What Are The Best Performing KiwiSaver Funds As Of Q4 2020?

Mar 17, 2021

Kiwisaver

By Staff writer

The KiwiSaver industry has seen great returns, with the industry surpassing $76 billion in value over the last quarter of 2020. It’s high time that you get started with a plan or switch to a competitive fund that promises great returns.

Finding the right scheme can be a challenge so to help you out, we've compiled the best performing KiwiSaver funds as of Q4 2020, according to Morningstar's KiwiSaver Survey for December 2020.

Conservative Fund

Just because it’s categorised as conservative doesn’t mean it’s not growing! Conservative funds are great at saving and investing your money with minimal to no risks. If you’re after a steady fund, this is the best choice for you.

Here’s the best performing conservative funds as of Q4 2020.

Read: Investment NZ: Morningstar's Top Conservative KiwiSaver Funds

Milford Conservative Fund

Milford Conservative aims to gain investors medium returns and to protect the greater capital of your investment. It has a minimum investment period of 3 years, but can be longer depending on your choice. It has diversified low risk, with fixed interest rates for securities and allocation to equity.

Assets: $181.9 million
Total returns (3-months): 3.1% p.a.
Daily based member fees: $18/ year
Asset-based fees: 0.95%
Growth assets: 15.7%

The total returns of 3.1% p.a. is considerably high as the industry only averages at 2.0%. For a comprehensive list of returns, check out this percentage over longer investment periods.

	Total returns (% p.a.)	Industry Average (% p.a.)
1-year	6.5%	6.1%
3-year	6.0%	5.2%
5-year	6.7%	5.3%
10-year	---	6.1%

If you’re after a competitive conservative KiwiSaver fund, Milford Conservative is stable and non-volatile even on high returns. This is a great choice if you’re looking to withdraw your scheme for your first home purchase or retirement.

What are other performing conservative KiwiSaver funds?

While Milford Conservative is the best performing conservative KiwiSaver in Q4 2020, other funds are just as competitive and steady. Here are other performing conservative funds and some important information you need to know.

Aon Russell Lifepoints 2015

Assets: $4.8 million
Total returns (3-months): 2.9% p.a.
Daily based member fees: $49.80/ year
Asset-based fees: 0.99%
Growth assets: 21.4%

Aon Russell Lifepoints Conservative

Assets: $80.1 million
Total returns (3-months): 2.9% p.a.
Daily based member fees: $49.80/ year
Asset-based fees: 0.99%
Growth assets: 21.4%

CareSaver Conservative

Assets: $4.6 million
Total returns (3-months): 2.7% p.a.
Daily based member fees: $27/ year
Asset-based fees: 0.83%
Growth assets: 22.2%

ANZ Conservative

Assets: $1.26 billion
Total returns (3-months): 2.5% p.a.
Daily based member fees: $18/ year
Asset-based fees: 0.85%
Growth assets: 24.5%

Can't decide? Use our FREE KiwiSaver comparison tool to find the best fund for you!

Moderate Fund

If you want a grower fund than a conservative scheme, you may want to take advantage of a moderate KiwiSaver fund. Think of the aggressiveness scale from 1-7 — the higher the number, the higher the risk and volatility. A conservative fund sits right at 2-3, while a moderate fund sits right at 4.

Take a look at the best performing moderate KiwiSaver fund over the last three months of 2020.

Aon Russell Lifepoints Moderate

Aon Russell Lifepoints Moderate has been performing extremely well in the last quarter of 2020. Its main goal is to keep your returns greater than the inflation rate. It invests 60% of your money in income assets and 40% in growth assets.

If you’re looking to invest in this fund, here are important points you should know.

Assets: $30.1 million
Total returns (3-months): 4.9% p.a.
Daily based member fees: $49.80/ year
Asset-based fees: 1.06%
Growth assets: 42.1%

The 3-months total returns averages at 3.5%, so the returns of this fund performs really well. For returns over longer investment periods, take a look at this comprehensive list.

	Total returns (% p.a.)	Industry Average (% p.a.)
1-year	8.5%	6.8%
3-year	7.0%	6.0%
5-year	7.7%	6.3%
10-year	8.3%	6.6%

Aon Russell Lifepoints Moderate has higher fees than average, but don’t get discouraged. It provides a stable investment with more volatile and aggressive returns. This type of fund also works great for purchasing your first home or moving abroad.

