{"id":124306,"date":"2025-09-06T13:17:19","date_gmt":"2025-09-06T13:17:19","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/124306\/"},"modified":"2025-09-06T13:17:19","modified_gmt":"2025-09-06T13:17:19","slug":"hong-kongs-mpfa-reviews-low-fee-funds-to-address-needs-of-silver-economy","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/124306\/","title":{"rendered":"Hong Kong\u2019s MPFA reviews low-fee funds to address needs of silver economy"},"content":{"rendered":"

The city\u2019s pension regulator has begun a review of regulations related to a fee cap for a popular investment option under the Mandatory Provident Fund<\/a> (MPF), as Hongkongers get older and work past the traditional retirement age.<\/p>\n

In a recent interview, chairwoman Ayesha Macpherson Lau of the Mandatory Provident Fund Schemes Authority (MPFA) said the review, to be completed next year, would be the first attempt at reforming the low-fee Default Investment Strategy (DIS) fund since its launch in 2017. The review would focus on fee levels and de-risking mechanisms, she said.<\/p>\n

\u201cAs the Hong Kong population is ageing, many people are planning to work after reaching the normal retirement age of 65,\u201d Lau said. \u201cWe would like to review how to further improve the DIS to meet the investment demands of the silver economy.\u201d<\/p>\n

Since 2017, all 12 MPF providers have been required to offer members a DIS investment fund option, which caps total fees at 0.95 per cent, making it the scheme\u2019s only investment fund that has control over fees.<\/p>\n

A key focus of the review will be whether the DIS fee cap needs to be lowered. Lau said additional fee cuts were possible because the digital platform eMPF can help MPF providers cut costs.<\/p>\n

A survey by T. Rowe Price last month showed that more than half of Hong Kong residents did not plan to retire at 65. Many respondents said they were not ready as they had not yet reached the comfortable post-work life stage they envisioned.<\/p>\n

Lau said at the end of last year, some 380,000 MPF accounts remained active after account holders reached 65 \u2013 when they can make withdrawals \u2013 suggesting many workers prefer to keep their funds invested.<\/p>\n","protected":false},"excerpt":{"rendered":"The city\u2019s pension regulator has begun a review of regulations related to a fee cap for a popular…\n","protected":false},"author":2,"featured_media":124307,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[68659,45,49,48,68660,68661,68665,133,15674,68662,28646,68663,68664,24908,68666,131,132,35952,35957],"class_list":{"0":"post-124306","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-ayesha-macpherson-lau","9":"tag-business","10":"tag-ca","11":"tag-canada","12":"tag-default-investment-strategy-dis","13":"tag-dis","14":"tag-empf","15":"tag-finance","16":"tag-hong-kong","17":"tag-hongkongers","18":"tag-hsbc","19":"tag-mandatory-provident-fund","20":"tag-mandatory-provident-fund-schemes-authority-mpfa","21":"tag-manulife","22":"tag-mpf","23":"tag-personal-finance","24":"tag-personalfinance","25":"tag-silver-economy","26":"tag-t-rowe-price"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/124306","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=124306"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/124306\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/124307"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=124306"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=124306"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=124306"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}