[GRTV] InvestNow past, present and future

In this episode of Good Returns TV, Philip Macalister sits down with InvestNow senior portfolio manager Jason Choy to talk about the growth of InvestNow and how its online investment platform has become a popular choice for Kiwi investors.

Tuesday, April 25th 2023, 6:00AM

Choy says in the five plus years InvestNow has been operating, its proposition to remove barriers to investing by providing greater choice and ease of access to Kiwi investors has seen its overall fund figures grow to around $1.4 billion, with an average customer balance of over $50,000.

A key driver of this success has been InvestNow’s Kiwisaver scheme, which has grown over 100% in the last 12 months thanks to strong adviser partnerships, with the ability to tailor KiwiSaver portfolios across any combination of the scheme’s 37 funds across 14 different managers proving popular with both advisers and end-investors alike.

Choy says Kiwis love the ability to diversify their portfolios across a number of different managers – a perk of InvestNow’s KiwiSaver scheme that is uniquely available completely free of charge. Because no other fees are charged other than the headline fee associated with the underlying fund(s) selected, Choy says that this results in better net outcomes for Kiwis.

“With KiwiSaver having been around for more than 15 years now, people are starting to or will soon see some substantial balances. For many Kiwis it is the biggest asset they will have, so it makes sense to be able to spread the investment risk across a few different managers or investment strategies, whilst still avoiding paying unnecessary fees year-on-year, as this can really impact returns in the long-run”.

Another benefit InvestNow highlights with its KiwiSaver scheme is its adviser-friendly structure. InvestNow facilitates monthly payment of the standard advisory fee that is agreed upon between the adviser and client, with this being capped at 50 basis points per annum.

In addition, because InvestNow utilises a traditional KiwiSaver structure, compliance and disclosure responsibilities do not get transferred to the adviser.

This means advisers can spend less time doing regulatory paperwork and more time delivering strong financial outcomes for their clients.