Help! My KiwiSaver balance has dropped

2022 has kicked off the year with a pretty volatile share market, and you have probably noticed this in your KiwiSaver investment. 

We know how tough it can be to experience this, and it’s normal to feel anxious or worried. After all, it’s your hard-earned money and your financial future we are talking about here. If your KiwiSaver balance has dropped and you’re feeling anxious, what are some key things to remember?

KiwiSaver is a long-term investment
Your KiwiSaver money is often invested in shares on the share market, so it is affected by market volatility (ups and downs). When the market rises and falls, your balance can increase or decrease. When it goes up, it’s great. But sometimes it falls, gently and gradually, or sometimes sharply. When your balance dips, it’s usually not a cause for concern. Over the long term, your balance is expected to grow.

Should you change your fund?
It’s important your KiwiSaver money is in the right fund. Your fund type (for example, growth, balanced, or conservative) should be right for your risk level. Your risk level is decided by how long you will have your money invested in KiwiSaver, and how comfortable you are with investing. 

Avoid making snap decisions on your fund type based on external factors, like a wobble in the financial markets. If you change from a growth fund, to a balanced or conservative fund during a downturn, you could be locking in your losses. This means you won’t benefit from any future bounce back in returns.

But if watching your money go up and down really worries you, there are options. You can try to get used to the ups and downs. Most people find the longer they’ve been investing, the more comfortable they get. Or you might not be in the right fund for your risk level.  

Use our helpful Fund Picker Tool.

Dollar-cost averaging is your friend
Dollar-cost averaging, where you invest small amounts often, is how KiwiSaver is set up for most of us. Every pay cycle, you and your employer will likely contribute to your account.  It’s an investment strategy where you invest a fixed amount, regularly, no matter what the prices are and what the financial markets are doing. Sometimes you’ll buy these shares at a higher price, and your money will buy fewer shares. Sometimes you’ll buy at a lower price, and your money will buy more shares than expected. The price depends on what’s happening in the market at the time you invest your money. The idea is that over the long term, the price will average out. At the moment, your money will be buying shares at a lower price.

Try to avoid Facebook forums and media hype
It can be tempting to get involved in articles and commentary on Facebook, but this might not be a good idea if you’re already feeling anxious about the situation. Keep in check with what information you’re consuming, and the source of it. 

Don’t check your balance too often
Checking your investment balances during a downturn might make you feel anxious if the returns are lower than you expect, or maybe negative. It’s for this reason we suggest checking in with your account every six or 12 months. KiwiSaver is a long-term investment so it’s not recommended to check it daily or weekly.

Reach out for support
Please contact the JUNO Investor Services team if you’d like more information about your KiwiSaver account. We are available to help you during business hours. You may also have a financial adviser you wish to contact. If your money worries go further than KiwiSaver, there is support available. Money Talks is a free budgeting and debt helpline. If you’re feeling overwhelmed, don’t be afraid to reach out for help.


Information correct as at January 2022. Pie Funds Management Limited is the issuer and manager of the JUNO KiwiSaver Scheme. Click here for our Product Disclosure Statement. Any advice is given by Pie Funds Management Limited, and is general only. It relates only to the specific financial products mentioned and does not account for personal circumstances or financial goals. Please see a financial adviser for tailored advice. You may have to pay product or other fees if you act on any advice. As manager of the Scheme we receive monthly fees that are determined by your balance and whether you are 13 years or over. We will benefit financially if you invest in our products. We manage any conflicts of interest via an internal compliance framework designed to ensure we meet our duties to you. For information about the advice we can provide, our duties and complaint process and how disputes can be resolved, visit www.junofunds.co.nz. All content is correct at time of publication date, unless otherwise indicated. Past performance is not a guarantee of future returns. Returns can be negative as well as positive and returns over different periods may vary. Please let us know if you would like a hard copy of this disclosure information.