Cap. 485A 《強制性公積金計劃(一般)規例》Mandatory Provident Fund Schemes (General) Regulation

An investment fund is an approved pooled investment fund for the purposes of this Regulation if it is an insurance policy, authorized unit trust or authorized mutual fund that—

The granting of an approval in respect of a pooled investment fund is subject to the payment to the Authority of such fee (if any) as may be prescribed in the Fees Regulation and to such conditions (if any) as the Authority considers appropriate. (2 of 2002 s. 21)

Where the Authority—

then the Authority may, by written notice served on the investment manager, insurer or trustee—

The Authority may waive a person’s compliance with a condition imposed under subsection (2) or (3)—

The Authority may on application made by a person specified in the guidelines cancel the approval of a pooled investment fund. (1 of 2008 s. 29)

An application under subsection (5) must—

The Authority may, by written notice, require an applicant to provide such additional information and documents as are reasonably necessary to enable it to determine the application. If such a requirement is not complied with within a reasonable time specified in the notice, the Authority may reject the application. (1 of 2008 s. 29)

An institution is a substantial financial institution for the purposes of this Regulation if— (L.N. 223 of 2000)

The reference to “liabilities” in the determination of net assets as referred to in subsection (1)(b)(ii) may exclude in part or in whole a subordinated debt of the institution concerned where, subject to subsection (3), the Authority declares in writing that it is satisfied that under the terms of the debt instrument concerned— (L.N. 222 of 2000)

The Authority shall not make a declaration under subsection (2) in relation to an institution except after consultation with—

For the purposes of the Ordinance, an approved trustee has adequate insurance for the registered schemes administered by the trustee if there are in force 1 or more insurance policies that—

For the purpose of subsection (1)(a), a person is an eligible insurer if the person’s business includes that of providing insurance and—

Before determining whether an insurer is able to meet its liabilities, the Authority must—

For the purpose of subsection (1)(c), the amount of insurance cover is to be obtained in respect of the total managed assets of an approved trustee as follows—

For the purpose of subsection (1)(d), the prescribed risks are as follows—

For the purpose of subsection (1)(e), the maximum amount is to be determined in respect of the total managed assets of an approved trustee as follows—

For the purpose of this section—

(Repealed L.N. 223 of 2000)

The requirements set out in this section are the prescribed capital requirements that have to be complied with by a company that applies to be or is an approved trustee of a registered scheme.

The prescribed capital adequacy requirements are complied with if the company—

The prescribed capital adequacy requirements are also complied with if the company—

If an applicant is a company incorporated in Hong Kong or a re-domiciled company— (14 of 2025 s. 234)

The applicant must satisfy the Authority—

The applicant must comply with the prescribed capital adequacy requirements.

The applicant must have sufficient presence and control in Hong Kong.

An applicant has sufficient presence and control in Hong Kong if—

An applicant complies with this subsection if—

The applicant must satisfy the Authority that it is capable of carrying on a business of administering registered schemes.

For the purpose of subsection (7), the Authority may enter and inspect the premises intended to be used by the applicant for carrying on the business of administering registered schemes.

The Authority may refuse the application of an applicant who fails to allow the Authority to enter and inspect the premises referred to in subsection (8).

If an applicant is a company incorporated outside Hong Kong—

The following matters are specified for the purposes of subsection (1)(d)—

The applicant must designate one of its controllers to be its Hong Kong chief executive officer. The Hong Kong chief executive officer—

The applicant must satisfy the Authority—

The applicant must comply with the prescribed capital adequacy requirements.

The applicant must have sufficient presence and control in Hong Kong.

An applicant has sufficient presence and control in Hong Kong if—

An applicant complies with this subsection if—

The applicant must satisfy the Authority that it is capable of carrying on a business of administering registered schemes.

For the purpose of subsection (9), the Authority may enter and inspect the premises intended to be used by the applicant for carrying on the business of administering registered schemes.

The Authority may refuse the application of an applicant who fails to allow the Authority to enter and inspect the premises referred to in subsection (10).

The applicant must give an undertaking to the Authority by deed, or by a document of like effect acceptable to the Authority, that the applicant, and all transactions relating to the administration by the applicant in Hong Kong of provident fund schemes and all disputes arising out of those transactions, will be governed by the law of Hong Kong. (1 of 2008 s. 4)

An applicant under section 16 or 17 must submit to the Authority, on or before such date as the Authority may specify, a written report prepared by an auditor appointed by the applicant and addressed to the applicant.

The report must state, in the opinion of the auditor, whether or not the applicant, as at a date agreed between the applicant and the Authority subject to subsection (3), complies with the prescribed capital adequacy requirements.

The date referred to in subsection (2) must be on or before the date on which the Authority approves the applicant’s application.

