GUM: Last year, the total assets of the MPF reached 1.29 trillion yuan, and asset allocation for 25 years should avoid excessive concentration in a single market.

GUM releases the market analysis report of Trillions of MPF in December 2024. As of December 31st, the total assets of Trillions of MPF market decreased by 0.5% to HK$1.29 trillion. GUM's strategy and investment analyst Yun Tianhui pointed out that with Trump taking office in 2025, uncertainties such as geopolitical issues and tariffs could lead to major fluctuations in the stock market. Members should avoid overly concentrating on a single market when allocating Trillions of MPF assets. In terms of market share, Manulife ranked first with a market share of 27.8%, followed by HSBC (17.8%) and AIA (11%) in second and third place. Together with fourth and fifth-placed AIA (9.1%) and BOC-Prudential (7.4%), the top five providers together accounted for over 73.1% of the Trillions of MPF market. In 2024, the funds of Trillions of MPF members primarily flowed into equity funds. In the second and third quarters, due to the Fed beginning to cut interest rates, coupled with the yen carry trade in August, the stock market underwent adjustments, attracting funds to shift towards fixed income funds. In the fourth quarter, equity funds saw a net inflow of approximately HK$3.46 billion, with funds mainly coming from the outflow of mixed asset funds (approximately HK$2.34 billion), while fixed income funds experienced a slight outflow (approximately HK$1.12 billion). This change is believed to be mainly due to the global stock market rebounding after the market adjustments in the third quarter, mainland China promoting the "one-two punch" stimulus for the economy, Trump being re-elected as president, and the strong dollar policy slowing down the pace of interest rate cuts, reducing the attractiveness of bond funds.