Your KiwiSaver funds will be exposed to market risk and the value of your KiwiSaver is likely to go both up and down over time. It is critical that you are in the right portfolio for you so that you have a portfolio that matches your risk profile and objectives. If you haven’t already, get started with the Kōura advice tool to see what is the best portfolio of funds for you.
The Kōura recommended portfolios give you exposure to over 3,000 companies in 40 countries. This diversified portfolio means that you are not exposed to a significant loss should any of these companies declare bankruptcy. We also mitigate the risk of investing in bonds by holding only investment-grade bonds which are rating by a rating agency.
Kōura generates personalised portfolio recommendations based on a number of inputs:
- Your age and objective (1st Home Purchase versus Retirement): this provides the time horizon for your investments. For example, if you are 35 and are saving for retirement, you will in all likelihood remain invested for 30 years and this allows us to recommend a long term growth portfolio because you have the time to recover from market ups and downs. If you are 55, you have 10 years to retirement and the model will generate a more conservative profile.
- Your answers to the risk questions: these questions are aimed at understanding how comfortable you are with accepting higher investment risk in exchange for possibly higher returns - or conversely preferring less risk and a lower return. Your answers will alter the recommended portfolio to reflect these preferences
- Your answers to the reliance question so that we can assess your reliance on KiwiSaver for retirement. If you are very reliant, the model will recommend a more conservative profile because you may be at risk of financial hardship if your portfolio is too risky and the market crashes.
- Once we have established the key parameters of your portfolio which reflect your situation, we rely on our investment policies to recommend Kōura specific funds. You can find the details of these investment policies in our Statement of Investment Policies and Objectives (SIPO) here.
- Kōura offers you the unique ability to tailor your own portfolio if you wish to do so. For instance, if you are uncomfortable with the risk of our recommended portfolio, you can adjust it to your preferences.
Kōura does not charge joining fees. However, some providers charge a transfer fee to move out of their scheme. You should check with your current KiwiSaver provider.
This process can take up to 45 days, however, once the transfer is complete we will make sure to contact you to let you know of the completed transfer.
You can find your IRD number in several places:
- On your payslip
- You can ask your employer
- You can ring up the IRD on 0800 775 247 and ask “What’s my IRD number”
- You can ask your bank
- It might be on your profile on your online banking portal
Your PIR rate is the rate at which your KiwiSaver savings will be taxed. You need to review your PIR rate regularly to make sure you that you are being deducted the right amount of tax
You pay tax on the money you earn from your KiwiSaver investment. The IRD calls the tax rate you pay a ‘PIR’, which is short for ‘prescribed investor rate’.
- If in either of the last two income tax years, your taxable income was $14,000 or less and your total income (including PIE income such as your KiwiSaver earnings) was $48,000 or less, then, your PIR is 10.5%.
- If in either of the last two income tax years, your taxable income was $48,000 or less and your total income (including PIE income) was $70,000 or less, your PIR is 17.5%.
- In all other cases, your PIR is 28%.
You’re required to update your PIR rate as it changes. You can inform us, or the IRD directly.
For more information, please see the IRD website on PIR rates here.
If you do not have a New Zealand drivers licence or passport then please email us at info@kōurawealth.co.nz and we can work with you to see how we can onboard you.
The signup process to Kōura is simple and only takes a few minutes:
- Complete the short questionnaire so Kōura can learn a bit about you
- Review our recommended portfolio, then choose to go with our recommendation or select a different portfolio
- Complete the signup form and let Kōura deal with the rest
Kōura will get in touch with your previous provider to transfer your balance across. We’ll deal with all of the administration and hassle so you can relax knowing your KiwiSaver is being looked after.
All you need to do is sign up with Kōura. Our team will get in touch with your current provider and transfer your balance to Kōura.
This may take up to 45 days to happen, we'll will let you know when it happens.