NZ Funds Management (New Zealand Funds Management Limited) runs the NZ Funds KiwiSaver Scheme, an actively managed scheme whose strategies can use derivatives, alternative assets and tactical shifts between asset classes rather than holding a fixed share and bond mix. This review covers that approach, the scheme’s fees and its five-year record to 30 June 2026. Other schemes are covered in our KiwiSaver provider reviews.
NZ Funds at a Glance
| Feature | Detail |
|---|---|
| Provider type | Active multi-asset strategies |
| Default provider | No |
| Funds available | Strategies including Income, Growth and Life Cycle options |
| Growth Strategy total fees | 2.08% a year on a $40,000 balance (Sorted Smart Investor, checked October 2026) |
| Growth Strategy 5-year return | 1.55% a year to 30 June 2026, after fees and tax (Sorted Smart Investor) |
| PIE fund | Yes |
| FMA regulated | Yes |
NZ Funds’ Investment Approach
NZ Funds uses a multi-asset, actively managed approach that goes beyond the standard equity/bond blend. Its strategies may include:
- Use of derivatives for risk management
- Alternative asset classes (beyond traditional shares and bonds)
- Active tactical asset allocation (shifting between asset classes based on market conditions)
Sorted describes the Growth Strategy’s objective, in the provider’s words, as: “The objective of the Growth Strategy is to grow your investment over the long term by investing in growth assets” (with active management). Sorted classes it as a KiwiSaver Aggressive fund; on 30 June 2026 it held 99.90% growth assets.
This structure is more complex than a simple index or single-manager fund, so its returns are harder to compare directly against other KiwiSaver providers’ funds.
NZ Funds Fund Range
NZ Funds offers a range of strategies mapped to risk profiles, described by their objectives rather than only the standard conservative/balanced/growth labels.
Fund specifics change periodically: refer to the current Product Disclosure Statement for the fund range and fees.
Fees
Sorted Smart Investor shows total fees for the Growth Strategy of 2.08% a year on a $40,000 balance (about $834), made up of a 1.10% management fee plus other charges. The average for aggressive KiwiSaver funds on the same page is 0.84%. Figures checked October 2026; fees differ by strategy, so check the current PDS or fund update for the strategy you hold.
For other providers’ fees side by side, see the KiwiSaver fund fees comparison.
Performance
Over the five years to 30 June 2026, the NZ Funds KiwiSaver Growth Strategy returned an average of 1.55% a year after fees and tax (28% PIR), according to Sorted Smart Investor. The average aggressive KiwiSaver fund returned 6.58% a year over the same period.
Past returns don’t predict future returns. For other strategies and the latest figures, use Sorted Smart Investor or the quarterly fund update, and compare within the same risk category.
Features and Limitations
Features:
- Multi-asset approach with active tactical asset allocation
- Use of derivatives and alternative asset classes
- Range of strategies by risk profile, including Life Cycle options
Limitations:
- Growth Strategy total fees of 2.08% a year, against a 0.84% average for aggressive KiwiSaver funds (Sorted, October 2026)
- Complex strategies that are harder to understand and evaluate than standard index funds
- Growth Strategy five-year return to 30 June 2026 below the aggressive-fund average
- Not a default provider
Where to check the latest data
Rates, fees and returns change often. Before deciding, check current figures yourself:
- Sorted Smart Investor: compares fees, returns and risk levels of KiwiSaver and managed funds.
- Disclose register: holds each fund's product disclosure statement and quarterly fund updates.
- The provider's latest fund update: gives the fund's current fees, returns and holdings.