Mercer Responsible Balanced Fund
Managed by Mercer Mercer Responsible Balanced Fund is a diversified managed fund operated by Mercer; PIE-structured; FMA risk indicator 4/7. Headline terms: annual fund charge 1.24% · distributions no distributions (accumulating). Compared with 66 other same-category funds on this site, the 1.24% annual fund charge sits above the same-category median of 0.99%.
PIE tax treatment — capped at your PIR (max 28%)
This fund is a Portfolio Investment Entity (PIE) under Subpart HM of the Income Tax Act 2007. Income is taxed at your Prescribed Investor Rate (10.5% / 17.5% / 28%), not your marginal income-tax rate. The fund manager calculates and pays the tax on your behalf — when your PIR is correct, you usually don't need to declare PIE income in your annual tax return. See our PIR guide and PIE tax basics for the full picture, or use the PIR calculator to confirm your rate.
Annual fund charge
1.25%
vs peer avg 1.10%
Risk indicator
4/7
1 = lower risk · 7 = higher risk
5-year return p.a.
3.52%
peer avg 3.77%
Fund size
NZ$28.4m
53% growth · 47% income
The Fund aims to achieve a rate of return (after fees) that exceeds CPI increases by at least 2.5% per annum after tax and 3.5% before tax over a minimum of eight years and to outperform, over periods of one year or greater, the weighted average return of the market indices used to measure performance of the underlying funds/assets in which the fund invests.
Benchmark track record
Compare Diversified consistency →How Mercer Responsible Balanced Fund performed against its own market-index benchmark each year, after fees and tax — from the FMA fund-update dataset. Historical track record, not current-year performance; past performance is not a guide to the future.
Beat its benchmark in 0 of 12 years
annual returns to 31 March 2026Since inception: 5.41% p.a. after fees & tax vs benchmark 7.56%.
How Mercer Responsible Balanced Fund differs
Factual contrasts drawn from the PDS, SIPO and latest portfolio holdings — no opinion.
- Responsible-investment screen
- Excludes Controversial weapons (cluster munitions, anti-personnel landmines, biological/chemical/nuclear weapons manufacturers; automatic/semi-automatic civilian firearms); Tobacco (production, nicotine alternatives, tobacco-based products; >50% revenue from tobacco distribution/wholesale/retail/services); Russian assets (sanctioned entities, Russian-incorporated shares, Russian sovereign bonds, Russian currency, Russian private markets assets), plus 6 additional categories (full list in the SIPO).
- Top 3 holdings
- Nvidia Corporation (2.2%) · Apple Inc. (2.0%) · Infratil Limited (1.3%)
Key facts
Fund start date
11 August 2009
Distributions
No distributions (accumulating)
Buy / sell spread
11 bps (0.11%) / 11 bps (0.11%)
Transaction cost on subscription / redemption
Tax structure
PIE
Capped at your PIR (max 28%)
Investment policy
From the Statement of Investment Policy and Objectives (SIPO).
Strategic asset allocation ranges
| Asset class | Target | Min | Max |
|---|---|---|---|
| Cash and cash equivalents | 4% | 0% | 20% |
| New Zealand fixed interest | 10% | — | — |
| International fixed interest - Overseas sovereign bonds | 11% | — | — |
| International fixed interest - Global Credit | 10% | — | — |
| Private Debt | 0% | 0% | 10% |
| Other fixed interest | 5% | — | — |
| Total fixed interest | 36% | 21% | 51% |
| Total income assets | 40% | 30% | 60% |
| Listed Infrastructure | 2% | — | — |
| Unlisted Infrastructure | 3% | — | — |
| Unlisted property | 3% | — | — |
| Total real assets | 8% | 2% | 20% |
| Australasian equities | 13% | 3% | 23% |
| International equities | 39% | 29% | 49% |
| Total growth assets | 60% | 40% | 70% |
Responsible-investment approach
Mercer applies a Sustainable Investment Policy incorporating four techniques: ESG integration, stewardship (engagement and proxy voting), exclusions (rules-based screens covering controversial weapons, tobacco, Russian assets, and additional responsible/sustainable criteria for labelled funds), and investment in sustainability themes. Funds labelled 'Responsible' have additional exclusions criteria applied and are certified by the Responsible Investment Association of Australasia (RIAA).
