KiwiSaver Clarity: Are You Accidentally Creating a Risk Profile You Didn't Intend?
I see it time and time again — people splitting their KiwiSaver across multiple risk profiles, thinking it’s a smart way to “protect” part of their investment while “growing” the rest. It’s a well-intentioned strategy… but it might not be doing what you think.
Let me explain.
When you split your KiwiSaver between, say, a conservative fund and a growth fund, you may believe you're diversifying your risk. But in reality, you're just creating a balanced portfolio — one that's not necessarily tailored to your actual risk tolerance.
That’s because both conservative and growth funds typically invest in the same markets (US, Europe, Australasia) — just in different proportions. So you're not changing the type of investment — just the weighting.
💡 Here’s what often gets missed:
- You may be paying double the fees.
- You may not be maximising performance.
- You may have outgrown your original risk profile.
As we age, our ability (and desire) to take on risk naturally changes. So, it’s important to review, rebalance, or even consolidate your KiwiSaver to reflect your current goals and tolerance for market ups and downs.
✅ Time for a KiwiSaver Health Check?
If you’re not sure whether your current KiwiSaver setup is really working for you — or if you've got multiple funds that may be competing with each other — let’s talk.
📅 Book a complimentary KiwiSaver strategy session today and get clear on how your money is working (or not working) for you.
👉 Hit "reply" to this email to make a time to schedule a session.
Let’s simplify, save fees, and optimise your future.
Warm regards,
Kara Northcott
Independent Financial Consultant & Financial Literacy Facilitator
Helping Kiwis grow smarter with money 🌱
📞 027 666 6784
📩 kara@financialconsultant.co.nz
🌐 kara-northcott-financial-consultant.kit.com
