Fund-vs-fund · NZ Fixed Interest
Mercer Macquarie NZ Short Duration Fund vs NZ Funds New Zealand and Australian Bonds
Both are NZ Fixed Interest 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.
What's different at a glance
- Mercer Macquarie NZ Short Duration Fund charges 0.76% lower in annual fund charges (0.68% vs 1.44%).
- Both are New Zealand PIE funds — investor tax is capped at the Prescribed Investor Rate (PIR), maximum 28%.
- NZ Funds New Zealand and Australian Bonds is roughly 3.1× the size of the other fund.
Where each fund sits in its cohort
Percentile rank vs all 14 nz fixed interest funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
Mercer
0.68%
Upper half of cohort
NZ Funds
1.44%
Highest 4% of cohort
5-year return p.a.
Past performance — not a predictor
Mercer
1.87%
Top 4% over 5 years
NZ Funds
0.97%
Lower half over 5 years
Fund size
Larger = more stable, lower close-risk
Mercer
NZ$47m
Lower half by size
NZ Funds
NZ$145m
Lower half by size
| Metric | Mercer | NZ Funds | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 0.68% | 1.44% | Lower is better |
| Risk indicator (1–7) | 2 | 4 | Higher = more volatility |
| 5-year return p.a. | 1.87% | 0.97% | Higher is better (past not future) |
| Fund size | NZ$47m | NZ$145m | Larger = more stable, lower close-risk |
| Growth / income split | 0% / 100% | 0% / 100% | 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.
0 overlapping top-10 holdings. The two funds disclose disjoint top-10 sets — useful diversification signal if you held both.
What each fund says it does
Mercer
Mercer Macquarie NZ Short Duration Fund
The fund is an actively managed portfolio of fixed interest securities. It is a low-risk investment product, focusing predominantly on corporate securities in the New Zealand and Australian market with a shorter average maturity than a standard fixed interest fund. Environmental, Social and Governance characteristics are integrated into our investment process. The fund aims to provide a Gross Return1 above the return of the Bloomberg NZBond Swaps 1–3 Year Index on a rolling three-year basis.Full Mercer Mercer Macquarie NZ Short Duration Fund profile →
NZ Funds
NZ Funds New Zealand and Australian Bonds
The objective of the New Zealand and Australian Bonds fund is to generate gains by investing in income assets and other authorised assets with active management. The fund is anticipated to mainly own and trade New Zealand and Australian bonds over the minimum suggested timeframe.Full NZ Funds NZ Funds New Zealand and Australian Bonds profile →
Documents
Crawled directly from each manager's website. How we record provenance →
NZ Funds
Not yet crawled. View fund page for FMA Disclose link.
Common questions
What's the difference between the Mercer Macquarie NZ Short Duration Fund and the NZ Funds New Zealand and Australian Bonds?
Both are nz fixed interest funds available to NZ retail investors. Mercer Macquarie NZ Short Duration Fund charges 0.76% lower in annual fund charges (0.68% vs 1.44%).
Which fund has lower fees, Mercer Macquarie NZ Short Duration Fund or NZ Funds New Zealand and Australian Bonds?
Mercer Macquarie NZ Short Duration Fund has the lower annual fund charge (0.68% p.a. vs 1.44% p.a.). Source: each fund's most recent Quarterly Fund Update on the FMA Disclose register.
How do the 5-year returns compare?
Mercer Macquarie NZ Short Duration Fund's 5-year return p.a. is 1.87% and NZ Funds New Zealand and Australian Bonds's is 0.97% (after fees, before tax). Past performance is not a reliable indicator of future returns.
Are both funds PIE-taxed in NZ?
Yes. Both are NZ Portfolio Investment Entities (PIEs). Investor tax on the fund's income is capped at the Prescribed Investor Rate (PIR), maximum 28%.
Where can I read the official documents for these funds?
Both funds publish their Product Disclosure Statement (PDS), Statement of Investment Policy (SIPO) and Quarterly Fund Update (QFU) on the FMA Disclose register at disclose-register.companiesoffice.govt.nz. Always read the current PDS before investing.
Not sure which fund is right for you?
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Important: This comparison is general information only — not personalised financial advice.
Past performance is not a reliable indicator of future returns. The right fund for you depends on your personal
circumstances. Read each fund's Product Disclosure Statement and consider speaking to a licensed financial adviser.