This is a busy time for changes to the retirement schemes legislation in Hong Kong. In the middle of June this year, the Legislative Council passed the Occupational Retirement Schemes (Amendment) Bill 2019 – see "The Hong Kong Occupational Retirement Schemes (Amendment) Ordinance Becomes Law" for more information on this major piece of legislation.

Then, just a week later, the Mandatory Provident Fund Schemes (Amendment) Ordinance 2020 has come into force. This change to the MPF legislation is largely of an administrative nature. It empowers the Mandatory Provident Fund Schemes Authority (MPFA) to establish a wholly owned subsidiary and to delegate its functions to such subsidiary. The purpose is to build and operate an electronic system (i.e. the eMPF Centralised Platform) for more efficient administration of MPF schemes.

In addition, the new Amendment Ordinance gives the MPFA the power to charge approved trustees of a registered MPF scheme an annual registration fee of 0.03% of the net asset value (which is revised from 0%) of the MPF scheme, with effect from 1 October 2020. The Trustees are not permitted to pass the fee onto the MPF scheme or scheme members.

Full detail of the above amendments can be found at

Visit us at

Mayer Brown is a global legal services organization comprising legal practices that are separate entities (the Mayer Brown Practices). The Mayer Brown Practices are: Mayer Brown LLP, a limited liability partnership established in the United States; Mayer Brown International LLP, a limited liability partnership incorporated in England and Wales; Mayer Brown JSM, a Hong Kong partnership, and its associated entities in Asia; and Tauil & Chequer Advogados, a Brazilian law partnership with which Mayer Brown is associated. "Mayer Brown" and the Mayer Brown logo are the trademarks of the Mayer Brown Practices in their respective jurisdictions.

© Copyright 2020. The Mayer Brown Practices. All rights reserved.

This article provides information and comments on legal issues and developments of interest. The foregoing is not a comprehensive treatment of the subject matter covered and is not intended to provide legal advice. Readers should seek specific legal advice before taking any action with respect to the matters discussed herein. Please also read the JSM legal publications Disclaimer.