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Self-employed Person

Transfer of accrued benefits


When you are no longer self-employed, you may retain your accrued benefits in the original scheme or transfer them to any other MPF scheme. To transfer your accrued benefits, you should fill in “Scheme Member’s Request for Fund Transfer Form” [Form MPF(S) - P(M)] and send it to the new trustee. The new trustee will then notify the original trustee of your request to transfer. Once the transfer is completed, you will receive written confirmations from both the original and new trustees. Transfers can also be made during self-employment.

Friendly reminders


Be aware of a "sell low, buy high" scenario
The process of consolidation of accounts involves fund transaction. The original trustee has to sell the fund units in your account, and the new trustee will then buy fund units according to your instructions. During this selling and buying process, there will be a time-lag of around 1 to 2 weeks where your MPF benefits will not be invested in any fund. As fund prices may change during this period due to market fluctuations, you may be subject to the "sell high, buy low" or "sell low, buy high" scenarios.

Be aware of the risk of losing your guarantee entitlement
If you have chosen to invest in a guaranteed fund in your existing scheme, please pay special attention! A guaranteed fund generally provides a capital guarantee or a minimum rate of return, subject to a set of conditions being fulfilled. In other works, scheme members must meet certain conditions such as a minimum "lock-in period", i.e. a fixed period of time in which the member must invest in such a fund in order to recieve the guarantee. If you are currently investing in a guaranteed fund, check the qualifying conditions in details and be sure you do meet the conditions before consolidating your accounts, or else your entitlement to the guarantee may be disqualified. For details of individual guaranteed funds and their qualifying conditions, please refer to the principal brochures and offering documents provided by the trustees. These documents can be downloaded from trustees' websites. Please contact your trustees for details.

Be aware of how the transferred-in benefits will be invested
If you wish to transfer your accrued benefits from one MPF scheme to another, please be aware of how the transferred-in benefits will be invested. In general, the transferred-in benefits will be invested accoording to the Default Investment Strategy ("DIS") if you have not given any investment instructions for the transferred-in benefits of the account to the new trustee. Please approach your new trustee to seek clarification, where necessary.

You can obtain the transfer form from your trustee or download it from the MPFA’s website here.
 

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