Fund-vs-fund · International Equities
Kernel S&P Global 100 (NZD Hedged) Fund vs Smart Emerging Markets ETF
Both are International Equities 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 underlying geographic and index exposure. The Smart Emerging Markets ETF (Smartshares) invests 99.92% of its portfolio in the Vanguard FTSE Emerging Markets ETF, channelling capital into developing economies across Asia, Latin America, Africa, and elsewhere. The Kernel S&P Global 100 (NZD Hedged) Fund tracks the S&P Global 100 index, holding large-cap companies domiciled predominantly in developed markets, with its top five positions — Nvidia (12.49%), Apple (10.98%), Microsoft (8.10%), Amazon (6.00%), and Alphabet (4.94%) — concentrated in US mega-cap technology. This emerging-versus-developed-markets distinction drives materially different country risk, currency exposure, and sector composition between the two funds.
The currency treatment also differs: Kernel's fund applies NZD hedging, reducing foreign exchange fluctuation for New Zealand investors, while the Smartshares fund carries unhedged emerging-market currency exposure. On fees, Kernel discloses a 0.25% annual fund charge versus Smartshares' 0.59%. Both funds sit at risk indicator 5 on the standard 1–7 scale and hold near-identical growth asset allocations of 98.31%. Fund sizes are comparable — NZ$225.7 million and NZ$229.9 million respectively. For five-year returns, Smartshares discloses 7.38% per annum; Kernel's five-year return figure is not available in our snapshot, likely reflecting the fund's shorter track record.
Always verify these details against each fund's current Product Disclosure Statement and latest Quarterly Fund Update on FMA Disclose before relying on any of this information.
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
- Kernel S&P Global 100 (NZD Hedged) Fund charges 0.34% lower in annual fund charges (0.25% vs 0.59%).
- 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 82 international equities funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
Kernel
0.25%
Lowest 16% of cohort
Smartshares
0.59%
Lower half of cohort
5-year return p.a.
Past performance — not a predictor
Kernel
—
—
Smartshares
5.81%
Lower half over 5 years
Fund size
Larger = more stable, lower close-risk
Kernel
NZ$230m
Upper half by size
Smartshares
NZ$233m
Upper half by size
| Metric | Kernel | Smartshares | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 0.25% | 0.59% | Lower is better |
| Risk indicator (1–7) | 5 | 5 | Higher = more volatility |
| 5-year return p.a. | — | 5.81% | Higher is better (past not future) |
| Fund size | NZ$230m | NZ$233m | Larger = more stable, lower close-risk |
| Growth / income split | 98% / 2% | 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 to NZD | — | 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 | InvestNow · Sharesies · 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.
What each fund says it does
Kernel
Kernel S&P Global 100 (NZD Hedged) Fund
The Kernel S&P Global 100 (NZD Hedged) Fund invests in globally listed multi-national, blue chip companies and is designed to track the S&P Global 100 ex-Controversial Weapons (custom) (NZD Hedged) Index.Full Kernel Kernel S&P Global 100 (NZD Hedged) Fund profile →
Smartshares
Smart Emerging Markets ETF
The Smart Emerging Markets ETF is designed to track the return (before tax, fees and other expenses) of the FTSE Emerging Markets All Cap China A Inclusion Index. The Index is comprised of large, mid and small cap companies located in emerging markets around the world.Full Smartshares Smart Emerging Markets ETF profile →
Common questions
What's the difference between the Kernel S&P Global 100 (NZD Hedged) Fund and the Smart Emerging Markets ETF?
Which fund has lower fees, Kernel S&P Global 100 (NZD Hedged) Fund or Smart Emerging Markets ETF?
Are both funds PIE-taxed in NZ?
Where can I read the official documents for these funds?
