How competitive is the KiwiSaver market?

There  market for KiwiSaver schemes constitutes a competitive market with more than 35 different schemes, according to financial advisory firm Melville Jessup Weaver.

That's even though the the three largest providers \accounted for 46.4% of total KiwiSaver assets and 48.3% of the members.

MJW used a system called the Herfindahl-Hirschman Index (HHI), in which a monopoly would score 10,000 points and the two firms in a duopoly would score 5,000 points each.

Markets with an index score below 1,500 are judged to be un-concentrated, those with scores between 1,500 and 2,500 are regarded as moderately concentrated while scores above 2,500 are regarded as highly concentrated.