The report may include such observations, elaborations, qualifications or explanations as the auditor considers necessary.

If the Authority requires an applicant to rectify a matter relating to any of those observations, elaborations, qualifications or explanations, the applicant must submit to the Authority, before the end of the period within which the Authority has allowed for the matter to be rectified, a second report prepared by the same auditor who prepared the report referred to in subsection (1).

The second report must state whether or not, in the opinion of the auditor, the matter relating to the observations, elaborations, qualifications or explanations included by the auditor in the written report has been rectified.

The Authority may approve the application of an applicant only if it is of the opinion that all businesses carried on by the applicant (other than the business of administering provident fund schemes) are compatible with the interests of members of provident fund schemes administered by the applicant.

Subsection (1) applies even though the applicant is able to comply with the other provisions of this Part and with the requirements of the Authority made under this Part.

In this Part—

A reference to an approved trustee, in relation to an application to register a provident fund scheme other than as an industry scheme, includes a reference to a natural person or company that has applied for approval as an approved trustee under section 20 of the Ordinance.

An application for registration of a provident fund scheme must be signed—

If an application is made by persons all of whom are natural persons, each of those persons (other than an independent trustee) must be a member or prospective member of the scheme.

If an application is made by persons of whom one or more are companies and the others are natural persons, each of those natural persons must be a member or prospective member of the scheme.

An application to register a provident fund scheme as an employer sponsored scheme must include particulars of the employer sponsoring the scheme.

A person is an independent trustee for the purposes of section 21(3) of the Ordinance if the person—

If an application is made by persons any of whom are natural persons, each of those natural persons must produce to the Authority a performance guarantee or satisfy the Authority that the trustee will have entered into such a guarantee before the scheme begins to operate.

A performance guarantee relating to a person—

The liability of the authorized financial institution or authorized insurer under the obligation referred to in subsection (7)(b) must be at least $10,000,000 or an amount equivalent to 10 per cent of the net asset value of the scheme, whichever is the less.

The applicant must also ensure there is in force, or arrangements have been made to enter into, adequate insurance that will indemnify scheme members against losses that the members could incur as a result of the administration of the scheme by the applicant or by any service provider appointed or engaged to provide services for the purposes of the scheme.

An application must include a statement setting out the investment policy (including the investment objectives) of the scheme.

The statement of investment policy must include sufficient information to enable scheme members to ascertain in relation to each constituent fund of the scheme—

The Authority must publish in the Gazette, within 7 days after an industry scheme is registered under section 21A of the Ordinance, a notice of that registration.

For the purposes of section 21A(11) of the Ordinance, the notice referred to in subsection (1) must contain the following particulars—

If all the approved trustees of an employer sponsored scheme are natural persons, at least one of those trustees must be an independent trustee and the others must be members of the scheme.

If one or more of the approved trustees of an employer sponsored scheme are companies and the others are natural persons, each of the natural persons must either be an independent trustee or a member of the scheme.

A person is an independent trustee for the purposes of this Part only if the person continues to satisfy the requirements set out in section 23(5).

There must be in force in respect of a registered scheme adequate insurance that will indemnify scheme members against losses that the members could incur as a result of the administration of the scheme by the trustee or by any service provider appointed or engaged to provide services for the purposes of the scheme.

The insurance relating to the scheme must provide that it may be terminated by the insurer only if the insurer gives not less than 30 days’ written notice in advance to the trustee or the service provider by whom the insurance was entered into.

A valid performance guarantee of a kind referred to in section 23(6) must be maintained in respect of an approved trustee of a registered scheme who is a natural person.

On receipt of a notice referred to in section 23(7)(d), another performance guarantee that complies with section 23(7) and (8) must be obtained before the current guarantee terminates.

An application for membership of a registered scheme that is made by or on behalf of a relevant employee of a participating employer, or by a self-employed person who is 18 years of age or over and below retirement age, must not be refused if that employee or person— (2 of 2002 s. 21)

An application for participation in a registered scheme that is made by or on behalf of an employer must not be refused if that employer—

An application for membership of a registered scheme that is made by a person only for the purpose of maintaining a personal account within the scheme must not be refused if that person— (11 of 2009 s. 12)

The following information must be disclosed to a person who is considering making an application to become a scheme member or participating employer— (L.N. 223 of 2000)

The information referred to in subsection (2)(c) must include (but is not limited to) the actual amounts of the annual fees payable in respect of—

An applicant for membership of or participation in a registered scheme must be given a notice of participation that complies with subsection (4A) within 30 days after whichever is the later of the following dates—

A notice of participation must specify—

The membership of a scheme member may be terminated by the approved trustee only in accordance with the governing rules of the scheme and—

Subsection (5)(c) does not apply in relation to termination by the approved trustee if at termination the TVC account—

