Three weeks of platform analysis, brought together in one place. Here is how they stack up and how to think about combining them.
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Over the past three weeks I have covered why the platform decision matters more in New Zealand than almost anywhere else, why PIE fund platforms handle FIF differently from direct investing platforms, and what the trade-offs are for each of the six platforms most NZ investors will encounter. This week I am bringing it together in one place.
The comparison table below covers the five criteria that matter: fees, fund access, FIF handling, custody, and tax reporting. After that, six scenarios that map investor profiles to platform combinations. The goal is not to tell you what to do but to give you a framework for making a deliberate decision rather than defaulting to whatever you signed up for first.
The comparison table
A few notes before the table. Fee structures change, so verify current details directly with each provider. The FIF handling column reflects whether the platform's default structure handles FIF internally at the fund level or passes the obligation to you directly.
Fees
No transaction fees on most funds
Fund access
Smartshares, Kernel, Milford, Generate + more
KiwiSaver
PIE tax at source
No FIF report needed
Fees
~0.25% p.a., no transaction fees
Fund access
Kernel index funds only
KiwiSaver
PIE tax at source
No FIF report needed
Fees
0.5% per trade capped at $5 (NZ/AU); subscription plans for US
Fund access
NZ, AU, US shares and ETFs
KiwiSaver
FIF report provided
Fees
US$3 flat fee per trade + 0.5% FX
Fund access
US shares and ETFs only
FIF report provided
No KiwiSaver
Fees
Subscription + transaction fees
Fund access
US and AU shares and ETFs
Partial FIF report
No KiwiSaver
Fees
Low per-trade fees; competitive at scale
Fund access
Global markets, options, futures, bonds
Custody
US/global custodian
Manual FIF calculation
No KiwiSaver
Which combination makes sense
Most investors do not need to choose just one platform. The more useful question is what role each platform plays in a portfolio and whether your current setup reflects a deliberate choice or a historical accident.
Scenario 1 - Just starting out, portfolio under $10,000Sharesies alone
The fee structure works at this size, the experience is the best in market for beginners, and getting started and building the habit matters more than optimising costs. Once your portfolio reaches $10,000 - $15,000, reassess.
Scenario 2 - Building a long-term portfolio, $10k - $100k, no interest in stock pickingInvestNow or Kernel as the primary platform
Both handle FIF internally through NZ-domiciled PIE funds, charge no transaction fees on regular contributions, and suit a systematic buy-and-hold approach. Choose InvestNow if you want access to multiple fund managers. Choose Kernel if you prefer a cleaner interface.
Scenario 3 - Building a long-term portfolio and want direct US equity exposureInvestNow or Kernel + Hatch or Stake
Keep overseas direct holdings below the $50,000 FIF threshold if you want to avoid the FIF obligation, or manage FIF directly if you are comfortable doing so. The two-platform approach is more common than most investors realise.
Scenario 4 - Portfolio above $100,000, comfortable with complexityInvestNow or Kernel + Interactive Brokers
IBKR's FX conversion costs are significantly lower than retail NZ platforms at this portfolio size. Factor in the additional tax reporting work or the cost of an accountant who can handle it.
Scenario 5 - Already using a bank KiwiSaver and a retail platform, wondering if you're overpayingCheck PIR and KiwiSaver fee first
These two things are where most NZ investors are losing money without knowing it. The PIR threshold changes in April 2025 mean a meaningful proportion of investors are on the wrong rate. The difference between a 0.93% bank fund and a 0.25% low-cost fund compounds to tens of thousands of dollars over a career.
Scenario 6 - Approaching or above the $50,000 FIF thresholdCalculate your FIF position before the next tax year starts
The threshold applies across all your overseas holdings combined, not per platform. If you are near or above it, understand whether FDR or CV gives you a better result for your specific situation. In a flat or down year, CV can be meaningfully lower than FDR.
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Four questions worth answering about your current setup
The audit
- What is your KiwiSaver PIR rate, and is it correct? The April 2025 threshold changes mean a significant proportion of investors are on the wrong rate. It takes 60 seconds to check and your provider will not do it for you.
- What is your KiwiSaver total annual fee? A 1% fee difference on a $50,000 balance compounds to more than $130,000 over 30 years. Most people do not know what their fund charges.
- What is the combined cost basis of your overseas holdings? FIF applies to your total overseas holdings at cost across all platforms. Many investors are over the threshold without realising it.
- Are you using the right FIF calculation method? Most investors default to FDR without checking whether CV would produce a lower result in their specific year.
The investor who understands their platform structure, their FIF position, and their KiwiSaver fee is already ahead of most people in this market. None of it is complicated. It just requires knowing where to look.
Not financial advice. The Southern Portfolio is an educational newsletter. Nothing here constitutes financial advice under the Financial Markets Conduct Act 2013. Always consult a licensed financial adviser before making investment decisions.
In this series
01Why investing from NZ is harder than anyone admits02The NZ investor's guide to PIE fund platforms: InvestNow and Kernel03The direct investing platforms: Sharesies, Hatch, Stake and Interactive Brokers04All six platforms compared: the table, the trade-offs, and which combination makes sense05Portfolio construction for NZ investors: what to actually put in it06KiwiSaver strategy: fund selection, active vs passive, and how it fits your broader portfolio07Currency strategy for NZ investors: hedged vs unhedged and how to make a deliberate choice08What the current NZ economic environment means for your portfolio09Property and portfolio: how to think about residential property as part of your total financial picture10Your overseas portfolio just got a quiet boost. Here's what's actually happening.11The Reserve Bank just surprised everyone. Here's what it means for your money.12NZ dividends, imputation credits and DRPs: what they are and why they matter13The wrong question most NZ investors ask about the exchange rate14The four-year tax exemption almost every returning Kiwi gets wrong15Most NZ investors own six ETFs. Two would do the job better.16Term deposits, Kiwi Bonds, bond funds. Same "safe money," four different tax bills.17KiwiSaver taxes you every year and nothing at the end. Here's why that might be the better deal.18New Zealand doesn't tax a child's investments the way Australia or the UK does. Most parents route the money the wrong way anyway.