Fund-vs-fund · International FI
Smart Global Bond ETF vs Vision Income Fund
Both are International FI 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 asset composition, which shapes every other metric. The Smart Global Bond ETF holds publicly traded sovereign and agency bonds — Freddie Mac mortgage-backed securities, French and UK government bonds, and China Development Bank paper — giving investors liquid, exchange-priced fixed income exposure across multiple jurisdictions. The Vision Income Fund's portfolio is anchored by private secured loans (rural property, other assets) and cash instruments, a structure that carries illiquidity risk absent from the ETF but also produces a markedly different return and risk profile.
Despite sharing an International Fixed Income category label and an identical 0.07% growth asset allocation, the funds diverge sharply on cost, risk rating, and return. Vision charges a 2.51% annual fund charge versus Smartshares' 0.54% — a 197-basis-point gap. Yet Vision's five-year return of 3.17% p.a. substantially exceeds the Smart Global Bond ETF's 0.08% p.a. over the same period, likely reflecting the private credit spread premium offsetting those higher fees. Correspondingly, Vision carries a risk indicator of 1 (lowest volatility band) while the Smart Global Bond ETF sits at 4, consistent with mark-to-market interest rate and currency movements in its traded bond portfolio. Fund sizes are comparable: approximately $149m (Vision) and $141m (Smartshares). Neither fund is a KiwiSaver scheme account product based on available data.
Verify all figures against each fund's current PDS and latest Quarterly Fund Update on FMA Disclose before relying on any of this.
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 Global Bond ETF charges 1.97% lower in annual fund charges (0.54% vs 2.51%).
- 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 31 international fi funds we've matched on Sorted Smart Investor. Mechanical only — no opinion, no forward-looking view.
Annual fund charge
Lower is better
Smartshares
0.54%
Lower half of cohort
Vision
2.51%
Highest 2% of cohort
5-year return p.a.
Past performance — not a predictor
Smartshares
0.08%
Bottom 10% over 5 years
Vision
3.17%
Top 3% over 5 years
Fund size
Larger = more stable, lower close-risk
Smartshares
NZ$141m
Upper half by size
Vision
NZ$149m
Upper half by size
| Metric | Smartshares | Vision | Lower / higher is |
|---|---|---|---|
| Annual fund charge | 0.54% | 2.51% | Lower is better |
| Risk indicator (1–7) | 4 | 1 | Higher = more volatility |
| 5-year return p.a. | 0.08% | 3.17% | Higher is better (past not future) |
| Fund size | NZ$141m | NZ$149m | 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.
What each fund says it does
Smartshares
Smart Global Bond ETF
The Smart Global Bond ETF is designed to provide a return (before tax, fees and other expenses) that outperforms the Bloomberg Global Aggregate Total Return Index Hedged NZD by 1% per annum over rolling three-year periods. The investment manager is PIMCO Australia Pty Ltd. The currency exposure is hedged to the New Zealand dollar.Full Smartshares Smart Global Bond ETF profile →
Vision
Vision Income Fund
The Fund is intended to provide members of the Brethren community (Community) with an investment product that suitably satisfies the Community’s ethical requirements, as an alternative to other fixed income investments in the market. The investment Manager will set a rate of return at which distributions to investors will be paid. Where the Fund's net income exceeds that set rate, the excess will be paid to Vision Invest Trust (Residual).Full Vision Vision Income Fund profile →
Common questions
What's the difference between the Smart Global Bond ETF and the Vision Income Fund?
Which fund has lower fees, Smart Global Bond ETF or Vision Income Fund?
How do the 5-year returns compare?
Are both funds PIE-taxed in NZ?
Where can I read the official documents for these funds?