The participation of an employer may be terminated by the approved trustee only in accordance with the governing rules of the scheme and with the written agreement of the participating employer given not earlier than 60 days before the termination. (L.N. 223 of 2000)

In respect of a scheme member whose accrued benefits are being or have been transferred pursuant to Part 12, no fees may be charged and, subject to section 34, no financial penalties may be imposed and no other restrictions or requirements shall be applied to prevent or to hinder the relevant participating employer or the scheme member from terminating his participation in the registered scheme of the transferor trustee or the liability to contribute to that registered scheme. (L.N. 223 of 2000; 11 of 2009 s. 12)

All contributions and contribution surcharges paid to the approved trustee of a registered scheme in accordance with the Ordinance or a court order made under section 43BA of the Ordinance must be accepted by the trustee. (18 of 2008 s. 16)

Accrued benefits transferred to the scheme from another registered scheme in accordance with this Regulation, or benefits transferred to the scheme from an occupational retirement scheme exempted under section 5 of the Ordinance, must also be accepted. (18 of 2008 s. 16)

Accrued benefits derived from the voluntary contributions must not be paid by the approved trustee of a registered scheme otherwise than by reference to those contributions and the income or profits derived from their investment.

The governing rules of the scheme must provide—

If a member of the scheme so requests, accrued benefits derived from voluntary contributions made by or in respect of the member must be paid to the member as provided by the governing rules of the scheme. Where any of those voluntary contributions are required to be made by the scheme member’s employer, then the governing rules of the scheme must, not later than 6 months after the commencement* of this subsection, provide for the payment of any accrued benefits derived from voluntary contributions if the employer has failed to make such a required voluntary contribution to the scheme within 6 months after—

No fees or financial penalties may be charged to or imposed on a scheme member, or deducted from the member’s account, for transferring accrued benefits— (11 of 2009 s. 13; 1 of 2015 s. 23; 40 of 2021 s. 51)

other than an amount representing the necessary transaction costs that are incurred, or reasonably likely to be incurred, by the approved trustee in selling or purchasing investments in order to give effect to the transfer and are payable to a party other than that approved trustee. (11 of 2009 s. 13)

Subsection (1) applies subject to section 35. (40 of 2021 s. 51)

If contributions have ceased to be paid to a registered scheme by or on behalf of a scheme member, no fees or financial penalties (other than the amount described in subsection (1A)) may be charged to or imposed on the member, or deducted from the member’s account, for the transfer of the member’s accrued benefits to another scheme or from one account to another account within the scheme. (1 of 2015 s. 24)

The amount is an amount representing the necessary transaction costs that—

Subsection (1) applies only to the first transfer of those benefits made in respect of the member and only if—

No fees or financial penalties (other than the amount described in subsection (2)) may be charged to or imposed on a scheme member, or deducted from the member’s account, for the payment of the member’s accrued benefits in a lump sum.

The amount is an amount representing the necessary transaction costs that—

This section applies if a scheme member is entitled to be paid the accrued benefits by instalments.

The approved trustee of the scheme must act according to any written instructions regarding the time, frequency or amount of payment of the member’s accrued benefits by instalments that the member may give under the governing rules of the scheme if—

No fees or financial penalties (other than the amount described in subsection (4)) may be charged to or imposed on the member, or deducted from the member’s account, for the payment of the member’s accrued benefits by instalments in any year for the first 4 instalments of that year.

The amount is an amount representing the necessary transaction costs that—

A registered scheme may consist of 3 or more constituent funds. (9 of 2016 s. 13)

(Repealed 1 of 2015 s. 26)

At least one of the constituent funds of a registered scheme must be a capital preservation fund.

A capital preservation fund—

After taking into account any losses arising from the investment of the funds comprising a capital preservation fund, all income and profits derived from the investment of those funds must be credited to the scheme members concerned at least once each month.

Amounts may be deducted from the account of a scheme member whose accrued benefits form part of a capital preservation fund only as provided by subsections (5) to (7).

If the approved trustee of a registered scheme some or all of the funds of which comprise a capital preservation fund is required to pay a levy under section 17(3) of the Ordinance, such amount as may be necessary to enable the trustee to pay the levy may be deducted from the account of each scheme member whose accrued benefits form part of that fund. The amount is to be calculated as follows—

If—

an amount not exceeding the excess may be deducted from the member’s accrued benefits as scheme administrative expenses for that month.

However, if for a particular month no amount is deducted as administrative expenses under subsection (6), or the amount of administrative expenses that is deducted under that subsection is less than the amount of administrative expenses for the month, the deficiency may be deducted from the amount of any excess that may remain in respect of any of the following 12 months after deducting the administrative expenses applicable to that following month.

In this section—

A statement of investment policy must be prepared and maintained in respect of each registered scheme.

