• Tue
  • Sep 16, 2014
  • Updated: 10:03pm

MPF

The Mandatory Provident Fund (MPF) is a compulsory pension fund designed by the Hong Kong government as a major protection scheme for the aged and retired residents.  Most employees and their employers are required to contribute monthly. A 2012 study by the Consumer Council shows that almost half of the MPF funds have posted losses in each of the past five years. 

MPF switch fails to make big hit

While the move to allow switching of MPF funds was hailed as the scheme's most significant reform since its launch in 2000, only 64,000 employees have opted to do so since being granted that choice on November 1 last year.

Thursday, 13 June, 2013, 6:20am 1 comment

Low-fee funds not high on pensions list

Everyone likes a bargain. And if we extend this truism to the thorny issue of fees for our retirement schemes, then perhaps we should be thankful that our pension regulator is trying to bring in rules to lower MPF fees. But a closer look shows caution is required.

11 Jun 2013 - 3:25am 1 comment

Market sell-down leaves MPF funds in the red

The Mandatory Provident Fund, which covers the city's 2.5 million employees, sank back into the red last month as Japanese and emerging-market stocks fell.

The 458 investment funds under the retirement scheme reported an average month-on-month loss of 0.87 per cent after a gain of 1.9 per cent in April, according to data provider Lipper.

5 Jun 2013 - 4:05am

MPF back in profit as markets rally

The Mandatory Provident Fund, covering 2.5 million employees in the city, returned to profit in April after recording two consecutive months of losses. Analysts attributed it to the recent worldwide stock market rally and predicted retirement funds would deliver stable returns in the coming months as many countries around the globe adopt loose monetary policies to boost their economies.

4 May 2013 - 4:53am

With fees, a little understanding goes a long way

Fees are central to investing, but they are also much misunderstood. They are split into many categories, and disclosure varies from fund to fund.

Managed funds

Managed funds are unlisted unit trusts. They are the standard mutual funds you see in banks.

29 Apr 2013 - 3:59am

Why not put all your eggs in one basket?

Should I consolidate my MPF accounts? 

Regardless of the sum in your Mandatory Provident Fund (MPF) accounts, it's worth considering consolidation. The MPF Authority (MPFA) is on a mission to encourage people to do this. There are over two million scheme members and four million accounts. You, and all scheme members holding multiple accounts, will soon receive a letter from the MPFA recommending consolidation.

15 Apr 2013 - 3:11am

MPF drops for a second month, erases January gains

The 455 investment funds under the retirement scheme reported an average loss of 0.24 per cent in March, after an average loss of 0.58 per cent in February, according to data provider Lipper. This erased a good chunk of the 2.61 per cent gains in January.

3 Apr 2013 - 5:28am

Business Digest, March 5, 2013

SFC fines Manulife Asset Management

5 Mar 2013 - 4:47am

Time to stop bosses dipping their fingers into the MPF

The government has finally given a timetable for allowing employees to have complete control of their Mandatory Provident Fund investment. But the reform has still not gone far enough.

Bosses can still dip into the employer contribution section of a worker's account to make long-service or severance payments, an exploitation of the 2.4 million workers under the scheme.

29 Jan 2013 - 4:51am 1 comment

Insurers claim victory in fight for workers switching MPF providers

Insurers with large teams of agents look to have proven better able to fight for new pension business than banks after employees were allowed to choose their own Mandatory Provident Fund providers two months ago.

28 Jan 2013 - 5:17am