Eriksens Master Trust Survey
The Eriksens Master Trust survey reports on the performance of
the leading New Zealand wholesale (employer) investment funds.
Master trusts give smaller employers a cost-effective way of providing
their employees with access to superannuation. The survey is updated at
the end of every calendar quarter.
If you wish to receive
a copy of this survey regularly or have other comments about it please email us. Past
surveys in Adobe Acrobat (.pdf) format may be downloaded from the links
below.
PIEs and the Master Trust Survey
Master Trust Surveys from 31 December 2008 onwards
include returns from PIE compliant funds.
Deciding how the PIE returns should
be reported has caused much discussion, both within Eriksens and with master trust providers. A major issue has been that returns
gross of tax and net of fees have been available for all PIEs, but not all can provide tax paid returns. This has led to
suggestions that we should report PIEs gross of tax and non-PIEs net of tax.
We have decided against this but continue to show returns net of all fees, expenses and tax so that we can continue to show
returns over 1, 2, 3, 4 and 5 year periods and to allow continued comparison between PIE and non-PIE funds. Since the
greater proportion of employer master trust members will be taxed at 33% on their returns, all of the PIE returns we show are
at a 33% tax rate. Note the average full-time wage exceeds $50,000 p.a., well short of the $38,000 income which qualifies
for the 19.5% rate.
In our discussions we have noted considerable differences between how different providers are reporting PIE returns. Over
time we expect some consistency to emerge and may change our format later to conform with the consensus.
