Compare your KiwiSaver - Q1 2023 Update
The start of 2023 has been marked by continued volatility, much like 2022. The war in Ukraine continues, central banks have continued to raise rates to bring inflation under control, and investors weigh the impact higher rates will have on the global economy. Added to that, we have also seen the failure of several smaller US banks and Credit Suisse. While central banks have swiftly stepped in to contain the flow-on impacts, uncertainty in financial markets persists. Despite all of this, KiwiSaver investors have started the year off well. The average multisector category returns ranged from 2.9% for the conservative category (including default options) to 5.6% for the aggressive category over the March quarter.
To help New Zealand investors assess their KiwiSaver investment options, we collated data from the Morningstar KiwiSaver Survey 31 March 2023 the most recent survey conducted and ranked the top 5 funds in each category on performance. Please note that past performance is no guarantee of future performance, further, there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible investing considerations
Process and portfolio composition
Organisational stability
Fees
Customer service
Note that all funds have been ranked on their most recent 5-year average yearly performances as at 31 March 2023, after fees.
Contents:
Conservative fund category top performers
Milford Conservative: 3.3% (five year average return)
Quay Street Conservative: 3.2% (five year average return)
Kiwi Wealth Default Conservative: 2.9% (five year average return)
What difference would this make to my KiwiSaver?
The industry average return for Conservative fund types over the most recent 5 years was 2.4%*.
Best KiwiSaver Funds - Milford Conservative Fund vs Conservative Fund Average
What are the fees compared to industry average?
KiwiSaver fees are typically calculated as a % of your total balance. The majority of KiwiSaver funds also charge a fixed admin fee, however this is relatively small and consistent across varying KiwiSaver schemes. Please note that all returns stated are net of fees (returns after fees, before tax).
Industry Average for Conservative Funds fees = 0.63%
Milford Conservative Fund fees = 0.95%
Milford Conservative Fund Description
The Milford Conservative Fund description was obtained directly from Milfords most recent monthly fact sheet as at 30 April 2023.
The Fund’s objective is to provide moderate returns and protect capital after the base fund fee but before tax over the minimum recommended investment timeframe of three years. It is a diversified fund that primarily invests in fixed interest securities, with a moderate allocation to equities.
Milford Conservative Fund Asset Allocation
To find Milford’s actual asset allocation percentages for their Conservative Fund as at 30 April 2023, hover over each of the elements of the graph.
Thinking about the Milford Conservative Fund?
The Milford Conservative Fund is suitable for investors who have a minimum recommended investment timeframe of 3 years before planning on withdrawing. Do note that past performance is no guarantee of future performance, further there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible Investing Considerations
Process and portfolio composition
Organisational Stability
Fees
Customer service
If you want to know if your KiwiSaver fund is both being maximised and suitable for your personal situation, follow the link below to our KiwiSaver advice page. The page contains a link to our KiwiSaver Discovery Quiz that takes approximately 5 minutes to complete, and once you have finished we will provide you with a complimentary no-obligation KiwiSaver recommendation.
Moderate fund category top performers
Generate Moderate Fund (Formerly known as Conservative Fund): 4.3% (five year average return)
ANZ Conservative Balanced: 3.5% (five year average return)
MAS Moderate: 3.3% (five year average return)
What difference would this make to my KiwiSaver?
The industry average return for Moderate fund types over the most recent 5 years was 3%.
Best KiwiSaver Funds - Generate Moderate Vs Moderate Fund Average
What are the fees compared to industry average?
Industry Average for Moderate Funds Fees = 0.81%
Generate Moderate Fund Fees = 1.14%
Generate Moderate Fund Description
The Generate KiwiSaver Moderate Fund description was obtained directly from Generate’s most recent quarterly update.
The objective of the Moderate Fund is to provide a moderate investment return over the long term through investment in a portfolio of actively managed cash, fixed interest, property and infrastructure assets, Australasian equities and international equities. The fund has a low to medium level of volatility.
Generate Moderate Fund Asset Allocation
To find Generate’s Moderate actual asset allocation percentages for their Moderate Fund as at 31 March 2023, hover over each of the elements of the graph.
Thinking about the Generate KiwiSaver Moderate Fund?
The Generate Moderate Fund is suitable for investors who have a minimum recommended investment timeframe of 3 years before planning on withdrawing. Do note that past performance is no guarantee of future performance, further there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible Investing Considerations
Process and portfolio composition
Organisational Stability
Fees
Customer service
If you want to know if your KiwiSaver fund is both being maximised and suitable for your personal situation, follow the link below to our KiwiSaver advice page. The page contains a link to our Discovery Quiz that takes approximately 5 minutes to complete, and once you have finished we will provide you with a complimentary no-obligation KiwiSaver recommendation.
Balanced fund category top performers
Milford Balanced: 7.1% (five year average return)
SuperLife Ethica: 5.9% (five year average return)
QuayStreet Balanced: 5.8% (five year average return)
What difference would this make to my KiwiSaver?
The industry average return for Balanced fund types over the most recent 5 years was 4.8%*.
Best KiwiSaver Funds - Milford Balanced Vs Balanced Fund Average
What are the fees compared to industry average?
