This page is here for transparency. It shows what we look for, how we compare funds, and why a fund does or does not make our recommended list.
The principles behind our analysis
Risk level first
Most KiwiSaver mistakes happen when someone is in the wrong type of fund for their timeframe. So we start with your timeframe and how you feel about ups and downs. The aim is to put you in the right risk type first.
Like for like comparisons
A Growth fund should not be compared to a Conservative fund. That is not a fair comparison and it leads to bad decisions. We compare funds against other funds in the same risk group, so we are judging them on the same playing field.
Long term evidence beats short term noise
Past returns do not guarantee future returns, but they do help show how a fund has performed through different market conditions. We focus on longer timeframes, not the latest hot streak. The aim is to avoid being swayed by short term noise.
We look beyond a single number
Returns alone are not enough. We also look at fees, consistency, downside risk, and how the fund is actually run. The aim is to recommend funds you can stick with, not chase last year’s winner.
Step 1 We confirm what matters for you
Before we recommend any specific fund, we confirm a few things that shape the right recommendation, such as:
- What you plan to use your KiwiSaver for next, and roughly when
- How comfortable you are seeing your balance move up and down
- Any preferences around how your money is invested, for example sustainable investing or avoiding certain industries
The aim is to make sure the recommendation fits you, not just your age or income.
Step 2 We place you in the right fund type
KiwiSaver funds generally sit in risk groups such as:
- Defensive
- Conservative
- Balanced
- Growth
- Aggressive
These groups are determined mainly by asset allocation, meaning what the fund invests in, such as cash, bonds, shares, and property.
At one end, Defensive funds are typically mostly cash and bonds. At the other end, Aggressive funds are typically mostly shares. In the middle, Balanced and Growth funds blend growth assets and income assets in different proportions.
Step 3 We assess funds using four core checks
We use a consistent set of checks across four areas. The goal is simple: recommend funds that are strong, fairly priced, and well run.
Performance over meaningful timeframes
We look at performance over longer periods, not just recent results. The aim is to find funds that have performed well over time, not funds that have just had a good run.
Fees and value
Fees matter, but cheapest is not always best. We look at whether the fee is fair for what the fund is trying to deliver, and whether the fund has earned its place after fees.
Consistency and downside risk
We look at how bumpy the ride has been and how the fund has held up when markets have been rough. The aim is to avoid surprises.
Quality and red flag checks
Numbers alone are not enough. We also look at practical quality signals, such as:
- Is the strategy clear, and does the fund stick to it
- Is the fund genuinely diversified
- Are there any obvious red flags in how it is run or communicated
If we do not have enough reliable information to be confident, we will not recommend the fund.
Step 4 We decide what makes the recommended list
A fund makes our recommended list when, it meets our standards across performance, fees, consistency, and quality.
We keep the list intentionally tight. The aim is to have a shortlist we are comfortable advising clients into, while still allowing for different preferences.
What keeps a fund off the list
If a fund is not on our recommended list, it is usually for one of these reasons:
- It did not score strongly enough versus its peers
- There was not enough reliable data, for example limited history
- It is too narrowly focused, which can increase risk through lack of diversification
That does not automatically mean it is a bad fund. It simply means we are not prepared to recommend it today.
How often we review
Funds change. Markets change. Fees change. Management and strategy can change.
We refresh our analysis regularly and update recommendations when the evidence changes. The aim is to keep advice current and consistent.
Commissions and independence
BetterSaver may receive a commission from some KiwiSaver providers if you join or switch into their fund through our platform. This does not increase your fund fees.
Commissions do not influence our analysis or our recommendations. In practice, there are more funds from providers we could be paid for that do not make our recommended list than there are funds on our recommended list. That is because the list is driven by our criteria, not commercial arrangements.
Our analysis can include funds that pay us and funds that do not, as long as they meet our standards and we have enough data to assess them.
Where we do recommend a provider’s funds, we aim to have a commercial agreement in place so we can deliver the best experience for clients, including smoother switching, better support, and the ability to keep investing in our advice and tools.
If a provider does not support switching through our platform, you may need to complete your signup or switch directly on the provider’s website. We will make that clear before you proceed.
Ready to get a recommendation
If you want to know which fund is the best fit for you, we will ask a few quick questions and then recommend a fund from our shortlist based on your situation and preferences.
Primary button: Get my KiwiSaver recommendation
Secondary link: View our recommended funds
Important information
BetterSaver is a licensed Financial Advice Provider (FSP 600609). Our advice is based on the information you provide and the information available about each fund at the time.
All investing involves risk. KiwiSaver values can go up and down. Past performance is not a reliable indicator of future performance.
