Are you a woman who feels like you're not making the most of your KiwiSaver? Westpac has some advice that could potentially save you tens of thousands of dollars over your lifetime. While the gender gap in KiwiSaver balances has narrowed over the years, with the average balance for women now at 14% less than men, there's still a significant difference. The key to closing this gap might lie in how women approach their investments. Westpac's research reveals that women tend to opt for less risky funds, which could be costing them in the long run. But here's where it gets controversial: higher-risk funds have historically delivered higher returns. According to Morningstar data, aggressive funds have averaged a 9.5% annual return over 10 years, compared to just 4.2% for conservative funds. So, what's the solution? Westpac's Sarah Hearn suggests that women should consider taking on more risk with their KiwiSaver, especially if they're saving for the long term. She encourages women to talk more openly about their financial decisions and to check the type of fund they're in, ensuring it aligns with their risk appetite and time horizon. But this is the part most people miss: higher-risk funds can be volatile, and there's no guarantee of higher returns. It's a delicate balance between taking calculated risks and preserving your savings. So, what do you think? Are you willing to take on more risk with your KiwiSaver to potentially boost your returns? Or do you prefer a more conservative approach? Share your thoughts in the comments below!
