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🛡️ Ultra-Conservative

Defensive Income-Focused KiwiSaver Scheme Funds

46 ultra-conservative KiwiSaver scheme funds with 80%+ income assets. Lowest risk option for imminent withdrawals - first home buyers purchasing within 12 months or retirees within 1 year.

Timing is Critical

Defensive funds are ONLY for money needed in 6-12 months

  • Too early? If you need money in 2+ years, use Conservative funds for better returns
  • First home: Switch when actively house hunting or have conditional offer
  • Retirement: Switch 6-12 months before your planned date
  • Trade-off: Extreme stability = lowest returns (1-4% vs 5-8% for Balanced)
Total Funds
46
80%+ bonds/cash
Average Return
1.61%
5-year average
Average Fees
0.61%
Annual fees
Avg Income Assets
95.5%
Ultra-defensive

When to Use Defensive Income Funds

✓ Perfect For:

  • • First home purchase in next 6-12 months
  • • Retiring within 1 year (age 64-65)
  • • Moving overseas soon (permanent emigration)
  • • Extreme risk aversion (can't handle any volatility)
  • • Need absolute certainty for imminent withdrawal

✗ DON'T Use If:

  • • You need money in 2+ years (use Conservative instead)
  • • You're under 60 with years to retirement
  • • You want growth (returns are 1-4%, very low)
  • • You have 5+ years until retirement
  • • You're building long-term wealth

Return Trade-offs Over Time

While defensive funds protect your capital short-term, they sacrifice significant returns long-term:

Defensive (80%+ bonds)
1-4%
$50k → $65k over 10 years
Conservative (70% bonds)
3-5%
$50k → $75k over 10 years
Balanced (50% bonds)
5-8%
$50k → $95k over 10 years

Illustrative — defensive funds typically match short-horizon withdrawal needs (e.g. within 12 months). For longer horizons, the foregone compounding vs growth-oriented funds is material. Match fund category to time horizon and consult a licensed financial adviser if unsure.

All Defensive Income Funds Ranked

RankFund NameProviderIncome Assets5-Year ReturnFeesRisk
#1Quaystreet Conservative FundSmartshares80.0%3.53%0.86%3/7
#2Conservative PortfolioMaritime81.7%3.53%0.61%4/7
#3Conservative FundSuperEasy80.7%2.74%0.51%3/7
#4Pathfinder Kiwisaver Conservative FundPathfinder87.2%2.71%1.01%3/7
#5Cash FundFisher100.0%2.68%0.45%1/7
#6Capital Guaranteed FundBooster88.7%2.63%1.03%2/7
#7BNZ Kiwisaver First Home Buyer FundBNZ85.7%2.62%0.45%3/7
#8Milford Kiwisaver Conservative FundMilford81.7%2.57%0.85%3/7
#9Milford Kiwisaver Cash FundMilford100.0%2.55%0.20%1/7
#10BNZ Kiwisaver Cash FundBNZ100.0%2.53%0.30%2/7
#11Investnow Macquarie Nz Cash FundFundrock100.0%2.50%0.30%2/7
#12UK Cash FundSmartshares100.0%2.41%0.59%4/7
#13Nz Cash FundSmartshares100.0%2.41%0.62%2/7
#14Cash FundWestpac100.0%2.38%0.25%2/7
#15Responsible Conservative FundMercer80.5%2.35%0.49%3/7
#16Cash FundMAS100.0%2.33%0.25%1/7
#17Cash FundANZ100.0%2.32%0.22%2/7
#18Cash FundANZ100.0%2.32%0.22%2/7
#19New Zealand Cash FundKoura100.0%2.20%0.73%1/7
#20Nz Cash FundASB100.0%2.18%0.35%2/7
#21AMP Cash FundAMP100.0%2.17%0.65%2/7
#22Cash FundMercer100.0%2.16%0.32%2/7
#23Bcf Kiwisaver SchemeArotahi100.0%2.16%0.76%3/7
#24Enhanced Cash FundBooster100.0%2.09%0.75%2/7
#25BNZ Kiwisaver Conservative FundBNZ80.9%2.09%0.45%3/7
#26Cash FundMercer100.0%2.05%0.43%2/7
#27Conservative FundMercer81.5%2.03%0.67%3/7
#28Conservative FundSimplicity80.2%1.80%0.25%1/7
#29Quaystreet Income FundSmartshares92.7%1.78%0.87%3/7
#30Quaystreet Fixed Interest FundSmartshares100.0%1.73%0.86%3/7
#31Income FundAnglican100.0%1.46%0.80%3/7
#32Nz Bonds FundSmartshares100.0%1.45%0.64%3/7
#33Goalsgetter Amova Nz Corporate Bond FundNikko100.0%1.16%0.80%3/7
#34Superlife Age Steps - Age 80Smartshares90.1%0.95%0.66%3/7
#35Income StrategyNZ Funds100.0%0.94%1.22%4/7
#36New Zealand Fixed Interest FundKoura100.0%0.68%0.73%3/7
#37Superlife Income FundSmartshares100.0%0.34%0.66%3/7
#38New Zealand Fixed Interest FundANZ100.0%0.15%0.34%3/7
#39SBS Wealth Income FundSBS100.0%-0.04%0.87%3/7
#40Overseas Bonds FundSmartshares100.0%-0.05%0.69%3/7
#41Overseas Non-Government Bonds FundSmartshares100.0%-0.12%0.64%4/7
#42S&P/Nzx Nz Government Bond FundSmartshares100.0%-0.14%0.64%3/7
#43AMP Global Fixed Interest FundAMP100.0%-0.81%0.84%3/7
#44International Fixed Interest FundANZ100.0%-0.87%0.49%4/7
#45AMP Nz Fixed Interest FundAMP100.0%-0.90%0.86%3/7
#46Global Aggregate Bond FundSmartshares100.0%-1.53%0.69%3/7

Other Low-Risk Options

Compare All Conservative Funds

Find the right balance of safety and returns for your timeline

Compare All Funds

Data source: FMA KiwiSaver Quarterly Reports. Last updated: May 2026.

Disclaimer: Defensive funds are lowest risk but not risk-free. Past performance does not guarantee future results. This is not financial advice. Consult a licensed financial adviser.

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