For the last few years, New Zealand’s private retirement savings marketplace has been dominated by Superannuation and KiwiSaver schemes.
Both types operate under a trust deed and must always have a current registered prospectus and investment statement, although KiwiSaver schemes are only available to permanent members of New Zealand and are governed by the KiwiSaver Act 2006, built around automatic enrolment.
All schemes must appoint a statutory trustee whose role is focussed on compliance with regulations and protecting the interests of members from inappropriate investments and to monitor the processes of any appointed investment manager.
Additionally, in the country, a regulatory regime is in place to prohibit the imposition of detrimental retrospective terms and conditions without the written consent of ever member.
There is no requirement to purchase an annuity in New Zealand, as has been introduced recently in the UK, and members elect for payments from their fund and all investment returns continue to be taxed within the fund.