What Did K.C. Chan Say About the Semi-Portability Timetable?

What did the financial services chief say in 2011?

In March 2011, Secretary for Financial Services and the Treasury K.C. Chan told LegCo the government was drafting stronger intermediary regulation, expected before LegCo in April for public consultation, hoping to table the bill by year-end so employee choice could launch early the next year. He added that the 19 MPF trustees had cut fees markedly over three years: the average fund expense ratio was 1.85% in April 2009–March 2010, down over 10% from 2.1% in 2006–07.

Why were trustees cutting fees?

Chan said all trustees had cut fees or launched cheaper plans in three years, half more than once — likely anticipating the Employee Choice Arrangement. Members can already see who’s cheapest at MPF fund comparison.

What controversy had spotlighted fees?

The budget’s proposed HK$6,000 MPF injection drew fire when lawmaker Kam Nai-wai cited a case: HK$6,000 in contributions earned just HK$1.07 over two years while fees hit HK$140 — Exhibit A for excessive charges.