[Hong Kong, December 17, 2024] GUM released the November 2024 MPF Market Analysis Report. As of November 30, the total assets of the MPF market increased by 0.5% to HKD 1.30 trillion. In terms of market share, Manulife leads with a 27.9% share, followed by HSBC (17.8%) and Sun Life (10.9%) in second and third place, respectively. Together with AIA (9.1%) in fourth and BOC-Prudential (7.4%) in fifth, the top five providers collectively hold over 73.1% of the MPF market.
From the beginning of 2024 to now, Manulife’s market share has seen the most significant increase, rising by 0.25%, mainly driven by to net fund switching in. The largest decline in market share was for Principal, dropping by 0.23%, primarily due to net fund switching out. [See Table 1 for details.]
Table 1: 2024 YTD Market Share of MPF Providers (Top 10)
| 2024 YTD Change in Market Shares | |||||
| Market Share Rank | Provider | Market Shares | Due to Net Switching | Due to Investment Return | Total change |
| 1 | Manulife | 27.9% | 0.47% | -0.22% | 0.25% |
| 2 | HSBC | 17.8% | -0.04% | 0.23% | 0.19% |
| 3 | Sun Life | 10.9% | 0.09% | -0.24% | -0.15% |
| 4 | AIA | 9.1% | 0.02% | 0.08% | 0.10% |
| 5 | BOC-Prud | 7.4% | 0.06% | 0.08% | 0.14% |
| 6 | BCT | 7.0% | -0.14% | -0.06% | -0.20% |
| 7 | Hang Seng | 5.8% | -0.03% | 0.09% | 0.06% |
| 8 | Principal | 5.2% | -0.25% | 0.02% | -0.23% |
| 9 | Fidelity | 4.3% | -0.06% | 0.05% | -0.01% |
| 10 | BEA | 2.5% | -0.04% | -0.03% | -0.07% |
In November, the net fund switching of assets by MPF members was less compared to the previous three months, but the trend continued to favour moving into equities, similar to October. Despite November witnessing events like the U.S. presidential election and escalations in the Russia-Ukraine war and Israel-Palestine conflicts, the investment atmosphere remained positive, with funds continuing to switch into equity funds.
In November, net switching into equity funds were approximately HKD 1 billion, with the majority of the funds coming from mixed asset net switching out (about HKD 0.84 billion), while fixed income funds saw a slight net switching out (about HKD 0.16 billion). The primary reason is likely the market’s expectation that the pace of interest rate cuts will slow down, reducing the appeal of bond fund categories.
Table 2：Net Fund Switching in Major Asset Categories in 2024 YTD (HKD Billion)
Figures may not sum up to the total due to rounding
The top five asset classes with the highest net switching out of funds in November, in order, were “Greater China Equity Fund,” “Hong Kong Equity Fund, “Asian Equity Fund”, “Mixed Asset Fund- (80-100% Equity)”,” and “Mixed Asset Fund- (60-80% Equity).” From the beginning of the year to now, “Hong Kong Equity Fund” and “Mixed Asset Fund (80% to 100% Equity)” have seen the highest net switching out, amounting to HKD 9.1 billion and HKD 8.2 billion, respectively.
On the other hand, the top five asset classes with the highest net switching in of funds in November, in order, were “United States Equity Fund,” “DIS Core Accumulation Fund,” “MPF Conservative Fund,” ” DIS Age 65 Plus Fund,” and “Global Equity Fund.” Among these, “United States Equity Fund” have seen positive net switching in for the third consecutive month, with about HKD 17.8 billion invested year-to-date, making it the fund with the highest net switching in among MPF types; followed by the ” DIS Core Accumulation Fund,” which has seen about HKD 7.8 billion in net switching in this year. [See Table 4 for details.]
GUM’s Strategy and Investment Analyst, Martin Wan pointed out, “U.S. equity funds attracted HKD 4.8 billion in a single month, reaching HKD 17.8 billion since the beginning of the year, primarily because U.S. stocks have repeatedly hit new highs and the market expects Trump to continue implementing policies that support the U.S. stock market. Conversely, since October, the performance and trading volume of the China-Hong Kong market have weakened, and concerns about tariffs and trade wars have led to capital outflows from Greater China/Hong Kong-related equity funds. When investing in MPF, members should avoid excessive concentration in a single market and should diversify their investments based on their risk tolerance, allocating to different asset classes.”
Table 3: Top Five Fund Asset Types with Net Fund Switching out in 2024 Nov (in HKD million)
| Rank | Asset Class | 2024 Nov | 2024 YTD |
| 1 | Greater China Equity Fund | (HK$1,173) | (HK$5,522) |
| 2 | Hong Kong Equity Fund | (HK$1,016) | (HK$9,139) |
| 3 | Asian Equity Fund | (HK$768) | (HK$3,210) |
| 4 | Mixed Asset Fund- (80-100% Equity) | (HK$707) | (HK$8,237) |
| 5 | Mixed Asset Fund- (60-80% Equity) | (HK$495) | (HK$6,190) |
Table 4: Top Five Fund Asset Types with Net Fund Switching in 2024 Nov (in HKD million)
| Rank | Asset Class | 2024 Nov | 2024 YTD |
| 1 | United States Equity Fund | HK$4,833 | HK$17,832 |
| 2 | DIS Core Accumulation Fund | HK$660 | HK$7,818 |
| 3 | MPF Conservative Fund | HK$645 | HK$6,982 |
| 4 | DIS Age 65 Plus Fund | HK$148 | HK$3,467 |
| 5 | Global Equity Fund | HK$145 | HK$2,338 |
－ The End －
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