The statement of investment policy must include sufficient information to enable scheme members to ascertain in relation to each constituent fund of the scheme—

Control objectives that comply with subsection (2) must be established for each registered scheme and be maintained at all times while the scheme is registered.

For the purposes of subsection (1), the control objectives of a registered scheme must include (but are not limited to) the following—

Internal control measures for achieving the control objectives of each registered scheme must be established for the scheme and must be maintained and complied with at all times while the scheme is registered.

Those internal control measures must include procedures for—

The control objectives and internal control measures established and maintained for the scheme may be amended, and fresh control objectives or internal control measures may be substituted, as and when necessary.

This section is not required to be complied with during a financial period of an employer sponsored scheme if—

The Authority may grant an exemption for the purposes of subsection (6) if satisfied that—

The funds of a registered scheme may be invested only—

An investment manager appointed in relation to the scheme by the approved trustee of the scheme is required to comply with Part 5 and Schedule 1.

Section 31(4) applies in relation to an application for membership of, or participation in, a registered scheme with a relevant date that is before the commencement date if, on the commencement date—

In this section—

(1 of 2015 s. 27)

This Part applies in relation to an approved trustee that is a company.

In this Part—

An approved trustee must not, on or after the relevant date, appoint a person to be an officer of the trustee unless the Authority has, on the application of the trustee, given prior written consent to the person’s becoming such an officer.

An application for the consent of the Authority under this section must—

The Authority may only give consent if it is satisfied as to the following—

The Authority may give its consent subject to such reasonable conditions as the Authority may impose on the approved trustee, and may at any time by notice in writing served on the trustee, amend or revoke any such conditions or impose new conditions as may be reasonable in the circumstances.

An approved trustee must, on becoming aware that an appointment has been made in contravention of subsection (1), terminate the appointment.

Where the office of a director of an approved trustee becomes vacant with the result that—

the trustee must apply to the Authority for its consent to the appointment of a replacement director within 30 days after the vacancy arises.

Where an approved trustee has only one chief executive officer or Hong Kong chief executive officer and the office of the chief executive officer or Hong Kong chief executive officer becomes vacant, the trustee must apply to the Authority for its consent to the appointment of a replacement chief executive officer or Hong Kong chief executive officer, as appropriate, within 30 days after the vacancy arises.

A person must not, on or after the relevant date, become a shadow director of an approved trustee unless the Authority has, on the application of the trustee, given prior written consent to the person’s becoming such a shadow director.

An application for the consent of the Authority under this section must—

The Authority may only give consent if it is satisfied that the person in relation to whom the application is made is of good reputation and character and, in particular, has not been found guilty, whether in Hong Kong or elsewhere, of an offence involving fraud or dishonesty.

The Authority may give its consent subject to such reasonable conditions as the Authority may impose on the approved trustee and the person proposing to become a shadow director of the approved trustee, and may at any time by notice in writing served on the trustee or shadow director, amend or revoke any such conditions or impose new conditions as may be reasonable in the circumstances.

A person who becomes a shadow director of an approved trustee in contravention of subsection (1) must not give instructions to any director of the trustee.

If a person gives instructions to a director of an approved trustee in contravention of subsection (5), the director must, within 3 specified working days after receiving the instructions, by notice in writing inform the Authority. (9 of 2016 s. 16)

A person must not, on or after the relevant date, become a substantial shareholder of an approved trustee unless the Authority has, on the application of the trustee, given prior written consent to the person’s becoming such a substantial shareholder.

Where a person—

he must, within 3 specified working days after becoming aware of that fact, serve a notice in writing on the trustee and the Authority stating that he has become such a shareholder. (9 of 2016 s. 17)

An approved trustee must, within 3 specified working days after becoming aware that a person has become its substantial shareholder in contravention of subsection (1), apply to the Authority for its consent to the person’s continuing to be its substantial shareholder. (9 of 2016 s. 17)

An application for the consent of the Authority under this section must—

The Authority may only give consent if it is satisfied that the person in relation to whom the application is made is of good reputation and character and, in particular, has not been found guilty, whether in Hong Kong or elsewhere, of an offence involving fraud or dishonesty.

The Authority may give its consent subject to such reasonable conditions as the Authority may impose on the approved trustee and the person who has become or is proposing to become a substantial shareholder of the approved trustee, and may at any time by notice in writing served on the trustee or substantial shareholder, amend or revoke any such conditions or impose new conditions as may be reasonable in the circumstances.

Subject to subsection (9), a person who becomes a substantial shareholder of an approved trustee in contravention of subsection (1) must not exercise or purport to exercise any voting rights in respect of the person’s shares specified in subsection (8).

The shares referred to in subsection (7) are—

Subsection (7) ceases to apply in relation to the shares of a substantial shareholder if an application made in relation to him under subsection (3) is approved by the Authority.

