Employees are beginning to feel slightly happier with their MPF, but there's still a lot more to be done. The latest findings of the Mercer Mandatory Provident Fund Satisfaction Index reveal employee satisfaction has risen by almost 5% from where it was last year (Rated with a score of 53.2 in January 2019, up 2.4 points from December 2018). The score marks a 10-month high for the Index, but despite this rise in overall MPF satisfaction, levels are still only hovering around the 50% mark.
MPF fund performance in January 2019
| Types of Fund | 1 Month Return (%) Dec 2018 – Jan 2019 | 12 Month Return (%) Jan 2018 – Jan 2019 |
| Equity | 7.5% | -14.0% |
| Mixed Assets | 5.1% | -9.5% |
| DIS Funds | 3.6% | -2.4% |
| Bond | 1.4% | -0.5% |
| Guaranteed Funds | 1.4% | -1.6% |
| Cash Funds | 0.4% | 0.2% |
Source: Mercer
Billy Wong, Health & MPF Business Leader, Mercer Hong Kong explained, “The global investment market deteriorated in the second half of last year. As the market stabilised in January, members were more positive about the overall performance of the MPF.”
HR should be playing a key role in proactively encouraging employees to monitor and better manage their MPF accounts. Wong added, “A positive return is not the only factor contributing to the satisfaction levels of MPF members. Engagement is the key driver in MPF satisfaction levels and as such we encourage MPF members to review their portfolios at least once a year, to help them feel more satisfied with the scheme.”
Paul Arkwright
Publisher
