HK pension fund members each loses over $21,000 in March, wiping out Q1 gains

Hong Kong’s pension fund members each lost more than HK$21,000 on average in March due to the Middle East conflict, wiping out all the gains in the first quarter, consultancy GUM said. 

In the quarter, each Mandatory Provident Fund member on average suffered a loss of over HK$6,500, ending a four-quarter consecutive period of gains, it said. 

In March, apart from the MPF Conservative Funds, equity, bond, and money market funds all declined across the board, with none spared, the consultancy said. 

However, the market is expected to improve this month with the latest two-week ceasefire agreement reached between the US and Iran, and the temporary reopening of the Strait of Hormuz, it added.

In the March quarter, the GUM MPF Composite Index fell 2 percent to 280.7 points, while the equity fund index declined 3.3 percent to 398.1 points and the mixed assets fund Index dropped 1.5 percent to 283.2 points.