Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Up To Half Of KiwiSavers Showing No Preference

17 December 2007
Media Release

Up To Half Of KiwiSavers Showing No Provider Preference

As many as half the 317,000 people who have signed up for KiwiSaver have shown no preference when it comes to the financial institution that will manage their money.

This is the early conclusion ASB Group Investments, one of the country’s six default providers has reached, after analysing the latest batch of information released to it by the IRD on KiwiSaver accounts.

“About 50 percent of those who have signed up with ASB have come to us out of the default pool,” said Peter Hall, Head of Group Investments, ASB.

“Of the rest, around 80% have actively chosen ASB while only 20% have come through the employer’s choice. This last statistic supports the anecdotal feedback we are getting that many employers are not yet actively involved with KiwiSaver.

“It suggests that while there is a great deal of enthusiasm for KiwiSaver, there is also a great deal of uncertainty among the public and employers.

“Rather than making a decision, they are simply letting the IRD do the selecting.”

Mr Hall said the trend may change once the ‘first wave’ of those signing up was processed, and as people became more familiar with KiwiSaver.

“If this early trend continues it suggests some schemes are receiving limited support.

“What this could lead to, down the track, is rationalisation of the 33 providers and 46 schemes on offer as people start to assess their returns, and exercise their right to transfer their funds between providers.

“However, of more importance right now, is that people sign up to a scheme, and get into the saving habit.

“Once in KiwiSaver, people will be more inclined to focus on the return their particular scheme is achieving.”

ASB Group Investments analysis of returns would suggest its KiwiSaver market share is about 20 percent.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news