The University MPF Scheme Members Briefing Session. September 2016

Transcription

1 The University MPF Scheme Members Briefing Session September

2 Programme Rundown: 1) Presentation by PolyU (10 mins) 2) Presentation by FIL Investment (25 mins) 3) Presentation by BOCI-Prudential (25 mins) 4) Questions & Answers session (15 mins) April Wong Director of Finance PolyU Silvia Kong Client Director FIL Investment Management (Hong Kong) Limited Anthony Wong Vice President BOCI-Prudential Asset Management Limited 2

3 MPF Relevant Income ( RI ) Max. level of RI: $30,000 (for employer & employee mandatory contribution ( MC )) Min. level of RI: $7,100 (no employee MC below this level) Contribution calculation Examples for staff on contract gratuity (Basic Member) and regular terms (Class A Member): Basic Member Class A Member $ $ Basic salary 40,000 40,000 Part-time payment 5,000 5,000 MPF RI 45,000 45,000 Employee MC 1,500 ($30k x 5%, up to $1,500) 1,500 ($30k x 5%, up to $1,500) Employee voluntary contributions N/A 500 Total employee contributions 1,500 2,000 ($40k x 5%) Employer MC 1,500 ($30k x 5%, up to $1,500) 1,500 ($30k x 5%, up to $1,500) Employer voluntary contributions N/A (Gratuity of $4,500 p.m. will be 4,500 Total employer contributions 1,500 payable to staff at contract end) 6,000 ($40k x 15%) * No. of contract staff opted for employer SVC in lieu of gratuity in 2015/16: 16 (2014/15: 16) 3

4 Fidelity Retirement BOC-Prudential Easy- Master Trust Scheme Master Trust Choice MPF Scheme ( MTS ) ( FRMT ) ( BOC-Prudential ) Effective Date 1 December November 2010 Investment Manager Trustee/Administrator FIL Investment Management (HK) Limited HSBC Institutional Trust Services (Asia) Limited ( HSBC ) BOCI-Prudential Asset Management Limited BOCI-Prudential Trustee Limited ( BOCI-P ) Investment Funds Mgt fee (% p.a. of NAV) - Money market funds - Bond funds - Equity index funds - Other funds As at 30 Jun No. of PolyU members - PolyU asset size (Total master trust asset size) 0.93% 1.20% % 0.70% 1.20% % 4,309 HK$1,599 million (HK$27.9 billion) (net after rebate) 0.80% 0.85% 0.90% 1.00% 1,309 HK$100 million (HK$45.6 billion) 4

5 Highlight of Scheme Switching Guideline: Two scheme switching exercises every year, with effective dates on 1 May and 1 November; Members could switch only once every calendar year; New appointees may join scheme switching exercises only after 3 months of joining the University; and All accrued benefits in the existing MTS should be redeemed and transferred to the new MTS. 5

6 No. of members who switched schemes: FRMT to BOC-P BOC-P to FRMT 2015/ / No. of members who transferred out MPF accrued benefits under the Employee Choice Arrangement * : FRMT BOC-P 2015/16 91 ($4.3 million) 26 ($0.5 million) 2014/15 84 ($4.5 million) 24 ($0.9 million) * Commenced on 1 Nov

7 Highlight of Scheme Switching Timeline (effective date = 1 Nov 2016): Date Responsible Party Activities T 18 working day 5 Oct 2016 Members Deadline for members to submit the below forms to FO: 1. Member s Election Form for Switching of MPF Scheme 2. Membership Enrolment Form T - 6 working day 24 Oct 2016 (cut-off, 4pm) BOCI-P / HSBC Last day for the existing scheme trustee to accept switchingout members instruction to change investment allocation under the existing MPF scheme T - 1 working day 31 Oct 2016 BOCI-P / HSBC Dealing date: Existing scheme trustee to redeem members benefit balance holdings under the existing MPF scheme T 1 Nov st day of membership under the new MPF scheme T + 7 working day 10 Nov 2016 (cut-off, 4pm) BOCI-P / HSBC T + 11 working day 16 Nov 2016 BOCI-P / HSBC Last day for the new scheme trustee to accept switching-in members instruction on change of investment allocation for transferred benefit balance Dealing date: New scheme trustee to subscribe for fund units T + 14 working day 21 Nov 2016 Members can view their transfer-in benefit balance in BOC- Prudential / FRMT via internet Note: Scheme switching takes about 11 to 12 working days. Members assets will be out of market during this period and without any investment gain or loss. 7

8 Members who elect to switch between the two MTSs should: a) Read and understand the Guideline on Switching of MPF Scheme and Timeline on Switching of MPF Scheme; b) Refer to the Comparison of scheme features and performance; and c) Return the completed forms below to the Finance Office by the prescribed deadline: i) Member s Election Form for Switching of MPF Scheme ii) Membership Enrolment Form (for the new MTS) 8

9 All documents about the scheme switching are available at the FO website as follows: 9

10 Thank You 10