Simplicity NZ Bond Fund
Managed by Simplicity Simplicity NZ Bond Fund is a nz fixed interest managed fund operated by Simplicity; PIE-structured; FMA risk indicator 4/7. Headline terms: annual fund charge 0.10% · minimum investment NZ$1. Compared with 13 other same-category funds on this site, the 0.10% annual fund charge sits below the same-category median of 0.65%.
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
0.10%
vs peer avg 0.65%
Risk indicator
4/7
1 = lower risk · 7 = higher risk
5-year return p.a.
0.53%
peer avg 1.17%
Fund size
NZ$673.9m
0% growth · 100% income
The NZ Bond Fund invests in New Zealand government bonds and investment grade, liquid bonds issued in New Zealand dollars, designed to be the New Zealand bond component of a diversified investment portfolio.
Benchmark track record
Compare NZ Fixed Interest consistency →How Simplicity NZ Bond 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.
Growth of NZ$10,000
2020–2026, 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$10,493 · to 31 March 2026
Beat its benchmark in 3 of 7 years
annual returns to 31 March 2026Since inception: 0.08% p.a. after fees & tax vs benchmark -0.03%.
How Simplicity NZ Bond Fund differs
Factual contrasts drawn from the PDS, SIPO and latest portfolio holdings — no opinion.
- Top 3 holdings
- New Zealand govt bond 3.5% 14 April 2033 (6.9%) · Westpac NZ FRN 6 July 2026 (5.9%) · IBRD bond 4.25% 23 July 2032 (5.7%)
- Currency policy
- A market benchmarked approach is taken to managing currency risk. International equities are hedged passively at a 50% benchmark (range 40-60%) and international fixed interest at 100% benchmark (range 95-105%), implemen…
Key facts
Fund start date
3 April 2018
Min. investment
NZ$1
Tax structure
PIE
Capped at your PIR (max 28%)
Investment policy
From the Statement of Investment Policy and Objectives (SIPO).
Responsible-investment approach
A negative screening approach is adopted for all portfolios, based on excluded business activities and behaviour-related exclusions. For overseas investments, external manager DWS applies custom broad-based market indices subject to responsible investment screening overlay.
Derivatives policy
Derivatives are only permitted for forward foreign exchange contracts to hedge currencies and interest rate swaps to hedge interest rate risk of community housing bonds. Derivatives are only used if there is no cost-effective means to gain an essential investment exposure using physical securities.
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.
- Simplicity NZ Limited acknowledges a conflict of interest because investor funds flow from the KiwiSaver and Investment Funds schemes into a Wholesale Scheme managed by its wholly owned subsidiary SIML, creating a related-party investment chain.
- Simplicity discloses that the Property Fund invests exclusively in unlisted shares of Simplicity Living Limited, a company 100% controlled by Simplicity through SIML, meaning the fund has no diversification outside this single related-party asset.
- Simplicity acknowledges that one of its directors sits on the Simplicity Living board and that Simplicity itself sets the valuation model parameters used to price those unlisted shares, combining shareholder representation and valuation control in the same organisation.
- Simplicity states it manages these conflicts through a Conflicts of Interest Policy requiring a certificate confirming all related-party transactions are on an arm's-length basis, comply with investment guidelines, and are in investors' interests.
Generated 2026-05-28 from Simplicity Wholesale Property Fund (Simplicity KiwiSaver Scheme and Simplicity Investment Funds Scheme) OMI (dated 2025-06-24). 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
Public Trust
Custodian
Simplicity Investment Nominees Limited (nominee for Property Fund's shareholding in Simplicity Living Limited)
Conflicts disclosed
4
In OMI
Conflicts of interest disclosed in OMI
- Simplicity NZ Limited manages the Schemes whose funds invest in the Wholesale Scheme managed by its wholly owned subsidiary SIML, creating a related-party investment relationship.
- The Property Fund invests exclusively in unlisted shares of Simplicity Living Limited, which is an associated person of Simplicity and wholly controlled (100% voting shares) by Simplicity through SIML.
- A Simplicity director sits on the board of Simplicity Living, representing both the shareholder (Property Fund) and underlying investors, while Simplicity also sets the valuation model parameters (including the Standard Development Margin and marketability discount factor) used to value Simplicity Living shares.