Industry Average for Balanced Funds fees = 0.77%
Milford Balanced Fund fees = 1.06%
Milford Balanced Fund Description
The Milford Balanced Fund description was obtained directly from Milford’s latest fund fact sheet.
The Fund’s objective is to provide capital growth after the base fund fee but before tax and before the performance fee, over the minimum recommended investment timeframe of five years. It is a diversified fund that primarily invests in equities, with a significant allocation to fixed interest securities.
Milford Balanced Fund Asset Allocation
To find Milford’s actual asset allocation percentages for their Balanced Fund as at 30 April 2023, hover over each of the graphs elements.
Thinking about the Milford Balanced Fund?
The Milford Balanced Fund is suitable for investors who have a minimum recommended investment timeframe of 5 years before planning on withdrawing. Do note that past performance is no guarantee of future performance, further there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible Investing Considerations
Process and portfolio composition
Organisational Stability
Fees
Customer service
If you want to know if your KiwiSaver fund is both being maximised and suitable for your personal situation, follow the link below to our KiwiSaver advice page. The page contains a link to our fact find that only takes 5 minutes to complete, and once you have finished we will provide you with a free no-obligation KiwiSaver recommendation.
Growth FUND CATEGORY TOP PERFORMERS
Milford Active Growth: 8.6% (five year average return)
Simplicity Growth: 6.8% (five year average return)
QuayStreet Growth: 6.8% (five year average return)
What difference would this make to my KiwiSaver?
The industry average return for Growth fund types over the most recent 5 years was 6.2%*.
Best KiwiSaver Funds - Milford Active Growth Vs Growth Fund Average
What are the fees compared to industry average?
Industry Average for Growth Funds fees = 0.96%
Milford Active Growth Fund Fees
Base fee = 1.05%
Performance fee = 0.15% (only charged where the fund return outperforms its benchmark)
Milford Active Growth Fund Description
The Milford Active Growth Fund description was obtained directly from Milford's latest Fund Fact Sheet.
The fund aims to provide annual returns of 10% over at least 7 years, and is a medium to high risk investment. It provides a diversified exposure to primarily equities and moderate allocation to fixed interest securities.
Milford Active Growth Fund Asset Allocation
To find Milford’s actual asset allocation percentages for their Growth Fund as of 30 April 2023, hover over each of the elements of the graph.
Thinking about the Milford Active Growth Fund?
The Milford Active Growth Fund is suitable for investors with a minimum recommended investment timeframe of 7 years before planning on withdrawing. Do note that past performance is no guarantee of future performance, further there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible Investing Considerations
Process and portfolio composition
Organisational Stability
Fees
Customer service
If you want to know if your KiwiSaver fund is both being maximised and suitable for your personal situation, follow the link below to our KiwiSaver advice page. The page contains a link to our KiwiSaver Discovery Quiz that takes approximately 5 minutes to complete, and once you have finished we will provide you with a complimentary no-obligation KiwiSaver recommendation.
aggressive FUND CATEGORY TOP PERFORMERS
Booster Socially Responsible High Growth Fund: 8.7% (five year average return)
Booster High Growth: 7.5% (five year average return)
MAS Aggressive: 7.0% (five year average return)
What difference would this make to my KiwiSaver?
The industry average return for Aggressive fund types over the most recent 5 years was 6.7%*.
Best KiwiSaver Funds - Booster Socially Responsible High Growth Vs Aggressive Fund Average
What are the fees compared to industry average?
Industry Average for Aggressive Funds fees = 1.05%
Booster Socially Responsible High Growth Fund fees = 1.35%
Booster Socially Responsible High Growth Fund Description
The Booster Socially Responsible High Growth description was obtained directly from the funds latest monthly fact sheet.
The Socially Responsible High Growth Fund aims to achieve a rate of return (net of fees but before tax) of at least 4.5% per annum above inflation over any ten year period. The fund invests predominantly in growth assets, with little or no income assets.
Booster Socially Responsible High Growth Fund Asset Allocation
To find this fund’s actual asset allocation percentages as of 30 April 2023, hover over each of the graphs elements.
Thinking about the Booster Socially Responsible High Growth Fund?
The Booster Socially Responsible High Growth Fund is suitable for investors who have a minimum suggested investment timeframe of at least 10 years before planning on withdrawing. Do note that past performance is no guarantee of future performance, further there are several other factors to consider when deciding on a KiwiSaver fund that is right for you including:
Responsible Investing Considerations
Process and portfolio composition
Organisational Stability
Fees
Customer service
*Please note that all graphs depicting projections use a $10,000 starting balance, with compounding interest at the rates stated. They exclude any further contributions (such as your employee, employer or Government contributions).
If you want to know if your KiwiSaver fund is being maximised and suitable for your personal situation, follow the link below to our KiwiSaver fact find that only takes 5 minutes to complete, and once you have finished we will provide you with a free no-obligation KiwiSaver recommendation. Or you can book in for a quick 5 min chat.
Compound Wealth is a KiwiSaver, Retirement and Private Wealth Financial Advice Firm based in Mount Maunganui, Bay of Plenty.