HSBC will lower its Mandatory Provident Fund management fees on three constituent funds to 0.75 per cent per annum of net asset value starting from the beginning of October, the lender said.
The three constituent funds to see lower fees are under its SuperTrust Plus and ValueChoice schemes and the changes will bring the proportion of low fee funds under HSBC MPF schemes to 63 per cent.
The Flexi-Managed Fund and the Stable Growth Fund under SuperTrust Plus and the Value Choice Growth Fund will see fees lowered to 0.75 per cent per annum of asset value, a reduction of up to 55 per cent.
“By continually reviewing our fee structure and services, we are able to provide fair value, meeting customers’ expectations to grow their MPF savings while providing best in class service to manage their accounts effectively,” said Alfred Yip, head of pensions for HSBC Insurance in Hong Kong.
Yip said it was the fifth time HSBC had lowered its constituent fund management fees since 2007.
HSBC holds the biggest MPF market share at 29 per cent, or HK$607.34 billion at the end of June, according to a Gadbury report.