The Authority may serve a notice on a controller of an approved trustee, other than a person who has become such a controller in contravention of this Part, objecting to his continuing to be a controller of the trustee on the ground that—

The Authority must, before serving a notice of objection on a controller, serve a preliminary notice in writing on him stating—

The Authority must take into consideration any representations made in the manner specified in subsection (2)(c) before serving a notice of objection.

The Authority is not obliged to disclose to the controller or approved trustee any particulars of the ground on which the Authority intends to serve, or serves, a notice of objection on the controller.

The Authority must—

When the Authority serves a notice of objection, the Authority must also serve a copy of the notice on the approved trustee concerned.

Where a notice of objection is served on an officer of an approved trustee, the trustee must, not later than the specified date, terminate his appointment with effect from the specified date.

An approved trustee is not required to comply with subsection (7) if the officer has tendered his resignation and the resignation takes effect on or before the specified date.

Where a notice of objection is served on a shadow director of an approved trustee, the shadow director must not give instructions to any director of the trustee from the specified date.

If a person gives instructions to a director of an approved trustee in contravention of subsection (9), the director must, within 3 specified working days after receiving the instructions, by notice in writing inform the Authority. (9 of 2016 s. 18)

The power under subsection (2) is exercisable where—

The Authority may by notice in writing direct the approved trustee to do any one or more of the following—

The persons referred to in subsection (2)(b) are—

Without prejudice to the operation of subsection (2), where a person has become a substantial shareholder of an approved trustee in contravention of section 42D, the Authority may by notice in writing direct the substantial shareholder—

Without prejudice to the operation of subsection (2), where the Authority serves a notice of objection on a substantial shareholder of an approved trustee under section 42E, the Authority may by notice in writing, given at the same time as the notice of objection is served or at a later date, direct the substantial shareholder—

If a person fails to comply with any direction under subsection (2), (5) or (6), the Authority may, by originating summons or originating motion, make an application to the Court in respect of the failure, and the Court may inquire into the case and—

An originating summons under subsection (7) must be in Form No. 10 in Appendix A to the Rules of the High Court (Cap. 4 sub. leg. A).

The approved trustee of a registered scheme must ensure that—

The trustee does not have to comply with subsection (1) in relation to a constituent fund of the scheme if—

A person is eligible to be appointed as an investment manager only if the person—

In appointing an investment manager, the trustee must ensure that—

The trustee may appoint a person as an investment manager in respect of the scheme only if the person is independent of the trustee and of the custodian of the scheme assets and of any delegate of the custodian. (L.N. 223 of 2000)

The approved trustee of a registered scheme must ensure that the contract for the appointment of an investment manager prohibits the manager from delegating the management of the investment of the funds of the scheme to a person other than to a company or corporation or partnership of companies or corporations that is solvent and complies with subsection (3) or (4).

If the contract allows the investment manager to delegate its functions with respect to managing the investment of the funds of the scheme, the trustee must ensure that—

A company or corporation or partnership of companies or corporations complies with this subsection if it is—

A company or corporation or partnership of companies or corporations complies with this subsection if it is authorized, by a regulatory authority recognized by the Authority, to carry on business as an investment adviser under the law of a place other than Hong Kong and—

If an investment manager appointed in respect of a registered scheme is allowed to delegate the manager’s functions in relation to the scheme, the approved trustee of the scheme must ensure that the functions are delegated only to a person who is independent of the trustee and of the custodian of the scheme assets and of any delegate of the custodian.

For the purposes of sections 44 and 45, an investment manager, or the delegate of an investment manager, is independent of the approved trustee of the relevant scheme and of the custodian of the scheme assets and a delegate of the custodian of the scheme assets only if— (L.N. 223 of 2000)

If an investment manager, or a delegate of an investment manager, and the approved trustee, or the custodian of the scheme assets or the delegate of the custodian of the scheme assets, are subsidiaries of— (L.N. 223 of 2000)

they may nevertheless be regarded as being independent of each other if they comply with subsection (3).

An investment manager, or a delegate of an investment manager, and the approved trustee, or the custodian of the scheme assets or the delegate of the custodian of the scheme assets, comply with this subsection if— (L.N. 223 of 2000)

The approved trustee of a registered scheme must ensure that there is in force between the trustee and the investment manager appointed in respect of the scheme an investment management contract that specifies the obligations of that manager with respect to the investment of funds of the scheme.

The contract must comply with Schedule 2.

The approved trustee of a registered scheme must not appoint an investment manager in respect of the scheme unless—

Despite anything in the governing rules of the scheme, any provision of an investment management contract relating to the scheme that purports to exempt the investment manager from liability for negligence or fraud, or to limit that liability, is void.

