Morningstar Releases KiwiSaver Sector Wrap-Up

Morningstar Releases KiwiSaver Sector Wrap-Up

Morningstar today released its KiwiSaver Sector Wrap-Up on the six default providers plus Fisher Funds and Westpac. This covers 47 fund research reports covering over 80.0 percent of the KiwiSaver assets on the Morningstar database.
"This Sector Wrap-Up summarises the key issues associated with KiwiSaver investment, based on our comprehensive, in-depth analyst research. We highlight in particular the importance of understanding a KiwiSaver option's asset allocation and the nature and characteristics of its investment portfolio," said Morningstar Australasia Co-Head of Fund Research Chris Douglas. "KiwiSaver is still in its comparative infancy, and as the industry develops and matures, we will start to see greater differentiation between providers. The good news is that New Zealand investors are already benefitting from very competitive fees."

Click here to read the KiwiSaver Sector Wrap-Up.

Morningstar does not charge or accept payment from KiwiSaver scheme providers for the production of analyst qualitative research. The reports will be updated annually or in response to substantial change. Morningstar has published qualitative analyst research on New Zealand managed funds since 1999.

Key Findings
• All of the investment teams assessed have undergone change, and we detail these changes and their implications.
• Asset allocation is one of the most important decisions investors and their financial advisers make. We explain why and the implications for subsequent performance and volatility using the example of property exposures.
• Understanding the nature and characteristics of a KiwiSaver fund's investment portfolio is fundamental to understanding how it is likely to behave.
• The majority of KiwiSaver providers' fees are competitive relative to other New Zealand managed funds and to the fees Australian investors pay.
• A number of commentators have questioned the effects of the KiwiSaver retirement savings scheme on the New Zealand sharemarket. Preliminary analysis suggests that the sharemarket has the capacity to absorb the inflows from KiwiSaver.

Morningstar KiwiSaver Fund Research Reports
Research reports are available to Morningstar clients through the Morningstar® Adviser WorkstationTM and Morningstar® Adviser Research CentreTM software platforms. Full research reports are provided for the following schemes:
AMP KiwiSaver
ASB KiwiSaver
AXA KiwiSaver
Fisher Funds KiwiSaver
Mercer KiwiSaver
OnePath KiwiSaver (including ANZ, SIL, and The National Bank)
Tower KiwiSaver
Westpac KiwiSaver

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