Risks · Other
What can go wrong with NZ other funds
The "other" category covers funds that don't fit the standard asset-class taxonomy — listed infrastructure, digital-asset funds, peer-to-peer income funds, structured-product wrappers. Risks are highly fund-specific.
This page is information about asset-class risk dynamics, not personal financial advice. For guidance specific to your situation, consult an authorised financial adviser.
FMA standardised risk indicator across the 8 funds in our coverage
Every NZ managed fund on the FMA Disclose register publishes a standardised risk indicator on a 1 (lowest) to 7 (highest) scale, computed from recent return volatility. The table below shows how the other funds in our coverage distribute across the scale.
- Median risk band
- 5
- Range
- 2–7
- Funds with risk band published
- 8
Funds in our "other" category span FMA risk indicators 2–7 — confirming that the category label by itself tells you little about risk. Read each fund's standalone PDS and risk indicator.
5-year return range across the class
Realised 5-year annualised returns across the 2 funds in this category for which Sorted Smart Investor reports a 5-year history. Past returns do not predict future returns; this range shows what funds in this asset class have actually delivered over the most recent 5-year window.
- Lowest realised 5y
- 3.3%
- Median realised 5y
- 8.4%
- Highest realised 5y
- 8.4%
What specifically can go wrong with other funds
Asset-class-specific risks not captured by the single FMA risk-indicator number. These apply across the category — each individual fund\'s PDS discloses fund-specific risks on top.
- 1
Highly asset-specific risk profile. A global listed-infrastructure fund behaves very differently from a Bitcoin fund — both sit in "other" but have nothing in common. The FMA risk indicator on each fund's PDS is the comparable signal.
- 2
Liquidity varies sharply by sub-type. Listed infrastructure trades on equity markets daily; peer-to-peer income funds may have monthly or quarterly redemption windows. Verify the redemption policy in the PDS before assuming "liquid".
- 3
Concentration is the norm, not the exception. Specialty funds typically hold a narrow set of issuers, themes or strategies. Diversification benefits are lower than for a broad equity or bond fund.
- 4
Pricing in stress can lag fundamentals. Funds holding less-liquid or off-exchange assets may report unit prices that don't fully reflect mark-to-market value during dislocations — the realisable price in a forced sale could be lower than the published unit price.
Questions people ask about other funds
Drawn from Google's "People also ask" panel; answered with reference to the FMA Disclose register definitions and asset-class structural dynamics. Not personal financial advice.
Are alternative funds a good investment?
Alternative funds (infrastructure, digital assets, peer-to-peer income) have such different risk profiles that the category label alone tells you very little. Whether a specific fund suits your portfolio depends on what the fund actually holds, its liquidity policy, and its FMA-defined risk indicator. The PDS is the authoritative source.
8 other funds, ordered by FMA risk indicator
Highest-risk funds in the class first; ties broken by annual fund charge ascending. Each fund\'s page surfaces its full PDS, holdings and risk-indicator history.
| Fund | Manager | Risk band | Annual fund charge | 5y return |
|---|---|---|---|---|
| Smart Bitcoin ETF | Smartshares | 7 | 0.55% | — |
| Resolution Capital Global Listed Infrastructure PIE Fund | Resolution Capital | 6 | 1.05% | — |
| Kernel Global Infrastructure Fund | Kernel | 5 | 0.25% | — |
| First Sentier Global Listed Infrastructure Fund | First Sentier | 5 | 1.03% | 3.3% |
| Russell Investments Global Listed Infrastructure Fund | Russell Investments | 5 | 1.08% | — |
| Mercer Global Listed Infrastructure Fund | Mercer | 5 | 1.34% | 8.4% |
| NZ Funds Global Infrastructure | NZ Funds | 5 | 2.53% | — |
| Squirrel Monthly Income Fund | Squirrel | 2 | 2.14% | — |
Related
Source: FMA Disclose register (risk indicator + 5-year return). Methodology: /methodology.