Investment Choices of Invesco Strategic MPF Scheme

The philosophy behind the design of the Invesco Strategic MPF Scheme is that members have different investment goals, all of which should be catered through appropriate investment choices. Thus, the Scheme offers the Default Investment Strategy and 12 investment choices which include constituent funds with different risk and return profile^ spanning from the more aggressive to the more conservative type.

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Default Investment Strategy

Default Investment Strategy is a ready-made investment arrangement investing in two Constituent Funds (Core Accumulation Fund and Age 65 Plus Fund). As an MPF member approaches retirement age, the investment strategy will be progressively adjusted to reduce the proportion of higher risk assets.

Hong Kong and China Equity Fund

Investment Objective :
To achieve long-term capital appreciation through investments in Hong Kong and China-related securities.

Risk and return profile^:  High

 

Invesco Hang Seng Index Tracking Fund

Investment Objective :
To achieve long-term capital growth by investing directly in the Tracker Fund of Hong Kong ("TraHK")** with a view to providing investment results that closely corresponds to the performance of the Hang Seng Index of Hong Kong.

Risk and return profile^:  High

**TraHK is an Index-Tracking Collective Investment Scheme approved by the MPFA (the "ITCIS").
Please read the disclaimer in relation to the Hang Seng Index in Annex A of the Prospectus.

Asian Equity Fund

Investment Objective :
To achieve long-term capital appreciation through investment in Asian (excluding Hong Kong and Japanese) equities.

Risk and return profile^:  High

Growth Fund

Investment Objective :
To achieve long term capital appreciation through investments in global equities.

Risk and return profile^:  High
   

Balanced Fund

Investment Objective :
To achieve capital appreciation in excess of Hong Kong salary inflation over the long term.

Risk and return profile^:  Medium to High

Core Accumulation Fund

Investment Objective :
To achieve capital growth by investing in a globally diversified manner.

Risk and return profile^:  Medium to High

RMB Bond Fund

Investment Objective :
To achieve steady growth over the long term by investing primarily into RMB denominated debt instruments and money market instruments issued or distributed outside mainland China.

Risk and return profile^:  Medium

Capital Stable Fund

Investment Objective :
To achieve capital preservation over the long term while seeking to enhance returns through limited exposure to global equities.

Risk and return profile^:  Low to Medium

Age 65 Plus Fund

Investment Objective :
To achieve stable growth by investing in a globally diversified manner.

Risk and return profile^:  Low to Medium

Global Bond Fund

Investment Objective :
To achieve steady growth over the long term through investments in global bonds.

Risk and return profile^:  Low

Guaranteed Fund1

Investment Objective :
To provide a competitive, long-term, total rate of return, while also providing a minimum guaranteed return rate over the career of the members.

Risk and return profile^:  Low

MPF Conservative Fund2

Investment Objective :
To preserve capital with minimal risk.

Risk and return profile^:  Minimal

^ Risk and return profile of the constituent funds is determined by Invesco Hong Kong Limited based on the volatility, investment objectives and asset allocations of the constituent funds. Generally, higher volatility represents higher risk. Equity funds are of higher volatility when compared to bond funds and money market funds, and thus higher risk. Members should note that this is provided for reference only, and may be updated periodically based on prevailing market conditions. 

Investment involves risks. Past performance is not indicative of future performance. Investors should read the Prospectus for details, including the fees and charges, risk factors and product features. 

1 Guaranteed Fund invests in an Approved Pooled Investment Fund ("APIF"), which is an insurance policy issued by Principal Insurance Company (Hong Kong) Limited ("the Guarantor"). When benefits are withdrawn or transferred upon the occurrence of any of the following qualifying events, the Guarantor will provide the higher of the Fund's actual return or guaranteed capital and return (currently 1% p.a. compounded annually) over the investment period: (a) Retirement or early retirement; (b) Total incapacity; (c) Terminal illness; (d) Death; (e) Permanent Departure from Hong Kong; (f) Small balance; (g) Termination of employment with a continuous investment period of at least 36 complete months. (The above qualifying events (a) to (f) apply to all members, while qualifying event (g) only applies to employee members. ) 
If benefits are withdrawn or transferred for reasons other than those stated above, the guaranteed return will not apply. Instead, members will be subject to the actual market value of the Fund. When you apply for either claim of benefits or transfer of funds, it is essential to complete and return all necessary forms and documents to the trustee as soon as possible. Special terms and conditions apply regarding how the guaranteed return operates. Please refer to the Prospectus, including the illustrative examples for full details of how the guaranteed return operates. 

2 The MPF Conservative Fund is not subject to the supervision of the Hong Kong Monetary Authority. Investment in the Fund is not equivalent to placing funds on deposit with a bank or deposit taking company. The Fund does not provide guarantee on capital. The rights to benefits of a member in the Fund are limited to price of the units at redemption, which may be more or less than the price at which such units were purchased. 
All fees and charges will only be payable out of the Fund to the extent permitted by relevant MPF Regulations, there is possibility that fee deductions would affect the net investment return. Please note that where a Fund has cash holdings which are held by various financial institutions, such cash holdings will be subject to counterparty risk of such party.