KiwiSaver not hot on Kiwi markets

The value of KiwiSaver NZ assets decreased 4.17%, from $49.1b at the end of December 2023 to $47.1b at the end of March this year. This compares to overseas assets which rose 25% ($58.3b to $68.1b) over the same period. 

Simplicity’s Sam Stubbs, says the decline in local assets is the impact of equity market performance and currency. The New Zealand dollar weakened and although the local share market was positive, returning 3.1%, whereas the MSCI ACWI returned 14.5% in unhedged NZ dollar terms.

However, zooming out 10 years, the gap between overseas and NZ asset allocation in KiwiSaver investment has been steadily widening.

NZ assets recorded an annual increase of 9.5% ($42.9b to $49.1b) compared to a 16.8% increase for overseas assets ($54.2b to $68.1b).