Hong Kong Monetary Authority: Foreign exchange funds have allocated gold but not in large quantities.

When asked whether the foreign exchange fund would increase its holdings of gold, the Chief Executive of the Hong Kong Monetary Authority, Eddie Yue, stated that the foreign exchange fund seeks diversified investments with a focus on long-term returns. They have allocations in metals and commodities, including gold, but the allocation is not significant. In the past, US dollar assets accounted for as high as 85-86% in the foreign exchange fund, but by the end of 2024, this proportion had decreased to 79%, with the remaining 21% being non-US dollar assets. Regarding the issuance of foreign exchange fund bills, the Executive Director of the Foreign Exchange Fund Investment Office at the Hong Kong Monetary Authority, Lee Tat-chi, stated that the issuance of foreign exchange fund bills falls under monetary management and depends on factors such as Hong Kong interest rates and the yield of the foreign exchange fund. The issuance of foreign exchange fund bills is not an investment activity. Lee Tat-chi mentioned that the Hong Kong Monetary Authority started investing in alternative assets through the "Long-Term Growth Portfolio" in 2009. The portfolio showed stable performance in the first three quarters of 2025, with an annualized internal rate of return of 11.2% from inception to the end of September 2025. The latest market values of the main asset categories as of the end of September 2025 (unaudited) are as follows: the total market value of all asset categories is HK$579.6 billion, with private equity market value at HK$420.4 billion and physical asset market value at HK$159.2 billion.