Hot on the heals of the AMP/AXA press release last week, ASB Group investments (ASBGI) has announced that, as part of a review of its KiwiSaver schemes, it will no longer be accepting applications to join the FirstChoice KiwiSaver Scheme (“FirstChoice”) from February 21, 2013.

ASB GI, the manager of both FirstChoice and the ASB KiwiSaver Scheme, is considering its options for FirstChoice, including the possibility of transferring members to an alternative scheme.

ASB’s executive general manager for wealth and insurance, Blair Turnbull, says, “The tremendous success of the ASB KiwiSaver Scheme, which now has around 370,000 members, has highlighted a need for us to review FirstChoice, which has around 15,000 members.”

“All of our FirstChoice members are being notified of this change. It’s important to emphasise that our members do not need to do anything, as the way in which their funds are managed remains unchanged.”

If members have any questions they can contact the provider on 0800 1ST CHOICE (0800 178 246).

Readers will also note this morning that Fisher Funds has purchased the investment management business of Tower for NZ$79 million. 

Consolidation within the KiwiSaver market was inevitable and we would expect more to come as providers continue to review their offerings.