Every year KiwiSaver providers are required to send all KiwiSaver members an annual statement.
There is a requirement to include fees in dollar terms in these statements and the below provides more information on how the fees work and how they are calculated.
For information in relation to prior years please refer to the section 'Where can I find fees charged by Mercer in previous years?' below.
The Scheme has fund charges which include the manager’s basic fee, fees for the custodian and supervisor, expenses and in-fund costs.
The fund charges vary depending on the fund you invest in, and the estimated range for the 2023 annual statement is from 0.32% for the Cash fund to 0.94% for the Sustainable Plus Shares fund.
The annual fund charge estimate included in the total dollar fees in the Mercer KiwiSaver scheme annual member statements are calculated using the cents per unit methodology which is based on your daily balance.
The fee shown in the statement is the total estimated fee paid by you during the year to 31 March. The reason it is an estimate is because some fee information is finalised after the statements need to be prepared. As the main fund charge is the manager’s basic fee which is not estimated, the estimated portion is a relatively small proportion of the total fee.
The total estimated fee is comprised as follows:
Annual Fund Charges
Manager’s Basic Fee
Fee charged by Mercer for services such as investment management.
Other Expenses (Estimated)
These have been estimated and are comprised of supervisor/custodian fees, expenses as well as costs associated with the underlying funds which can be deducted from the returns received from those managers. Performance based fees are charged by some underlying managers when good performance is achieved.
The supervisor and custodian fees have been estimated on a combination of actual and forecasted amounts.
Estimates for external performance based fees are based on actual data for the six months to 30 September 2022.
The estimates will vary depending on the size of your balance. Here is an example of the estimated total fees for the Sustainable Conservative Fund:
|Balance||Total fee (including estimates) / $ per
member per annum*
You can download copies of previous annual statements on your online account by logging in here.