Pension platform features enhanced efficiency, reduced fees, tight security

The eMPF platform that launches on June 26 will facilitate the transfer of all 24 Mandatory Provident Fund Schemes within 18 months, according to the Mandatory Provident Fund Schemes Authority.

The first trustee to move to the one-stop digital platform is YF Life Trustees, whose scheme members can create their accounts on June 12 at the earliest.

Proposed in 2017, the eMPF platform is designed to digitalize the management and enhance the administrative efficiency of the pension fund system, which involves 11 million accounts and more than HK$1 trillion worth of assets contributed by over 4.75 million workers.

Small providers will be the first to start transferring data to the platform and all accounts should be moved by the end of next year.

The eMPF is expected to reduce administrative fees by 36 percent on average within the first two years and up to 55 percent in 10 years, said MPFA chairwoman Ayesha Macpherson Lau. Contributors will be able to manage their portfolios more efficiently, including checking their scheme's performance and adjusting investments online, Lau said, adding that their accounts will also be consolidated online.

The eMPF can help employers save time and work as contributions can be made digitally, in addition to automatic calculation and due-date reminders.

Cheng Yan-chee, managing director of the MPFA, said employers under YF Life Trustees should finish June contributions by July 10. He added that China Life Trustees will be the second provider to join the eMPF, with account registration beginning on July 12.

Three more providers - Bank of Communications Trustee, Bank of East Asia (Trustees) and Standard Chartered Trustee (Hong Kong) - are scheduled to start transferring data in the fourth quarter of the year.

The MPFA also reminded contributors that the authority, the eMPF company or contractors will not solicit sales or personal information through calls or texts. MPF members should be wary of any attempts to do so and treat them as scams.

Lau said the MPFA attaches great importance to information security to ensure the effective prevention of hacking or data leaks.

The MPFA has adopted a very high level of security to keep personal data confidential, she said, with an independent team conducting assessments to prevent incidents from happening.

themis.qi@singtaonewscorp.com