Fund-vs-fund · Diversified
Harbour Income Fund vs Harbour Sustainable Impact 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 Harbour funds is their asset allocation. The Harbour Income Fund holds 53.15% in growth assets, giving it a balanced, income-tilted profile reflected in its Risk Indicator of 3 (on a 1–7 scale). The Harbour Sustainable Impact Fund, by contrast, holds 98.31% in growth assets and carries a Risk Indicator of 5, making it substantially more exposed to equity market volatility despite both funds sitting under the same "Diversified" category label.
This allocation gap shapes the return and fee picture. The Income Fund returned 3.18% per annum over five years against an annual fund charge of 0.66%. The Sustainable Impact Fund returned just 0.15% per annum over the same period — a notably lower figure — yet charges a lower annual fund charge of 0.27%. Investors comparing these numbers should weigh whether that fee gap reflects structural differences in portfolio complexity or other factors not visible in the QFU alone.
Portfolio composition also diverges sharply. The Income Fund's top holdings are dominated by NZ Government bonds and inflation-linked securities, with Contact Energy as its sole listed equity in the top five. The Sustainable Impact Fund's top five are entirely NZ-listed equities — Infratil, Contact Energy, Meridian Energy, A2 Milk, and Fisher & Paykel Healthcare — consistent with its near-full growth allocation and its sustainability mandate. Both funds share the same PDS, indicating they sit within the same umbrella scheme.
Verify all figures against each fund's current PDS and latest Quarterly Fund Update on FMA Disclose before relying on this summary.
Comparison generated 2026-07-05 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
- Harbour Sustainable Impact Fund charges 0.39% lower in annual fund charges (0.27% vs 0.66%).
- Both are New Zealand PIE funds — investor tax is capped at the Prescribed Investor Rate (PIR), maximum 28%.
- Harbour Sustainable Impact Fund applies responsible-investment / ESG screening. The other fund does not.
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
Harbour
0.66%
Lowest 22% of cohort
Harbour
0.27%
Lowest 13% of cohort
5-year return p.a.
Past performance — not a predictor
Harbour
3.18%
Lower half over 5 years
Harbour
0.15%
Bottom 1% over 5 years
Fund size
Larger = more stable, lower close-risk
Harbour
NZ$294m
Upper half by size
Harbour
NZ$380m
Largest 23% in cohort
| Metric | Harbour | Harbour | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 0.66% | 0.27% | Lower is better |
| Risk indicator (1–7) | 3 | 5 | Higher = more volatility |
| 5-year return p.a. | 3.18% | 0.15% | Higher is better (past not future) |
| Fund size | NZ$294m | NZ$380m | Larger = more stable, lower close-risk |
| Growth / income split | 53% / 47% | 98% / 2% | 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 | Yes | 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
3
of each fund's top 10
Harbour weight in shared
8.0%
of Harbour Income Fund top 10 is shared
Harbour weight in shared
17.5%
of Harbour Sustainable Impact Fund top 10 is shared
| Holding | Harbour | Harbour |
|---|---|---|
 Contact Energy NZ | 3.22% | 6.09% |
 Infratil NZ | 2.83% | 6.21% |
 Mainfreight NZ | 1.99% | 5.22% |
"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
Harbour
Harbour Income Fund
The Fund is designed to provide a favourable level of income for investors seeking income with scope for capital appreciation and/or with a low tolerance for large declines in investment values. The Fund invests predominantly in New Zealand investment grade fixed interest securities and Australasian equities which pay a sustainable dividend yield. Other tools, such as active management and scope to invest in sub investment grade securities may also be used to enhance returns.Full Harbour Harbour Income Fund profile →
Harbour
Harbour Sustainable Impact Fund
This Fund is designed to track the S&P/NZX 50 Portfolio Index, with exclusions to companies including but not limited to, large carbon emitters, gambling, firearms, and companies with human and animal rights violations. For full details of the exclusions for this Fund please see the Environmental, Social and Governance Policy (ESG Policy) on our website at Responsible Investing - Harbour Asset Management. There are positive and negative tilts applied to the remaining companies based on Harbour's proprietary Corporate Behaviour Score.Full Harbour Harbour Sustainable Impact Fund profile →
Documents
Crawled directly from each manager's website. How we record provenance →
Harbour
LiveLast verified 2026-05-08
Harbour
LiveLast verified 2026-05-08
Common questions
What's the difference between the Harbour Income Fund and the Harbour Sustainable Impact Fund?
Which fund has lower fees, Harbour Income Fund or Harbour Sustainable Impact Fund?
How do the 5-year returns compare?
Are both funds PIE-taxed in NZ?
Does either fund apply responsible-investment screening?
Where can I read the official documents for these funds?
