Hong Kong equity MPF funds all in the red last month — yet some tripled long term

Hong Kong equity MPF funds, Hongkongers’ favourite, all 39 ended last month in the red. But measured from launch to this Tuesday, several “star performers” have still doubled or tripled.

Which HK equity funds did best long term?

Among the “veteran” HK equity funds launched with MPF, 14 have gained 69% to 279% since December 2000, led by the Sun Life First State MPF Hong Kong Equity Fund – B, with an expense ratio of 1.7%. Among later launches, the Haitong Hong Kong SAR Fund – A stands out, tripling since its February 2001 inception, with an expense ratio of 2.09%.

Why are some still underwater?

Some HK equity funds launched this year, late 2007 or early 2008 remain in negative territory — born at the wrong time. MPF performance rankings prove one thing: entry timing matters hugely, but holding quality funds long term lets time do the talking.

To compare fund returns, visit MPF fund comparison for MPF performance rankings.