I remember being at a client function in 2008, right in the middle of the financial crisis. I was speaking to a very wealthy client, well into his 80s, who had been investing for quite a few decades.
When I asked how he was feeling about these rough markets, he gave me the opposite response to most people at the time. It was something fairly upbeat along the lines of: "It doesn't bother me one bit, it's times like this when I make a lot of money."
Those comments spring to mind when thinking about the impact of the recent turmoil on New Zealanders' KiwiSaver accounts. Assuming they are some way off retirement, the last thing KiwiSaver investors should be doing is concerning themselves with the weekly or monthly movements in their retirement savings accounts.
If they are as touchy as that, they probably belong in a conservative fund that sticks to lower risk assets. However, they'll give up a good proportion long-term growth in exchange for that lower level of volatility. You can't have both, it just doesn't work that way.