[Hong Kong, March 5, 2025] – GUM today announced the performance of the MPF for February. In February 2025, the “GUM MPF Composite Index” rose by 2.4%, reaching 255.3 points; the “GUM MPF Equity Fund Index” increased by 3.8%, reaching 353.2 points; the “GUM MPF Mixed Assets Fund Index” went up by 1.8%, reaching 254.7 points; and the “GUM MPF Fixed Income Fund Index” rose by 0.5%, reaching 129.7 points. In February 2025, MPF members earned an average of HKD 6,756 per member for the month.
GUM’s Managing Director, Michael Chan, pointed out “The emergence of Deepseek has prompted the market to reassess the self-sufficiency capabilities of Chinese tech companies, leading to a revaluation of Hong Kong and mainland China stock markets. Weak U.S. consumer data has raised concerns about slowing economic growth, causing a decline in U.S. stocks with higher valuations. In terms of geopolitics, the Russia-Ukraine peace negotiation process has seen unexpected twists and turns, and a planned mineral agreement between the U.S. and Ukraine has fallen through. Just two months into his term, Trump has launched a series of aggressive moves and intensive strategies in both foreign and domestic policy, and his swift actions will continue to intensify market volatility.”
For the asset allocation, GUM’s Strategy and Investment Director, Martin Wan stated, “As a long-term investment, the MPF faces significant market volatility in recent years. Members can timely utilize the “Portfolio Rebalancing” strategy to adjust the allocation of assets that have risen or fallen excessively, ensuring the overall portfolio maintains a proportion aligned with their suitable risk tolerance level.”
Table 1: Overall performance of MPF and average return in February
| Index | Value | February 2025 Return (%) | 2025 YTD Return (%) |
| GUM MPF Composite Index | 255.3 | 2.4% | 4.1% |
| GUM MPF Equity Fund Index | 353.2 | 3.8% | 6.1% |
| GUM MPF Mixed Asset Fund Index | 254.7 | 1.8% | 3.4% |
| GUM MPF Fixed Income Fund Index | 129.7 | 0.5% | 0.9% |
| Average MPF Gain/Loss Per Member Note 1 (HK$) | +6,756 | +11,128 | |
Analysis of Equity Fund Performance
The GUM MPF Equity Fund Index recorded an overall return increase of 3.8% in February, delivering an outstanding performance. Driven by the rally in Hong Kong and mainland China markets, the best-performing equity funds in February were, in order, the “Hong Kong Equity Fund (Index-Tracking),” “Hong Kong Equity Fund,” and “Greater China Equity Fund,” with gains of 13.4%, 11.5%, and 7.6%, respectively. The worst-performing fund was the “U.S. Equity Fund,” which declined by 2.7%.
Table 2: Ranking of Equity Fund Performance According to February 2025 Return
| Ranking | Equity Sub-category Fund Index | February 2025 Return (%) | 2025 YTD Return (%) |
| 1 | Hong Kong Equity Fund (Index Tracking) | 13.4% | 14.5% |
| 2 | Hong Kong Equity Fund | 11.5% | 12.2% |
| 3 | Greater China Equity Fund | 7.6% | 8.4% |
| 4 | European Equity Fund | 3.5% | 9.3% |
| 5 | Other Equity Fund | 1.5% | 7.3% |
| 6 | Japanese Equity Fund | 0.2% | -0.2% |
| 7 | Asian Equity Fund | -0.1% | 0.4% |
| 8 | Global Equity Fund | -0.8% | 2.4% |
| 9 | United States Equity Fund | -2.7% | 0.9% |
Analysis of Mixed Assets Fund Performance
The strong performance of the stock market also contributed to a solid gain for mixed asset funds. The GUM MPF Mixed Asset Fund Index recorded an overall return of 1.8% in February, with all categories achieving gains for the second consecutive month, showing a positive correlation with the proportion of equity allocations. The “Mixed Asset Fund (80% to 100% Equity)” led with a 2.9% return, as its high equity weighting captured some of the market’s upward momentum, particularly benefiting from the strength of the Hong Kong and mainland China markets. On the other hand, the “DIS Age 65 Plus Fund” and ” DIS Core Accumulation Fund,” which have investment portfolios more focused on the U.S. and global regions, saw relatively lower gains of 0.9% and 0.1%, respectively, in February.
