MPF | South China Morning Post
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  • Mar 1, 2015
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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. 

Business Digest, November 6, 2012

China brings WTO case on EU subsidies for solar power generation.

Funds under MPF return 0.67pc in Oct

Tuesday, 6 November, 2012, 4:24am

Funds have battle with US Fatca rules

A new US tax law will put a burden on thousands of retail and pension funds in Asia, including Hong Kong's Mandatory Provident Fund.

Hong Kong and Asia fund managers can celebrate as the US Treasury and Internal Revenue Service last week agreed to postpone a new US tax law from January next year to January 2014.

But industry players warn against breaking out the champagne too soon as no agreement has been reached to exempt the thousands of retail and pension funds in Asia. It seems more lobbying will be needed.

6 Nov 2012 - 4:24am

Time to check the fine print

Investors should count the money in their MPF accounts at least once a year to monitor their returns. Photo: Shutterstock

Typically astute and informed about property and personal investments, Hongkongers have always been lukewarm about the Mandatory Provident Fund (MPF) and its promised benefits. Despite the best efforts of scheme providers to explain the mechanisms and funds available, concerns still linger about who gains most.

6 Nov 2012 - 4:51am

Fund data shows optimistic signs

MPF data supplied by HKIFA gives reason for optimism.

Any assessment of how well MPF funds have performed this year comes with a couple of caveats. Recent advances may compensate only in part for the declines of previous years. And headline figures for fund performance may not translate into the same gains for individual scheme members once fees have been deducted.

6 Nov 2012 - 4:24am

The Week Explained: MPF Choice

Now you can choose to split your dough among providers. Photo: Corbis

Here's the good news and the bad news. As of last week employees can benefit from the new Mandatory Provident Fund Employee Choice Arrangement scheme. The bad news is that the choice will be limited in a most surprising way.

5 Nov 2012 - 3:25am

Half the battle

Illustration: Emilio Rivera

Hongkongers love to complain about their Mandatory Provident Fund. The government launched the plan in 2000 to address citizens' retirement needs. It implemented a fully free-market solution, handing the fund management and administration to the private sector.

5 Nov 2012 - 3:25am

MPF chief seems determined to be an enemy of the people

Diana Chan Tong Chee-Ching, Managing Director of Mandatory Provident Fund. Photo: Felix Wong

"The MPF was set up in a way that was employer based and it let 250,000 employers determine the providers in order to eliminate administrative burdens. To let all 2.4 million employees freely choose their providers and make it so they could transfer at any time would effectively change the whole structure of the MPF into an employee scheme."

4 Nov 2012 - 4:15am 4 comments

Battle on to lure Hong Kong MPF switchers

People queue for free ice creams at the ING van in Causeway Bay. The van was an MPF promotion for the bank. Photo: SCMP

Free ice cream, smartphone software applications and reduced fees are weapons the city's 19 Mandatory Provident Fund providers are using to lure HK$257.5 billion in workers' pension contributions.

1 Nov 2012 - 4:48am

Warning on unscrupulous MPF pitches

Kenneth Leung Kai-cheong

Hongkongers should guard against unscrupulous sales practices under the new scheme that allows people to choose their Mandatory Provident Fund service provider, a legislator warns.

Accountancy sector representative Kenneth Leung Kai-cheong said people needed to be on their guard as about 30,000 MPF agents tried to attract business under the new arrangement.

1 Nov 2012 - 4:48am

Little interest in MPF portability scheme, according to CTU survey

Many Hongkongers do not know about and are not interested in a new scheme to move their Mandatory Provident Fund contributions to a service provider of their choice, a survey found.

A study conducted this month by the Confederation of Trade Unions found that of 454 workers polled, 21 per cent had never heard of the new MPF semi-portability plan.

31 Oct 2012 - 3:19am 1 comment

MPF changes first step on road to reforms

Hong Kong employees will get the right to choose where they want to invest some of their pension funds from tomorrow. Photo: Bloomberg

From tomorrow, the city's 2.4 million workers will be free to choose their own Mandatory Provident Fund provider, giving them a much-needed say where their nest egg is invested.

But complaints over the fees charged by providers, who were previously chosen by employers, are expected to continue, and may be the harbinger of further changes to the 12-year-old pension scheme.

31 Oct 2012 - 2:53am

Poor bond market to blame for tepid MPF, says Professional Commons

Mandatory Provident Fund investment losses can be blamed at least partly on the city's immature bond market, which drives investment agents to buy into risky stocks, according to a think-tank.

A Professional Commons' report released yesterday said heavy reliance on stock investments was risky due to market volatility in recent years.

29 Oct 2012 - 6:37am 1 comment

Letters to the Editor, October 26, 2012

Low-rise Ho Chung village, in Sai Kung. Photo: Edward Wong

Work together to keep HK a world city

I refer to Rachel Chan's letter ("HK should be trying to attract top-class international experts", October 24) concerning Hong Kong's international status.

26 Oct 2012 - 2:10am

Cap on MPF fees not ruled out, says financial services minister

Chan Ka-keung. Photo: Felix Wong

Capping the management fees for Mandatory Provident Fund retirement accounts has not been ruled out, the financial services minister said yesterday.

25 Oct 2012 - 4:24am

People know best what to do with their own money

MPF has rather eaten away at the retirement savings that people would otherwise have generated for themselves.

The Mandatory Provident Fund is a good thing because it forces very low income groups to save money, which they otherwise might not do.

Letter to the editor,October 21

23 Oct 2012 - 4:19am 3 comments