest fund.
Movac is a local technology investor. The move signals the fund is serious about New Zealand tech.
But the private equity portfolio is global. The stakes are high. Private equity is not like buying shares on the ASX.
You cannot sell out in a day. The money is locked in for years.
Returns depend on the skill of the fund managers and the quality of the companies they back. The Super Fund needs people who can pick winners. Fletcher has done that before.
At Fisher Funds, he managed a global portfolio. At Goldman Sachs, he advised companies on mergers and acquisitions. At Carlyle AlpInvest, he worked in one of the world’s largest private equity firms.
He knows the terrain. But the terrain is changing.
Interest rates have risen. Valuations have fallen. The easy money era is over.
Private equity firms are sitting on unsold assets. New deals are harder to price.
The Super Fund needs someone who can navigate that. Fletcher will start with a portfolio that is already performing. The fund’s private equity and alternatives allocation has grown steadily.
It now accounts for about 13% of total assets. That is a significant chunk of a $93 billion fund. Goodwin did not say when Fletcher starts.
The Guardians only confirmed the appointment today. But the timing is clear.
The fund is expanding its private markets exposure. It needs the right people to manage that growth. For New Zealanders, the outcome is simple.
The Super Fund is their money. The returns on that money will help pay for their retirement.
Fletcher’s job is to make sure those returns keep coming.