Table 3: Ranking of Mixed Assets Fund Performance According to February 2025 Return
| Ranking | Mixed Assets Sub-category Fund Index | February 2025 Return (%) | 2025 YTD Return (%) |
| 1 | Mixed Asset Fund – (>80-100% Equity) | 2.9% | 4.7% |
| 2 | Target-Date Fund | 2.8% | 4.4% |
| 3 | Mixed Asset Fund – (>60-80% Equity) | 2.5% | 4.0% |
| 4 | Dynamic Allocation Fund | 2.5% | 3.6% |
| 5 | Mixed Asset Fund- (>40-60% Equity) | 2.1% | 3.2% |
| 6 | Mixed Asset Fund – (>20-40% Equity) | 1.7% | 2.6% |
| 7 | Other Mixed Asset Fund | 1.2% | 1.9% |
| 8 | DIS Age 65 Plus Fund | 0.9% | 1.7% |
| 9 | DIS Core Accumulation Fund | 0.1% | 2.2% |
Analysis of Fixed Income Fund Performance
The GUM MPF Fixed Income Fund Index recorded an overall return increase of 0.5% in February. The best-performing funds were the “Asian Bond Fund” and “Global Bond Fund,” with gains of 1.7% and 1.3%, respectively, primarily driven by continued global interest rate declines and geopolitical instability, which increased demand for more diversified Asian and global bonds. On the other hand, the “RMB Bond Fund” performed the worst, experiencing a slight decline of 0.1%, influenced by the weakening of the Chinese yuan.
Table 4: Ranking of Fixed Income Fund Performance According to February 2025 Return
| Ranking | Fixed Income Sub-category Fund Index | February 2025 Return (%) | 2025 YTD Return (%) |
| 1 | Asian Bond Fund | 1.7% | 2.4% |
| 2 | Global Bond Fund | 1.3% | 1.7% |
| 3 | Hong Kong Dollar Bond Fund | 0.8% | 1.4% |
| 4 | Guaranteed Fund | 0.7% | 1.1% |
| 5 | HKD Money Market Fund | 0.3% | 0.7% |
| 6 | MPF Conservative Fund | 0.2% | 0.5% |
| 7 | RMB & HKD Money Market Fund | 0.0% | 0.9% |
| 8 | RMB bond Fund | -0.1% | 0.9% |
Remarks:
- The average MPF return per member is calculated using total MPF assets HK$1,316,232 million of the previous months (as of 31 January 2025). The number of MPF Scheme members was 4,754,000 as of 31 December 2023. The latest average assets per member were HK$276,868 as of 31 January 2025. The GUM MPF Composite Index return for February 2025 as of February 28, 2025.
*The growth of all fund categories indexes is calculated by asset-weighted point-to-point growth. The data for February 2025 return is summarized from 1 February to 28 February 2025.
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About GUM
GUM is a boutique consulting firm that provides solutions to corporate on MPF and employee benefits. We focus on people and that is why we put “U” in the very core of our brand “GUM”. Our priorities are always meeting the needs of our corporate clients and their employees, our strategic partners as well as all MPF members of Hong Kong. With our vast market experience and expert teams around actuarial, investment and employee communication, GUM leads the market to innovate, walking hand in hand with our clients to go faster and further.
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This document provided the information on an “AS IS” basis. The Company undertakes no obligation to update any of the information contained in this document. Some information contained in this document contains forward-looking statements. The words “believe”, “expect” and similar expressions are also intended to identify forward-looking statements. These forward-looking statements are not historical facts. Rather, these forward-looking statements are based on the current beliefs, assumptions, expectations, estimates, and projections of our management. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond our control and are difficult to predict. Consequently, actual results could differ materially from those expressed, implied or forecasted in these forward-looking statements. Reliance should not be placed on these forward-looking statements.