What are other performing moderate KiwiSaver funds?

If you’re looking for a moderate fund with less expensive fees, you have plenty of options! Check out other best performing moderate KiwiSaver funds. Note that some providers may use other terms instead of moderate, but the risk and volatility of the investment remain the same.

Milford Moderate

Assets: $30 million
Total returns (3-months): 4.5% p.a.
Daily based member fees: $18/ year
Asset-based fees: N/A
Growth assets: Undefined

Westpac Moderate

Assets: $731.7 million
Total returns (3-months): 4.4% p.a.
Daily based member fees: $22/ year
Asset-based fees: 0.72%
Growth assets: 38.5%

SuperLife Conservative

Assets: $54.9 million
Total returns (3-months): 4.3% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.57%
Growth assets: 30%

OneAnswer Conservative Balanced

Assets: $230.2 million
Total returns (3-months): 4.2% p.a.
Daily based member fees: $24/ year
Asset-based fees: 0.9%
Growth assets: 41.2%

Balanced Fund

If you want to invest half of your KiwiSaver and save the other half, take advantage of a balanced fund. Unlike the previous funds, the payoff is better in the long term as it grows your money more aggressively. However, it may still work well for shorter-term withdrawals.

Here’s the best performing balanced fund in the last quarter of 2020.

CareSaver Balanced

CareSaver Balanced aims to bring medium returns with medium risk. It diversifies your investments into 40% income assets and 60% growth assets. It’s invested across different global companies to further diversify your fund.

Before investing, take a look at the most important details about this fund.

Assets: $16 million
Total returns (3-months): 8.1% p.a.
Daily based member fees: $27/ year
Asset-based fees: 1.12%
Growth assets: 55.5%

The industry average for total returns of 3-months is 6.0%, which is well above CareSaver Balanced Fund. Here’s a comprehensive list of your returns over longer investment periods.

	Total returns (% p.a.)	Industry Average (% p.a.)
1-year	14.9%	8.8%
3-year	---	7.3%
5-year	---	8.1%
10-year	---	8.3%

KiwiSaver? It's all in here! Use glimp's FREE KiwiSaver comparison tool now!

Due to its more aggressive nature, CareSaver Balanced fluctuates in value more often. If you also want to put your investments into ethical companies that engage in low-carbon practices, the fund is also a good choice.

What are other performing balanced KiwiSaver funds?

Balanced KiwiSaver is one of the best performing funds compared to other investment fund types. You can expect competitive returns and inexpensive fees. Here are other best performing balanced KiwiSaver funds in the last quarter of 2020.

SuperLife Ethical

Assets: $47.4 million
Total returns (3-months): 8.0% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.70%
Growth assets: 60.3%

SuperLife Balanced

Assets: $51 million
Total returns (3-months): 7.8% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.60%
Growth assets: 60.8%

JUNO Balanced

Assets: $51 million
Total returns (3-months): 7.8% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.60%
Growth assets: 62%

Aon Russell Lifepoints Balanced

Assets: $228.7 million
Total returns (3-months): 6.9% p.a.
Daily based member fees: $49.80/ year
Asset-based fees: 1.13%
Growth assets: 62%

Growth Fund

Growth funds invest as much as 80% of your KiwiSaver savings! It involves high risk and high volatility, but it also promises high returns once the investment goes well. Expect the growth and balance of your investment to drop from time to time.

Take a look at the best performing growth fund over the last three months of 2020.

JUNO Growth

If you want to invest your money in international equities of globally-known brands, JUNO Growth is one of your best choices in New Zealand. It invests 85% of your money in growth and 15% in income assets. However, the average mix is divided into 78% growth and 22% income.

Here are important details you need to know about JUNO Growth.

Assets: $244.2 million
Total returns (3-months): 11% p.a.
Daily based member fees: Up to $600/ year
Asset-based fees: 0%
Growth assets: 89.6%

Growth funds in Q4 2020 perform only at an average rate of 8.2%. Look at a more comprehensive list of returns of JUNO Growth over long periods of investments.

