Fund-vs-fund · Diversified
ACI Conservative FundvsClarity Diversified Income Fund
ACI Conservative Fund (fund size NZ$4.4 million, annual fund charge 1.50%) and Clarity Diversified Income Fund (fund size NZ$5.1 million, annual fund charge 0.96%) are both diversified managed funds, as shown on Sorted Smart Investor on 22 May 2026; for the year to 31 March 2026 their 1-year returns after fees and tax were 4.81% and 7.75%, per their quarterly fund updates filed on FMA Disclose.
Why these two differ
ACI Conservative Fund and Clarity Diversified Income Fund both target diversified portfolios with similar growth-asset allocations (23.37% each), but differ materially in fee structure, risk profile, and portfolio construction.
The most significant structural difference is fee transparency and historical performance visibility. Clarity discloses a 0.96% annual fund charge versus ACI's 1.5%—a 54 basis-point gap that compounds over time on a typical portfolio. Clarity also publishes a five-year return of 2.89%; ACI's latest QFU does not disclose five-year performance, making direct return comparison unavailable.
Risk classification diverges by one notch: Clarity carries a risk indicator of 3, ACI a 4, reflecting Clarity's slightly more conservative positioning despite matching growth-asset percentages. This suggests differences in underlying asset quality or volatility management rather than headline allocation.
Portfolio construction reveals contrasting approaches. ACI concentrates 42.65% in a single Dimensional Global Bond fund (AUD-hedged) and 18.77% in a Dimensional fixed-interest trust, indicating reliance on institutional-grade multi-asset managers. Clarity holds a more granular mix, with no single position exceeding 9.24% (cash), including direct exposure to NZ Government Bonds and mortgage securities. Fund sizes are comparable (ACI NZ$4.4m; Clarity NZ$5.1m).
Verify the latest Product Disclosure Statement and Quarterly Fund Update for each fund on the FMA Disclose register before making any investment decision.
Comparison generated 2026-10-12 from each fund's FMA Disclose QFU facts as at that date. If the underlying facts change, this narrative is withheld until it is regenerated — the tables on this page always reflect the current data.
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 68 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 13% in cohort
Clarity
NZ$5m
Smallest 14% 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 | Direct | 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?
