Milford tops KiwiSaver satisfaction survey

Financial rating agency Canstar is predicting increased competition over fees for KiwiSaver funds this year. Photo / Thinkstock

Milford Funds Management has topped a consumer satisfaction survey asking people to rate their KiwiSaver provider.

The Auckland based asset manager scored 98 per cent in research undertaken by Consumer which asked people about the level of communication and services they received from their provider.

Kiwi Wealth, formerly known as the Gareth Morgan KiwiSaver scheme which is now owned by KiwiBank and SuperLife, which was bought by the NZX in December, also scored highly.

Satisfaction levels have improved since the last survey undertaken by Consumer in 2013 moving from an average of 66 per cent to 71 per cent.

But Consumer finance writer Kate Sluka said the level remained well below satisfaction levels for banks which averaged around 92 per cent.

Those who rated most poorly included default providers AMP, ANZ, Mercer and Westpac.

See how your provider rated here

Savers are placed into a default scheme when they are automatically enrolled upon switching jobs.

Sluka said a lack of communication had caused dissatisfaction for some members of those schemes.

Overall the survey found a third of people had received a statement from their provider once a year while 20 per cent received a monthly statement.

However one in five people questioned also did not know how often they received one.

Two-thirds of those questioned had chosen their own KiwiSaver provider, 12 per cent were defaulted into a scheme, 10 per cent were with their employer's chosen scheme, and 6 per cent received advice from an accountant or financial adviser or were told about it by their bank.

Younger people - those aged 18 to 34 were more likely not to have chosen a scheme.

Just 3 per cent of those questioned had a problem with their KiwiSaver provider during the year of which nearly half related to accessing information, 16 per cent to accessing funds and 16 per cent to finding out their balance.

Of those who had problems 57 per cent rated the handing of it as poor or very poor.

The survey questioned 4885 Consumer members.