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Fund-vs-fund · Diversified

Milford Balanced Fund vs Milford 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.

Milford logo

Milford

Milford Balanced Fund

PIE · capped at PIR (max 28%) balanced
Milford logo

Milford

Milford Diversified Income Fund

PIE · capped at PIR (max 28%) income

Why these two differ

The most material structural difference between these two funds is their allocation to growth assets: the Milford Balanced Fund holds 52.35% in growth assets against the Milford Diversified Income Fund's 22.72%, placing them at opposite ends of the diversified category spectrum despite sharing the same manager and a single Product Disclosure Statement dated 18 June 2025. This distinction flows directly into their respective risk indicators — the Balanced Fund sits at 4 on the standard 1–7 scale, while the Diversified Income Fund sits at 3 — reflecting meaningfully different expected return volatility profiles.

The fee difference reinforces the structural contrast. The Balanced Fund charges 1.05% per annum; the Diversified Income Fund charges 0.65%. Over the five years captured in each fund's latest Quarterly Fund Update, the Balanced Fund returned 4.74% per annum after fees versus 3.75% for the Diversified Income Fund, though past performance is not a reliable indicator of future returns and the period covered will reflect different market conditions at different weights.

Portfolio composition underscores the income tilt of the lower-risk fund: three of its top five holdings are New Zealand Government bonds, whereas the Balanced Fund's top positions include multi-currency cash accounts and an equity holding in SSE Plc. By fund size, the Diversified Income Fund is larger at approximately NZD 3.50 billion versus NZD 2.52 billion for the Balanced Fund.

Readers should verify all figures against the current PDS and each fund's latest Quarterly Fund Update on FMA Disclose before relying on any data here.

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

  • Milford Diversified Income Fund charges 0.40% lower in annual fund charges (0.65% vs 1.05%).
  • 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

Milford

1.05%

Upper half of cohort

Milford

0.65%

Lowest 20% of cohort

5-year return p.a.

Past performance — not a predictor

Milford

4.74%

Upper half over 5 years

Milford

3.75%

Upper half over 5 years

Fund size

Larger = more stable, lower close-risk

Milford

NZ$2.52b

Largest 5% in cohort

Milford

NZ$3.50b

Largest 4% in cohort

Metric Milford Milford Lower / higher is
Annual fund charge 1.05% 0.65% Lower is better
Risk indicator (1–7) 4 3 Higher = more volatility
5-year return p.a. 4.74% 3.75% Higher is better
(past not future)
Fund size NZ$2.52b NZ$3.50b Larger = more stable, lower close-risk
Growth / income split 53% / 47% 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.
Sources: Milford on Sorted Milford on Sorted

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

6

of each fund's top 10

Milford weight in shared

10.8%

of Milford Balanced Fund top 10 is shared

Milford weight in shared

11.4%

of Milford Diversified Income Fund top 10 is shared

Holding Milford Milford
NZ New Zealand Government 4.5% 15/05/2035 NZ
2.09% 2.42%
$ NZD Cash Current Account (HSBC) NZ
2.57% 1.92%
$ USD Cash Current Account (HSBC) US
2.29% 1.92%
$ AUD Cash Current Account (HSBC) AU
1.53% 1.92%
Contact Energy Ltd Contact Energy Ltd NZ
1.22% 1.29%
$ NZD Cash Call Account (BNZ Bank) NZ
1.09% 1.92%

"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

Milford

Milford Balanced Fund

The Fund’s objective is to provide capital growth after the base fund fee but before tax and before the performance fee, over the minimum recommended investment timeframe of five years. It is a diversified fund that primarily invests in equities, with a significant allocation to fixed interest securities.
Full Milford Milford Balanced Fund profile →

Milford

Milford Diversified Income Fund

The Fund’s objective is to provide income and capital growth after the base fund fee but before tax and before the performance fee, over the minimum recommended investment timeframe of four years. It is a diversified fund that primarily invests in fixed interest and equity income-generating securities.
Full Milford Milford Diversified Income Fund profile →

Documents

Crawled directly from each manager's website. How we record provenance →

Milford logo

Milford

Live

Last verified 2026-05-08

Milford logo

Milford

Live

Last verified 2026-05-08

Common questions

What's the difference between the Milford Balanced Fund and the Milford Diversified Income Fund?
Both are diversified funds available to NZ retail investors. Milford Diversified Income Fund charges 0.40% lower in annual fund charges (0.65% vs 1.05%).
Which fund has lower fees, Milford Balanced Fund or Milford Diversified Income Fund?
Milford Diversified Income Fund has the lower annual fund charge (0.65% p.a. vs 1.05% p.a.). Source: each fund's most recent Quarterly Fund Update on the FMA Disclose register.
How do the 5-year returns compare?
Milford Balanced Fund's 5-year return p.a. is 4.74% and Milford Diversified Income Fund's is 3.75% (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.
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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.