Finance Hub: Investments & AMSIF
Investment Options
Savings Bank Account
A savings account is the simplest place to keep money. You deposit it with a bank, earn a modest rate of interest, and can usually take it out whenever you like. Your capital doesn't fall in value, which makes it very safe and very easy to reach.
The trade-off is a low return, often below inflation, so over time the money buys a little less. It suits day-to-day cash and emergency reserves, and money a parish may need at short notice. It's a poor home for funds you intend to hold for years.
Term Deposits
A term deposit is a loan to a bank for a fixed period, from a few months to a few years, at an agreed interest rate. You know exactly what you'll earn and when you'll get the money back. Your capital is very safe.
The money is locked away until the term ends, and breaking it early usually costs you a penalty. The rate is usually better than a savings account but still modest. It suits money you know you won't need until a set date, such as funds earmarked for a project next year. The risk is that when the term ends, rates may have fallen and you can only reinvest at a lower rate.
Property
Property means owning real estate, either directly, such as a rental house or commercial building, or through a property fund. Returns come from rent and from any rise in the property's value. Over the long term it can beat cash, and rent gives a regular income.
It carries more risk and effort. Property values can fall, tenants can leave, and there are ongoing costs such as maintenance, insurance and rates. It's also hard to turn into cash quickly, because a sale can take months. It suits long-term money that won't be needed in a hurry. A parish should also consider whether it has the time and expertise to manage a building.
AMSIF
AMSIF is the Wellington Diocese's pooled investment fund. About 60 parishes and many related trusts put their money into one portfolio of more than $40 million, which JBWere manages and the Diocesan Board of Trustees oversees.
The trade-off is risk. Unlike a savings account or term deposit, AMSIF's value moves with markets, so it can fall in a bad quarter or year, and past returns don't guarantee future ones. Parishes don't control the investments, and the document doesn't say how quickly money can be withdrawn. It suits money a parish can leave invested for several years and wants to grow ahead of inflation. It doesn't suit funds needed at short notice. In practice, parishes often keep a cash buffer in a savings account or term deposit and put longer-term funds into AMSIF.
What is AMSIF and why should we invest in it?
AMSIF (the Amalgamated Mortgages and Securities Investment Fund) is the Wellington Diocese's shared investment pool. About 60 parishes and many related trusts and entities put their surplus and trust money into one portfolio, now worth more than $40 million. The Wellington Diocesan Board of Trustees oversees it, and an outside firm, JBWere, manages the investments day to day.
Why should you deposit funds into AMSIF?
Lower fees. Fund managers charge less per dollar when they manage a bigger pool. A single parish couldn't get AMSIF's fee rates on its own, so more of your money stays invested instead of going to fees.
Professional management. JBWere has managed AMSIF since 2015. JBWere specialises in charities and faith-based groups, and it manages about $5 billion for around 150 for-purpose clients in New Zealand. Other clients, including the Salvation Army, spoke well of it.
Investing in line with your values. The fund follows a written investment policy (the SIPO or Statement of Investment Policy and Objectives) that rules out things like gaming and favours ethical and impact investments.
A good track record. The document says AMSIF has beaten its benchmark since it started. From 2017 to 2024 it returned 74.3% against the benchmark's 60.2%. That works out to about 8.5% a year against 7.1%.
Better returns than idle cash. With interest rates low, AMSIF's returns look attractive next to money sitting in term deposits or other passive holdings.
The risks
Your capital can fall. AMSIF holds growth assets such as shares, so its value moves up and down with markets. A bad year could mean you get back less than you put in. A term deposit doesn't carry that risk.
Past performance isn't a promise. The 8.5% a year comes from 2017–2024, a period that included strong markets. Future returns could be lower, or negative in some years.
Short-term needs. If you need the money soon, for a building repair for example, you might have to withdraw after a market fall and lock in a loss. Pooled money suits funds you can leave invested for several years. It doesn't suit day-to-day operating cash.
No individual control. The fund is run for the group. You can't choose your own investments or timing. If the asset mix or the manager changes, every parish is affected.
Restrictions on trust money. Some funds are held on trust, often with conditions from a donor or a bequest. The trustees' legal duty is to invest prudently and in line with the trust's terms, so you should check that pooled investment is allowed for those funds.
AMSIF Gains & Losses Reporting
JBWere provides quarterly dividend updates which are distributed to fund holder by our finance team, along with the quarterly performance report. Depending on a number of factors, you may see a gain or a loss. Factors include:
Fund performance over the quarter: market movements, interest rate changes, credit conditions.
Funds you deposit or withdraw during the quarter.
Funds deposited or withdrawn by other fund holders during the period.
Fees and costs charged during the quarter
A quarter is a short period, so one result says little. A negative quarter doesn't mean the fund is failing. You should compare each quarter to the benchmark for the same period, to separate “markets fell” from “the manager did worse than markets”.
Depositing & Withdrawing AMSIF Funds
Desposits
If you would like to deposit funds into AMSIF for the first time, or open a new fund account, we will need to set up the fund account for you within AMSIF first. Please complete the Open New AMSIF Account form and email it to accounts@anglicanmovement.nz.
If you have an existing AMSIF fund, please complete the AMSIF Deposit form.
Funds can be deposited at any time during the quarter.
Withdrawals
If you would like to withdraw funds from your AMSIF account, please complete the AMSIF Withdrawal form and email it to accounts@anglicanmovement.nz. The processing time for withdrawals is a minimum of 5 working days and payments are made on the 20th of the month. For withdrawals over X, please allow 15 working days to process the request.
Withdrawals are paid on the 20th of the month unless there are extenuating circumstances.
Closing an AMSIF Account
You can close an AMSIF account and withdraw the balance at any time (see withdrawal processing times above). Please complete the Close AMSIF Account form and email it to accounts@anglicanmovement.nz.
When you close an account, it is highly likely that there will still be a gain or loss for the quarter that has not yet been accounted for. So ever after an account is closed, you may still have funds that belong to you, or a loss that needs to be repaid.
For example: Your parish has three AMSIF accounts. A bequest from a parishioner for $250,000 that is specifically tagged to alleviating poverty in the parish, $300,000 for a property sale 10 years ago and small fund of $21,ooo tagged for one of your church buildings (St Mary’s) after the property trust wound up.
You have some property work to do on St Mary’s that is around $30,000. Vestry decides to withdraw all the funds tagged for the church and close the AMSIF account.
You receive the $21,000 in May and proceed with the work. At the end of the quarter in July you receive a statement of your AMSIF funds and it shows gains for your bequest and property sale funds, but you are also surprised to see a gain for the St Mary’s fund you have already closed.
Why does this happen?
The dividends are recorded at the end of each quarter, and for 1 month in the quarter you still had funds deposited in AMSIF. Therefore the gain is calculated off the 1 month the funds were still included. The same happens if there is a loss.
What can I do about it?
If you have other accounts in AMSIF, as in the example above, you can move the gain or loss to one of these accounts. If you have no other accounts in AMSIF, the accounts team will pay out the remaining funds, or invoice you for the loss. It may take several quarters to completely clear the fund because the deposits and withdrawals are unlikely to happen on the first or last day of a quarter, and therefore continue to be subject to the dividend calculations.
