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Jeremy Thomas

Jeremy Thomas

Want to have a comfortable retirement? Here's how

Posted in Kiwisaver, Retirement, Savings on

Retirement - whether it's at 65, 67 or some other age entirely - probably seems a long way off. But if you can get on track now, your future self will thank you for it. Here's how to get sorted for retirement in five easy(ish) steps.

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Nicola Hines

Nicola Hines

Women fall further behind in retirement savings race

Posted in Kiwisaver, Retirement, Savings on

New Zealand's retirement savings gender gap just keeps getting bigger, new research shows. ANZ said, on current savings patterns, women were likely to retire with almost $80,000 less in their KiwiSaver accounts than men. General manager of wealth products and marketing Ana-Marie Lockyer said it was disappointing to see women falling further behind in their retirement savings. She said the average balances of women members of ANZ's KiwiSaver scheme, the largest in the country, were 19 per cent lower than men's. Women had an average $13,333 compared to $16,527 for men. A year ago, women were only 15 per cent behind.

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Ryan Edwards

Ryan Edwards

Fee debate welcomed

Posted in Kiwisaver on

The Commission for Financial Capability has welcomed fresh debate on the touchy subject of KiwiSaver fees after a new report suggested there was an "unhealthy focus" on fees - rather than the overall outcome delivered by various schemes. The Australian-based SuperRatings research house says that substantial improvements have been made over the past year in terms of member engagement and servicing, but chief executive Adam Gee says that "the race to the bottom on fees remains particularly concerning."

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Nicola Hines

Nicola Hines

Perils of the passive strategy

Posted in Kiwisaver, Savings on

There has been a huge amount of media commentary on the relative merits of active versus passive investing, particularly in relation to KiwiSaver funds. Most media commentators, including Weekend Herald columnist Mary Holm, argue that passive KiwiSaver funds are better because they are cheaper. Holm maintains that active funds underperform passive managers on an after-fee basis, mainly based on United States research, and she repeatedly encourages individuals to invest through passive funds rather than active funds. But this debate should also include an assessment of fund managers as financial intermediaries. The argument should not be about fees only.

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Henry Tongue

Henry Tongue

SuperRatings Releases 2017 Kiwisaver Ratings

Posted in Kiwisaver on

SuperRatings has now released its formal 2017 ratings, awarding seven schemes its highest Platinum rating. Now in its fourth year of rating the KiwiSaver system, SuperRatings recognises that substantial improvements have been made over the year in terms of member engagement and servicing, albeit the challenging investment environment has resulted in subdued returns for many KiwiSaver members and the race to the bottom on fees remains particularly concerning.

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Sam Goldwater

Sam Goldwater

Members may lose the ‘race to the bottom’ on fees, researcher warns

Posted in Kiwisaver, Savings on

A new analysis has debunked the assumption that low fees inevitably equate with better outcomes for KiwiSaver investors. In fact, the study, released by Australian research house SuperRatings last week, found there was “often an inverse relationship between fees and investment outcomes achieved by members”.

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Ryan Edwards

Ryan Edwards

KiwiSaver relief for quake-affected

Posted in Kiwisaver on

Commerce and Consumer Affairs Minister Paul Goldsmith has announced relief for KiwiSaver members who are suffering financial hardship following the November 14 earthquakes, by making it easier for them to withdraw their funds.

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Sam Gapes

Sam Gapes

Don't panic - your KiwiSaver will outlive Trump's presidency

Posted on

KiwiSaver investors are being urged not to panic in the face of wild swings on world financial markets, following Donald Trump's victory in the US presidential election. Wall Street gained ground this morning, after yesterday's selloff on the New Zealand, Australian and Asian markets. But the experts say the volatility is likely to last for months. The Commission for Financial Capability says investors should not lose sight of their long-term savings goals.

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Jeremy Thomas

Jeremy Thomas

Age appropriate KiwiSaver with 'life stages'

Posted in Kiwisaver on

Generate's new 'life stages growth' option has been featured in an article from Stuff. "By offering life stages growth we think we can meet a demand that is not currently being catered for. "We estimate a 30-year old using life stages growth will have approx 10 per cent more at retirement than ordinary life stages." "This could translate into tens of thousands of additional dollars by retirement."

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Henry Tongue

Henry Tongue

Social responsibility a rising priority for funds

Posted in Kiwisaver on

SRI is a generic term that combines the financial objectives of investors with environmental, social and governance (ESG) issues. This is based on the concept that companies which place a great deal of importance on ESG issues will achieve superior financial returns. The problem with implementing SRI is that we all have a different view of how the world can be improved. Many investors do not want to support certain products, including armaments, tobacco, alcohol and gambling facilities, while others are concerned about a number of broader issues including the impact of businesses on the environment and the widening gap between senior executive remuneration and wage earners.

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