BNZ KiwiSaver Scheme Review

BNZ KiwiSaver Scheme Review

BNZ runs 8 KiwiSaver funds open to new members, covering a wide spread of risk levels. At 30 September 2026 they held $7.34 billion for 255,545 investors. The funds run from risk level 1 to 5, so which fund you pick matters more than which scheme you are in.

Charges across the open funds run from 0.30 per cent to 0.45 per cent.

Over five years the BNZ KiwiSaver Growth Fund returned 5.62 per cent a year while the BNZ KiwiSaver Conservative Fund returned 2.09 per cent a year, which is the gap between the top and the bottom of what you can choose from.

What follows is set out in three parts. First, what the scheme actually holds. Second, the fees, risk indicators, and returns for every fund, taken from the Government’s register. Third — and this is the part that matters — whether the return justifies the charge.

How We Researched This Guide

Every number below is read from our own copy of the Government’s Disclose Register, which is the statutory source managers file against. It carries eight open funds, all reported as at 30 September 2026.

We also checked the rules behind every KiwiSaver account — contribution rates, the government contribution, and default provider appointments — against Inland Revenue and the Ministry of Business, Innovation and Employment.

We are not recommending a move in either direction. The point of the exercise is to put the verified numbers side by side, so the decision rests on figures rather than on a brochure.

The Quick Summary (60-Second Version)

Here is the short version before the detail.

• BNZ offers eight open funds across a single scheme.
• Annual fund charges range from 0.30% to 0.45%.
• The cheapest option is the BNZ KiwiSaver Cash Fund at 0.30%.
• The largest fund by value is the BNZ KiwiSaver Growth Fund, with $2.18 billion invested.
• The BNZ KiwiSaver Growth Fund has the strongest five-year record in the range, at 5.62 per cent a year.
• The BNZ KiwiSaver Conservative Fund has the weakest five-year record, at 2.09 per cent a year.
• Together, the funds hold $7.29 billion for 256,551 investors.
• Eight of the open funds don't have a five-year figure yet because they haven't been running that long.

What You Pay, and What You Get For It

BNZ charges an annual fund charge, and its KiwiSaver scheme has no separate membership, contribution, establishment, switching, or termination fees. The charge comes out of the fund’s returns rather than being billed to you, so most members never see it leave the account.

Put into dollars, the spread is easier to judge. On a $50,000 balance, the lowest charge here, 0.30 per cent, is about $150 a year, and the highest, 0.45 per cent, is about $225. On $100,000, those figures double.

What the Charge Costs at Different Balances

A fund charge is a percentage of your balance, so the dollar figure moves as your savings grow. The table below takes the cheapest fund, the most expensive fund, and a middle fund from the range, and shows what each charges at three balances. This is the certain part of the equation: the fee is charged whether the fund rises or falls.

Over a working life, that difference compounds more than most people expect, because the fee is taken every year from a balance that would otherwise be growing.

The Kinds of Fund in This Range

The register groups every fund by type, and the type tells you more about the risk than the name does. BNZ spans 5 of those groups, which determines how much choice you actually have.

The risk indicator runs from 1 to 7. It measures how much the fund’s value has moved in the past, not how good it is. A 6 or 7 isn't a warning; it means the fund is expected to fall further in a bad year, and it belongs in a portfolio you will not need to touch for a long time.

BNZ KiwiSaver Scheme — the funds

Charges across the open funds run from 0.30 per cent to 0.45 per cent. The strongest five-year figure is the BNZ KiwiSaver Growth Fund at 5.62 per cent a year, and the weakest is the BNZ KiwiSaver Conservative Fund at 2.09 per cent a year.

What the Funds Actually Hold

Alongside the fees, the register discloses what share of each fund sits in growth assets — shares and property — and what share sits in income assets such as bonds and cash. That split explains more about a fund’s behaviour than its name does, because it is what determines how far it rises and falls.

The range here runs from 0% growth assets in the BNZ KiwiSaver Cash Fund up to 100% in the BNZ KiwiSaver High Growth Fund. A fund at the bottom of that range will barely move in a bad year; one at the top will fall hard when share markets do, and recover just as sharply when they turn. Neither is better on its own — the right split depends on how long the money will stay invested.

Reading the Returns

The returns in every table are net of the fund charge and after tax, which is the figure that matters to a member. Every return shown is net of the fund charge and after tax. The strongest five-year average here is the BNZ KiwiSaver Growth Fund at 5.62 per cent a year, against a range of 2.09 to 5.62 per cent across the open funds.

Read the one-year and five-year columns together rather than on their own. One-year figures across these funds span 1.85 to 11.48 per cent, and five-year averages 2.09 to 5.62 per cent. A single year reflects twelve months of market conditions; a five-year average is much harder to flatter, and it is the fairer basis for comparing managers.

