NZ Funds Wealth Builder - Inflation Strategy
Managed by NZ Funds NZ Funds Wealth Builder - Inflation Strategy is a diversified managed fund operated by NZ Funds; PIE-structured; FMA risk indicator 5/7. Headline terms: annual fund charge 1.42% · distributions no distributions (accumulating). Compared with 66 other same-category funds on this site, the 1.42% 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
1.58%
vs peer avg 1.29%
Risk indicator
5/7
1 = lower risk · 7 = higher risk
5-year return p.a.
2.27%
peer avg 4.31%
Fund size
NZ$23.0m
78% growth · 22% income
To mitigate the impact of inflation on your investment over the medium and/or long term with active management.
Benchmark track record
Compare Diversified consistency →How NZ Funds Wealth Builder - Inflation Strategy 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.
Growth of NZ$10,000
2021–2026, after fees & taxA notional NZ$10,000 compounded by each year's disclosed net return — a track-record trajectory from the FMA fund-update data, not a live unit price. Past performance is not a guide to the future.
NZ$10,000 → NZ$13,664 · to 31 March 2026
Beat its benchmark in 1 of 3 years
annual returns to 31 March 2026Since inception: 4.86% p.a. after fees & tax vs benchmark 4.04%.
How NZ Funds Wealth Builder - Inflation Strategy differs
Factual contrasts drawn from the PDS, SIPO and latest portfolio holdings — no opinion.
- Top 3 holdings
- Westpac Cash (4.3%) · Telstra Corp Ltd (2.7%) · Chorus Ltd (2.5%)
- Currency policy
- NZ Funds actively manages foreign currency in each Portfolio. Where a Portfolio holds assets denominated in a foreign currency, NZ Funds may choose to hedge back to the New Zealand dollar or retain a foreign currency exp…
Key facts
Fund start date
27 February 2020
Distributions
No distributions (accumulating)
Tax structure
PIE
Capped at your PIR (max 28%)
Performance fee
From the Product Disclosure Statement.
15% of the wholesale trust's returns above the hurdle rate. Benchmarks include: FTSE EPRA NAREIT Developed Net Total Return Index Hedged NZD (Private Global Property Trust); 50% S&P 500 Net Total Return Index / 50% S&P CME Bitcoin Futures Daily Roll Index (NZ Investment Trust 3); S&P/NZX Real Estate Select Index Gross (NZ Investment Trust 9); S&P/NZX All Utilities Sector Gross (NZ Investment Trust 16); S&P/NZX All Industrials Sector Gross (NZ Investment Trust 20); S&P World Utilities Weighted & Screened Index (NZ Investment Trust 23); STOXX Global Broad Infrastructure Net Total Return Index USD (NZ Investment Trust 24).
Investment policy
From the Statement of Investment Policy and Objectives (SIPO).
Strategic asset allocation ranges
| Asset class | Target | Min | Max |
|---|---|---|---|
| Cash and cash equivalents | 2% | — | 50% |
| New Zealand fixed interest | 4% | — | 50% |
| International fixed interest | 4% | — | 50% |
| Australasian equities | 40% | — | 100% |
| International equities | 28% | — | 125% |
| Listed property | 22% | — | 50% |
| Alternative Securities | 0% | 0% | 50% |
Responsible-investment approach
NZ Funds has adopted a responsible investment policy considering ESG factors as material to long-term investment returns. The policy excludes securities from companies involved in activities such as nuclear weapons, controversial weapons, tobacco, civilian firearms, pornography, unsustainable palm oil, alcohol (≥10% revenue), armaments (≥10% revenue), gambling (≥10% revenue), fossil fuel exploration/production (≥10% revenue), fossil fuel power generation (≥10% revenue), fossil fuel services (≥50% revenue), and fossil fuel distribution (≥50% revenue). Exclusions do not apply to derivatives.
Derivatives policy
NZ Funds uses derivatives to both increase returns (active positions) and reduce risk (hedge positions), including creating leverage where a derivative produces the same gain or loss as a much larger investment in the underlying asset. Book value is used to measure derivative value except for equity index futures, commodity futures, options, crypto asset futures and certain swaps where full notional value may be used.
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.
- NZ Funds discloses a conflict of interest: it acts as manager of both the investor-facing Strategies/Portfolios and the underlying wholesale trusts, meaning it sets fees at both levels simultaneously.
- NZ Funds charges performance fees of 10–15% of returns above benchmark inside certain wholesale trusts; these fees reduce wholesale trust values and therefore indirectly reduce investor returns before any portfolio-level fees apply.
- A notional management fee of 0.50% per annum is built into the hurdle-rate calculation for wholesale trusts, meaning the performance-fee threshold is set lower than if actual costs alone were used.
- NZ Funds' directors, employees, and their associated persons may invest in the same Strategies and Portfolios as external investors, a personal-interest conflict NZ Funds has openly disclosed.
