Kernel Balanced Fund

At 0.25 percent total fees, Kernel Balanced Fund charges less than a quarter of what many balanced funds take in management costs, and over the past year that low-cost structure has coincided with first place in its category.

The fund splits 60 percent into growth assets and 40 percent into income, with international shares forming the largest single allocation at 42 percent. That offshore equity exposure includes direct holdings in Nvidia, Apple and Microsoft alongside broad emerging markets coverage through SPDR's ETF. The domestic side runs through Fisher & Paykel Healthcare and Auckland Airport, while the fixed income anchor leans heavily on New Zealand government bonds. The largest single holding is the iShares Core US Aggregate Bond ETF at nearly 9 percent, giving the fund a diversified base of American investment-grade debt. At 39.5 million dollars in assets under management, this is a smaller fund within the Kernel range, but its three-year return of 13.9 percent annualised places it second in the balanced category.

The structure is index-driven and transparent, built around ETFs and direct government securities rather than active stock-picking. Kernel's approach strips out layers of cost and keeps the portfolio composition visible.

General information only, not financial advice. Past performance is not a reliable indicator of future results.