Why Did the Forum Slam Management Fees?

What was said at the April 2011 forum?

At a 30 April 2011 “Why So Many MPF Fees” forum, HKCTU’s Meng Zhaoda said: HK$1,000 monthly for 40 years at 5% returns would fall from HK$2.05 million to HK$1.85 million after a 2% admin fee. He urged linking fees to returns, more transparency and competition. The New Forum’s So Man-kit noted US 401(k) fees averaged just 0.72% and Canadian mutual funds 1.7%, urging disclosure of fee-to-asset ratios.

What did academics say?

HKUST’s Francis Lui said offsetting hurt workers but scrapping it would hit SMEs; HKBU’s Mo Pak-hung said MPF lacked universal retirement protection and fees were too high.

What can workers do?

Reform can wait — shop around yourself at MPF fund comparison.