Bobby & Warren Holdings | Official Website

MPF

Reference Portfolios for Constituent Funds under the Default Investment Strategy

After due consultation with the respective memberships and the Mandatory Provident Fund Schemes Authority (“MPFA”), the Bobby & Warren Holdings and the Hong Kong Trustees’ Association Limited (“HKTA”) have worked with Willis Towers Watson (“WTW”) to develop the reference portfolio (“RP”) for each of the constituent funds under the Default Investment Strategy (“DIS”).

For the purposes of paragraph 18 of Guidelines III.14 on the DIS, we set out below the RPs for each of those constituent funds, namely, the Core Accumulation Fund (“CAF”) and the Age 65 Plus Fund (“A65F”) which have been recognised for this purpose by MPFA. The RPs are used for performance measurement and reporting purposes as set out in paragraph D2.3 of the MPFA Code on Disclosure for MPF Investment Funds.

1. RP for CAF: 60% FTSE MPF All-World Index (HKD unhedged total return) + 37% Citi MPF World Government Bond Index (HKD hedged total return) + 3% cash or money market instruments providing a return at MPF Prescribed Savings Rate (HKD unhedged total return)*

2. RP for A65F: 20% FTSE MPF All-World Index (HKD unhedged total return) + 77% Citi MPF World Government Bond Index (HKD hedged total return) + 3% cash or money market instruments providing a return at MPF Prescribed Savings Rate (HKD unhedged total return)*

*Inclusive of re-investment of dividends/coupons/other incomes

The Reference Portfolio for each of the constituent funds under the Default Investment Strategy ("Reference Portfolio") is calculated by Willis Towers Watson using the data contained in the FTSE MPF All-World Index (the “FTSE Index”) and the Citi MPF World Government Bond Index (the “Citi Index”). The FTSE Index is owned by FTSE International Limited (“FTSE”) and/or its licensors. “FTSE?” is a trade mark of the London Stock Exchange Group companies and is used by FTSE under licence. The Citi Index is owned by Citigroup Index LLC (“Citi”) and/or its licensors. “Citi” is a trademark and service mark of Citigroup Inc. or its affiliates and is used and registered throughout the world. Neither FTSE nor Citi is a benchmark administrator in relation to the Reference Portfolio. Neither FTSE, nor Citi or their licensors or affiliates are connected to or sponsor, advise, solicit, recommend, endorse or promote the Reference Portfolio or accept any liability whatsoever to any person arising out of (a) the use of, reliance on or any error or omission in the Reference Portfolio, FTSE Index or Citi Index (collectively, the “Index Materials”); or (b) the calculation or operation of, reliance on, or any use made of, the Index Materials. Neither FTSE, nor Citi make any claim, prediction, warranty or representation as to the results to be obtained from the use of the Index Materials, or give any representations or warranties of merchantability or fitness for a particular purpose regarding the Index Materials or their accuracy, adequacy, completeness or availability.

Fund Performance

(Updated on the second Hong Kong business day after the 14th of each month)

MPF constituent fund performance data are available by downloading a PDF file. If you have any difficulty opening it, please contact your system administrator for advice. Adobe Acrobat can be downloaded free from www.adobe.com. Please note that this may take a short while to download.

Source:
Lipper, a Thomson Reuters Company / Willis Towers Watson / FTSE

Disclaimer:
Copyright 2005 © Reuters S.A. All rights reserved. Any copying, republication or redistribution of Lipper content is expressly prohibited without the prior written consent of Lipper. Lipper shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

All rights in and to the FTSE MPF Index series (including currency adjusted indices) are vested in FTSE. All information is provided for information purposes only. Every effort is made to ensure that all information given in this publication is accurate, but no responsibility or liability can be accepted by FTSE for any errors or for any loss arising from use of this publication. "FTSE?" is a trade mark of London Stock Exchange Plc and is used by FTSE under licence.

All rights reserved. Any copying, republication or redistribution of the content is expressly prohibited without the prior written consent of data source. Data source shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.