diff --git a/spring-cloud-function-context/src/main/java/org/springframework/cloud/function/context/config/SmartCompositeMessageConverter.java b/spring-cloud-function-context/src/main/java/org/springframework/cloud/function/context/config/SmartCompositeMessageConverter.java
index 3691d35df..ff69c69dd 100644
--- a/spring-cloud-function-context/src/main/java/org/springframework/cloud/function/context/config/SmartCompositeMessageConverter.java
+++ b/spring-cloud-function-context/src/main/java/org/springframework/cloud/function/context/config/SmartCompositeMessageConverter.java
@@ -19,6 +19,7 @@ package org.springframework.cloud.function.context.config;
 import java.lang.reflect.Type;
 import java.util.ArrayList;
 import java.util.Collection;
+import java.util.Iterator;
 import java.util.List;
 
 import org.apache.commons.logging.Log;
@@ -34,7 +35,6 @@ import org.springframework.messaging.converter.MessageConverter;
 import org.springframework.messaging.converter.SmartMessageConverter;
 import org.springframework.messaging.support.MessageBuilder;
 import org.springframework.messaging.support.MessageHeaderAccessor;
-import org.springframework.util.CollectionUtils;
 import org.springframework.util.MimeType;
 import org.springframework.util.StringUtils;
 
@@ -73,40 +73,41 @@ public class SmartCompositeMessageConverter extends CompositeMessageConverter {
 		return null;
 	}
 
+	@SuppressWarnings("unchecked")
 	@Override
-	@Nullable
 	public Object fromMessage(Message<?> message, Class<?> targetClass, @Nullable Object conversionHint) {
-		for (MessageConverter converter : getConverters()) {
-			if (!(message.getPayload() instanceof byte[]) && targetClass.isInstance(message.getPayload()) && !(message.getPayload() instanceof Collection<?>)) {
-				return message.getPayload();
-			}
-
-			if (message.getPayload() instanceof Iterable && conversionHint != null) {
-				Iterable<Object> iterablePayload = (Iterable) message.getPayload();
-				Type t = FunctionTypeUtils.getImmediateGenericType((Type) conversionHint, 0);
-				Class rawType = FunctionTypeUtils.getRawType(t);
-				List<Object> resultList = new ArrayList<>();
-				for (Object item : iterablePayload) {
-					/*
-					 * Somewhere here we can do KafkaNull check or see below
-					 */
-					Message m  = MessageBuilder.withPayload(item).copyHeaders(message.getHeaders()).build();
-					Object result = (converter instanceof SmartMessageConverter & rawType != t ?
-							((SmartMessageConverter) converter).fromMessage(m, rawType, t) :
-							converter.fromMessage(m, rawType));
-					if (result != null) {
-						/*
-						 * Or most likely here we can do the KafkaNull check and not add it to the list
-						 */
-						resultList.add(result);
+		if (!(message.getPayload() instanceof byte[]) && targetClass.isInstance(message.getPayload()) && !(message.getPayload() instanceof Collection<?>)) {
+			return message.getPayload();
+		}
+		Object result = null;
+		if (message.getPayload() instanceof Iterable && conversionHint != null) {
+			Iterable<Object> iterablePayload = (Iterable<Object>) message.getPayload();
+			Type genericItemType = FunctionTypeUtils.getImmediateGenericType((Type) conversionHint, 0);
+			Class<?> genericItemRawType = FunctionTypeUtils.getRawType(genericItemType);
+			List<Object> resultList = new ArrayList<>();
+			for (Object item : iterablePayload) {
+				boolean isConverted = false;
+				if (item.getClass().getName().startsWith("org.springframework.kafka.support.KafkaNull")) {
+					resultList.add(item);
+					isConverted = true;
+				}
+				for (Iterator<MessageConverter> iterator = getConverters().iterator(); iterator.hasNext() && !isConverted;) {
+					Message<?> m  = MessageBuilder.withPayload(item).copyHeaders(message.getHeaders()).build(); // TODO Message creating may be expensive
+					MessageConverter converter = (MessageConverter) iterator.next();
+					Object conversionResult = (converter instanceof SmartMessageConverter & genericItemRawType != genericItemType ?
+							((SmartMessageConverter) converter).fromMessage(m, genericItemRawType, genericItemType) :
+							converter.fromMessage(m, genericItemRawType));
+					if (conversionResult != null) {
+						resultList.add(conversionResult);
+						isConverted = true;
 					}
 				}
-				if (!CollectionUtils.isEmpty(resultList)) {
-					return resultList;
-				}
 			}
-			else {
-				Object result = (converter instanceof SmartMessageConverter ?
+			result = resultList;
+		}
+		else {
+			for (MessageConverter converter : getConverters()) {
+				result = (converter instanceof SmartMessageConverter ?
 						((SmartMessageConverter) converter).fromMessage(message, targetClass, conversionHint) :
 						converter.fromMessage(message, targetClass));
 				if (result != null) {
@@ -114,7 +115,8 @@ public class SmartCompositeMessageConverter extends CompositeMessageConverter {
 				}
 			}
 		}
-		return null;
+
+		return result;
 	}
 
 	@Override