Exclusions
- Controversial weapons (cluster munitions, anti-personnel landmines, biological/chemical/nuclear weapons manufacturers; automatic/semi-automatic civilian firearms)
- Tobacco (production, nicotine alternatives, tobacco-based products; >50% revenue from tobacco distribution/wholesale/retail/services)
- Russian assets (sanctioned entities, Russian-incorporated shares, Russian sovereign bonds, Russian currency, Russian private markets assets)
- Coal, oil or gas (GICS sub-industries: Oil & Gas Drilling, Equipment & Services, Integrated Oil & Gas, Exploration & Production, Thermal Coal; companies with >15% revenue from extraction and proved/probable reserves)
- Adult entertainment (>10% revenue)
- Alcohol (>10% revenue)
- Gambling (>10% revenue)
- Depleted uranium (involvement in development or production of depleted uranium ammunition/armour)
- Sustainable Global Credit additional: Nuclear weapons, Depleted uranium, Tobacco (>10% revenue from distribution/wholesale/retail/services), Cannabis (>10% revenue), Saudi Arabia, Adult entertainment (>10% revenue), Alcohol (>10% revenue), Gambling (>10% revenue), Live animal exports (>10% revenue), Animal fur production (>5% revenue), Thermal coal mining (>5% revenue), Oil sands production (>5% revenue), Fossil fuels (>15% revenue from exploration/extraction or primary GICS sub-industry)
Derivatives policy
Funds (including underlying managers) may use derivatives to protect against unfavourable price changes, enhance returns as a cost-effective alternative to purchasing physical assets, implement fund investment objectives, and manage currency exposure. Derivatives related to each asset class are permitted provided the total market value exposure remains within permitted asset allocation ranges.
Reading between the lines
Plain-English summary of the scheme's disclosed conflicts and performance-fee mechanics, drawn from the OMI and PDS. Factual restatement — no opinion.
- Mercer acknowledges that acting simultaneously as manager, consultant, and product manufacturer — for both the fund and other clients — creates inherent conflicts of interest that it is required to resolve in favour of clients and beneficiaries.
- Mercer (N.Z.) Limited pays undisclosed fees to at least five related Marsh McLennan group entities for services including investment management, consulting, fund administration, and technology — meaning fund costs flow to related parties whose fee amounts are not specified in the OMI.
- Mercer has a disclosed process with the Supervisor for identifying and managing related-party transactions as required under the Financial Markets Conduct Act, including escalation to the Mercer Board Chair if key conflict officers are themselves conflicted.
- No performance-fee mechanic is disclosed in the provided OMI or PDS extracts for this scheme.
Generated 2026-05-28 from Mercer Investment Funds OMI (dated 2026-03-22). The verbatim disclosures appear in full below — this summary is a navigation aid, not a substitute.
Scheme disclosures
From the Other Material Information (OMI) document. Scheme-level — applies to every fund in this scheme.
Trustee / Supervisor
The New Zealand Guardian Trust Company Limited
Custodian
BNP Paribas Fund Services Australasia Pty Ltd (trading as BNP Paribas Securities Services)
Conflicts disclosed
6
In OMI
Conflicts of interest disclosed in OMI
- Mercer and/or a related party may be acting as manager, consultant and/or product manufacturer to each other and to clients and customers simultaneously, creating inherent conflicts of interest.
- As a local entity offering a range of financial products and services and as part of a global organisation, Mercer may from time to time have interests which conflict with the interests of its clients and customers.
- Conflicts may also arise between one client or customer and another client or customer of Mercer.
- Mercer must resolve conflicts in favour of clients/beneficiaries where conflicts arise between clients/beneficiaries and Mercer or Mercer Colleagues.
- The Conflicts Officer is responsible for assessing and managing conflicts, but if the CRCO, CLC or Conflicts Officer are themselves conflicted, the matter must be escalated to the Chair of the Mercer Board.
- Mercer has a process with the Supervisor for identifying, notifying and certifying or obtaining consent for related party transactions as required by the FMC Act.
How this fund compares to peers
Mechanical comparison vs the 67 other diversified funds in our cohort. Source: FMA Disclose register via Sorted Smart Investor. Past performance is not a reliable indicator of future returns.
