Manager claims verified · 2026 Q2
Milford Active Growth — we recomputed the fund's published objective
Milford's Investment Funds PDS publishes an explicit return objective for the Active Growth Fund. We pulled the FMA Disclose-mirrored numbers from Sorted Smart Investor and put them side by side. This is mechanical comparison, not financial advice.
The published objective
"The Fund's objective is to provide annual returns of 10% after the base fund fee but before tax and before the performance fee, over the minimum recommended investment timeframe of 7 years."
— Milford Investment Funds Product Disclosure Statement (18 June 2025), as mirrored on Sorted Smart Investor
The numbers, recomputed from FMA Disclose
| Metric | Milford Active Growth | Peer-average (same category) | Source |
|---|---|---|---|
| Annual fund charge | 1.05% | 1.29% | Sorted Smart Investor |
| 5-year return p.a. (after fees + tax) | 6.79% | 4.31% | Sorted Smart Investor |
| Risk indicator (1–7) | 4 | — | Sorted Smart Investor |
| Fund size | NZ$5.98B | — | Sorted Smart Investor |
Peer-average = same FMA-defined category (diversified-growth managed funds, ~78% growth assets). Over the period reported, the Milford Active Growth Fund's 5-year return was 2.48 percentage points above peer average and its annual fund charge was 0.24 percentage points below.
$100,000 invested for 5 years — what compounding the published returns gives us
Starting value
$100,000
Milford Active Growth — final
NZ$138,884
Compounded at 6.79% p.a. over 5 years
Peer average — final
NZ$123,489
Compounded at 4.31% p.a. over 5 years
Difference vs peer average: NZ$15,395 over 5 years on a $100K investment. This is mechanical compounding against published 5-year returns — past performance is not a reliable indicator of future returns and the fund's performance fee, which is not deducted from the published 5-year return figure used here in only some periods, can change the gap on a forward-looking basis.
Methodology — why the published 10% target and the FMA 6.79% are not directly comparable
- The Milford-published 10% p.a. target is before tax and before the performance fee. It assumes only the base fund fee has been deducted.
- The FMA-reported 6.79% 5-year return is after all fees (including performance fees) and after tax at the highest PIR (28%). This is the standardised figure published in every Quarterly Fund Update across every retail managed fund in NZ.
- The two numbers can only be compared after grossing the FMA figure up for tax and adding back the performance-fee drag — both of which vary by period. We do not perform that adjustment here because it would require assumptions about the period's effective tax rate and performance-fee accrual that are not in the published data.
- The peer-cohort comparison (6.79% vs 4.31% peer-average; 1.05% fee vs 1.29% peer-average fee) is apples-to-apples because both numbers are FMA-standardised on the same basis.
- The minimum recommended investment timeframe in the published objective is 7 years. The Sorted-mirrored 5-year return is shorter than that horizon — Milford does not publish a 7-year return on the FMA-mandated dashboard, which only requires up to 5 years.
Important: This is a mechanical recompute of published numbers, presented for transparency. ManagedFundsNZ is not a Financial Advice Provider (FAP) and does not give personalised advice. Past performance is not a reliable indicator of future returns. Read the current Product Disclosure Statement on the FMA Disclose register and consider speaking to a licensed financial adviser before deciding what to do.
Common questions
What does Milford publish as its return objective for this fund?
Milford's Investment Funds Product Disclosure Statement (June 2025), mirrored on Sorted Smart Investor, states the Active Growth Fund's objective is to provide annual returns of 10% after the base fund fee but before tax and before the performance fee, over the minimum recommended investment timeframe of 7 years.
What does FMA Disclose data say about actual returns?
As mirrored on Sorted Smart Investor, the Milford Active Growth Fund's annual fund charge is 1.05% p.a. and its 5-year return after fees and tax (at the highest PIR) is 6.79%. The peer-average annual fund charge is 1.29% and peer 5-year return is 4.31%.
Can I compare the published 10% target directly to the FMA-reported 6.79%?
Not directly — they measure different things. The Milford-published 10% target is before tax and before performance fees (after only the base fund fee). The FMA-reported 6.79% is after all fees (including performance fees) and after tax at the highest PIR (28%). Adjusting for those two drag layers changes the comparison materially. The FMA-required figure is the standardised one used across every retail managed fund, which is why we present it here without adjustment.
What about the peer-cohort comparison?
On the FMA-defined diversified-growth peer cohort, the Active Growth Fund's annual fund charge of 1.05% sits 0.24 percentage points below the peer-average 1.29%, and its 5-year return of 6.79% sits 2.48 percentage points above the peer-average 4.31% (after fees and tax). This is mechanical peer-cohort positioning over a single 5-year window — it is not predictive of future periods.
What would $100,000 have grown to in this fund vs the peer average over 5 years?
Compounding the FMA Disclose-mirrored 5-year returns: $100,000 in the Milford Active Growth Fund grew to NZ$138,884, vs the peer-average growth to NZ$123,489. The difference is NZ$15,395 over 5 years on a $100K starting investment. This is mechanical math against published returns, not a guarantee of future performance.
Is this an endorsement of the fund?
No. ManagedFundsNZ does not provide financial advice and is not licensed to make recommendations. Past performance is not a reliable indicator of future returns. Different funds suit different investor goals, time horizons, and risk tolerances. Read the current Product Disclosure Statement and consider speaking to a licensed financial adviser before deciding what to do.