[Hong Kong, October 26, 2026] The MPF market continued to retreat in October. As of 20 October 2026, the GUM MPF Composite Index stood at 299.5 points, down 1.5% for the month, with the year-to-date return narrowing to 4.6%. On a per capita basis, October provisionally recorded a negative return of HK$5,219, bringing the cumulative year-to-date return down to HK$15,068. 

The three major asset classes diverged in October. Equity funds fell the most, down 2.3% for the month, narrowing their year-to-date return to 5.8%. Mixed asset funds declined 1.4%, with a year-to-date return of 5.4%, while fixed income funds edged up 0.2% against the trend, with a year-to-date return of 0.6%. (See Table 1)

GUM Chief Investment Officer Christopher Lau, pointed out: “The MPF has now pulled back for a second consecutive month, yet per capita returns remain above HK$15,000 year-to-date. Market divergence was pronounced in October: Asian equity funds provisionally fell 7.5% for the month, the largest decline among equity fund categories, narrowing their year-to-date return to 15.0%, while the year-to-date loss of Hong Kong equity funds widened to 8.0%. By contrast, United States equity funds and other equity funds rose against the trend, and bond funds generally rebounded, showing that diversified allocation helps cushion market volatility.”

 

Performance Analysis by Asset Class (See Table 2)

Equity Fund Performance Analysis
Equity fund performance was mixed in October. Other Equity Funds and United States Equity Funds rose against the trend, up 4.3% and 0.6% for the month respectively, with year-to-date returns of 9.9% and 11.1%. European Equity Funds and Global Equity Funds posted only slight declines, down 0.4% and 0.7% respectively, with year-to-date returns of 5.7% and 12.6%. Asian Equity Funds posted the largest decline, down 7.5% for the month, narrowing their year-to-date return to 15.0%, while Greater China Equity Funds fell 5.7%, with a year-to-date return of 6.4%. Hong Kong Equity Funds and index-tracking funds fell 4.4% and 2.9% respectively, with year-to-date returns of -8.0% and -5.7%, making them the only equity fund categories in negative territory this year. Japanese Equity Funds fell 0.5% for the month but remain up 20.2% year-to-date, making them the best-performing equity fund category this year.

Mixed Asset Fund Performance Analysis
All mixed asset funds posted negative returns in October, with declines ranging from 0.3% to 2.8%. Other Mixed Asset Funds were relatively resilient, down 0.3% for the month, with a year-to-date return of -0.3%. Mixed asset funds with an equity allocation of 80% to 100% fell the most, down 2.8% for the month, reflecting the greater volatility of higher equity exposure in a market correction; nevertheless, their year-to-date return of 6.4% remains the highest among their peers.

Default Investment Strategy Fund Performance Analysis
Default Investment Strategy fund performance was mixed in October. The Age 65 Plus Fund rose 0.5%, with a year-to-date return of 1.2%, while the Core Accumulation Fund edged down 0.2%, with a year-to-date return of 7.1%.

Fixed Income Fund Performance Analysis
All fixed income funds rose in October. Bond categories generally rebounded: Global Bond Funds performed best, up 0.8% for the month, while Asian Bond Funds and Hong Kong Dollar Bond Funds rose 0.6% and 0.5% respectively. However, the three remain down 2.3%, 1.7% and 2.1% year-to-date respectively, with Global Bond Funds the weakest fixed income category year-to-date. RMB Bond Funds rose 0.3% for the month, with a year-to-date return of 6.0%, while the MPF Conservative Fund and Guaranteed Funds edged up 0.1% and 0.07% respectively. 

Summary
Japanese Equity Funds, with a year-to-date return of 20.2%, were the best-performing equity fund category this year, while Asian Equity Funds, despite a sharp 7.5% drop in October, still held a year-to-date return of 15.0%. Mixed asset funds and Default Investment Strategy funds maintained positive year-to-date returns of 5.4% and 7.1% (Core Accumulation Fund) respectively, while RMB Bond Funds continued to lead the fixed income category with 6.0%. Overall, equity and mixed asset funds generally declined in October while fixed income funds edged up, sending the GUM MPF Composite Index down 1.5% for the month and easing the cumulative per capita year-to-date return to HK$15,068. The MPF nevertheless remains in positive territory for the year.

 

Table 1: Overall performance of MPF and average return for October 2026 and Year-to-Date

 

Table 2: Performance of MPF Sub-Category Funds Index for October 2026 and Year-to-Date - Sort by October returns from largest to smallest

Category	Sub-category Fund Index	October 2026 Return (%) (As of 20 October 2026)	2026 YTD Return (%) (As of 20 October 2026)
Equity Funds	Other Equity Fund	4.3%	9.9%
	United States Equity Fund	0.6%	11.1%
	European Equity Fund	-0.4%	5.7%
	Japanese Equity Fund	-0.5%	20.2%
	Global Equity Fund	-0.7%	12.6%
	Hong Kong Equity Fund (Index Tracking)	-2.9%	-5.7%
	Hong Kong Equity Fund	-4.4%	-8.0%
	Greater China Equity Fund	-5.7%	6.4%
	Asian Equity Fund	-7.5%	15.0%
Mixed Asset Funds	Other Mixed Asset Fund	-0.3%	-0.3%
	Mixed Asset Fund - (>20-40% Equity)	-0.6%	1.9%
	Mixed Asset Fund- (>40-60% Equity)	-1.4%	3.7%
	Dynamic Allocation Fund	-1.6%	6.2%
	Mixed Asset Fund - (>60-80% Equity)	-2.1%	5.9%
	Target-Date Fund	-2.3%	5.6%
	Mixed Asset Fund - (>80-100% Equity)	-2.8%	6.4%
Fixed Income Funds	Global Bond Fund	0.8%	-2.3%
	Asian Bond Fund	0.6%	-1.7%
	Hong Kong Dollar Bond Fund	0.5%	-2.1%
	RMB & HKD Money Market Fund	0.4%	4.0%
	HKD Money Market Fund	0.3%	0.7%
	RMB Bond Fund	0.3%	6.0%
	MPF Conservative Fund	0.1%	1.5%
	Guaranteed Fund	0.07%	-0.04%
DIS Funds	DIS Age 65 Plus Fund	0.5%	1.2%
	DIS Core Accumulation Fund	-0.2%	7.1%

 

Notes:

1.     Average return per member is calculated based on the MPF market asset value as at the end of the previous month and the total number of MPF scheme members of 4,968,000 (MPFA Mandatory Provident Fund Schemes Statistical Digest, June 2026). Asset value: HK$1,683,797 million (as of 30 September 2026), representing an estimated average assets per member: HK$338,929 (as of 30 September 2026). The GUM MPF Composite Index and 2026 year-to-date returns are as of 20 October 2026.

2.     All fund index returns are asset-weighted and calculated on a point-to-point basis. October returns cover the period from 1 October to 20 October 2026. 2026 year-to-date returns cover the period from 1 January to 20 October 2026. Funds that have not yet disclosed all data for October are priced based on their latest available unit value.

3.     *"Estimated net fund switching (monthly cumulative)" refers to the monthly net amount generated by switching between MPF fund categories, accumulated month by month. These are estimates intended to show the overall scale and cumulative extent of fund switching activity.

4.     Before making any investment decision, scheme members should carefully consider their personal circumstances and financial situation, as well as their risk tolerance and stage of life.

5.     For more information, scheme member shall refer to the fund fact sheets provided by the fund providers or at the MPFA fund platform.

6.     Scheme member shall also note that MPF is a long-term investment. Investment decisions should not be made based on predictions of short-term market trends.

 

－ The End －