Compare yields, fees, and holdings of the best dividend ETFs for Kiwi investors seeking passive income
Receive quarterly dividend distributions from profitable NZ companies, providing steady passive income.
All NZ dividend ETFs use PIE structure, simplifying tax and capping your rate at your PIR (10.5%, 17.5%, or 28%).
Invest in familiar NZ companies without currency risk, supporting the local economy.
Key Benefit: Unlike international ETFs subject to FIF tax rules, NZ dividend ETFs offer simple tax treatment through the PIE regime. Your fund manager handles all tax reporting automatically.
Ticker: DIV
Tracks the top 15 NZ dividend-paying stocks
Dividend Yield
5.3%
Annual Fee (MER)
0.54%
Key Holdings
Fletcher Building, Contact Energy, Meridian Energy
Distributions
Quarterly
Minimum Investment
$250 (via InvestNow)
Tax Structure
PIE
Ticker: FNZ
Tracks the 50 largest NZ companies by market cap
Dividend Yield
3.8%
Annual Fee (MER)
0.52%
Key Holdings
Fisher & Paykel Healthcare, a2 Milk, Spark
Distributions
Quarterly
Minimum Investment
$250 (via InvestNow)
Tax Structure
PIE
Ticker: NZ20
Low-cost exposure to top 20 NZ companies
Dividend Yield
3.2%
Annual Fee (MER)
0.29%
Key Holdings
Auckland Airport, Infratil, Mainfreight
Distributions
Annual
Minimum Investment
$100
Tax Structure
PIE
Ticker: N/A
Diversified NZ equity exposure through managed fund
Dividend Yield
3.5%
Annual Fee (MER)
0.51%
Key Holdings
Broad NZ market coverage
Distributions
Quarterly
Minimum Investment
$50
Tax Structure
PIE
| ETF Name | Ticker | Yield | MER | Min. Investment |
|---|---|---|---|---|
| Smartshares NZ Dividend ETF | DIV | 5.3% | 0.54% | $250 (via InvestNow) |
| Smartshares NZ Top 50 ETF | FNZ | 3.8% | 0.52% | $250 (via InvestNow) |
| Kernel NZ 20 Fund | NZ20 | 3.2% | 0.29% | $100 |
| SuperLife NZ Shares Fund | N/A | 3.5% | 0.51% | $50 |
All NZ dividend ETFs listed here are Portfolio Investment Entities (PIEs). This means:
Automatic tax deduction: Tax is deducted by the fund manager at your PIR
Capped tax rate: Maximum 28%, even if your marginal rate is 33% or 39%
No IR3 filing needed: You don't need to report PIE income in your tax return
Imputation credits: NZ dividends often include imputation credits, reducing tax
Your PIR depends on your income: Most investors use 17.5% or 28%. Check with your provider or IRD to confirm your correct PIR.
International ETFs (like SPY, QQQ) use FIF tax rules, which require:
Conclusion: NZ dividend ETFs offer significantly simpler tax treatment.
Best for: Long-term buy-and-hold investors
Best for: Cost-conscious investors
Best for: Beginners wanting flexibility
NZ dividend ETFs offer simple, tax-efficient passive income for Kiwi investors