Plenty of time for two jobs, chief says
Mandatory Provident Fund Schemes Authority (MPFA) chairman Charles Lee Yeh-kwong has reassured the pension industry he will remain with the authority until the MPF scheme is up and running smoothly.
Mr Lee's comments, made after an MPFA seminar, were aimed at quashing speculation he would soon quit the post, having been appointed chairman of the proposed combined stock and futures exchange.
Pension-industry officials had expressed concern a departure by Mr Lee might endanger a smooth launch of the MPF scheme next year.
'I will definitely continue as chairman of the MPFA. I will stay with the authority to make sure the MPF scheme can be introduced in December next year as scheduled,' Mr Lee said. 'I will even stay longer after its introduction to make sure the schemes are operating smoothly.' The MPF will require 300,000 companies without pension schemes to set up an MPF plan for their 2.2 million employees.
Mr Lee also rejected concerns that he would have insufficient time to head up the two financial projects, both of which are due to launch next year.
'Most of the MPF guidelines have been issued,' he said.
'The top 10 senior executives of the authority will be recruited within the next two months, which will help me to prepare for the launch of the MPF.' Hong Kong Exchanges and Clearing (HKEC) - to be formed by the proposed demutualisation and merger of the stock and futures exchanges and their associated clearing houses - is due to start operations in March.
The Government appointed Mr Lee chairman of the HKEC on July 8. Mr Lee will start work on setting up the new exchange after brokers vote on the Government's reforms in September.
Meanwhile, MPFA managing director Alan Wong Chi-kong told yesterday's seminar that the authority would receive licence applications from MPF service and product providers from August 3 to August 31.
He believed 30 to 50 service providers would apply for licences, including banks, insurers and fund managers. Applications would be approved by October.
He estimated that up to 100 MPF master trust schemes, plus 500 investment funds under these schemes, would also need to apply to the MPFA and the Securities and Futures Commission for approval.
The MPF schemes would be approved by the end of January, while the investment funds would be approved by July next year.
Service providers would be allowed to sell products from February, Mr Wong said.
MPF
