Find a KiwiSaver provider that's right for you

15 January, 2024

2 min read

Your KiwiSaver is an investment, and you get to choose the provider who manages that investment.

Your KiwiSaver provider invests your savings with the goal of growing these savings for your retirement.

There are multiple KiwiSaver providers that offer a range of fund options these usually include aggressive, growth, conservative and balanced funds, but sometimes they have more specialised options too.

Things to consider when you’re picking a KiwiSaver provider:

1. How have they performed (what are their returns over a long period of time)?
Checking a providers performance gives you an idea of the kind of financial impact investing with them could have on the balance of your savings. Remember KiwiSaver is a long-term investment, so it is normal to see returns fluctuating. The Morningstar KiwiSaver Survey is a good place to look at different providers rates of returns over time but, it’s important to remember that past performance isn’t a reliable indicator of future returns.

2. Are they active or passive? An active manager, like Pathfinder, makes decisions on what investments to buy and sell. Whereas a passive manager tends to copy what the market is doing and buys an index. Passive managers often offer lower fees, while active managers charge higher fees for more services. It’s a personal choice, but keep in mind that active managers aim to beat the returns of the passive index funds.

3. How do they invest? There are different specialties of investing, as mentioned above, some are active, and some are passive, but others will invest with a particular philosophy, such as Pathfinder’s Ethical Investing Policy. Have a think about what is important to you.

A financial adviser can help you if you are unsure about where to invest. Sorted has great website on how to find advice. Or you can give us a call on 0800 ETHICAL for a no-obligation chat.

And if you’d like to invest in line with your values. Mindful is a great website to check what’s in your KiwiSaver fund. Or you could take our values quiz.