Tower TOWER KiwiSaver

Which TOWER KiwiSaver Scheme investment fund may suit you

The TOWER KiwiSaver Scheme offers a range of investment funds managed by professional fund managers who invest in a variety of funds on your behalf. Fund managers have the knowledge, expertise and market information to make informed and educated investment decisions. It is their role to seek to maximise the returns of each fund, within its investment guidelines.

The TOWER KiwiSaver Scheme investment options available allow you to choose between conservatively managed funds that produce steady growth, or others that are geared for higher growth but with the possibility of greater volatility.

What's your investment profile?
The chart below may help you decide which of the TOWER KiwiSaver Scheme investment funds may best suit your needs. The information in this chart is a guide only, contains information of a general nature and does not take into account your particular financial situation or goals. Rather, the information in this chart is based on general predefined characteristics, including attitude towards fluctuations, losses and unpredictability in investment returns and years until retirement or withdrawal of funds. TOWER recommends that you obtain personalised advice from a professional financial adviser before making a decision to invest or change your investment in the TOWER KiwiSaver Scheme. Read the statements below and use the key to rank yourself on the scale. Key: 1=strongly disagree, 2=moderately disagree, 3=neutral, 4=moderately agree, 5=strongly agree
I would not change my investments even if the returns fluctuated greatly each year.	1 Strongly disagree	2	3	4	5 Strongly agree
I am willing to tolerate negative returns and investment losses in the short-term (up to 3 years).	1 Strongly disagree	2	3	4	5 Strongly agree
I prefer investments like shares that potentially produce higher returns over the longer term (over 10 years) even though the returns may be more unstable in the short-term (up to 3 years).	1 Strongly disagree	2	3	4	5 Strongly agree
I understand investing can be unpredictable and am comfortable with changes in the value of my investment resulting from market movements including negative returns to achieve potentially above average returns.	1 Strongly disagree	2	3	4	5 Strongly agree
I have a long time (over 10 years) before I reach retirement age or plan to retire, or until I plan to withdraw my funds (e.g. for the first home withdrawal).	1 Strongly disagree	2	3	4	5 Strongly agree

Your total 0.

Based on your score you might like to consider the following fund:

(For more information on each of the funds, click on the fund name below)

Note: 'Short term' refers to up to three years and 'long term' refers to over ten years

5-8        TOWER KiwiSaver Preservation Fund - This fund generally suits investors who may have a short term until retirement or potential withdrawal of their funds. Preservation Fund investors are generally cautious and do not tolerate losses in their investment in the short term, seeking stable or consistent returns in line with bank deposits.

7-10      TOWER KiwiSaver Cash Enhanced Fund - This fund is only available to members allocated to TOWER KiwiSaver by the Inland Revenue. The Cash Enhanced Fund generally suits cautious investors who may have a short term until retirement or potential withdrawal of their funds, and who therefore seek comparatively stable returns, with limited fluctuations over the long term.

9-11      TOWER KiwiSaver Conservative Fund - This fund generally suits cautious investors who may have a short term until retirement or potential withdrawal of their funds. Conservative Fund investors generally seek comparatively stable returns, with limited fluctuations over the long term.

12-18    TOWER KiwiSaver Balanced Fund - This fund generally suits investors who have a long term until retirement or potential withdrawal of funds, and are therefore willing to tolerate losses in their investment in the short term. Balanced Fund investors are generally accepting of higher levels of fluctuation in their investment returns (including periods of negative returns) in return for potential capital growth over the long term.

19-22    TOWER KiwiSaver Growth Fund - This fund generally suits long term investors, with a long term until retirement or potential withdrawal of their funds, who are comfortable with changes in the value of their investment resulting from market movements to achieve above average returns. Growth Fund investors generally seek higher returns, and are therefore willing to accept significant fluctuations in their investment returns (including negative returns) from year to year.

23-25    TOWER KiwiSaver Equity Fund - This fund generally suits long term investors, with a long term until retirement or potential withdrawal of their funds, wishing to focus their investment solely in overseas equities. Equity Fund investors generally prefer investments, like shares, that potentially produce higher returns over the long term, even though the returns may be more unstable, with significant fluctuations in investment returns (including negative returns), in the short term.

You should seek professional financial advice before deciding which fund to invest in.

You could also elect to spread your savings across more than one fund and you can change your fund choice at a future date. If you do not choose an investment fund when you apply to join the TOWER KiwiSaver Scheme, you will automatically be allocated to the TOWER KiwiSaver Balanced Fund. Members allocated to the TOWER KiwiSaver Scheme by the Inland Revenue will be automatically invested in the TOWER KiwiSaver Cash Enhanced Fund. You can select another fund at anytime if you wish.

If you are wanting to make use of the first home withdrawal facility, this may influence your final decision around your fund choice and investment profile.