| Westpac NZ will never ask you for your login details, such as usernames, passwords, or other security related information by email. |
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| Welcome from the Chairman. |
| Welcome to the second edition of the 2024 In-Tandem Insight newsletter. |
| In this edition, we explain our recent transition to electronic communications as our default method and explore some of the benefits of Scheme membership, including free life insurance and our retirement calculator MySuper Planner. |
| We also share the latest market commentary and investment returns for the Scheme, while exploring the importance of estate planning and having an up-to-date will. |
| If you have any queries regarding the Scheme or this newsletter, please call our Helpline on 0508 IN TANDEM (0508 468 263). |
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| Bruce Kerr |
| Chairman |
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| Scheme snapshot. |
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$392,169,010 in accumulated retirement savings as at 31 May 2024 |
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4,646 members and 111 pensioners as at 31 May 2024 |
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600 new members joined In-Tandem between 1 July 2023 and 31 May 2024 |
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| Transition to electronic communications. |
| The Trustee has decided to transition to electronic communications as the default method for delivering Scheme communications and membership information from mid-2024. This means that members will receive all Scheme communications such as this newsletter, annual reports and member statements and any other updates through email, instead of through postal or physical delivery. We will use the personal email address you have provided to us (preferred) or your individual Westpac email address (if you have not advised us of a personal email address you want us to use). |
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| Why are we making this switch? |
| Convenience: Electronic communications allow you to receive important Scheme updates, member
statements, and other information directly to your email inbox. |
| Speed: With electronic communications, you will receive information in real-time, ensuring that you stay
up to date with the latest developments regarding your membership and the Scheme. |
| Environmental impact: By reducing our reliance on paper-based mailings, we may reduce our
environmental footprint and collectively contribute to a more sustainable future. |
| What do you need to do? |
| Members who are content with receiving communications electronically do not need to take any action. However, if you are receiving this communication to your Westpac email address, you may wish to provide a personal email address. You can do so by logging in to your account at westpacnzstaffsuper.co.nz and clicking on the ‘Personal details’ link under your avatar to update your email address. |
| Members who previously received their personalised annual report and member statement by post will receive an email later in the year with instructions on how to access this information electronically. |
| For any questions or concerns, members can contact the Helpline team on 0508 468 263 (+61 3 8306 0969 if calling from overseas) or by emailing westpacstaffsuper@mercer.com. |
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| Free life insurance for members. |
| If you’re a permanent employee (Category E and F members), you’re usually
eligible for free life insurance, referred to in the Scheme Product Disclosure
Statement (PDS) and Trust Deed as the “Additional Benefit”. This covers
your death or total and permanent disablement while in Service, for claims
accepted by the insurer. |
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| If you join the Scheme within the first 90 days of being employed (and are at work on the day you join), you are automatically eligible for life insurance regardless of any pre-existing medical conditions (up to
a maximum cover amount of $1 million, depending on your salary level). If you join the Scheme after
90 days of being employed, or your cover would be more than $1 million, you’ll need to undergo medical
disclosure that may result in you not being covered for some pre-existing conditions or cover
being declined. |
| The value of your life insurance is additional to the balance of your Member and Company Accounts. See page 2 of the Member Booklet for how your life insurance is calculated (this can also be found online
on the ‘Documents’ page, under ‘Member booklets and fact sheets’. You can find further information in the
‘Additional Benefit’ section available within the PDS at westpacnzstaffsuper.co.nz. |
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| Investment commentary. |
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| Quarter ended 31 March 2024 |
| Supplied by: BT Funds Management |
| The narrative for the March quarter revolved around the stock market’s ability to continue to rally despite lower expectations for interest rate cuts by the major central banks. Notably, US equities rallied for a second straight quarter and the S&P 500 had its best performance to start a year since 2019. |
| In New Zealand, economic growth for the quarter ending December 2023 (GDP) printed a marginally negative number. This followed the previous quarter’s decline in economic activity and, further, marked the
fourth quarterly contraction in the economy out of the past five quarters. At its monetary policy meeting in
February, the Reserve Bank of New Zealand (RBNZ) said that risks to the inflation outlook have become
more balanced and softened its previous intentions of further rate hikes to get inflation back to its target
range. While the RBNZ indicated the possibility of reductions in the official cash rate in 2025, financial
markets began to speculate on rate cuts starting as soon as August this year. |
| Looking ahead, analysts retain their view of continued economic resilience. However, downside risks include sticky core services inflation in the US, evidenced in the hotter than expected January and
February inflation data releases over the quarter. This may delay and/or limit the extent of interest rate
cuts and in turn limit further upside for stocks, especially for the mega-cap names. Also, softer consumer
spending data in February and dampened pricing power are a key risk to earnings growth. Additionally,
commercial real estate exposure in regional banks remains an overhang; however, policy officials and
industry leaders are of the view that contagion risk appears limited. |
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| How has your fund performed? |
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| Investment performance as at 31 March 2024 after fees and tax. |
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3 months |
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1 year |
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3 years
(p.a.) |
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5 years
(p.a.) |
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10 years
(p.a.) |
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Cash Fund |
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1.1% |
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4.3% |
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2.4% |
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1.9% |
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2.0% |
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Defensive Fund |
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1.2% |
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5.0% |
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1.5% |
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2.0% |
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2.6% |
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Moderate Balanced Fund |
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3.2% |
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8.2% |
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1.9% |
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3.5% |
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4.4% |
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Growth Fund |
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4.6% |
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10.4% |
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2.3% |
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4.5% |
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5.5% |
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High Growth Fund |
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6.7% |
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13.6% |
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3.1% |
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6.1% |
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7.3% |
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Returns are based on unit prices (determined by Mercer) for the respective funds.
