How to Compare MPF Fund Fees: Only Like-for-Like Counts

Mrs Ho loves bargain-hunting — lately even for her MPF. But veteran columnist Lo Sik cautions: choosing MPF funds isn’t about price alone — suitability, trustee service scope and standards matter equally. Like buying clothes: you wouldn’t buy purely because it’s cheap, ignoring size, style and fabric.

What do MPF fees include?

Beyond trustee, investment-management and administration fees: audit, legal and transaction costs, plus special charges on some fund types (e.g. guarantee fees on guaranteed funds).

Two rules for fee comparison

Rule one: compare like with like. Equity funds generally cost more than conservative funds because managers put more work into research. Comparing an equity fund’s fees with a conservative fund’s is like comparing oranges with apples.

Rule two: read the fee tables plus the FER. Check the fee tables in the scheme’s offering documents and the Fund Expense Ratios on the MPFA’s fee comparison platform.

The comparison checklist

Comparing isn’t about buying cheapest — it’s about buying right. The cheapest fund is wrong if it doesn’t fit your risk appetite and goals. Compare MPF funds’ fees and returns at MPF fund comparison.