An investment management contract may permit the investment manager to engage an associate of that manager or an associate of the approved trustee as an agent for the purpose of acquiring or disposing of securities for or in relation to the scheme, but, if it does so, the contract must provide that no more than half of the total value of the commissions or other agency rewards paid for those transactions is to be paid to the associate, or the associate together with other associates of that manager or associates of the approved trustee, during a financial period of the scheme. (L.N. 223 of 2000)

The approved trustee of a registered scheme must ensure that any investment manager appointed in respect of the scheme, and any delegate of that manager, act in the interests of the scheme members and do not collude with other persons as regards any transaction relating to the investment of the funds for the scheme.

The trustee must ensure that, if a transaction involving the acquisition of an asset for or in relation to the scheme is entered into between relevant persons, the consideration to be paid for the asset is not greater than the prevailing market price.

The trustee must ensure that, if a transaction involving the disposal or lending of an asset for or in relation to the scheme is entered into between relevant persons, the consideration to be paid for the asset is not less than the prevailing market price.

For the purposes of subsections (2) and (3), the following persons are relevant persons—

The trustee must also ensure that service providers appointed or engaged for the purposes of the scheme and their associates do not retain any payment or benefit from a third party, either directly or indirectly, derived from the acquisition or disposal or lending of scheme assets.

Subsection (5) does not prevent the third party from providing the service providers and their associates with goods or services that are of demonstrable benefit to the scheme or scheme members.

The trustee must also ensure that—

Subject to subsection (2), the approved trustee of a registered scheme must—

The trustee is not required to comply with subsection (1) if the trustee is an eligible person. In that case, the trustee may undertake the functions of custodian of the scheme assets itself.

If the trustee appoints a custodian in respect of the scheme, it must enter into a custodial agreement with the custodian setting out the functions of the custodian with respect to the scheme’s assets. The agreement must comply with the requirements with respect to custodial agreements in Part 6.

For the purposes of this section, a person is an eligible person if the person satisfies the eligibility requirements for a custodian of scheme assets specified in Part 6.

The approved trustee of a registered scheme must ensure that the funds of the scheme are not applied for the purpose of entering into a repurchase agreement unless the agreement is entered into by the custodian of the scheme assets.

If the authority to enter into repurchase agreements in respect of a registered scheme is to be delegated to a custodian appointed in respect of the scheme, that authority must be included in the custodial agreement entered into with the custodian in accordance with section 50.

The trustee must ensure that, in relation to each constituent fund of the scheme—

The trustee must ensure that the scheme assets are not the subject of a reverse repurchase agreement.

For the purposes of this section—

The approved trustee of a registered scheme must ensure that no securities held in respect of the scheme are lent (whether with or without consideration) except in accordance with an agreement entered into by the custodian of the scheme assets and the borrower of the securities.

If the authority to enter into security lending agreements in respect of a registered scheme is to be delegated to a custodian appointed in respect of the scheme, that authority must be included in the custodial agreement entered into with the custodian in accordance with section 50.

The trustee must ensure that, in relation to each constituent fund of the scheme—

For the purposes of this section, a security lending agreement is an agreement under which one party to the agreement agrees to lend a security to another party to the agreement in consideration for the payment of a fee and a collateral security.

The approved trustee of a registered scheme must ensure that the funds of the scheme are not applied for the acquisition of financial futures contracts or financial option contracts, unless there is established and maintained in respect of the scheme an effective system for monitoring the risks inherent in dealing in contracts of those kinds.

If financial futures contracts or financial option contracts are acquired for the purposes of the scheme and an investment manager has been appointed in respect of the scheme, the trustee must ensure that the investment manager, and, where the investment manager has delegated any of that manager’s functions, the delegate, provide written reports to the trustee at regular intervals with respect to the performance of those contracts. Those reports must include particulars as to the extent to which the funds of the scheme are exposed to the risk of incurring losses because of the holding of those contracts.

The approved trustee of a registered scheme must ensure that, within 60 days after a person becomes a scheme member, the person is provided with a document containing information relating to the scheme.

The document must—

(Repealed 40 of 2021 s. 53)

The approved trustee of a registered scheme must ensure that— (40 of 2021 s. 54)

If a financial period of a registered scheme is extended to more than 12 months, the approved trustee of the scheme must also ensure that within 3 months after the end of the first 12 months of the financial period, each scheme member is provided with a benefit statement setting out the member’s position with respect to the scheme as at the end of that first 12-month period (first 12-month period).

A scheme member’s benefit statement must—

Without affecting subsection (3), a benefit statement required to be provided under subsection (1)(a) to a member of a registered scheme for a financial period of the scheme must also—

An estimate required to be given under subsection (3)(faa) or (faab) or (3AA)(b) is to be—

An estimate required to be given under subsection (3)(faac) is to be—

For the purposes of subsection (3)(b), (c) and (f), the benefit statement of a scheme member with a TVC account must provide separate information with respect to—

The name of the member may be printed on the benefit statement in either the Chinese language or the English language, unless the member, by written notice, requires the trustee to print that name in both of those languages.

