Section 1Key information summary

Offer of membership of UniSaver New Zealand 30 June 2021

This document gives you important information about this investment to help you decide whether you want to invest. There is other useful information about this offer on www.disclose-register.companiesoffice.govt.nz [external link]. UniSaver Limited has prepared this document in accordance with the Financial Markets Conduct Act 2013. You can also seek advice from a financial advice provider to help you to make an investment decision.

This is a replacement product disclosure statement, which replaces the product disclosure statement dated 31 August 2020.

What is this?

This is a managed investment scheme. Your money will be pooled with other investors’ money and invested in various investments. UniSaver Limited will invest your money and charge you a fee for its services. The returns you receive are dependent on the investment decisions of UniSaver Limited and of its investment manager and the performance of the investments. The value of those investments may go up or down. The types of investments and the fees you will be charged are described in this document.

What will your money be invested in?

UniSaver New Zealand (UniSaver or the scheme) offers you a choice of five investment options. These investment options are summarised below. More information about the investment target and strategy for each investment option is provided at section 3 ‘Description of your investment option(s)’.

Investment option

Risk indicator

Fees

Investment option

Risk indicator

Fees

Estimated annual fund charges p.a. (1)

Other fees and charges

Investment option

UniSteps

Risk indicator

Fees

Investment option

Description: With UniSteps, the mix of growth and income assets changes automatically as you get older. Up until age 45, your savings are invested in approximately 80% growth assets. From then, the percentage of growth assets is reduced gradually to approximately 20% at age 69. UniSteps uses three investment options – Growth, Balanced and Conservative (see next page) – to transition your savings from predominantly growth assets to predominantly income assets over time. The risk/return profile of UniSteps changes depending on the proportion of your savings invested at any given time in these options. The overall fund charges also change. Here are examples at ages 49, 54, 59 and 64.

Objective: To reduce your allocation to growth assets progressively over time using Growth, Balanced and Conservative as ‘building blocks’.

Risk indicator

Fees

 

 
        0.70%
  
  
  
  
  
        0.66%
   
  
  
  
   
        0.62%
  
  
  
  
  
        0.57%

All members

$219.02 for a first-home withdrawal.

$102.61 for a significant financial hardship withdrawal.

Retained members only (2)

Withdrawal fee:

$39.66 for second and subsequent withdrawals in any calendar year.

Annual administration charges: $52.32.

Investment option

Growth

Risk indicator

Fees

Investment option

Description: Invests predominantly in growth assets (e.g. shares) with a smaller percentage in income assets (e.g. fixed interest).

Objective: To provide net returns (3) of 2.75% above inflation over rolling 10-year periods. There is a reasonably small risk (4) of a member losing more than 15% in any year, with a current likelihood of a negative return of 1 year in every 4.

Risk indicator

  
     

Fees

  
  

  

        0.74%

Investment option

Balanced

Risk indicator

Fees

Investment option

Description: Invests in a balanced portfolio with a slight emphasis on growth assets (e.g. shares).

Objective: To provide net returns (3) of 2.25% above inflation over rolling 7-year periods. There is a reasonably small risk (4) of a member losing more than 10% in any year, with a current likelihood of a negative return of 1 year in every 4.

Risk indicator

  
  

Fees

  

  
  

        0.66%

Investment option

Conservative

Risk indicator

Fees

Investment option

Description: Invests predominantly in income assets (e.g. fixed interest) with a smaller percentage in growth assets (e.g. shares).

Objective: To provide net returns (3) of 1.0% above inflation over rolling 3-year periods. There is a reasonably small risk (4) of a member losing more than 5% in any year, with a current likelihood of a negative return of 1 year in every 4.

Risk indicator

  
  

Fees

  

  

  
        0.52%

Investment option

Cash

Risk indicator

Fees

Investment option

Description: Invests fully in New Zealand cash.

Objective: To provide a return broadly in line with that of the S&P/NZX Bank Bills 90-Day Index after tax. There is a low risk of experiencing a loss in any one year, however returns may not keep up with inflation.

Risk indicator

 

Fees

  

  

        0.30%

1. Percentage of the net asset value of the option.

2. If you are eligible to withdraw from UniSaver, you may be able to elect to leave part or all of your benefit in UniSaver and become a retained member.

3. After tax and investment expenses.

4. Approximately 1 in 20 years.

See section 4 ‘What are the risks of investing?’ for an explanation of the risk indicator and for information about other risks that are not included in the risk indicator. To help you clarify your own attitude to risk, you can seek financial advice or work out your risk profile at www.unisaver.co.nz/risk-profiler [external link].

Who manages UniSaver?

UniSaver Limited (we, our or us) is the trustee and manager of UniSaver. See section 7 ‘Who is involved?’ for more information.

How can you get your money out?

Withdrawals are restricted because UniSaver is a workplace savings scheme intended to help you save for your retirement.

Generally, you can get your money out of UniSaver on retirement from age 60 or resignation. However, you might be able to withdraw some or all of your money earlier in other limited circumstances.

The locked section is a complying superannuation fund (complying fund), which means it can offer some KiwiSaver benefits because it complies with rules like KiwiSaver.

Different benefit rules apply to locked amounts held by locked members.

Your savings in UniSaver are payable to your personal representatives if you die.

See section 2 ‘How does this investment work?’ for more information about how you can get your money out.

How will your investment be taxed?

UniSaver is not a portfolio investment entity (PIE). For information on taxation, see section 6 ‘What taxes will you pay?’.

Where can you find more key information?

UniSaver Limited is required to publish annual updates for each investment option. The updates show the returns, and the total fees actually charged to investors, during the previous year. The latest updates are available at www.unisaver.co.nz. We will also give you copies of those documents on request.