KiwiSaver

Returns to 31 December 2010

 

Default Options	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP Default Fund	1.86	4.17	4.63	5.55	3.97
ASB Scheme’s Cnsrv (Default)	0.54	3.93	5.69	6.04	4.72
AXA Income Plus (Default)	1.00	4.40	6.22	8.46	4.44
Mercer Conservative (Default)	0.62	2.69	6.34	10.10	5.34
OnePath Conservative (Default)	0.49	3.90	6.06	6.18	4.84
TOWER Cash Enhanced (Default)	1.03	3.31	5.04	6.34	4.32
Peer Group Averages	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
Default Options	0.92	3.73	5.66	7.11	4.60
Conservative	0.81	3.84	5.63	6.95	4.65
Moderate	1.32	5.35	6.06	8.55	3.40
Balanced	2.40	7.12	6.01	9.95	1.92
Growth	3.20	8.80	6.19	11.06	-0.11
Aggressive	4.26	10.64	6.25	14.16	-0.49
Multisector Options
Conservative	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP Default Fund	1.86	4.17	4.63	5.55	3.97
ANZ – Conservative Fund	0.59	3.86	5.95	6.24	4.83
Aon Russell Lifepoints Cnsrv	0.68	5.07	9.93	13.77	6.25
ASB Scheme’s Cnsrv (Default)	0.54	3.93	5.69	6.04	4.72
AXA Income Plus (Default)	1.00	4.40	6.22	8.46	4.44
FC Scheme’s Tracker Cnsrv	0.54	3.92	5.65	6.02	4.67
Fidelity Capital Guarant Kiwi	0.58	2.92	4.39	4.66	—
Fidelity Conservative Kiwi Fd	0.65	4.71	6.31	6.76	4.90
Fisher Funds Conservative Fund	0.64	2.88	2.89	—	—
Mercer Conservative (Default)	0.62	2.69	6.34	10.10	5.34
National Bank – Conserv	0.58	3.86	5.94	6.30	4.88
OnePath Conservative (Default)	0.49	3.90	6.06	6.18	4.84
SIL Conservative	0.60	3.91	6.04	6.37	5.03
Smartshares Conservative	1.78	4.05	3.32	4.57	2.21
TOWER Cash Enhanced (Default)	1.03	3.31	5.04	6.34	4.32
Average	0.81	3.84	5.63	6.95	4.65
Moderate	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP LS Conservative Fund	1.21	4.39	5.51	5.61	5.31
AMP LS Moderate Fund	2.17	5.91	5.75	6.71	3.07
ANZ – Conservative Bal	1.51	5.72	6.55	7.91	3.67
Aon Russell Lifepoints 2015	1.72	6.49	10.04	15.22	4.60
Aon Russell Lifepoints Mod	2.42	7.41	10.17	15.76	3.96
ASB Scheme’s Moderate	1.36	6.52	7.16	8.43	3.12
AXA Conservative	1.16	5.12	6.62	8.87	—
FC Scheme’s Active Cnsrv	0.77	4.58	5.21	8.07	3.44
FC Scheme’s Tracker Moderat	1.36	6.52	7.12	8.42	2.85
Grosvenor Conservative Fund	-0.53	2.38	4.96	6.09	3.91
Huljich Conservative Divers Fd	0.21	1.36	-2.56	4.50	—
Mercer Super Trust Conserv	1.10	3.51	6.33	10.58	3.82
National Bank – Conserv Bal Fd	1.52	5.75	6.60	7.92	3.66
OnePath Conservative Balanced	1.29	5.59	6.12	7.10	3.31
SIL Conservative Balanced	1.53	5.76	6.76	8.18	3.89
Smartshares Balanced	2.66	11.00	4.29	9.35	-1.82
TOWER Conservative	0.80	3.95	7.02	8.81	3.99
Westpac Conservative Fund	1.47	4.41	5.44	6.35	3.70
Average	1.32	5.35	6.06	8.55	3.40
Balanced	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP LS Balanced Fund	3.55	8.45	6.19	8.67	0.90
AMP LS Moderate Balanced Fund	3.15	7.47	6.02	7.83	1.55
