Fund-vs-fund · International Equities
Russell Investments Hedged Global Shares Fund vs Smart Global ESG 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 how they obtain their international equities exposure. The Russell Investments Hedged Global Shares Fund constructs its portfolio directly across individual securities and derivatives — its largest disclosed holding is an S&P 500 E-mini futures position at 15.5%, alongside direct equity positions in Microsoft (2.98%), TSMC (2.33%), and Alphabet (2.05%), plus an FX positions line at 2.02%. The currency hedging embedded in the fund's name is also reflected in that FX exposure. By contrast, the Smart Global ESG ETF operates as a fund-of-funds structure: 99.92% of its portfolio is a single underlying holding — the iShares Core MSCI World ex Australia ESG ETF — making it a near-pure pass-through vehicle with explicit ESG screening baked into the benchmark.
Both funds sit at risk indicator 5 and report identical growth asset allocations of 98.31%. Fee structures diverge: Russell charges 0.92% annually versus Smartshares' 0.54%, a 38-basis-point difference. Over the five-year period disclosed in each fund's latest Quarterly Fund Update, the Smart Global ESG ETF returned 15.37% per annum against Russell's 9.35%, though past performance does not indicate future returns, and differing benchmark periods or methodologies may affect comparability. Fund sizes are broadly similar — Russell at NZD 304.99 million, Smartshares at NZD 322.49 million. Neither fund is a KiwiSaver scheme account product based on the data provided.
Verify all figures against each fund's current PDS and latest Quarterly Fund Update on FMA Disclose before relying on this comparison.
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
- Smart Global ESG ETF charges 0.38% lower in annual fund charges (0.54% vs 0.92%).
- Both are New Zealand PIE funds — investor tax is capped at the Prescribed Investor Rate (PIR), maximum 28%.
- Smart Global ESG ETF applies responsible-investment / ESG screening. The other fund does not.
Where each fund sits in its cohort
Percentile rank vs all 81 international equities funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
Russell Investments
0.92%
Upper half of cohort
Smartshares
0.54%
Lower half of cohort
5-year return p.a.
Past performance — not a predictor
Russell Investments
6.93%
Lower half over 5 years
Smartshares
12.12%
Top 17% over 5 years
Fund size
Larger = more stable, lower close-risk
Russell Investments
NZ$301m
Largest 23% in cohort
Smartshares
NZ$314m
Largest 21% in cohort
| Metric | Russell Investments | Smartshares | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 0.92% | 0.54% | Lower is better |
| Risk indicator (1–7) | 5 | 5 | Higher = more volatility |
| 5-year return p.a. | 6.93% | 12.12% | Higher is better (past not future) |
| Fund size | NZ$301m | NZ$314m | 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 | 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
1
of each fund's top 10
Russell Investments weight in shared
2.2%
of Russell Investments Hedged Global Shares Fund top 10 is shared
Smartshares weight in shared
0.6%
of Smart Global ESG ETF top 10 is shared
| Holding | Russell Investments | Smartshares |
|---|---|---|
| $ Cash at Bank (BNZ) NZ | 2.21% | 0.62% |
"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
Russell Investments
Russell Investments Hedged Global Shares Fund
The underlying investment exposure is predominantly to a broad range of international shares listed on stock exchanges in developed markets as well as emerging international markets. The Fund employs certain investment exclusions, please refer to the SIPO for further details. Derivatives may be used to obtain or reduce exposure to securities and markets, to implement investment strategies and to manage risk. The Fund targets a position of being fully hedged back to New Zealand Dollars. Due to active currency management by the underlying managers, there will generaFull Russell Investments Russell Investments Hedged Global Shares Fund profile →
Smartshares
Smart Global ESG ETF
The Smart Global ESG ETF is designed to track the return (before tax, fees and other expenses) of the MSCI World Ex Australia Custom ESG Leaders Net Total Return Index. The Index is comprised of global companies screened for exposure to controversial weapons, civilian firearms, tobacco, thermal coal and oil sands. The Index excludes companies that fail to comply with the United Nations Global Compact Principles. For more information, please refer to the Smart Responsible Investment Policy.Full Smartshares Smart Global ESG ETF profile →
Common questions
What's the difference between the Russell Investments Hedged Global Shares Fund and the Smart Global ESG ETF?
Which fund has lower fees, Russell Investments Hedged Global Shares Fund or Smart Global ESG ETF?
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?
