New Zealand Fund Defies Tech Slump, Warns Global Stocks at Risk

New Zealand’s sovereign wealth fund returned 14% this year, even after avoiding the US tech stocks that drove global markets higher. The fund, known as the New Zealand Superannuation Fund, holds a smaller share of American technology companies than most global investors. That decision did not stop it from posting strong gains. Now its managers expect a pullback in global equities. They say prices have risen too far and too fast, and they are preparing for weaker returns ahead. The fund’s result shows that strong performance does not require following the crowd. It also signals caution from one of the world’s most closely watched investors.