What's Changing?
The age bands in our Lifestages Auto Option will be changing, effective on or about 1 December 2022. This means that the underlying mix of growth and income assets (risk profile) will change for some Auto option members. We have made these changes to maximise the period you are invested in assets with higher potential for capital growth (i.e. more shares). However, this means that it also increases the risk profile of investments, as growth assets are more susceptible to market fluctuations.
If you are unsure if you are enrolled in the Lifestages Auto option get in touch with us and our team will let you know.
What are the new age bands for Lifestages Auto?
| Age | 0-49 | 50-54 | 55-59 | 60-64 | 65+ |
| Growth / Income Split (Risk Profile) | 100% / 0% | 80% / 20% | 60% / 40% | 40% / 60% | 30% / 70% |
What happens to my existing investments?
Your existing investment with us will be rebalanced in line with the new age bands around mid-December, based on your age on 30 November 2022. This means that we will buy and sell units in the Lifestages Growth and Income Funds to ensure your overall mix of assets matches the split for your age. For instance, if you are 50 years old, we will rebalance your investments so 80% of your investment is in the Lifestages High Growth Fund and 20% is in the Lifestages Income Fund.
What will happen to my contributions from 1 December 2022?
For current members invested in the Auto Option, all new contributions from 1 December 2022 will be invested in accordance with the new age bands. For instance, if you are 50 years old, and contributed $100, $80 will be invested in the Lifestages High Growth Fund and $20 will be invested in the Lifestages Income Fund. All future contributions will continue to be made in this split.
Do members need to do anything?
No. This change will occur automatically.
Can I keep my current mix of growth and income assets?
Yes. However, you will need to opt-out of the Lifestages Auto option and select your own risk profile instead. You can opt-out at any time with this form. Before you do this, it's important to ensure you understand your ideal risk profile and the impacts of changing your risk profile by using our Lifestages Risk Profile Tool and Lifestages KiwiSaver Calculator.
Opting out means we will no longer adjust your risk profile as you age and your desired mix of assets will be set until you tell us to change it. You can opt back into the Lifestages Auto option at any time.
