Key Takeaways
- • Hong Kong's Mandatory Provident Fund (MPF) rose from a C+ to a B grade in the Mercer CFA Institute Global Pension Index, improving its score to 70.6 out of 100 from 63.9 a year earlier.
- • The HK$1.5 trillion (US$193 billion) scheme now ties for the third-best grade worldwide with retirement systems in Belgium, France, Germany and Switzerland.
- • Hong Kong still trails Singapore, whose Central Provident Fund scored 82.0 and holds Asia's only A grade.
- • Hong Kong ranks second in Asia behind Singapore, according to the index, with publisher coverage citing strong investment returns as the main driver of the improvement.
Summary
Hong Kong's pension scheme improved its overall adequacy, sustainability and integrity over the past 12 months, rising from a C+ grade to a B, according to a report released on Wednesday by Mercer and the CFA Institute. The grade places the Mandatory Provident Fund on par with retirement schemes in some European countries, but still below Singapore's system.
The HK$1.5 trillion (US$193 billion) MPF scored 70.6 points out of a possible 100 in the annual Mercer CFA Institute Global Pension Index, up from 63.9 last year. The programme now holds the third-best grade worldwide, tied with the retirement schemes in Belgium, France, Germany and Switzerland. The index uses seven grade levels: A, B+, B, C+, C, D and E.
Publisher coverage attributes the improvement largely to strong investment returns. Hong Kong ranks second in Asia behind Singapore, whose Central Provident Fund scored 82.0 in the 2026 edition of the index, retaining its A grade. Coverage of the index also notes Hong Kong's weaker performance in long-term returns relative to Singapore as a factor in the gap.
The result indicates continued progress for the MPF, a compulsory defined-contribution system, though the gap to Singapore remains the most visible benchmark in the regional comparison.
The HK$1.5 trillion (US$193 billion) MPF scored 70.6 points out of a possible 100 in the annual Mercer CFA Institute Global Pension Index, up from 63.9 last year. The programme now holds the third-best grade worldwide, tied with the retirement schemes in Belgium, France, Germany and Switzerland. The index uses seven grade levels: A, B+, B, C+, C, D and E.
Publisher coverage attributes the improvement largely to strong investment returns. Hong Kong ranks second in Asia behind Singapore, whose Central Provident Fund scored 82.0 in the 2026 edition of the index, retaining its A grade. Coverage of the index also notes Hong Kong's weaker performance in long-term returns relative to Singapore as a factor in the gap.
The result indicates continued progress for the MPF, a compulsory defined-contribution system, though the gap to Singapore remains the most visible benchmark in the regional comparison.
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