KEY POINTS:
ASB Bank charged the lowest management fees for its balanced fund among the six default KiwiSaver providers, according to managed fund analyst Trident Research.
On a $10,000 account, ASB's annual fees of $73 for its balanced fund was less than half that of sixth-placed Mercer, which charged $151.80 for its active balanced fund. ING's balanced fund charged $121.50 a year. Tower balanced charged $131, AMP balanced charged $138.50 and Axa balanced charged $143.92. ASB's fees were 0.73 per cent of a $10,000 account, while Mercer's were 1.52 per cent of the total. The fees included all charges.
"In percentage terms the differences in management fees might seem small, but ... they have a very significant effect on how much you will get at retirement time," Trident Research director Phil Harris said. Thirty balanced funds are currently registered with KiwiSaver.
