Investments

Vanguard enters Hong Kong MPF market

Vanguard Investments will offer two funds as eligible underlying investments in the Hong Kong Mandatory Provident Fund (MPF) default investment strategy (DIS) programme.

Under the DIS programme, which begins on 1 April 2017, each scheme provider is required to offer members two balanced funds that track the MPF DIS’ reference portfolios – the Core Accumulation Fund (CAF) and the Age 65 Plus Fund (A65F). Each DIS fund’s total fees are capped at 0.95%. 

Members’ DIS fund assets are rebalanced automatically to reduce risk as they approach retirement age.

Vanguard’s offerings for this fee-capped programme comprise: Vanguard Moderate Growth Fund, a passively-managed fund that tracks the CAF reference portfolio; and Vanguard Income Fund, a passively-managed fund that tracks the A65F reference portfolio.