When and How should I Adjust My MPF Fund Choices?
Review Your MPF Fund Choices Regularly
Your MPF investment can span several decades, during which you may go through different life stages, such as changing employers, purchasing property, getting married, raising a family and finally retiring. You should review your MPF investment regularly to ensure that it is in line with your investment objectives, preferred asset allocation and risk tolerance level. If there is any mismatch, you should then adjust your fund choices.
How Often Should I Review My MPF Fund Choices?
If you enter into a new life stage, such as purchasing property, getting married or having children, you should consider reviewing your existing fund choices because your risk tolerance level may change with the changes in your personal circumstances. In general, it is good to review your fund choices once every six months or once a year, and consider making adjustments if necessary. For example, as you get closer to retirement, you might consider switching to a more conservative portfolio.
(in Chinese only) |
Adjust My MPF Fund Choices
Three options
|
1  
Change the existing investment portfolio only |
2  
Change the investment portfolio for future contributions only |
3  
Change the existing investment portfolio and the investment portfolio for future contributions simultaneously |
After executing the instruction, the trustee will allot the fund units in the employee’s account and issue a confirmation to the employee.
When may I transfer my MPF benefits to another scheme?
- When you cease to be employed, you can transfer your MPF benefits under your former employment to another MPF scheme
- If you hold a personal account, you can transfer the MPF benefits to another MPF scheme
- If your employer provides you with more than one choice of MPF scheme, you can transfer your MPF benefits from your original scheme to another scheme (Please check with your employer the number of transfers allowed)
- When you want to exercise the right to transfer under the Employee Choice Arrangement (ECA)
When thinking about changing to another MPF scheme, you should consider trustee’s services, fund choices and fees and charges.
Transfer Process
You have to send the completed transfer form to the trustee of the new scheme. You will receive a transfer statement (from the trustee of the original scheme) and a transfer confirmation (from the trustee of the new scheme) after the completion of transfer process.Please refer to this guide if your new scheme and/or original scheme has been onboarded to the eMPF platform.
When reviewing your MPF fund choices, you should make reference to the Annual Benefit Statement and Fund Fact Sheet provided by your trustee.
Points to Note when Switching Funds
If you plan to switch funds after reviewing your fund choices, you should:
- not redeem a fund simply because of short-term price fluctuations, nor try to predict market movements;
- note the number of fund switches allowed for each scheme
- understand the terms and conditions of the funds (especially those of Guaranteed Funds), as failure to fulfill some qualifying conditions may cause the loss of guaranteed returns;
- understand that MPF funds are traded on a “forward pricing” basis and you cannot specify the price of a fund when buying or selling fund units; and
- You should also be aware of the potential out-of-market risk.
Process of transferring MPF benefits to another scheme
You send the completed transfer form to the trustee of the new scheme
(Please make sure you have an MPF account with the trustee of the new scheme when or before making the transfer)
Trustee of the New Scheme
- Verifies the information in the form
- Sends the transfer form to the employee’s trustee of the original scheme
Trustee of the Original Scheme
- Verifies the information and signature in the form
- Sells the fund units in the contribution account
- Transfers the relevant amount to the trustee of the new scheme
Trustee of the New Scheme
- Receive the amounts from the trustee of the original scheme and buys fund units in accordance with your instructions
You receive:
- a transfer statement from the trustee of the original scheme
- a transfer confirmation from the trustee of the new scheme