AMP TOWER Balanced Fund	2.74	6.46	7.96	10.33	2.23
ANZ – Balanced Fund	2.35	7.41	6.94	9.41	2.39
Aon OnePath Balanced	3.29	8.75	9.29	15.24	4.01
Aon Russell Lifepoints 2025	3.48	8.81	10.28	16.80	1.88
Aon Russell Lifepoints Bal	4.24	9.98	10.39	17.58	1.21
ASB Scheme’s Balanced	2.49	9.08	7.62	10.17	0.97
AXA Balanced	3.32	9.68	7.05	12.94	0.88
Brook Professional Balanced Fd	1.86	5.31	1.53	5.77	3.78
FC Scheme’s Active Balanced	1.94	7.56	5.42	9.88	0.32
FC Scheme’s Tracker Balancd	2.49	9.07	7.57	10.17	0.79
Fidelity Balanced Kiwi Fund	1.51	6.61	5.70	7.17	4.40
Fidelity Ethical Kiwi	1.39	6.57	5.34	8.39	—
Forsyth Barr Balanced Port	2.06	4.41	1.22	5.95	—
Grosvenor Balanced Fund	0.20	4.02	3.94	7.35	2.23
Huljich Balanced Diversified	-0.08	0.90	-6.00	4.47	—
Mercer Balanced	2.57	7.16	7.38	13.51	0.70
Mercer Super Trust Moderate	2.07	6.06	6.72	11.65	2.05
Milford Balanced	2.62	6.84	—	—	—
National Bank – Bal	2.37	7.43	6.99	9.41	2.42
OnePath Balanced	2.12	7.28	6.17	8.03	1.51
SIL Balanced	2.39	7.43	7.06	9.63	2.64
TOWER Balanced	2.26	7.04	7.68	9.94	1.95
Westpac Balanced Fund	3.72	8.22	5.84	8.60	1.56
Average	2.40	7.12	6.01	9.95	1.92
Growth	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP LS Growth Fund	5.15	10.62	6.59	10.07	-2.02
AMP OnePath Balanced Plus Fund	3.63	8.42	7.54	11.85	2.07
AMP Tyndall Balanced Fund	1.90	5.89	6.53	10.16	0.08
ANZ – Balanced Gth Fund	3.24	9.08	7.36	10.90	0.96
ANZ – Growth Fund	4.12	10.79	7.52	12.33	-0.62
Aon Russell Lifepoints 2035	4.94	10.78	10.41	17.87	-0.24
Aon Russell Lifepoints Growth	5.39	11.40	10.44	18.29	-0.72
Aon Tyndall Balanced	1.59	6.24	6.48	10.26	1.65
ASB Scheme’s Growth	3.70	11.62	7.73	11.58	-1.26
FC Scheme’s Active Growth	2.80	9.64	4.95	10.80	-1.43
FC Scheme’s Tracker Growth	3.71	11.62	7.70	11.59	-1.54
Fidelity Growth Kiwi Fund	2.39	8.67	5.43	7.87	2.30
Forsyth Barr Growth Portfolio	3.20	6.11	0.15	6.77	—
Grosvenor Balanced Growth	0.85	5.88	—	—	—
Huljich Growth Diversified Fd	-0.13	0.68	-9.53	3.56	—
Mercer Super Trust Active Bal	2.52	7.12	7.20	13.10	0.64
Mercer Super Trust Growth	3.17	8.60	7.01	13.22	-0.95
National Bank – Bal Gth Fund	3.27	9.12	7.42	10.92	0.93
National Bank – Gth Fd	4.13	10.78	7.57	12.22	-0.69
OnePath Balanced Growth	2.96	8.92	5.99	8.89	-0.28
OnePath Growth	3.87	10.69	5.79	9.63	-2.06
SIL Balanced Growth	3.27	9.15	7.35	11.12	1.19
SIL Growth Fund	4.16	10.85	7.66	12.62	-0.40
Staples Rodway Balanced	3.53	10.05	7.76	10.34	—
Staples Rodway Growth	1.33	6.44	6.17	11.14	—
Westpac Growth Fund	4.51	9.59	5.64	9.47	0.17
Average	3.20	8.80	6.19	11.06	-0.11
Aggressive	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP LS Aggressive Fund	6.16	12.24	6.79	11.09	-3.62
Aon Russell Lifepoints 2045	6.29	12.64	10.57	19.08	-2.51
AXA Growth	5.15	12.98	6.80	14.71	-1.81
Brook Professional Growth Fund	2.94	8.27	1.37	8.62	4.76
