Advising on KiwiSaver can create "a moat" for adviser's businesses: Generate
Generate says providing advice on KiwiSaver can help create “a moat” around an adviser’s business.
Monday, March 9th 2026, 8:56AM
by Jenny Ruth
“The more problems you solve, the more like they are to stay with you,” Generate’s head of distribution, Kristian James, told advisers, adding that advising clients on other managed funds is also an opportunity for advisers.
Speaking to a mix of investment, mortgage and insurance advisers in Wellington as part of Generate’s current roadshow around the country, James noted that research has shown that those with advisers are 4% better off each year and have 50% more in their KiwiSaver accounts.
Advisers should play a part in increasing KiwiSaver’s value and, with the average KiwiSaver balance now at about $36,000, “the KiwiSaver story has become more and more important to people.”
With a $1.6 trillion inter-generational wealth transfer happening over the next 30 years, property investment and term deposits are no longer as appealing as they used to be.
Generate has grown to 185,000 members with $8.7 billion in funds under management and more than 90% of its business coming from advisers said.
James said more needs to be done with KiwiSaver to drive the need for Kiwis to save more especially as New Zealand Superannuation comes under increasing pressure.
Quoting a Massey study, Generate’s head of distribution, James said that by 2065 it is estimated that there will be only two workers paying each retiree’s NZ Super.
“The numbers aren’t quite working out,” James said. “The retirement gap is real and it needs to be solved.”
He noted that the current government has recognised the gap between the amount people are saving and the amounts they will need to live on in retirement by pledging to lift contributions to 12% by 2032 with individuals and their employers each contributing 6% of that individual’s income into KiwiSaver.
While more than $123 billion is currently invested in KiwiSaver, that pales into insignificance alongside Australia’s $5.12 trillion invested in its superannuation schemes, which already require 12% contributions and which is compulsory whereas KiwiSaver remains a voluntary scheme.
While NZ has about a fifth the population of Australia, KiwiSaver’s value is just 0.2% the size of Australia’s superannuation scheme, James said.
He said Generate is ready to assist advisers in educating and empowering Kiwis, offering training, technology and administration so that advisers can offer their clients Generate’s products seamlessly – the company launched six new funds last year, three of which were KiwiSaver funds.
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