This shows you the difference our low fees make to a range of balances in just one year. Investing for your retirement takes a lot longer, so imagine how big that fee difference becomes over 20, 30, 40 years or even longer. Plus, what’s not taken out of your balance in fees, stays in your retirement pot, reinvested month after month, year after year. The difference becomes even larger. If you want to know more about the magic of compounding, click here.
* We charge the same fees for all funds.
How we work this out
JUNO KiwiSaver Scheme fees assume your balance is at year-end and you pay the
applicable JUNO fees, each month.
*Fees calculated by Morningstar in the Morningstar KiwiSaver Survey September Quarter 2020 (as at 30 September 2020): https://www.junokiwisaver.co.nz/morningstar-kiwisaver-results Morningstar uses median rather than mean for the average membership fees.
**Our Conservative Fund is in the Morningstar NZ Multisector Moderate index in the Morningstar KiwiSaver Performance Survey
Inflation measures the expected change over time, of the price of goods and services you want to buy.
A 2% inflation rate, like we use in this calculator, means something costing $100 today is expected to cost $102 next year, just over $104 the following year and so on.
It matters because if the cost of what you want to buy grows faster than your investment, the ‘purchasing power’ of your investment is shrinking. You want the ‘purchasing power’ of your money to at least keep pace with, and ideally beat, the rate of inflation.
A market index contains similar assets and has similar risk to the JUNO funds, and so is a good reference point for judging performance. Every fund type is made up of a different mix of asset types.
Each asset type (equities, fixed income and cash) in each fund has a market index. So, the market index figures shown combine two or more market indices, depending on the assets in the fund. For example, the JUNO Growth Fund combines market indices for equities, fixed income and cash. Finally, the combination of market indices for each fund is weighted according to its target asset mix.
For example, the market index return for the JUNO Growth Fund is 80% the return of the market index for equities, 10% the return for fixed income and 10% the return of the market index for cash. More information about the JUNO KiwiSaver Scheme market indices can be found in the Statement of Investment Policy and Objectives (SIPO).