If a fund has only a short record, none of this helps, and that is a real limitation rather than a technicality. The longer the published record, the more of it is evidence rather than circumstance.

The table below sets out every figure the register holds for each open fund, over each period it publishes. The longer columns matter most, because they are the hardest to produce by luck.

Two of the open funds here have no five-year figure because they have not been running that long. We show a dash rather than a non-comparable number, so weigh those funds on their fees and strategy instead.

Where BNZ Sits Against the Alternatives

On entry cost, BNZ is the 9th cheapest of the 29 managers in our KiwiSaver table, with its cheapest fund charging 0.30 per cent. The cheapest manager charges 0.03 per cent and the dearest starts at 4.26 per cent.

Cost is only one side of the ledger. The other is whether the return justifies it, which is what the five-year column is for. Neither number is predictive on its own, and a stretch that suits shares will always make the share-heavy funds look better than they are.

What You Put In, and What You Get Back

The Government sets the contribution rules, and they apply to whoever manages your money, so they are the same here as anywhere else. What changes between schemes is what happens to the money once it arrives, which is why the charge matters more as the balance grows.

The default employee and employer rate is 3.5 per cent from 1 April 2026, and it rises to 4 per cent on 1 April 2028. On a $70,000 salary, 3.5 per cent is $2,450 a year from you, matched by your employer, so about $4,900 a year goes into the account before any return.

The Government adds 25 cents for every dollar you contribute, up to a maximum of $260.72 a year. To receive the full amount, you must contribute at least $1,042.86 of your own money between 1 July and 30 June, and employer contributions do not count towards that threshold. If your taxable income is above $180,000 a year, you do not qualify.

Once the money is in, the fund charge applies to the whole balance rather than to each contribution. On a $50,000 balance, the lowest charge here, 0.30 per cent, is about $150 a year, and the highest, 0.45 per cent, is about $225. On $100,000, those figures double. That is the number worth weighing against the returns, because it is charged whether the fund rises or falls.

Questions You Might Have

Which fund am I in?

Your KiwiSaver statement, or the online account you use to manage your savings, will show which fund your money is invested in and how it is split if you hold more than one. Check it before anything else, because the fund decides both the return and the charge.

How much will I pay?

Charges across the open funds run from 0.30 per cent to 0.45 per cent. It comes out of the fund’s returns, not your bank account, so you will not see a separate bill.

Is BNZ a default provider?

Yes. The appointed default providers are BNZ, Booster, Westpac (through BT Funds Management), Fisher Funds, Simplicity and Smartshares, with appointments running to December 2028. As a default provider, members who never choose a fund are automatically allocated here.

Can I change funds without changing provider?

Usually yes. Most schemes let you move between their own funds, or set a different split, through your online account at no cost, and the change takes effect without affecting your membership or your employer contributions. You only need to switch provider if the scheme itself is the problem.

Do I have to pick just one fund?

No. With 8 open funds, you can split your balance across several, which lets you take more risk with part of your savings and less with the rest. The trade-off is that you have to keep track of the split yourself.

What happens to a closed fund?

If you already hold a fund that has closed to new members, you keep it and continue to pay the charge shown. Closing a fund stops new money from coming in; it does not force existing members out or change your balance.

How much do I need to contribute to get the full government contribution?

You need to contribute at least $1,042.86 of your own money between 1 July and 30 June to receive the maximum $260.72. The government adds 25 cents for every dollar you contribute, and employer contributions don't count toward your $1,042.86. If your taxable income is above $180,000 a year, you do not qualify.

How much will I pay at the default contribution rate?

The default employee and employer rate rose from 3 per cent to 3.5 per cent on 1 April 2026, and it rises again to 4 per cent on 1 April 2028. On a $70,000 salary, 3.5 per cent is $2,450 a year, matched by your employer. You can also choose 4%, 6%, 8% or 10%.

Does switching to or from BNZ cost anything?

No. BNZ records no membership, contribution, establishment, switching or termination fees, and switching between KiwiSaver providers does not attract a fee in practice. You apply to the new provider, who arranges the transfer.

Why do some funds have no five-year figure?

Because they have not been running for five years. A fund launched in the last few years cannot have a five-year return, so the register leaves it blank rather than showing an incomparable figure. We show the same dash.

What Matters Most

BNZ is a bank-owned manager with a compact range. The fee table above shows the current charge for each fund. The funds are few and easy to remember.

• The BNZ KiwiSaver Cash Fund is the cheapest way in at 0.30 per cent.
• The BNZ KiwiSaver Growth Fund has the strongest five-year record at 5.62 per cent a year, and it carries the risk that produced it.
• Two funds are too new to have a five-year record, so judge them on strategy and fees rather than past performance.
• Check which fund you are in before anything else, because it decides both the return and the charge.