Fund-vs-fund · Australasian Equities
Octagon Australasian Equities Fund vs Smart NZ Mid Cap ETF
Both are Australasian 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 investment universe and resulting portfolio composition. The Smart NZ Mid Cap ETF (Smartshares) tracks New Zealand mid-cap equities, with its five largest holdings — Mercury NZ, Chorus, Port of Tauranga, Summerset, and Freightways — all domestically listed companies. The Octagon Australasian Equities Fund casts a broader net across Australia and New Zealand, with its top positions dominated by large-cap Australian names including BHP, Commonwealth Bank, Westpac, ANZ, and CSL. Both sit in the Australasian Equities category and carry identical risk indicators (5 of 7) and near-identical growth asset allocations (98.31%), so the geographic and capitalisation tilt, not the risk profile, is the primary differentiator.
Fee structures diverge meaningfully: Smartshares charges an annual fund charge of 0.60%, while Octagon charges 1.17% — a 57-basis-point gap on broadly similar fund sizes (NZD 132.6 million versus NZD 122.7 million respectively). The five-year return figures in the latest quarterly fund updates show 0.36% per annum for the Smartshares fund and 7.85% per annum for Octagon over the same period, though past returns are not a reliable indicator of future performance and the differing underlying markets make direct attribution complex.
Neither fund is structured as a KiwiSaver scheme account product based on the data available here. Always verify fees, returns, and portfolio details against each fund's current Product Disclosure Statement and latest Quarterly Fund Update on FMA Disclose before relying on any of this information.
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
- Smart NZ Mid Cap ETF charges 0.57% lower in annual fund charges (0.60% vs 1.17%).
- 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 58 australasian equities funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
Octagon
1.17%
Upper half of cohort
Smartshares
0.60%
Lower half of cohort
5-year return p.a.
Past performance — not a predictor
Octagon
7.85%
Top 17% over 5 years
Smartshares
0.36%
Lower half over 5 years
Fund size
Larger = more stable, lower close-risk
Octagon
NZ$123m
Upper half by size
Smartshares
NZ$133m
Upper half by size
| Metric | Octagon | Smartshares | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 1.17% | 0.60% | Lower is better |
| Risk indicator (1–7) | 5 | 5 | Higher = more volatility |
| 5-year return p.a. | 7.85% | 0.36% | Higher is better (past not future) |
| Fund size | NZ$123m | NZ$133m | 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 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.
What each fund says it does
Octagon
Octagon Australasian Equities Fund
The Australian Equities Fund invests mostly in Australian shares, and can invest in New Zealand listed shares, where the company has meaningful operations in Australia. It aims to achieve long-term returns (before fees, taxes and other expenses) greater than the S&P/ ASX 200 Accumulation Index, 50% hedged to the New Zealand dollar.Full Octagon Octagon Australasian Equities Fund profile →
Smartshares
Smart NZ Mid Cap ETF
The Smart NZ Mid Cap ETF is designed to track the return (before tax, fees and other expenses) of the S&P/NZX MidCap Index. The Index is comprised of companies listed on the NZX that are included in the S&P/NZX 50 Index but are not included in the S&P/NZX 10 Index.Full Smartshares Smart NZ Mid Cap ETF profile →
Common questions
What's the difference between the Octagon Australasian Equities Fund and the Smart NZ Mid Cap ETF?
Which fund has lower fees, Octagon Australasian Equities Fund or Smart NZ Mid Cap ETF?
How do the 5-year returns compare?
Are both funds PIE-taxed in NZ?
Where can I read the official documents for these funds?
