Why KiwiSaver members are $10b richer
KiwiSaver members in New Zealand saw their combined balances increase by $10 billion in the June quarter due to market recovery and contributions. While aggressive funds performed well, clean energy funds stood out as top performers, contrasting with losses in cryptocurrency schemes.
Why it matters
The data reflects broader global market trends and the impact of economic sentiment on personal retirement savings.
KiwiSaver members ended the June quarter a combined $10 billion richer. Photo / RNZ, Quin Tauetau
KiwiSaver members ended the June quarter a combined $10 billion richer, thanks to their contributions and market returns.
And one fund returned nearly 100% over 12 months.
Morningstar’s latest KiwiSaver survey shows returns ranged from an average 3.3% in the quarter for conservative funds to 11.9% for the aggressive category.
Morningstar said markets had benefited as investors started to look through the geopolitical tensions that dominated the start of the year. International equities had delivered solid positive returns in New Zealand dollar terms.
“New Zealand equities also recovered, although they continued to lag global peers amid subdued domestic economic conditions and relatively weak earnings expectations.”
Morningstar said many funds that suffered falls in the first months of the year had since recovered.
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