View Full Version : Managing your Provident Fund
LostinAirspace
23rd Nov 2007, 00:33
Can anyone tell me a good reason why we can't change our provident fund allocations online given that we can monitor the prices daily. Its supposed to be our 'retirement' fund but I bet you a lot of guys go for the default allocation and leave it at that, which frankly is daft! Sticking a piece of paper in by the 24th and hoping it gets processed seems somewhat archaic.
If you believe in conspiracy theories; ... then the money that Cathay provides for your provident fund does not actually go to Fidelity, but instead is run as various mirror funds by the Cathay appointed trustee. For this reason you can’t get electronic access through Fidelity online!
Cathay contributes 18% of your salary with 2.5% going to Fidelity and 15.5% going to you! J
Of course, this is only if you believe in conspiracy theories! ;)
retread7
23rd Nov 2007, 08:16
Just take the money.
15% to the HK taxman is a small price to pay if you leave before it is fully vested after 10 years.
If you leave any time up to 8 years 364 days you are ahead.
R7
missingblade
23rd Nov 2007, 08:40
http://www.tyche-group.com/en/hkaoa.php
LostinAirspace
24th Nov 2007, 02:02
Nah having done 7 years think i'll stick it out for the extra 3. Don't think the deal is that bad overall despite it being difficult to manage. Funds have done pretty well the last few years. I manage mine via a free bloomberg account which allows you to quickly look at the performance of all the funds. Thanks missingblade for that link, i hadn't heard of them and will do some research.
Anyone know if there is any commision or fee if you sell your funds and buy into others?