Ahead of changes, KiwiSaver popularity rises

KiwiSaver came in at joint third with bank savings accounts, behind term deposits in first place with 19% and rental property at 15%.

"Over the past year KiwiSaver has climbed from last place to third equal in return perceptions, the highest level yet," said ASB head of Private Banking and Wealth Management Jonathan Beale. <

"Those expecting KiwiSaver to be their main source of retirement funding also reached a new high of 62% (up from 61% in Q4 2010), while respondents currently using KiwiSaver climbed 5% to 43% - another high."

"After almost four years of contribution from individuals, employers and the Government, investors are starting to sit up and take notice of KiwiSaver. Fund balances are growing, and the KiwiSaver scheme has proven to be a successful way of turning around the poor savings habit of many New Zealanders."