Annual fund charge
1.25%
Category median: 0.99%
Mid-pack — cheaper than 25% of peers
5y return p.a. (after fees)
+3.52%
Category median: +3.27%
Above peer median (54th percentile)
Fund size
NZ$28.4m
Category median: NZ$57.5m
35th percentile by AUM
Illustrative 5y fee impact on a sample balance of $10,000
$610
Compounded charge over 5 years (excl. returns)
$124 more than peer median
Read the full fee-vs-peers breakdown →
Mechanical scores only — no opinion or recommendation. Different funds suit different investor goals. ManagedFundsNZ is not a Financial Advice Provider. Read the current PDS and consider speaking to a licensed financial adviser.
Top 5 holdings
| Holding | % of fund |
|---|---|
 Nvidia Corporation | 2.19% |
 Apple Inc. | 2.00% |
 Infratil Limited | 1.33% |
 Microsoft Corporation | 1.30% |
| 10 10 | 1.03% |
Documents
Also via Sorted Smart Investor
FMA Disclose mirrors and historical files from Sorted.
- MERCER RESPONSIBLE BALANCED FUND (FND101) Full portfolio holdings 31 March 2026.xlsx Download the full portfolio holdings. XLSX, 82.79 KB
- Mercer Investment Funds PDS Multi Asset Class Funds.pdf How this investment works, including about the provider, risks, costs and potential returns PDF, 352.72 KB
- Mercer Responsible Balanced Fund Fund Update 31 March 2026.pdf The quarterly update published by the provider PDF, 37.46 KB
- Mercer Investment Funds PDS–Index Funds.pdf Additional product disclosure statement from the provider PDF, 681.43 KB
- Mercer Investment Funds PDS Cash and Fixed Interest Funds.pdf Additional product disclosure statement from the provider PDF, 881.97 KB
- Mercer Investment Funds PDS Global Shares Funds.pdf Additional product disclosure statement from the provider PDF, 370.05 KB
- Mercer Investment Funds PDS–Goals Based Funds.pdf Additional product disclosure statement from the provider PDF, 801.97 KB
- Mercer Investment Funds PDS NZ and Australian Shares Funds.pdf Additional product disclosure statement from the provider PDF, 1.56 MB
- Mercer Investment Funds PDS Property and Infrastructure Funds.pdf Additional product disclosure statement from the provider PDF, 3.53 MB
- PDS Global Companies Fund 16.10.18.pdf Additional product disclosure statement from the provider PDF, 315.16 KB
- Mercer NZ Sustainable Investment Policy.pdf Mercer NZ - Sustainable Investment Policy PDF, 1.08 MB
- Mercer Investment Funds OMI 23 March 2026.pdf Other material information document PDF, 689.04 KB
- Mercer Investment Funds SIPO 23 March 2026.pdf Statement of investment policy and objectives PDF, 708.56 KB
About this category
Multi-asset funds that hold a mix of shares, bonds, cash and sometimes property in a single portfolio. The mix determines the risk profile — aggressive funds hold more shares, conservative funds hold more bonds and cash.
About Mercer
Global wealth and consulting firm with a passive-leaning multi-asset fund range in NZ.
See all funds from Mercer →Common questions
Questions people ask about Mercer Responsible Balanced Fund
Drawn from Google's "People also ask" panel and answered with reference to the fund's filed PDS, Fund Update and FMA Disclose data. Not personal financial advice — for guidance specific to your situation, consult an authorised financial adviser.
Is Mercer a good fund?
The Mercer Responsible Balanced Fund is a diversified fund with a risk indicator of 4/7 on the FMA standardised scale, meaning it sits in the mid-to-higher risk range and holds approximately 52% growth assets and 48% income assets. The fund returned 3.52% p.a. after fees over five years (as at the latest QFU), and charges an annual fund charge of 1.25% p.a. Whether it suits your circumstances depends on your risk tolerance, time horizon, and investment goals — check the current Product Disclosure Statement and consider seeking personalised financial advice.
Is Mercer a good superannuation fund?
The Mercer Responsible Balanced Fund is a managed fund, not a superannuation or KiwiSaver scheme product. If you are looking for superannuation or KiwiSaver investment options, you will need to check whether your superannuation scheme or your KiwiSaver scheme account provider offers this fund as an investment choice, or compare products through the FMC or IRD regulators' resources.
What is the best performing Mercer fund?
This page covers the Mercer Responsible Balanced Fund only. To compare performance across all Mercer managed funds or other fund managers, visit the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/ to review standardised performance and fee data across funds.
