[Weekly Wrap] Super savings debate
It suggested they could be directed to annuities - a product that has become so unpopular with New Zealanders that it has vanished from the market. This would help them keep the money flowing over the course of their retired lives, it suggested.
But it seems to me that what people in these situations need is good advice rather than a product as structured as an annuity.
These products have been unsuccessful for New Zealanders and while they do mean that people can just make a decision and forget about it, they don't work well for everyone wanting retirement income.
Government should be encouraging people who withdraw a lump sum from their KiwiSaver accounts to seek advice - hopefully independent advice from an AFA - on the best way to invest it to suit their circumstances.
Another area where it seems a bit more advice wouldn't go amiss is around superannuation transfers to NZ. It has been announced that there is to be a bit of leniency granted to those who haven't been able to transfer their funds ahead of the April 1 deadline for the 15% amnesty.
But one adviser has warned that it's not a decision that people should rush into - and they should make sure they're getting advice on it from someone who really knows what they're talking about.
In other news, reports that the currency is about to plummet in value were dismissed as scaremongering, Morningstar has announced its Fund Manager of the Year finalists, and BT says wealth is a key focus for Westpac this year.
In insurance, the country's biggest group scheme is up for tender, and on the mortgage front a commentator says pre-approvals can be problematic for banks.
