The Simplicity of Vanguard retreats

Vanguard will hardly notice the difference after losing the $3b of Simplicity money. (Image: Getty)

Wed, 26 Apr 2023

US index fund behemoth, Vanguard, is due to lose its largest New Zealand client next month as passive-leaning KiwiSaver provider, Simplicity, uses a German replacement to plug a long-standing tax leak. First leaked here in this Christmas special, the decision to install the Deutsche Bank funds management offshoot, DWS, as its global asset provider should deliver “an estimated $4-7 million on aggregate per year” to Simplicity investors compared to the existing Vanguard options, according to a release.The DWS move repairs a well-...

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