Latest news with #MandatoryProvidentFund
The Star
5 days ago
- Entertainment
- The Star
HK actor Henry Lo, 67, leaves TVB after 27 years: 'The elderly deserve dignity'
Hong Kong actor Henry Lo Chun-shun says a successful livestream session in mainland China can earn one up to three years' worth of TVB salary. Photo: Sin Chew Daily Hong Kong actor Henry Lo Chun-shun made headlines in April after accusing TVB of cancelling several of his show appearances, which affected his income. The matter eventually drew a response from TVB general manager Eric Tsang, who said: 'No artiste can work in this industry forever.' At the time, Lo, 67, shared that his contract was nearing its end. Now, his name has been completely removed from TVB's artiste directory. In an interview with HK01, Lo confirmed that he has officially parted ways with the broadcaster after 27 years, saying there was no need for contract renewal discussions. 'As the contract neared its end, the company simply called me in to settle my Mandatory Provident Fund (MPF). Once everything was calculated, it was over,' he said. On whether he was disappointed with the decision, the State Of Divinity (1996) star answered: 'No, I've become indifferent. It felt normal to me.' Lo revealed that he has been filming commercials in mainland China recently and is now eyeing the livestreaming scene, noting that a single successful session could earn him up to three years' worth of TVB salary. The actor also shared that several of his elderly TVB colleagues are also preparing to make similar transitions. 'Of course, my life was affected by (the low income). Otherwise, I wouldn't have spoken up the way I did. It really disrupted my basic living expenses.' Describing the entertainment industry as 'ruthless,' Lo said many artistes tend to be forgotten quickly once they leave. 'I hope someone remembers me while I'm still alive. Old people also deserve dignity. Don't let others tear you down. My life is mine to arrange,' he added.
Straits Times
12-06-2025
- Business
- Straits Times
Hong Kong pension funds plan to cut Treasuries if US loses last AAA rating
Managers of the city's HK$1.3 trillion Mandatory Provident Fund system can only invest more than 10 per cent of their funds in Treasuries if the US has a top credit rating. PHOTO: REUTERS HONG KONG – Hong Kong's pension fund managers have formed a preliminary plan to sell down their Treasury holdings within as soon as three months if the United States loses its last recognized top credit rating, according to people familiar with the matter. Industry groups including the Hong Kong Investment Funds Association and the Hong Kong Trustees' Association discussed the proposal with the pensions regulator on June 11, the people said, asking not to be identified as the meeting was private. Under local regulations, managers of the city's HK$1.3 trillion (S$213 billion) Mandatory Provident Fund (MPF) system can only invest more than 10 per cent of their funds in Treasuries if the US has a AAA or equivalent rating from an approved agency. The downgrade of US sovereign debt by Moody's Ratings in May left Japan's Rating & Investment Information as the only remaining approved firm with the highest score. While R&I has said it isn't considering cutting its US rating, the Mandatory Provident Fund Schemes Authority in May urged pension fund managers to draw up 'contingency plans' in case of a downgrade. London Stock Exchange Group's FTSE Russell, which runs the MPF World Government Bond Index, a key benchmark that pension fund managers widely use for exposure to Treasuries, formulated an analysis of the divestment plan at the request of the industry groups earlier this month, according to the people. Ka Shi Lau, chair of Hong Kong Trustees' Association, said a deck of materials on the potential impacts and analysis was given to the regulator. Mr Lau also confirmed the June 11 meeting. Representatives from the MPF Schemes Authority and FTSE Russell declined to comment. The Hong Kong Investment Funds Association didn't respond to a request for comment. The situation highlights the risks of the US falling foul of the unusually strict investment mandates governed by Hong Kong regulations. The bulk of global investors don't require the top-tier rating to invest freely in US Treasuries, minimizing the risk of forced sales. While any potential forced sales in Hong Kong are unlikely to materially rock the global market for US Treasuries given its size and liquidity, it's a headache for portfolio managers who must contemplate an overhaul of their investment strategies. For funds focusing exclusively on government debt, options are limited given the lack of large issuers comparable to the US. Concerns about demand for long-end Treasuries have caused the yield on 30-year bonds to spike to some of the highest levels since 2023. An auction on June 12 will be closely watched for clues about investor appetite at a time when the Trump administration's tax-and-spending bill is expected to swell the nation's debt. Pension fund managers proposed to be given three to six months to rebalance positions in the event of a downgrade, the people said. Allocations would shift to other sovereign bonds of issuers with AAA ratings, and those with large market values, the people added. Germany and Singapore, which are in the FTSE index, are rated AAA by major agencies. Pension fund managers had earlier asked the authority to reconsider the rule. But the regulator pushed back with its request for trustees to develop contingency plans and make 'timely and orderly' adjustments to their asset allocations in response to possible market developments. The MPF, introduced in 2000, has more than 4 million contributing members, with various financial institutions managing funds under the system. BLOOMBERG Join ST's Telegram channel and get the latest breaking news delivered to you.
