17 March 2021
Despite market volatility MPF Scheme Sponsors achieve a 5th consecutive month of positive performance
MPF Ratings’ February MPF Scheme Net Returns Summary is now available.
Key points of the report are as follows:
• YF Life (MASS Mandatory Provident Fund Scheme) and Allianz Global Investors MPF schemes produced the best monthly performances in February while HSBC ranked 4th.
• The MPF industry generated a median net of fee return of 0.4%, the 5th, and 2nd highest, consecutive month of positive performance since the end of 2012, but well behind the 13 months of consecutive positive performance achieved between January 2017 to January 2018.
• The MPF industry’s 19.7% rolling 1yr performance is the best in 3 years.
• MPF assets are at an all-time record $1.173 trillion, an increase of $10.221bn (or 0.9%) from the previous month.
• Average MPF member account balances now equate to $263,019 per member, also an all-time high, and a monthly increase of $2,292.
In releasing MPF Ratings’ February MPF Scheme Net Returns Summary, MPF Ratings’ Chairman, Mr Francis Chung (叢川普) observed the following, “With MPF Scheme Sponsors achieving a 5th consecutive month of positive investment performance, doubtless members will be pleased, but 2021’s investment landscape thus far has been characterized by concerns over rising interest rates, rising inflation and concerns over equity valuations. This is not the time for the MPF industry, or its members, to be complacent, rather it’s an ideal opportunity to educate and promote the importance of diversified investing and ongoing saving for retirement.”