The Government s KiwiSaver moves will apply competitive pressure to funds market
14 May, 2021 01:54 AM
3 minutes to read
Finance Minister Grant Robertson has announced a shakeup of Kiwisaver.
Jason Walls is a political reporter for the New Zealand Heraldjason.walls@nzme.co.nz@Jasonwalls92
Finance Minister Grant Robertson says the Government s major KiwiSaver shakeup will apply competitive pressure to other private fund managers to slash their fees. I think and I hope that this will lead to a greater level of competition, and they will lead to a lowering of fees, he told media this morning.
He said that KiwiSaver fees have been too high for too long and the Government s move will help deliver a much-needed shakeup.
Changes to default providers won t lower KiwiSaver fees as Govt hopes, say experts
14 May, 2021 05:00 PM
6 minutes to read
The number of KiwiSaver default providers will reduce from nine to six. Photo / Getty Images
Experts have poured cold water on the Government s hopes that a major shake-up to the KiwiSaver default providers will bring down fees across the industry. And the majority of those appointed as new default fund providers say the low fees on offer through their default schemes won t be applied to their other funds.
On Friday the Government announced the nine current default KiwiSaver providers would be slashed to six from December 1.
Friday, 14 May 2021, 11:35 am
Climate justice organisation 350 Aotearoa welcomes the
improvements to default Kiwisaver funds announced today by
the government, which mean New Zealanders’ savings in
default funds will no longer be invested in fossil
fuels.
This change will mean that the 381,000 New
Zealanders enrolled in default funds will be moving away
from funds with investments in the fossil fuel industry, and
into funds that have cut their ties with companies involved
with coal, oil, and gas production.
“The changes to
default Kiwisaver standards reflect the power of citizens
coming together to demand climate action. New Zealanders do
not want their savings associated with the fossil fuel