Generated 2026-05-28 from NZ Funds Managed Portfolio Service Part Two (NZ Funds Wealth Builder) OMI (dated 2025-10-20). 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
Auditor
Ernst & Young
Custodian
Citibank N.A. (custodial services agreements entered into by the Supervisor, however all property of the Portfolios is currently held by the Supervisor)
Conflicts disclosed
2
In OMI
Conflicts of interest disclosed in OMI
- The Portfolios invest in wholesale trusts managed by NZ Funds, creating a conflict of interest because NZ Funds charges a performance fee in certain wholesale trusts which certain Portfolios invest in, and these fees affect the value of the wholesale trusts and indirectly the returns of the Portfolios, and could materially influence investment decisions in respect of a Portfolio if non-arm's length fees were paid.
- NZ Funds' directors and employees and their associated persons and entities may invest in the Portfolios.
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
1.58%
Category median: 0.99%
Pricier than most peers (top 95% by fee)
5y return p.a. (after fees)
+2.27%
Category median: +3.27%
Below peer median (27th percentile)
Fund size
NZ$23.0m
Category median: NZ$57.5m
34th percentile by AUM
Illustrative 5y fee impact on a sample balance of $10,000
$765
Compounded charge over 5 years (excl. returns)
$280 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 10 holdings
As at the latest published quarterly fund update (via Sorted Smart Investor).
| Holding | % of fund |
|---|---|
 Westpac Cash | 4.34% |
| TE Telstra Corp Ltd | 2.72% |
 Chorus Ltd | 2.55% |
 Contact Energy Ltd | 2.52% |
 Mercury NZ Ltd | 2.48% |
| CN Citibank New Zealand Cash | 2.42% |
 Meridian Energy Ltd | 2.41% |
| GP Goodman Property Trust | 1.65% |
 Precinct Properties Group | 1.53% |
 Ryman Healthcare Ltd | 1.43% |
Documents
Every dated PDS, quarterly fund update and full-portfolio holdings file. Linked from the FMA Disclose register via Sorted Smart Investor.
- NZ FUNDS WEALTH BUILDER - INFLATION STRATEGY (FND16928) Full portfolio holdings 31 March 2026.xlsx Download the full portfolio holdings. XLSX, 4.81 KB
- NZ Funds Wealth Builder PDS 30 March 2026.pdf How this investment works, including about the provider, risks, costs and potential returns PDF, 500.64 KB
- NZ Funds Wealth Builder Inflation Strategy Fund Update 31.03.26.pdf The quarterly update published by the provider PDF, 179.11 KB
- NZ Funds Wealth Builder Other Material Information 28 October 2025.pdf NZ Funds WealthBuilder – Other Material Information contains additional information relating to the NZ Funds WealthBuilder and sh
- NZ Funds Managed Portfolio Service Scheme SIPO 28 October 2025.pdf Statement of investment policy and objectives PDF, 798.71 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 NZ Funds
NZ-owned manager offering Wealth Builder strategies, Income Generator, and a series of Global and New Zealand sector portfolios.
See all funds from NZ Funds →Head-to-head
Compare NZ Funds Wealth Builder - Inflation Strategy with…
Side-by-side numbers — fees, returns, risk, fund size, asset mix.
Peer funds
Other Diversified funds
Same manager
Other funds by NZ Funds
- NZ Funds New Zealand and Australian SharesAustralasian Equities
- NZ Funds Global SharesInternational Equities
- NZ Funds New Zealand and Australian BondsNZ Fixed Interest
FMA risk band
Same risk band (5/7)
See every NZ retail managed fund with the same standardised FMA risk indicator. Useful for peer-checking volatility-comparable funds outside this category.
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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 NZ Funds Wealth Builder - Inflation Strategy?
NZ Funds Wealth Builder - Inflation Strategy is managed by NZ Funds. NZ-owned manager offering Wealth Builder strategies, Income Generator, and a series of Global and New Zealand sector portfolios.
What asset class is the NZ Funds Wealth Builder - Inflation Strategy?
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 NZ Funds Wealth Builder - Inflation Strategy?
The annual fund charge for the NZ Funds Wealth Builder - Inflation Strategy is 1.58% 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 NZ Funds Wealth Builder - Inflation Strategy?
The risk indicator is 5/7 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 NZ Funds Wealth Builder - Inflation Strategy a PIE fund?
Yes. The NZ Funds Wealth Builder - Inflation Strategy 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 NZ Funds Wealth Builder - Inflation Strategy?
Fund size (assets under management) is NZ$23 million as at the latest Quarterly Fund Update. Asset mix is approximately 78% growth assets and 22% income assets.
What does the NZ Funds Wealth Builder - Inflation Strategy invest in?
The latest published top holdings are: Westpac Cash (4.34%), Telstra Corp Ltd (2.72%), Chorus Ltd (2.55%). Holdings are disclosed in each Quarterly Fund Update; the full portfolio holdings file is also available via the FMA Disclose register.
How can I invest in the NZ Funds Wealth Builder - Inflation Strategy?
The NZ Funds Wealth Builder - Inflation Strategy is available via NZ Funds directly. Always read the current Product Disclosure Statement before investing.