Kiwibank PIE Funds covered by Government guarantee
07/04/2009The New Zealand Deposit Guarantee Scheme ("Government guarantee") has been extended to include investments in the Kiwibank PIE Online Call Fund and the Kiwibank PIE Term Deposit Fund.
The inclusion of the Kiwibank PIE Funds into the scheme has been confirmed by Treasury. The Kiwibank PIE Funds only invest in deposits guaranteed under the Government guarantee. The Government guarantee covers retail investors' investments in the Kiwibank PIE Funds to a maximum of $1 million per retail investor per fund.
The Kiwibank PIE Funds have significant tax advantages for people paying 33 or 39 per cent tax on their incomes investments. The Funds operate differently from direct savings in the bank. The Kiwibank PIE Funds operate as unit trusts, managed by a wholly-owned subsidiary of Kiwibank.
Kiwibank Chief Executive Sam Knowles said the inclusion of the Kiwibank PIE Funds in the Government guarantee clarifies an area of confusion and provides extra security and confidence for Kiwibank customers.
Further information about the Government guarantee, including what constitutes a retail investor, is available on the Treasury website at www.treasury.govt.nz. More information about the Funds can be found in their Investment Statements and Kiwibank PIE Unit Trust Prospectus, both available on the Kiwibank website.
For further information:
(04) 460 6831