Hong Kong’s MPF members enjoy HK$31,300 windfall, best showing in 7 years on market rally
The 379 MPF investment funds generated an average return of 12.8 per cent in the year to September, on the back of the recent market rally driven by the interest rate cut and China’s stimulus package, according to MPF Ratings, an independent research firm.
Hong Kong and China equity funds – the most popular fund choice with about a quarter of all MPF assets – showed the best performance during the period at 23.6 per cent. In September alone, they ranked top with gains of 18 per cent, the second best monthly return on record.
“Hong Kong and China equities were the MPF’s biggest winners, as the mainland’s sweeping economic stimulus announcement transformed equity performance,” said Francis Chung, chairman of MPF Ratings.
“While markets face several headwinds, if they track favourably, the MPF system could achieve annual investment gains of more than HK$150 billion for the first time ever, which would be a great reward for the MPF’s 4.75 million members.”
The MPF total assets rose above the HK$1.3 trillion mark for the first time in September to HK$1.327 trillion. The sum, which takes into account investment gains and new contributions from members, works out to a record HK$279,100 per member.
