How will my portfolio change over time?
kōura recommends a mix of growth and income assets which is appropriate to your objectives, age and risk profile at the time you sign up.
As you get older or closer to the time when you are able to access your KiwiSaver savings for a house purchase, we will recommend that you change the risk profile of your portfolio by increasing the proportion of less risky income assets relative to the riskier growth assets. This is so that you are less exposed to a prolonged market slump close to the time when you may need the money.
Our recommended strategy is similar to the US target retirement funds which are very popular to savers who do not wish to manage their retirements savings themselves.
For more info on this, see our blog post – Understanding Risk.