The latest unit prices can be accessed here. |
| Source: BT Funds Management |
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| Do you have a will? |
| Having an up-to-date will is an important part of planning for the future. It is a legal document that specifies who will inherit your assets
or estate after you pass away. It is important to ensure that your will
accurately reflects your current situation, as your financial and personal
circumstances may have changed since you last updated it. If you do
not have a will, there are a few options available to you. You can have
one created by a trustee corporation or lawyer, or you can use a write-your-own-will toolkit from an online service or book retailer. However,
if you choose to write it yourself, it is recommended to have a lawyer
review it to ensure it is done properly. |
| For more information about wills and the estate planning process, please visit the Sorted website: |
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| Estate planning – enduring power of attorney. |
| An enduring power of attorney (EPA) is a legal document that gives someone you trust (referred to as your “attorney”) the power to make decisions on your behalf if you lose the ability to make decisions yourself. |
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EPA for Personal Care and Welfare – this gives someone the authority to make important choices
about your health and wellbeing, like picking a care facility or deciding on medical treatment. However,
it only applies when a doctor or court determines that you are unable to make these decisions yourself. |
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EPA for Property – this gives a trustee corporation or one or more individuals the power to make
decisions regarding your financial and physical assets. You have the choice to make this take effect
right away or only when you cannot make decisions for yourself anymore. Your attorney(s) must follow
any rules in the document. The Citizens Advice Bureau provides advice on what to consider when
giving someone power of attorney. You can set up an enduring power of attorney through your lawyer
or trustee corporation. |
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| MySuper Planner. |
| The MySuper Planner is an industry-leading retirement income calculator,
designed specifically for the Westpac In-Tandem Scheme. This tool enables
you to estimate your projected retirement savings and how long it may last in retirement. |
| The planner is designed to estimate your total retirement income, including benefits from NZ Super or other investments. You can also consider your
spouse or partner’s retirement savings and see how a career break or
part-time work may affect your projected savings. This allows you to assess
your financial position in retirement and plan accordingly. |
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| Important reminder. |
| We wanted to take a moment to remind you about an important aspect of our retirement Scheme. All contributions to the Scheme are made through payroll, ensuring a seamless and secure process.
We want to emphasise that the Bank or Trustee will never request payment to another bank account. |
| If you ever receive any communication or request asking for payment to a different bank account, please
contact the Scheme’s Helpline on 0508 468 263 (+61 3 8306 0969 if calling from overseas). |
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| Useful links and contacts. |
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| This document has been prepared by Mercer (N.Z.) Limited on behalf of the Trustee of the Westpac New Zealand Staff Superannuation
Scheme. The information in this document is intended for general guidance only and is not personalised to you. It does not take into
account your particular financial situation or goals. It is not financial advice or a recommendation. |
| We recommend that you read the Product Disclosure Statement and take financial advice from a financial adviser before making any investment decisions. In
addition, past performance cannot be relied upon as a guide to future performance. |
| This email was generated automatically, please do not reply to it as this email address is not monitored. This email, including any attachments, may contain confidential information and is intended for use by the named addressee only. If you are not the intended recipient of this email, you must not read, disclose, distribute, copy, store, print or use in any way the information this email or any attachment contains. |
| Click here to unsubscribe if you do not wish to receive further email communication about the Scheme. |
| © 2024 Mercer (N.Z.) Limited. |
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| Westpac NZ will never ask you for your login details, such as usernames, passwords, or other security related information by email. If you believe you have received a Westpac NZ-related phishing email, report it by forwarding the email to address: phishing@westpac.co.nz |
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