KiwiSaver Star Ratings
A carrot-based reward system to encourage workers to save is an idea that seems to be steaming along well for the government, and more importantly, for participants. Although only eight years young, KiwiSaver continues to attract members, all 2.53 million of them, who are using the scheme offered by different providers such as banks and investment companies.
KiwiSaver is intended to play an important role in funding retirement and it works alongside super or other investments to help ensure that ultimate goal is met. However when you’re young and first starting out, there are two things you need to get your head around – retirement many decades down the track, and understanding the sometimes complex nature of investments.
Government-mandated legislation now requires KiwiSaver providers to report on investments and results in a simple and standardized way (the periodic disclosure statements). This is of benefit when comparing funds and also when comparing the different levels of asset allocations.
We also give further clarity to the comparison process by rigorously sorting through the fine print of KiwiSaver products to determine which providers offer five-star value across the four different profiles – “conservative”, “balanced”,
“growth” and “cash”.
We trust our findings help you decide what’s right for you, whatever your investment stage in life.