Fidelity Aggressive Kiwi Fund	2.93	9.61	6.96	14.14	2.48
Fisher Funds Growth Fund	4.57	14.55	10.68	27.89	5.51
Grosvenor Geared Growth Fund	1.47	6.90	3.25	—	—
Grosvenor High Growth Fund	1.60	6.97	2.79	8.27	-2.93
Mercer High Growth	4.15	10.95	7.83	14.78	-2.71
Mercer Super Trust High Growth	4.07	10.82	7.45	14.09	-2.86
TOWER Growth	3.83	9.57	8.18	12.79	-1.23
Westpac Capital Protect Plan 1	6.09	11.43	4.32	10.29	—
Westpac Capital Protect Plan 2	6.09	11.42	4.29	—	—
Average	4.26	10.64	6.25	14.16	-0.49
Single Sector Options
Cash	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
AMP Cash Fund	0.90	1.79	3.37	3.51	5.14
ANZ Cash Fund	0.64	1.25	2.24	2.47	—
Aon OnePath Cash	0.83	1.56	2.85	2.80	4.43
Aon Tyndall Cash	0.95	1.75	3.55	3.60	5.18
ASB Scheme’s NZ Bank Deposit	0.71	1.41	2.61	2.78	4.64
AXA Cash	0.74	1.50	2.91	3.32	4.44
FC Scheme’s NZ Cash	0.71	1.40	2.58	2.76	4.61
Grosvenor Enhanced Income Fund	0.82	1.86	3.70	3.49	5.54
Mercer Cash	1.09	2.16	4.58	4.24	5.63
Mercer Super Trust Cash	1.01	2.04	4.58	4.18	5.58
National Bank – Cash Fd	0.64	1.25	2.26	2.49	—
OnePath Cash Fund	0.67	1.33	2.48	2.75	4.74
SIL Cash Fund	0.54	1.07	1.93	2.18	4.18
Staples Rodway Conservative	0.97	1.80	3.69	2.91	—
TOWER Preservation	0.76	1.58	3.03	3.30	4.95
Westpac Cash Fund	0.79	1.56	2.88	3.15	4.04
Fixed Income	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
Mercer Super Trust Fixed Intr	-1.34	-0.96	6.78	11.80	8.53
SIL International Fixed Int	-1.72	1.16	5.69	4.09	7.80
SIL New Zealand Fixed Interest	-0.47	2.03	8.02	5.58	5.88
Property	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
Mercer Super Trust Real Assets	3.67	7.25	6.44	16.98	-5.25
SIL Australasian Property	3.33	11.74	3.12	8.91	-4.36
SIL International Property	7.67	21.40	23.33	24.24	-4.79
Australasian Equity	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
Aon Milford	2.66	7.28	6.14	—	—
Grosvenor Socially Responsible	1.83	9.41	—	—	—
Grosvenor Trs-Tasm Sm Coms Shr	4.59	24.72	—	—	—
Mercer Super Trust Shares	4.98	14.07	7.31	14.07	-4.89
Mercer Super Trust TransTasman	4.49	10.13	2.50	11.88	-3.87
Milford Aggressive	2.66	7.28	6.13	13.78	9.74
SIL Australasian Share	4.68	9.99	1.61	10.48	-4.58
Smartshares Growth	3.25	16.67	3.86	12.59	-6.39
International Equity	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
FC Scheme’s Active High Growth	4.03	11.45	4.52	9.00	—
FC Scheme’s Global Sustain	4.39	10.36	8.47	13.09	—
Grosvenor International Share	0.92	6.44	—	—	—
Mercer Super Trust Global	5.17	15.60	9.18	14.45	-5.77
SIL International Share	2.26	8.50	5.19	7.68	-2.92
SIL Sustainable Growth Fund	1.01	6.74	1.94	4.84	—
TOWER Equity	7.07	14.22	9.70	14.23	-4.56
Miscellaneous	3-month (%)	6-month (%)	1-year (%)	2-year (%pa)	3-year (%pa)
Fidelity Options Kiwi Fund	2.58	5.39	9.21	23.15	11.59

