The Government has announced a major shake-up in the KiwiSaver default provider appointments with five providers not being reappointed.
There are currently nine default providers but this shrinks to six providers under a new seven-year contract with the government.
People are allocated to a default KiwiSaver fund when they are automatically enrolled through starting a new job and don't choose their own fund.
The newly appointed providers are Bank of New Zealand, Booster, BT Funds Management (Westpac), Kiwi Wealth, Simplicity and Smartshares (NZX).
Simplicity co-founder Sam Stubbs told Heather du Plessis-Allan it will increase their membership by about 25 percent.
"Being called a default provider, people basically trust you."
He said they are a not-for-profit provider with low fees, which made them appealing to the Government - and their fees will be even lower now.
Stubbs said that people who stay in default funds will be reallocated to other default providers, but they will be contacted first.