If voluntary contributions to a registered scheme are paid by or in respect of a scheme member, subsection (3) is not complied with unless, in relation to the matters referred to in paragraphs (b), (c), (d), (e), (f) and (fa) of that subsection, the statement provides separate information with respect to— (1 of 2008 s. 50; 40 of 2021 s. 54)

(Repealed 40 of 2021 s. 54)

The approved trustee of a registered scheme is not required to comply with subsection (1) or (2) in relation to a person who has ceased to be a scheme member during the period specified in subsection (8) and whose accrued benefits have been transferred to another registered scheme in accordance with Part 12 of this Regulation or have been paid in accordance with section 15 of the Ordinance.

The period specified for subsection (7) is—

Subsection (3)(faa), (faab) and (faac) only applies to a benefit statement that sets out a scheme member’s position as at the end of a financial period, or the first 12 months of a financial period, of the registered scheme that begins on or after the commencement of section 19S of the Ordinance. (40 of 2021 s. 54)

Subsection (3AA) only applies to a benefit statement that sets out a scheme member’s position as at the end of a financial period of the registered scheme that begins on or after the commencement mentioned in subsection (9). (40 of 2021 s. 54)

For a scheme member’s benefit statement that relates to a financial period mentioned in subsection (10)—

In this section—

The approved trustee of a registered scheme must, as far as reasonably practicable, provide all assistance necessary to ensure that scheme members and participating employers are able to participate effectively in the operation of the scheme.

For the purposes of subsection (1), the trustee may designate a person as a scheme contact person, either by name or by reference to the person’s position or job description, and specify the means by which the person can be contacted.

The assistance referred to in subsection (1) means assistance—

As soon as practicable and in any case not later than 7 days after a change occurs to the business name, address, telephone number or facsimile number of the approved trustee of a registered scheme, the trustee must, by written notice, inform the scheme members and participating employers of the change.

(Repealed 40 of 2021 s. 56)

As soon as practicable after a natural person who is an approved trustee of a registered scheme becomes aware of any matter that gives rise or is likely to give rise—

the person must disclose the matter by giving written notice of the matter to each of the other persons who are approved trustees of the scheme.

As soon as practicable after a person who is an officer of a company that is an approved trustee of a registered scheme becomes aware of any matter that gives rise or is likely to give rise—

the person must disclose the matter by giving written notice of the matter to the company and to each of the other officers of the company and, if the trustee includes natural person, to each of those persons.

An approved trustee to or in relation to which a disclosure is made under this section must—

A failure to comply with this section does not invalidate any decision of the approved trustee concerned.

This section does not apply to or in respect of an interest of a person in a matter or thing which arises merely because the person is a contributor to a provident fund scheme.

If a person has disclosed the nature of a conflict of interest concerning a matter in accordance with subsection (1), the person must not, unless the other trustees agree—

If an officer of a company has disclosed the nature of a conflict of interest concerning a matter in accordance with subsection (2), the officer must not, unless the directors of the company agree—

For the purposes of this section, a person has a personal interest in a matter if, because of the matter or circumstances relating to the matter—

If the approved trustee of a registered scheme becomes aware of the occurrence of an event of significant nature, the trustee must—

The reference in subsection (1) to an event of significant nature includes (but is not limited to) the following—

For the purposes of subsection (2)(b)(ii), the matters to be specified are—

For the purposes of subsection (2)(b)(iii), the matters to be specified are—

Subject to subsection (2A), an approved trustee of a registered scheme must notify the Authority in writing of any amendment proposed to be made to the governing rules of the scheme and lodge with the Authority a copy of the proposed amendment.

Subject to subsection (2A), an amendment to the governing rules of the scheme does not take effect until the Authority has given written notice to the trustee that the Authority has approved it.

In respect of an amendment proposed to be made or made to the governing rules in respect of or by a participation agreement of a registered scheme—

In this section, a reference to an amendment to the governing rules of a registered scheme includes a reference to addition of new provisions, or substitution or omission of existing provisions, of those rules.

(2 of 2002 s. 21)

An approved trustee of a registered scheme must notify the Authority in writing of any amendment proposed to be made to the offering document of the scheme and lodge with the Authority a copy of the proposed amendment.

Any amendment to the offering document of the scheme shall not be made available to scheme members, prospective scheme members, participating employers or prospective participating employers until the Authority has given written notice to the trustee that the Authority has approved it.

In this section, a reference to an amendment to the offering document of a registered scheme includes a reference to addition of new provisions, or substitution or omission of existing provisions, of the document.

