Octagon Balanced Fund is a diversified managed fund operated by Octagon; PIE-structured; FMA risk indicator 4/7. Headline terms: annual fund charge 1.15% · distributions no distributions (accumulating). Compared with 66 other same-category funds on this site, the 1.15% 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
1.17%
vs peer avg 1.10%
Risk indicator
4/7
1 = lower risk · 7 = higher risk
5-year return p.a.
3.18%
peer avg 3.77%
Fund size
NZ$37.2m
53% growth · 47% income
To achieve long-term returns (before fees, taxes and other expenses) greater than a composite benchmark relating to the target investment mix.
How Octagon Balanced Fund differs
Factual contrasts drawn from the PDS, SIPO and latest portfolio holdings — no opinion.
- Benchmark
- Composite benchmark relating to the target investment mix
- Top 3 holdings
- Hunter Global Fixed interest Fund (18.1%) · Vanguard ESG US Stock ETF (1.9%) · Fisher & Paykel Healthcare Corporation Limited (1.9%)
Key facts
Fund start date
11 December 2020
Distributions
No distributions (accumulating)
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 | 7% | 0% | 50% |
| New Zealand fixed interest | 19% | 0% | 50% |
| International fixed interest | 19% | 0% | 50% |
| Australasian equities | 17% | 0% | 50% |
| International equities | 35% | 20% | 70% |
| Listed property | 3% | 0% | 50% |
| Other | — | 0% | 10% |
Responsible-investment approach
ESG considerations are taken into account via product involvement exclusion screening (weapons, tobacco, semi-automatic civilian weapons) using MSCI tools with a 5% revenue threshold; positive ESG risk assessment for directly held Australasian securities using Forsyth Barr CESG ratings and MSCI controversy data; and consideration of responsible investment frameworks before investing in unrelated underlying funds. Additional exclusions apply for the Trans-Tasman Equities Fund covering fossil fuel upstream activities, gambling (>10% revenue), and factory farming.
Derivatives policy
The funds may use derivatives where the Investment Manager considers doing so is consistent with the funds' risk profile and will contribute to the performance objectives of the funds. Derivatives may also be used by the manager of an underlying investment scheme.
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.
- Forsyth Barr acknowledges that all secondary-market trades for the funds are executed through its affiliate Forsyth Barr Limited, which earns brokerage on those transactions, potentially encouraging more trading than is otherwise warranted.
- Forsyth Barr discloses that Forsyth Barr Limited may earn brokerage from both a Scheme fund and the opposing client simultaneously, or profit from price movements when acting as direct counterparty to a fund's trade.
- Forsyth Barr discloses that the Global Equities Fund invests in the Te Ahumairangi Global Equity Fund, whose investment manager shares a common director with Octagon Asset Management Limited, the sub-manager of the Scheme.
- Forsyth Barr acknowledges that employees and senior group managers may hold shares in Forsyth Barr Group Limited, meaning investment decisions could financially benefit group entities at the expense of fund investors.
Generated 2026-05-28 from Octagon Investment Funds OMI (dated 2026-05-12). 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
Trustees Executors Limited
Auditor
Deloitte
Custodian
Adminis NZ Limited
Conflicts disclosed
8
In OMI
Conflicts of interest disclosed in OMI
- Octagon may make purchases and sales of financial products on behalf of funds other than the Scheme funds, which may result in Scheme funds purchasing from or selling to, or competing with, those other funds for the same investment opportunities.
- Secondary market purchases and sales of financial products for the funds are executed through Forsyth Barr Limited, which receives brokerage for those transactions, potentially encouraging Octagon employees to transact when they otherwise might not have.
- Forsyth Barr Limited trades on secondary markets for other clients and may also trade for its own account, meaning it may receive brokerage from both a Scheme fund and the counterparty client, or benefit from price movements when acting as counterparty.
- Forsyth Barr Limited is currently involved, and is likely in the future to be involved, in offers of financial products (including IPOs) as arranger, lead manager, or co-manager, and related companies may underwrite those offers; financial products offered may be acquired by a fund.
- The funds have voting rights in relation to securities they hold, and the firm may be a corporate adviser to issuers of those securities where fees depend on whether security holders approve certain transactions, potentially influencing voting decisions.
- The funds may invest in other funds managed by persons associated with the Manager, and Octagon employees could be encouraged by that association to invest in those funds when they otherwise might not have.
- Octagon employees making investment decisions for the funds may have a direct or indirect financial interest in financial products in which they transact for the funds, or have personal relationships or outside business interests relevant to the issuer of those products.
- Octagon's employees may be shareholders of Octagon, and many directors and senior managers within the Forsyth Barr Group are shareholders of Forsyth Barr Group Limited, meaning investment decisions could be influenced to financially advantage Octagon or other Forsyth Barr group entities to the detriment of investors.