South China Morning Post
01-06-2025
- Business
- South China Morning Post
Admin fees for Hong Kong's MPF down by 36% since launch of digital platform
Fees charged by Hong Kong's Mandatory Provident Fund have dropped by 36 per cent since the launch of its centralised digital platform last year, with over 2.7 million members and 70,000 employers to be managed under the new system by August, the scheme's chief has said. Mandatory Provident Fund Authority chairwoman Ayesha Macpherson Lau warned on Sunday that the next phase of migration onto the platform would be 'very challenging', as moving large volumes of data from the city's four largest service providers would be complex. The eMPF was launched on June 26 last year, the most significant reform of the city's 25-year-old compulsory retirement scheme, to provide a centralised platform that would replace the separate systems used by 12 different operators. Lau said administration fees had since declined. 'The fee charged by the eMPF is set at 37 basis points (0.37 per cent) currently, which is 36 per cent lower than the average of 58 basis points (0.58 per cent) charged by trustees before joining the eMPF, and will be further reduced gradually,' she said in a blog post. The eMPF will ultimately allow the 12 service providers, 367,000 employers and 4.75 million members to manage fund assets worth HK$1.326 trillion (US$170.3 billion) on a single platform on their mobile phones or computers. Lau added that the 'straight pass-on' requirement in MPF legislation ensured savings, estimated at a cumulative HK$30 billion to HK$40 billion over a 10-year period, directly benefited members of the scheme.
Daily Mail
27-05-2025
- Business
- Daily Mail
Ministers must help free Hong Kong exiles' pension cash, says outgoing HSBC boss
HSBC has urged the Government to use its 'influence' to help release hundreds of millions in pension savings owed to British nationals who fled Chinese oppression in Hong Kong. It follows a campaign by the Mail, MPs and activists for the bank to pay out the cash, which has been frozen on the orders of Beijing. Ian Stuart, the outgoing boss of the bank's UK arm, said that HSBC would 'have to break the law' to release the funds, which are estimated to be worth nearly £1billion. 'This is a really difficult one for the bank,' he told MPs on the Treasury select committee at a recent hearing. 'Because we would have to break the law to pay the money. The law in Hong Kong states what we can and cannot do.' But he added that ministers could help resolve the roadblock if they exerted pressure on the authorities in Hong Kong and Beijing. 'We are hoping that government influence may change that but, at the moment, the law is the law,' Stuart said. The HSBC UK chief is preparing to take up a new role at the lender as its group customer and culture director, reporting directly to its boss Georges Elhedery. HSBC is sitting on £978million of savings owed to tens of thousands of Hong Kongers living in the UK after they escaped a crackdown on pro-democracy activists by China. Exiles say HSBC's decision to freeze their savings has left their finances in a precarious state. The bank claims it cannot pay out the money, held in a scheme known as the Mandatory Provident Fund (MPF), due to a decision by Chinese officials in 2021 not to accept British National (Overseas) passports for identification. This stopped tens of thousands of savers from withdrawing their pots early if they resettled abroad. But campaigners and MPs want the bank and the Government to push for that decision to be reversed, arguing it has no basis in law. Labour MP Yuan Yang, a member of the Treasury committee who quizzed Stuart on the issue, said the blocking of the cash by HSBC was 'a major concern' among exiled Hongkongers in her Berkshire constituency. 'The ongoing withholding of payments is unacceptable,' she told the Mail. A HSBC spokesman said: 'Hong Kong legislation sets the conditions under which a member may withdraw his or her pension benefits under the MPF scheme. Neither HSBC nor any other firm acting as an MPF trustee has any discretion in this matter.'
Bloomberg
20-05-2025
- Business
- Bloomberg
US Downgrade Sounds Alarm for Hong Kong Funds Holding Treasuries
Hong Kong's pension fund managers are sounding the alarm of potential forced selling on their Treasury holdings after a downgrade by Moody's Ratings of US debt, according to people familiar with the matter. Funds operating under the city's HK$1.3 trillion ($166 billion) Mandatory Provident Fund system are only allowed to invest over 10% of their assets in Treasuries if the US has a AAA or equivalent rating from an approved agency. After last week's cut by Moody's, the only remaining such score is from Japan's Rating & Investment Information Inc.
