NZX Indices Explained
What are the NZX indices?
The S&P/NZX index family tracks different slices of the NZ stock market. The headline NZX 50 covers the 50 largest NZ-listed companies by free-float market cap. The NZX 20 is the top 20. The NZX 50 Portfolio caps each stock at 5% to avoid concentration. Gross versions assume dividends reinvested; Capital versions don't.
- •NZX 50 — top 50 by free-float market cap
- •NZX 50 Portfolio — same, capped at 5% per stock
- •NZX 20 — top 20 large-caps
- •NZX 10 — top 10
- •NZX All — every eligible NZ-listed company
- •Gross vs Capital — with vs without dividends reinvested
The NZX index family
| Index | Constituents | Weighting | Use case |
|---|---|---|---|
| S&P/NZX 50 | Top 50 NZX companies | Free-float market cap | Headline benchmark |
| S&P/NZX 50 Portfolio | Top 50, 5% cap | Capped market cap | Tracked by diversified NZ funds |
| S&P/NZX 20 | Top 20 large-caps | Free-float market cap | Large-cap only exposure |
| S&P/NZX 10 | Top 10 largest | Free-float market cap | Concentrated large-cap |
| S&P/NZX Midcap | NZX 50 constituents ranked 11-50 | Free-float market cap | Mid-cap focus |
| S&P/NZX Smallcap | NZX All constituents outside NZX 50 | Free-float market cap | Small-cap NZ exposure |
| S&P/NZX All | Every eligible NZ-listed company | Free-float market cap | Broadest NZ equity benchmark |
Gross vs Capital — why it matters for dividend investors
Every NZX index is published in two versions:
- Capital Index — price-only. Tracks share-price movement.
- Gross Index — total return. Assumes every dividend is reinvested on the ex-dividend date.
Because NZ companies pay relatively high dividends (the NZX 50 current dividend yield tends to sit in the 3-5% range), the Gross Index pulls sharply ahead of the Capital Index over time. Historically, a large share of NZX total return comes from dividends reinvested — which is why most NZ fund benchmarks are quoted against the Gross version.
What the NZX 50 actually looks like
The NZX 50 is concentrated by sector. In a typical year:
- Healthcare — dominated by Fisher & Paykel Healthcare, Ryman, Summerset. Often 20–25% of the index.
- Utilities — Contact, Mercury, Meridian, Genesis. Around 15–20%.
- Property / REITs — Kiwi Property, Goodman Property, Argosy, Precinct, Property for Industry. 10–15%.
- Financials — Heartland, Tower, Turners, Savings groups. Smaller than you'd expect because ANZ and Westpac are dual-listed but count more heavily on the ASX.
- Industrials & Infrastructure — Auckland Airport, Port of Tauranga, Infratil, Spark, Chorus. Strong dividend payers, around 20–25%.
Browse by sector in our NZX sectors overview.
Funds that track NZX indices
Most NZ index funds use the NZX 50 Portfolio (capped) version rather than standard NZX 50:
- Smartshares NZ Top 50 ETF (FNZ.NZ)
- Smartshares NZ Dividend ETF (DIV.NZ)
- Simplicity NZ Share Fund (tracks a customised NZ equity index)
- SuperLife NZ Top 50 Fund
- Milford and several other active managers benchmark against the NZX 50 Gross Portfolio Index but don't strictly track it
See our NZ ETFs guide for a broader list.
General Disclaimer
Frequently asked questions
What is the difference between the NZX 50 and the S&P/NZX 50?
They're the same thing. Since 2003, NZX partners with S&P Dow Jones Indices to calculate the indices, so the formal name is S&P/NZX 50. Media often shorten it to 'NZX 50'. Both refer to the 50 largest NZX-listed companies by free-float-adjusted market cap.
What is the S&P/NZX 50 Portfolio Index?
The NZX 50 Portfolio Index caps each constituent at a 5% weight, re-balanced quarterly. This prevents a single large stock (historically Fisher & Paykel Healthcare) from dominating the index. Several NZ-focused funds track the Portfolio version rather than the standard NZX 50 to avoid concentration risk.
What's the difference between a Gross Index and a Capital Index?
A Capital Index tracks only share-price changes. A Gross Index assumes all dividends are reinvested back into the index. For most NZX indices, the Gross version shows significantly higher long-term returns because NZ companies pay relatively high dividends — around 50-70% of NZX 50 total return has historically come from dividends reinvested.
How often do NZX indices rebalance?
The main NZX indices (NZX 50, NZX 20, NZX 10) rebalance quarterly — reviews take place in March, June, September and December. Changes are announced in advance by S&P Dow Jones Indices; stocks can be added or removed based on market cap, liquidity, and free-float thresholds.
Which NZX index should I benchmark against?
For most diversified NZ equity exposure, the S&P/NZX 50 Gross Index is the standard benchmark — it's what most NZ KiwiSaver and managed funds compare themselves to. If you hold a portfolio biased to the very largest NZ companies, the NZX 20 is closer. For small-cap exposure, the NZX All or the NZX Midcap Index are more relevant.