- Simplicity has a Conflicts of Interest Policy requiring all related-party transactions between the Schemes and the Wholesale Scheme to be made under a certificate confirming arm's-length basis, compliance with SIPOs and investment guidelines, and that they are in investors' interests.
How this fund compares to peers
Mechanical comparison vs the 14 other nz fixed interest 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
0.10%
Category median: 0.63%
Cheaper than 96% of peers
5y return p.a. (after fees)
+0.53%
Category median: +1.13%
Lower than most peers (bottom 4% over period)
Fund size
NZ$673.9m
Category median: NZ$151.2m
Top 11% by AUM
Illustrative 5y fee impact on a sample balance of $10,000
$50
Compounded charge over 5 years (excl. returns)
$259 less 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 |
|---|---|
| NZ New Zealand govt bond 3.5% 14 April 2033 | 6.89% |
 Westpac NZ FRN 6 July 2026 | 5.94% |
| IB IBRD bond 4.25% 23 July 2032 | 5.67% |
| NZ New Zealand govt bond 1.5% 15 May 2031 | 4.92% |
| NZ New Zealand govt bond 5% 15 May 2054 | 4.59% |
| NZ New Zealand govt bond 2.75% 15 May 2051 | 4.43% |
 Auckland Council bond 5.745% 17 June 2039 | 4.39% |
| IB IBRD bond 0.625% 24 Sept 2027 | 4.28% |
| EB EDC bond 3.875% 08 August 2030 | 4.26% |
| NZ New Zealand govt bond 2.75% 15 April 2037 | 4.20% |
Documents
Every dated PDS, quarterly fund update and full-portfolio holdings file. Linked from the FMA Disclose register via Sorted Smart Investor.
- NZ BOND FUND (FND9381) Full portfolio holdings 31 March 2026.xlsx Download the full portfolio holdings. XLSX, 1.62 KB
- Product Disclosure Statement Simplicity Investment Funds 1 September 2025.pdf How this investment works, including about the provider, risks, costs and potential returns PDF, 168.18 KB
- Simplicity NZ Bond Fund update 31 March 2026.pdf The quarterly update published by the provider PDF, 452.08 KB
- Simplicity Wholesale Property Fund OMI 30 June 2025.pdf Wholesale Property Fund other material information 30 June 2025 PDF, 322.79 KB
- Letterto FMA (FMC Exemption Notice 2020)18 August 20.pdf Financial Markets Conduct (Financial Reporting and Other Relief—COVID-19) Exemption Notice 2020 (Exemption Notice) PDF, 239.41 KB
- Other Material Information Simplicity Investment Funds 1 September 2025.pdf Other Material Information PDF, 4.07 MB
- Simplicity Investment Funds Financial Statements&Annual Report 31 March 2017.pdf Letter in lieu of annual report and financial statements PDF, 227.39 KB
- Simplicity Private Equity Valuation Policy Final 250130 v 5.pdf Simplicity Private Equity Valuation Policy PDF, 700.81 KB
- Simplicity Investment Funds 31 March 2026 Register Entry Additional Information First Home Mortgage Fund.pdf Simplicity Investment Funds- 31 December 2025 - Register Entry Additional Information - Fir
- Statement of Investment Policy and Objectives Simplicity Investment Funds 1 May 2026.pdf Statement of investment policy and objectives PDF, 395.98 KB
About this category
Funds investing in New Zealand-issued government and corporate bonds. Generally lower-risk than equity funds; income-focused.
About Simplicity
Not-for-profit-aligned manager offering low-fee diversified and single-asset PIE funds; donates 15% of fees to charity.
See all funds from Simplicity →Common questions
Questions people ask about Simplicity NZ Bond 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 Simplicity a good investment fund?
Simplicity NZ Bond Fund is a PIE-taxed fixed-interest fund with an annual fund charge of 0.1% p.a., which is significantly lower than the peer-cohort average of 0.65% p.a. as at the latest QFU. Whether it suits your circumstances depends on your investment goals, time horizon, and risk tolerance; check the current Product Disclosure Statement on https://simplicity.kiwi and review the fund's 5-year return after fees of 0.53% p.a. against your expectations.
