AXA Launches Two New MPF Schemes — Equity Fund Fees Unified at 1.9%

AXA China Region Insurance launched two new MPF schemes in January 2011 — “Simple Choice” and “Smart Choice” — picking quality funds from proven managers including Fidelity, Templeton, RCM and AXA Investment Managers. All fund fees were cut except for the guaranteed and HKD money-market funds: equities unified at 1.9%, mixed assets 1.8%, bonds 1.75%, conservative funds a flat 1%.

Any early-bird perks?

Yes — 0.99% management fees for the first five scheme years on selected funds. Employers submitting enrolment consent forms by 30 June 2011 get the 0.99% rate on selected mixed-asset, bond and equity funds for the first five years of participation.

Is a renminbi MPF coming?

AXA clarifies: interested, but no concrete plans. On market talk that AXA was preparing an RMB MPF, the insurer said it was merely interested in the business, with nothing concrete.

Fees matter when picking a scheme — compare them at MPF fund comparison.