KiwiSaver Assets Surge: $5b Increase to $135b

KiwiSaver & Investment ⁣Market Update – Key ⁢Takeaways

Here’s a ⁣summary of the key information ‍from the provided text:

KiwiSaver Performance & Market Share:

* ASB had a very strong quarter, with three funds topping their categories and the other two multi-asset funds in the ⁤top five.
* Kernel also showed strong performance with some⁣ of its low-cost multi-asset funds.
* ANZ leads the market share with ~$23 billion in assets.
* ASB is second with 14.9% market share.
* Fisher, Milford, and Westpac round out the top five providers.
* The top five providers manage approximately $88 billion (66% of the Morningstar database).
* Fees: KiwiSaver providers⁤ are estimated to charge over $1.1 billion in the next 12 months, averaging 0.82 cents per dollar invested.
* Long-Term ⁤returns (10-year annualized):

* Aggressive: 10.0%
⁤ * Growth: 8.3%
* Balanced: ‍6.8%
* Moderate: 4.1%
‍ * conservative: 3.4%

Market commentary (September⁤ Quarter):

* ⁢ Positive ‍Surroundings: The quarter was constructive for diversified investors.
* Inflation & Rates: Inflation pressures eased, and central banks ⁣continued ⁢cutting rates.
* New Zealand: The reserve Bank of New Zealand‍ continued its easing⁣ stance (started in August 2024).The NZD traded relatively stably against⁤ the USD.
* Interest Rates: Short-term interest rates declined. Term deposit and call account rates have decreased from ‍mid-2024 peaks. Cash yield advantage is narrowing.
* Bond Markets: Local bond markets delivered ⁢positive returns as yields declined.
* Fixed Income: The backdrop⁤ for core fixed income remains ‍supportive with contained inflation expectations and further easing likely.

New Zealand Equities:

* The domestic equity market saw modest gains during the ⁣quarter.
* ⁢Rate-sensitive and income-oriented sectors… (the text ends mid-sentence here).