	Total returns (% p.a.)	Industry Average (% p.a.)
1-year	30.4%	10.7%
3-year	---	8.8%
5-year	---	9.5%
10-year	---	9.9%

If you’re looking for an actively managed fund with low fees, JUNO Growth may be the right one for you. Having an investment team to manage your funds guarantees you can always get returns way above the market average. This is good for growing your money in the long run.

What are other performing growth KiwiSaver funds?

Other KiwiSaver funds are catching up on the lead of JUNO Growth! You may choose from this wide selection of plans if you’re looking for a competitive growth fund for your KiwiSaver investment.

CareSaver Growth

Assets: $37.7 million
Total returns (3-months): 10.8% p.a.
Daily based member fees: $27/ year
Asset-based fees: 1.26%
Growth assets: 73%

Nikko AM Growth

Assets: $4.8 million
Total returns (3-months): 10.1% p.a.
Daily based member fees: $30/ year
Asset-based fees: 1.08%
Growth assets: Undefined

Read: New To Nikko AM KiwiSaver Funds? Here's Your Guide

SuperLife Growth

Assets: $30.7 million
Total returns (3-months): 10% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.61%
Growth assets: 80.1%

AMP ANZ Growth

Assets: $35.7 million
Total returns (3-months): 9.2% p.a.
Daily based member fees: $23.4/ year
Asset-based fees: 1.28%
Growth assets: 87.2%

Aggressive Fund

If you want to go all out, choose an aggressive KiwiSaver fund! It’s even more volatile and risky than growth funds, as it invests 90-100% of all your savings. This is perfect for investors who have other streams of income and savings.

Check out the best performing growth fund over the last three months of 2020.

SuperLife High Growth

SuperLife High Growth invests your money among multi-asset classes in international markets. It’s very risky and volatile. One single crash in the market can cause a significant drop in your investment. It’s important to take note of this before choosing this type of fund.

Before investing all of your KiwiSaver savings, check out the important details regarding this investment fund type.

Assets: $433.3 million
Total returns (3-months): 12.3% p.a.
Daily based member fees: $30/ year
Asset-based fees: 0.63%
Growth assets: 98.9%

The average total returns for 3-months is 8.8%. This is almost 4% over what SuperLife High Growth has to offer. For longer investment periods, check out this list of total returns.

	Total returns (% p.a.)	Industry Average (% p.a.)
1-year	5.8%	11.3%
3-year	6.5%	9.3%
5-year	9.2%	10.6%
10-year	---	9.5%

Super High Growth fund invests 90% of your money in shares, 7% in property, and 3% in other funds. Since it’s a very unstable investment, its position as the best performing in the industry may change from time to time.

What are other performing aggressive KiwiSaver funds?

Always check out other aggressive KiwiSaver funds because they may be the best performing at the time of your investment. Here are other competitive aggressive funds in the last three months of 2020.

Booster Geared Growth

Assets: $139.9 million
Total returns (3-months): 11.2% p.a.
Daily based member fees: $36/ year
Asset-based fees: 1.68%
Growth assets: 96.6%

AMP Nikko AM Growth

Assets: $132.2 million
Total returns (3-months): 10.2% p.a.
Daily based member fees: $23.40/ year
Asset-based fees: 1.36%
Growth assets: 89.2%

Mercer High Growth

Assets: $239.4 million
Total returns (3-months): 9.7% p.a.
Daily based member fees: $27/ year
Asset-based fees: 0.98%
Growth assets: 94.9%

NZ Defence Force High Growth

Assets: $34.8 million
Total returns (3-months): 9.6% p.a.
Daily based member fees: $28.50/ year
Asset-based fees: 1.14%
Growth assets: 94.9%

How should I choose my KiwiSaver fund?

Different KiwiSaver funds are designed for different people. Choosing based on the risk and volatility is just one important factor. You may also need to check the past performance of the fund over short and long term periods.

It’s also handy to ask the following questions before choosing the right fund for you:

Where and how is your money invested?
Can you handle the volatility, tolerance, and risk?
What are the fees and how does it compare to other funds?
What’s the process of your provider?

Know your needs and work from there

To narrow down your options, determine your needs, the retirement life you want, and work from there. It's best to use a KiwiSaver comparison tool that gives you customised recommendations in just a few minutes.

Compare your best options using glimp’s comparison tool.