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
1.17%
Category median: 0.99%
Mid-pack — cheaper than 32% of peers
5y return p.a. (after fees)
+3.18%
Category median: +3.27%
Below peer median (48th percentile)
Fund size
NZ$37.2m
Category median: NZ$57.5m
37th percentile by AUM
Illustrative 5y fee impact on a sample balance of $10,000
$571
Compounded charge over 5 years (excl. returns)
$86 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 |
|---|---|
| HG Hunter Global Fixed interest Fund | 18.14% |
| VE Vanguard ESG US Stock ETF | 1.90% |
 Fisher & Paykel Healthcare Corporation Limited | 1.87% |
| NZ New Zealand Government 1.5% 15/05/2031 | 1.79% |
| NZ New Zealand Government 14/04/2033 3.5 | 1.38% |
 Precinct Properties New Zealand Limited | 1.34% |
| GP Goodman Property Trust | 1.32% |
 Microsoft Corporation | 1.07% |
 Kiwi Property Group Limited | 1.06% |
| NZ New Zealand Government 15/05/2032 2.00 | 1.00% |
Documents
Every dated PDS, quarterly fund update and full-portfolio holdings file. Linked from the FMA Disclose register via Sorted Smart Investor.
- BALANCED FUND (FND21622) Full portfolio holdings 31 March 2026.xlsx Download the full portfolio holdings. XLSX, 0.71 KB
- Octagon Investment Funds PDS 14 May 2026.pdf How this investment works, including about the provider, risks, costs and potential returns PDF, 1.59 MB
- Balanced Fund 20260331.pdf The quarterly update published by the provider PDF, 813.29 KB
- Octagon OMI 14 May 2026.pdf Other Material Information about the Octagon Investment Funds PDF, 319.91 KB
- Octagon SIPO 14 May 2026.pdf This is the Statement of Investment Policy and Objectives for the Scheme PDF, 370.73 KB
- Octagon SIPO 14 May 2026.pdf Statement of investment policy and objectives PDF, 370.73 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 Octagon
NZ active manager (part of Forsyth Barr) running diversified and equity funds.
Parent: Forsyth Barr
See all funds from Octagon →Common questions
Questions people ask about Octagon 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.
Are balanced funds good for retirees?
Balanced funds blend growth and income assets to suit investors seeking diversification; Octagon Balanced Fund holds approximately 52.35% growth assets and 47.65% income assets. Whether a balanced fund matches a retiree's needs depends on individual circumstances including time horizon, income requirements, and risk tolerance—consult the PDS and consider personal financial advice.
What is the average return on a balanced fund?
Octagon Balanced Fund returned 3.83% p.a. after fees and before tax over the 5-year period as at the latest QFU; however, past performance is not a guarantee of future results. For peer-cohort return data, refer to the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/.
Is 0.25% a high management fee?
Fee levels are relative to fund type and strategy. Octagon Balanced Fund charges 1.17% p.a., which is 0.11 percentage points above the peer-cohort average of 1.06% p.a. for comparable diversified funds. For a broader view of fee ranges, see the FMA Disclose register.
Head-to-head
Compare Octagon Balanced Fund with…
Side-by-side numbers — fees, returns, risk, fund size, asset mix.
Peer funds
Other Diversified funds
Same manager
Other funds by Octagon
- Octagon New Zealand Equities FundAustralasian Equities
- Octagon Australasian Equities FundAustralasian 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 Octagon Balanced Fund?
Octagon Balanced Fund is managed by Octagon (parent: Forsyth Barr). NZ active manager (part of Forsyth Barr) running diversified and equity funds.
What asset class is the Octagon 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 Octagon Balanced Fund?
The annual fund charge for the Octagon Balanced Fund is 1.17% 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 Octagon 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 Octagon Balanced Fund a PIE fund?
Yes. The Octagon 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 Octagon Balanced Fund?
Fund size (assets under management) is NZ$37 million as at the latest Quarterly Fund Update. Asset mix is approximately 53% growth assets and 47% income assets.
What does the Octagon Balanced Fund invest in?
The latest published top holdings are: Hunter Global Fixed interest Fund (18.14%), Vanguard ESG US Stock ETF (1.90%), Fisher & Paykel Healthcare Corporation Limited (1.87%). 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 Octagon Balanced Fund?
The Octagon Balanced Fund is available via Octagon directly. Always read the current Product Disclosure Statement before investing.
Are balanced funds good for retirees?
Balanced funds blend growth and income assets to suit investors seeking diversification; Octagon Balanced Fund holds approximately 52.35% growth assets and 47.65% income assets. Whether a balanced fund matches a retiree's needs depends on individual circumstances including time horizon, income requirements, and risk tolerance—consult the PDS and consider personal financial advice.
What is the average return on a balanced fund?
Octagon Balanced Fund returned 3.83% p.a. after fees and before tax over the 5-year period as at the latest QFU; however, past performance is not a guarantee of future results. For peer-cohort return data, refer to the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/.
Is 0.25% a high management fee?
Fee levels are relative to fund type and strategy. Octagon Balanced Fund charges 1.17% p.a., which is 0.11 percentage points above the peer-cohort average of 1.06% p.a. for comparable diversified funds. For a broader view of fee ranges, see the FMA Disclose register.