Do you pay tax on bonds in NZ?
Yes, bond fund returns are taxable in New Zealand. Simplicity NZ Bond Fund is structured as a PIE (Portfolio Investment Entity), which means your tax liability is capped at your prescribed investor rate (PIR), with a maximum of 28%. For specific tax treatment of your own investment, consult the IRD website or a tax adviser.
How safe is Simplicity?
Simplicity NZ Bond Fund has a risk indicator of 4 out of 7 on the FMA standardised scale, indicating moderate risk. The fund holds approximately 99.93% income assets (mainly government and corporate bonds) with minimal growth assets, meaning it is exposed to interest-rate and credit risk but not significant equity volatility. For full risk details, refer to the current Product Disclosure Statement.
What are the alternatives to Simplicity?
Other NZ fixed-interest funds are available through various managers and platforms. To compare funds in this category by fee, performance, risk profile, and holdings, use the fund comparison tools on this site or check the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/.
Head-to-head
Compare Simplicity NZ Bond Fund with…
Side-by-side numbers — fees, returns, risk, fund size, asset mix.
Peer funds
Other NZ Fixed Interest funds
Same manager
Other funds by Simplicity
- Simplicity Unhedged Global Share FundInternational Equities
- Simplicity Hedged Global Share FundInternational Equities
- Simplicity NZ Share 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.
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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 Simplicity NZ Bond Fund?
Simplicity NZ Bond Fund is managed by Simplicity. Not-for-profit-aligned manager offering low-fee diversified and single-asset PIE funds; donates 15% of fees to charity.
What asset class is the Simplicity NZ Bond Fund?
It is a nz fixed interest managed fund. The fund has a conservative risk profile. Funds investing in New Zealand-issued government and corporate bonds. Generally lower-risk than equity funds; income-focused.
What are the fees for the Simplicity NZ Bond Fund?
The annual fund charge for the Simplicity NZ Bond Fund is 0.10% 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 Simplicity NZ Bond 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 Simplicity NZ Bond Fund a PIE fund?
Yes. The Simplicity NZ Bond 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 Simplicity NZ Bond Fund?
Fund size (assets under management) is NZ$674 million as at the latest Quarterly Fund Update. Asset mix is approximately 0% growth assets and 100% income assets.
What does the Simplicity NZ Bond Fund invest in?
The latest published top holdings are: New Zealand govt bond 3.5% 14 April 2033 (6.89%), Westpac NZ FRN 6 July 2026 (5.94%), IBRD bond 4.25% 23 July 2032 (5.67%). 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 Simplicity NZ Bond Fund?
The Simplicity NZ Bond Fund is available via Simplicity directly. Always read the current Product Disclosure Statement before investing.
Is Simplicity a good investment fund?
Simplicity NZ Bond Fund is a PIE-taxed fixed-interest fund with an annual fund charge of 0.1% p.a., which is significantly lower than the peer-cohort average of 0.65% p.a. as at the latest QFU. Whether it suits your circumstances depends on your investment goals, time horizon, and risk tolerance; check the current Product Disclosure Statement on https://simplicity.kiwi and review the fund's 5-year return after fees of 0.53% p.a. against your expectations.
Do you pay tax on bonds in NZ?
Yes, bond fund returns are taxable in New Zealand. Simplicity NZ Bond Fund is structured as a PIE (Portfolio Investment Entity), which means your tax liability is capped at your prescribed investor rate (PIR), with a maximum of 28%. For specific tax treatment of your own investment, consult the IRD website or a tax adviser.
How safe is Simplicity?
Simplicity NZ Bond Fund has a risk indicator of 4 out of 7 on the FMA standardised scale, indicating moderate risk. The fund holds approximately 99.93% income assets (mainly government and corporate bonds) with minimal growth assets, meaning it is exposed to interest-rate and credit risk but not significant equity volatility. For full risk details, refer to the current Product Disclosure Statement.
What are the alternatives to Simplicity?
Other NZ fixed-interest funds are available through various managers and platforms. To compare funds in this category by fee, performance, risk profile, and holdings, use the fund comparison tools on this site or check the FMA Disclose register at https://disclose-register.companiesoffice.govt.nz/.