POWERED BY MOMENTUM MEDIA
NZ bill opens KiwiSaver to over 65s
New Zealand has broken new ground with its superannuation-focused KiwiSaver product being opened up to those aged over 65.
The change is included in a Taxation Bill introduced to the New Zealand parliament this week and has been welcomed by the New Zealand Financial Services Council (NZFC).
NZFC chief executive, Richard Klipin noted that the changes in the legislation opening KiwiSaver to over 65s, establishing new employee contribution rates of 6 per cent and 10 per cent, and reducing the maximum contributions holiday that people can take from the scheme from five years to one year.
“These changes are positive and if passed will significantly strengthen KiwiSaver and support its continued growth,” Klipin said.
“The FSC, industry, the Commission for Financial Capability, and many others have been lobbying hard for these changes to happen and the Government is to be applauded for listening to this and acting,” he said.
Klipin said the proposed changes had been supported by three major pieces of research that the NZFSC had undertaken looking at New Zealanders views on KiwiSaver.
“The first ‘Growing the KiwiSaver Pie’ showed overwhelming public support for boosting the scheme and improving Kiwis access to it,” he said. “The second ‘Great (unmet) Expectations’ found that older New Zealanders face a significant weekly income shortfall in retirement. The third ‘Generation KiwiSaver’ found that under 35s will be reliant on KiwiSaver as their main source of retirement income.”
Klipin said the consistent message across all three pieces of research was clear public support for strengthening KiwiSaver and a call for Government and industry to do more.
Recommended for you
Governor Bullock took a more hawkish stance on Tuesday, raising concerns over Trump’s escalating tariffs, which sent economists in different directions with their predictions.
Equity Trustees has announced the appointment of Jocelyn Furlan to the Superannuation Limited (ETSL) and HTFS Nominees Pty Ltd (HTFS) boards, which have oversight of one of the companies’ fastest growing trustee services.
Following growing criticism of the superannuation industry’s influence on capital markets and its increasing exposure to private assets, as well as regulators’ concerns about potential risks to financial stability, ASFA has released new research pushing back on these narratives.
A US-based infrastructure specialist has welcomed the $93 billion fund as a cornerstone investor.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Global X GlobalX FANG+ ETF
33.51 3 y p.a(%)
2
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.62 3 y p.a(%)
4
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
