The Hong Kong Mandatory Provident Fund Schemes Authority (MPFA) published provisional data on Mandatory Provident Fund (MPF) investment returns as at the end of June 2025, highlighting recent performance across major fund types and noting that longer-run average returns for key funds have exceeded inflation. Equity Funds and Mixed Asset Funds, which together accounted for close to 80% of total MPF assets, recorded average net returns of 19.3% and 12.5% respectively over the previous 12 months, and average annualized net returns of 4.7% and 4.3% since the inception of the MPF system. For the Core Accumulation Fund under the Default Investment Strategy (DIS), the average net return over the previous 12 months was 10.5%, with an average annualized net return of 6.5% since its 2017 launch. Return figures are net of fees and charges; the MPFA cited annualized inflation of 1.8% since MPF inception and 1.7% since DIS launch, with 1.9% over the past 12 months (inflation data up to May 2025). The MPFA reiterated that MPF is a long-term investment and cautioned against short-term investing or market timing, encouraging members to review objectives, fund risk class, expense ratios and performance across time horizons. It also pointed members to DIS features including diversified global equity and bond exposure, an automatic de-risking mechanism and a fee cap of 0.95% of net asset value, which will be reduced to 0.85% after the relevant MPF scheme joins the eMPF Platform.
Hong Kong Mandatory Provident Fund Schemes Authority 2025-07-04
Hong Kong Mandatory Provident Fund Schemes Authority releases provisional MPF investment return data to end-June 2025
The Hong Kong Mandatory Provident Fund Schemes Authority released provisional data showing strong investment returns for the Mandatory Provident Fund as of June 2025. Equity Funds and Mixed Asset Funds achieved 19.3% and 12.5% net returns over the past year, while the Core Accumulation Fund under the Default Investment Strategy reported a 10.5% net return. The MPFA emphasized the long-term nature of MPF investments and highlighted features of the Default Investment Strategy, including global diversification and a fee cap reduction upon joining the eMPF Platform.