MPF and other Asian pension fund schemes may be vulnerable to a crisis, argues consultant.
Pension fund schemes under Hong Kong’s Mandatory Provident Funds regime and pension funds generally in Asia face political risk in the event of a crisis or scandal if they don’t improve their governance and transparency, says Jamie Allen, secretary general of the Asian Corporate Governance Association in Hong Kong.
He presented his remarks to a luncheon hosted by the Hong Kong Retirement Schemes Association. The audience was small, which is a pity, as Allen actually had something to say. Perhaps HKRSA members were sceptical following last month’s luncheon, featuring a regulator who chose to enlighten the industry by reading slides found on his organisation’s website. advertisement
Specifically addressing the MPF scheme, Allen argues that while the government and the service providers view it as a sensible package, to most users, it is a black box. The government has rightly installed numerous checks and balances into the MPF system, and spells out the duties of trustees, investment managers and custodians.
See full Article.
Posts
