Skip to Content
MPF System

Compensation Fund

In addition to the provision that MPF trustees must maintain adequate indemnity insurance, the Mandatory Provident Fund Schemes Ordinance (Chapter 485, Laws of Hong Kong) also requires the establishment of a Compensation Fund by the MPFA for the purposes of compensating members of MPF schemes for losses of accrued benefits that are attributable to misfeasance or illegal conduct committed by MPF trustees and other persons concerned with the administration of the MPF schemes.  The Government provided a one-off grant of HK$600 million as seed money when the Compensation Fund was established in 1999.

Last Revision Date: 29/11/2017