The 6 default KiwiSaver schemes

A default KiwiSaver scheme is one of six providers appointed by MBIE (Ministry of Business, Innovation and Employment) to receive new KiwiSaver members who don't actively choose a scheme. Since 1 December 2021, the six appointed default schemes are BNZ, Booster, Fisher Funds, Simplicity, SuperLife (Smartshares), and Westpac. Inland Revenue randomly allocates new members across these six providers.

Inland Revenue automatically allocates new KiwiSaver members to one of the six appointed default schemes via a random selection process. New members are placed in the scheme's default fund, which under the 2021 rules is a Balanced fund (60% growth / 40% defensive assets) — replacing the earlier Conservative-fund default that was criticised for inadequate long-term returns.

MBIE ran a competitive tender process in 2020–2021 that selected the six providers based on fees, financial stability, member services, and capability. The current appointments run from 1 December 2021 to 30 November 2027. Default appointments are reviewed every 7 years; the next review is due in 2027.

You can stay in a default scheme indefinitely — there is no requirement to switch. Default placement is just the initial allocation if you didn't choose. You can switch funds within your default provider or transfer to a different KiwiSaver scheme at any time. Switches within a provider are usually instant; transfers between providers take 10–15 business days.

Not necessarily. The MBIE selection criteria emphasised fees, stability, and capability — not the highest expected returns. The Balanced-default rule (60/40) is conservative for members 15+ years from retirement, who may achieve different long-term outcomes in a Growth or Aggressive fund. There are also non-default providers (Milford, ANZ, Kernel, Pathfinder, others) with multi-year track records. Compare data before staying or moving.

Under the December 2021 rules, the default fund within each default scheme is a Balanced fund — roughly 60% growth assets (shares, property) and 40% defensive assets (bonds, cash). This replaced the older Conservative-default. The change was driven by the recognition that Conservative funds were inadequate for long-horizon members (most KiwiSaver members are decades from retirement).