Head-to-head
Compare Mercer Responsible Balanced Fund with…
Side-by-side numbers — fees, returns, risk, fund size, asset mix.
Peer funds
Other Diversified funds
Same manager
Other funds by Mercer
- Mercer Responsible Hedged Global Fixed Interest Index FundInternational FI
- Mercer Macquarie NZ Fixed Interest FundNZ Fixed Interest
- Mercer All Country Global Shares Index FundInternational Equities
FMA risk band
Same risk band (4/7)
See every NZ retail managed fund with the same standardised FMA risk indicator. Useful for peer-checking volatility-comparable funds outside this category.
View risk band 4 funds →AI & integrations
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Frequently asked questions
Mechanical Q&A grounded in the fund's PDS, SIPO, and latest QFU on the FMA Disclose register. Verify against the source before relying on any of this.
Who manages the Mercer Responsible Balanced Fund?
Mercer Responsible Balanced Fund is managed by Mercer. Global wealth and consulting firm with a passive-leaning multi-asset fund range in NZ.
What asset class is the Mercer Responsible Balanced Fund?
It is a diversified managed fund. The fund has a balanced risk profile. Multi-asset funds that hold a mix of shares, bonds, cash and sometimes property in a single portfolio. The mix determines the risk profile — aggressive funds hold more shares, conservative funds hold more bonds and cash.
What are the fees for the Mercer Responsible Balanced Fund?
The annual fund charge for the Mercer Responsible Balanced Fund is 1.25% p.a., as reported in the latest Quarterly Fund Update sourced from the FMA Disclose register. Always check the current PDS for any additional fees.
What is the risk indicator for the Mercer Responsible Balanced Fund?
The risk indicator is 4/7 on the standardised FMA-mandated scale, where 1 is lower risk and 7 is higher risk. The risk indicator is calculated from the fund's price volatility over the past five years and is published in every Quarterly Fund Update.
Is the Mercer Responsible Balanced Fund a PIE fund?
Yes. The Mercer Responsible Balanced Fund is structured as a New Zealand Portfolio Investment Entity (PIE). Investor tax on the fund's income is capped at the investor's Prescribed Investor Rate (PIR), which has a maximum of 28%. Most NZ-resident retail investors with a taxable income at or below NZ$48,000 qualify for a lower PIR.
How big is the Mercer Responsible Balanced Fund?
Fund size (assets under management) is NZ$28 million as at the latest Quarterly Fund Update. Asset mix is approximately 53% growth assets and 47% income assets.
What does the Mercer Responsible Balanced Fund invest in?
The latest published top holdings are: Nvidia Corporation (2.19%), Fisher & Paykel Healthcare Corporation Limited (2.06%), Apple Inc. (2.00%). Holdings are disclosed in each Quarterly Fund Update; the full portfolio holdings file is also available via the FMA Disclose register.
Does the Mercer Responsible Balanced Fund apply responsible-investment screens?
Yes. The Mercer Responsible Balanced Fund applies responsible-investment or ESG screening criteria — exclusions and engagement policies are documented in the fund's Statement of Investment Policy and Objectives (SIPO). Check the SIPO for the specific screening framework used.
How can I invest in the Mercer Responsible Balanced Fund?
The Mercer Responsible Balanced Fund is available via Mercer directly. Always read the current Product Disclosure Statement before investing.
Is Mercer a good fund?
The Mercer Responsible Balanced Fund is a diversified fund with a risk indicator of 4/7 on the FMA standardised scale, meaning it sits in the mid-to-higher risk range and holds approximately 52% growth assets and 48% income assets. The fund returned 3.52% p.a. after fees over five years (as at the latest QFU), and charges an annual fund charge of 1.25% p.a. Whether it suits your circumstances depends on your risk tolerance, time horizon, and investment goals — check the current Product Disclosure Statement and consider seeking personalised financial advice.
Is Mercer a good superannuation fund?
The Mercer Responsible Balanced Fund is a managed fund, not a superannuation or KiwiSaver scheme product. If you are looking for superannuation or KiwiSaver investment options, you will need to check whether your superannuation scheme or your KiwiSaver scheme account provider offers this fund as an investment choice, or compare products through the FMC or IRD regulators' resources.
What is the best performing Mercer fund?
This page covers the Mercer Responsible Balanced Fund only. To compare performance across all Mercer managed funds or other fund managers, visit the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/ to review standardised performance and fee data across funds.