Fund-vs-fund · Diversified
ACI Conservative Fund vs Clarity Diversified Income Fund
Both are Diversified funds available to NZ retail investors. Numbers below are sourced from the FMA Disclose register via Sorted Smart Investor and reflect the latest published quarterly fund updates.
Why these two differ
The most material structural difference between these two funds is their fee and risk profile. The ACI Conservative Fund charges an annual fund charge of 1.50%, compared with 0.96% for the Clarity Diversified Income Fund — a 54 basis point gap that compounds meaningfully over time on any holding. Alongside the higher fee, ACI carries a risk indicator of 4 on the standard 1–7 scale, while Clarity sits at 3, suggesting lower expected volatility in Clarity's portfolio despite both funds holding nearly identical growth asset allocations (ACI at 22.72%, Clarity at 23.37%).
The portfolio construction approaches diverge significantly. ACI concentrates its income exposure through a small number of Dimensional fund-of-fund vehicles — the top two holdings alone account for over 61% of the portfolio — giving it a highly consolidated, sustainability-tilted fixed income character with AUD-denominated exposure. Clarity, by contrast, holds a more granular spread of direct bonds, mortgage securities, and ETFs, with the single largest position (NZD cash) at just 9.24%, indicating broader diversification across individual securities.
On performance history, Clarity discloses a five-year return of 2.89% per annum; ACI's latest Quarterly Fund Update does not include a five-year return figure in this snapshot, so direct long-run performance comparison is not possible here. Fund sizes are similar — ACI at approximately NZD 4.39 million and Clarity at NZD 5.05 million — both relatively small funds by market standards.
Verify all figures against each fund's current PDS and latest Quarterly Fund Update on FMA Disclose before relying on this comparison.
Cached comparison generated 2026-05-21 from each fund's latest FMA Disclose QFU. Regenerated when the underlying facts change.
What's different at a glance
- Clarity Diversified Income Fund charges 0.54% lower in annual fund charges (0.96% vs 1.50%).
- Both are New Zealand PIE funds — investor tax is capped at the Prescribed Investor Rate (PIR), maximum 28%.
Where each fund sits in its cohort
Percentile rank vs all 67 diversified funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
ACI
1.50%
Highest 7% of cohort
Clarity
0.96%
Lower half of cohort
5-year return p.a.
Past performance — not a predictor
ACI
—
—
Clarity
2.89%
Lower half over 5 years
Fund size
Larger = more stable, lower close-risk
ACI
NZ$4m
Smallest 10% in cohort
Clarity
NZ$5m
Smallest 11% in cohort
| Metric | ACI | Clarity | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 1.50% | 0.96% | Lower is better |
| Risk indicator (1–7) | 4 | 3 | Higher = more volatility |
| 5-year return p.a. | — | 2.89% | Higher is better (past not future) |
| Fund size | NZ$4m | NZ$5m | Larger = more stable, lower close-risk |
| Growth / income split | 23% / 77% | 23% / 77% | More growth = higher long-run return + volatility |
| NZ tax structure | PIE (PIR-capped) | PIE (PIR-capped) | PIE = simpler. FIF = annual return. |
| Currency hedging | — | — | Hedged smooths NZD/foreign FX moves at a small cost. |
| Responsible investment screening | No | No | Specific exclusions live in each fund's SIPO. |
| Available via | InvestNow | InvestNow · Direct | Platforms accepting retail subscriptions. |
Portfolio overlap
How many top-10 positions both funds hold, and at what weight. Computed from each fund's most recently disclosed top-10 holdings — exact-name matched (Microsoft Corp. = Microsoft Corporation), with a Cash / Cash & Equivalents collapse rule.
Matching holdings
1
of each fund's top 10
ACI weight in shared
8.4%
of ACI Conservative Fund top 10 is shared
Clarity weight in shared
9.2%
of Clarity Diversified Income Fund top 10 is shared
| Holding | ACI | Clarity |
|---|---|---|
| $ Cash at Bank (BNZ) NZ | 8.41% | 9.24% |
"Min weight" = the smaller of the two weights — a conservative read of how much exposure you'd have to that position if you held both funds.
What each fund says it does
ACI
ACI Conservative Fund
Exposure to asset classes is achieved by primarily investing in DFA Australia Limited (Dimensional) funds, utilising their Sustainability Trusts where available. The allocations include a bias towards international diversification. Certian underlying Dimensional funds have an increased exposure to shares in small companies, value companies and companies with higher profitability with the objective of benefitting from a premium return from these companies over time. Such premiums are not always present year on year, which can drive shorter term differences in retuFull ACI ACI Conservative Fund profile →
Clarity
Clarity Diversified Income Fund
The Fund aims to generate income over the medium term by investing in fixed income securities and dividend paying New Zealand and Australian equities, primarily investing in managed funds (including other Clarity funds) to achieve a well diversified portfolio of assets. We intend for the Fund to make quarterly income distributions.Full Clarity Clarity Diversified Income Fund profile →
Common questions
What's the difference between the ACI Conservative Fund and the Clarity Diversified Income Fund?
Which fund has lower fees, ACI Conservative Fund or Clarity Diversified Income Fund?
Are both funds PIE-taxed in NZ?
Where can I read the official documents for these funds?
