Kiwibank Launches Kiwisaver Scheme

Kiwibank Launches Kiwisaver Scheme

Kiwibank has launched a KiwiSaver scheme which allows more direct control of funds by investors and aims to lead the market in terms of transparency and disclosure of fees.

“It’s a logical expansion of Kiwibank services and products,” Kiwibank Chief Executive Sam Knowles said of the scheme launch.

“We have a customer base of about 700,000 New Zealanders and there has been growing demand for us to have a scheme that helps customers save for their retirement.

“We have designed a KiwiSaver scheme that enables customers to choose whether they let fund managers make some investment decisions for them, or whether they more actively manage their own investments.”

Mr Knowles said not all customers will want to be actively involved in the management of their savings and will want to make a decision when they join the KiwiSaver scheme on the level of risk they would find acceptable and type of investment that suits them best. But others will want to design their own portfolio and be much more actively involved in their investments.

Mr Knowles said Kiwibank wants to remove some of the mystique and complexity around retirement savings.

“Our KiwiSaver scheme is able to be accessed via Internet Banking like other Kiwibank accounts. Customers will be able to see how their funds are performing and also make changes as appropriate for their retirement needs on-line.”

“We have also made our pricing clear, upfront and easy to understand.”

“Mr Knowles said the bank established a “wealth management” team in late 2008 that can assist customers when they enrol and be available to advise customers who are seeking personalised investment guidance or assistance with the Kiwibank KiwiSaver Scheme.”

“But a large percentage of customers want to have a retirement plan that will help build their savings over time, get the benefit of Government incentives and help provide a more financially secure retirement. The Kiwibank KiwiSaver Scheme will help them achieve these goals.”

ENDS

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