Kiwi heads super fund

After a worldwide search, a New Zealander will head the Government's New Zealand Superannuation Fund.

Paul Costello, 46, has been appointed chief executive of the Guardians of New Zealand Superannuation.

Costello is chief executive officer of the $4 billion Superannuation Trust in Australia, where superannuation saving is compulsory.

He is returning to New Zealand after almost 15 years in the superannuation industry across the Tasman, and takes up the post at the end of next month.

Guardians chairman David May said Costello brought significant experience, particularly in large public sector investing, to his new role.

"His skills will greatly assist the Guardians during the crucial start-up phase and as the Guardians' structure and operations become more established."

The Government fund is designed to help pay for New Zealanders' basic superannuation needs in future decades.

The Government, which started setting aside money for the fund from July 2001, will invest around $2 billion a year until it has $50 billion in assets at its peak in 2030.

The fund is not expected to start investing until this year's September quarter at the earliest.

- NZPA