Quote Originally Posted by smpl View Post
I think any provider offering international equities exposure at low cost is on the right track. The website is fresh and I hope they do well.

From their Product Disclosure Statement:



This is the only thing missing however. Save yourselves money and offer clients the higher reward/higher risk option of no hedging - unhedged portfolios will outperform any of the other current Kiwisaver portfolios long term.



You're already superior to Smartshares with your international equities/low cost offering. Now you could beat KiwiWealth/Gareth Morgan (who benchmark 50% hedged/50% unhedged of their 85% international equity exposure) by offering 0% hedged.

Even better would be a service that let the client choose level of hedging...

Nothing to add to the KS debate - but the comment above about unhedged global portfolios outperforming is incorrect on an historic basis. Over any meaningful timeframe hedged has outperformed unhedged, for NZ investors. This can be verified very easily by comparing global providers where those providers offer the same underlying product on a hedged and unhedged basis. No comment on future returns but the historic data is there for anyone to see.