 

(NB: Returns are before tax and after the fees deducted from the funds unit price.)

 

 

Mike Pero Mortgages has ended its KiwiSaver distribution deal with Huljich Wealth Management, though the company has been tight lipped on the reasons for the move.

“All I can say is there are commercial reasons for us not distributing that product and that’s as far as I’d like to go on that,” said Shaun Riley, the Mike Pero Mortgages chief executive.

“At this time I don’t want to expand on this at all.”

Speculation for the move has centred on new regulations under the Financial Advisers Act and the admission from Huljich’s former managing director, Peter Huljich, that he used his own money to prop up Huljich funds – thus distorting their returns.

Under the Act, distribution of KiwiSaver through mortgage brokers may become uneconomic as only Authorised Financial Advisers can advise on KiwiSaver products, while mortgage brokers don’t require AFA authorisation.

However, this argument was dismissed by one of the Mike Pero brokers Good Returns spoke to.

The broker – who like several others spoke on the condition of anonymity – said they were studying for Level 5 authorisation and that to qualify to give KiwiSaver advice would be “no more cost than what we’re doing now.”

Other brokers were keen to stress that no official explanation had been forthcoming, but several believe allegations against Huljich regarding fund transations was behind the decision.

One said Mike Pero was a good brand and he believed the company would “hate to see that damaged” by association.

The Huljich KiwiSaver scheme was distributed through the Mike Pero Saver brand which was closed on January 16, with membership reverting to the Huljich brand.

First NZ Capital Investment Management (FNZC) has decided to exit the KiwiSaver market and transfer its business to Fisher Funds.

After securing approval from the government actuary FNZC is to transfer all scheme members into the Fisher Funds KiwiSaver Growth Fund.

“Fisher Funds offers what we consider to be a well resourced and experienced investment management team that will continue to manage your investment according to materially corresponding investment initiatives,” said FNZC director Malcolm Davie.

In a letter to members outlining the move Davie said FNZC believed the transfer would provide a “favourable outcome” for members.

“Fisher Funds is one of the ten largest NZ retail fund managers, managing more than $850 million for more than 35,000 investors, and a number of its products have been independently rated by Morningstar – giving you comfort that their controls and investment processes are of a high standard and have been externally examined.”

Davie said that if the transfer receives government approval members will be automatically transferred into to the Fisher Funds Growth scheme in late November and once complete, the FNZC scheme will be wound up.

Members were also informed they were free to transfer to any other KiwiSaver scheme and in the event the government failed to approve the move members who had not transferred to another fund would be placed in the Inland Revenue Department default scheme.

 

The September quarter saw KiwiSaver funds rebound, with all types of funds producing positive returns as fears of a double-dip recession eased, according to the latest Mercer KiwiSaver survey.

KiwiSaver returns received a boost as global share markets, which took a battering in the June quarter, bounced back.

KiwiSaver growth funds – which have the greatest weighting towards shares – performed best with a median return of 5.8% for the quarter ending September 30, a significant turnaround from the previous quarter’s negative median return of -6.1%.

“Global share markets have bounced back over the past quarter, as fears of the European debt crisis reduced. All asset classes produced positive returns, including property and commodities, which is great for KiwiSaver funds,” said Mercer New Zealand head Martin Lewington.

However, Lewington cautioned that the economic outlook remained uncertain with weak consumer spending and high unemployment in the US.

“The bumpy ride for KiwiSaver investors may not be over yet, but long term investors should not be overly concerned with short term movements. As the contrast between the June and September quarter shows, it is possible to regain monies notionally lost and over the long term the result should be quite positive.”

According to the survey the best performing fund for the September quarter was the Fisher Funds Growth Fund, which returned 10.5% and 31.2% for the year to September 30.

Over the three years KiwiSaver has been running the survey found funds with the highest weighting towards bonds and cash had been the best performers, reflecting the volatile share market conditions over recent years.

Default schemes were the strongest performers over the three year period, recording a median return of 4.6% per annum compared to -3.1% per annum for growth funds.