The top three Australian bank-owned KiwiSaver providers continued to lose market share over 2022, according to the latest Morningstar review of the sector.
New data shows industry leader, the triple-schemed ANZ, shed almost 1 per cent market share over the 12-month period to close out 2022 with 20.5 per cent (or $17.7 billion) of the Morningstar KiwiSaver universe.
As at the end of December 2021, ANZ managed 21.4 per cent of the KiwiSaver money as measured by Morningstar (which does not cover the entire market) – itself well down on the 24.3 per cent recorded at the end of 2019.
Meanwhile, both number two provider, ASB, and third in line to the crown, Westpac, also gave up some ground to competitors in 2022, albeit in only slight increments.
ASB now accounts for 15.9 per cent of KiwiSaver money compared to 16.1 per cent at December 31, 2021, and 18.6 per cent two years previously; Westpac market share fell just 0.1 per cent last year to reach 10.6 per cent but the red bank was at 11.5 per cent in 2019.
BNZ is the sole Australian bank-owned scheme to grow market share since 2019, expanding from 4.4 per cent to the current 5.2 per cent (up 0.1 per cent last year).
But a cohort of locally owned providers have scooped up most of the Australian bank KiwiSaver crumbs, headed by Milford Asset Management that grew from 3.5 per cent of the market to hit 6.5 per cent over the three-year period.
Booster and Generate, likewise, both added about 1 per cent to their respective KiwiSaver market shares during the three years to the end of 2022 to now boast roughly 4 per cent apiece.
Simplicity, meanwhile, doubled its market share over the same timeframe to claim 3.6 per cent of KiwiSaver in the most recent Morningstar census.
Fisher Funds has seen its market share range between 8.7 per cent at the end of 2019 to 8.1 per cent two years later; currently, the Takapuna-based manager holds 8.4 per cent market share after absorbing the Aon KiwiSaver scheme last year.
Including its most recent purchase, Kiwi Wealth, Fisher now owns 13.7 per cent of the KiwiSaver market, taking it well past third-placed Westpac and just $100 million or so shy of ASB.
In spite of a relatively strong final quarter, Morningstar figures show average KiwiSaver diversified funds were all in the red last year, ranging from -7.3 per cent for conservative to -14.8 per cent in the growth category. Default funds also suffered in 2022 with the NZX-owned SuperLife reporting the best annual result (-10.6 per cent) while Kiwi Wealth (-14 per cent) bottomed-out.
The Morningstar KiwiSaver survey is now coordinated by global fund data director, Greg Bunkall, following the departure of director manager research APAC, Tim Murphy last year.