(2 of 2002 s. 21)

The approved trustee of a registered scheme must ensure that the scheme assets—

Subsection (1) has effect irrespective of whether or not the trustee has appointed a custodian or other service provider to perform functions with respect to the scheme assets.

The trustee must also ensure that the scheme assets are separately recorded in the records required to be kept in respect of the scheme and, in particular, are distinguished—

The approved trustee of a registered scheme must ensure that the scheme assets are not subject to any encumbrance, other than an encumbrance to which this subsection does not apply.

Subsection (1) does not apply to an encumbrance that—

Any encumbrance created over scheme assets of a registered scheme is void to the extent that it is inconsistent with subsection (2).

For the avoidance of doubt, it is hereby declared that any encumbrance created over the scheme assets of a registered scheme that is, at the time of creation, consistent with the exception under subsection (2) shall remain valid throughout the period for which the borrowing concerned remains outstanding. (L.N. 222 of 2000; L.N. 223 of 2000)

Subject to this Regulation and section 34DD of the Ordinance, the approved trustee of a registered scheme may periodically deduct from each scheme member’s account with the scheme fees for administrative expenses. (9 of 2016 s. 20; 40 of 2021 s. 58)

Subsection (1) applies subject to sections 19U and 19Z of the Ordinance. (40 of 2021 s. 58)

Subsection (2) applies if—

The employee must be given a notice of participation that complies with section 31(4A) within the 60-day period.

Subsection (2) does not apply in relation to a casual employee who is a member of an industry scheme.

In this section—

The approved trustee of a registered scheme must ensure that—

The approved trustee of a registered scheme must ensure that the accounting records of the scheme are kept in writing in either the Chinese language or the English language or, if not kept in either of those languages, in a form that is readily accessible and readily convertible to writing in either of those languages.

The approved trustee of a registered scheme must ensure that the accounting records of the scheme are kept at a place or places so that those records can be readily accessible in Hong Kong for the purpose of enabling the Authority to discharge its duties from time to time.

The approved trustee of a registered scheme must ensure that, at all reasonable times and without charge, the accounting records of the scheme are made available for inspection by the Authority, either in writing in the Chinese language or the English language or in a form readily convertible to writing in either of those languages.

An approved trustee of a registered scheme must ensure that, as part of its accounting records, a separate account is established and maintained for each scheme member specifying the member’s accrued benefits.

The trustee must ensure that a scheme member’s accrued benefits specified in the member’s account reflect the difference between—

The items referred to in subsection (2)(a) are as follows—

The items referred to in subsection (2)(b) are as follows—

The trustee must ensure that each member’s account is kept in such a manner that the market value of the accrued benefits of a member can be ascertained at least once each month.

In the case of a scheme member who is a relevant employee of a participating employer, the trustee must arrange for the member’s contribution account to be divided into the following sub-accounts—

Where section 12A(6A) and (6B) of the Ordinance is applicable in the case of an employer and an employee, then, for the purposes of that case—

In the case of a scheme member who is a self-employed person, the trustee must arrange for the member’s contribution account to be divided into the following sub-accounts—

In the case of a scheme member who holds a personal account in the scheme, the trustee must arrange for the member’s personal account to be divided into the following sub-accounts— (11 of 2009 s. 14)

In the case of a scheme member who holds a TVC account in the scheme, the trustee must arrange for the account to specify—

The trustee must ensure that each member’s account is kept in such a manner that the amounts relating to a scheme member’s account are recorded in the appropriate sub-accounts of that account.

For the avoidance of doubt, it is hereby declared that this section does not operate to require the trustee to divide a member’s sub-account into any further sub-accounts. (2 of 2002 s. 21)

Except as provided by subsection (2), the approved trustee of a registered scheme must ensure that the first financial period of the scheme is the period beginning with the date on which the scheme was registered under section 21 or 21A of the Ordinance and ending on a date determined by the trustee. The date so determined must be a date not more than 12 months from the date of registration of the scheme or such later date as the approved trustee, with the prior approval of the Authority, so determines. (29 of 2002 s. 14)

If the scheme was, immediately before it became registered under the Ordinance, an occupational retirement scheme registered under the Occupational Retirement Schemes Ordinance (Cap. 426)—

The trustee must ensure that every subsequent financial period of the scheme is to be—

The approved trustee of a registered scheme may, with the prior approval of the Authority, determine a different date for the end of the financial period of the scheme.

As soon as practicable after becoming the approved trustee of a registered scheme, the trustee must prepare a statement of accounting policies specifying the accounting policies to be followed in preparing financial statements for the scheme under section 81.

The statement must specify the basis on which the assets of the registered scheme are valued or are to be valued and the basis on which amounts are or are to be regarded as income from the investment of those assets.

The trustee may, from time to time, substitute for a statement of accounting policies a new statement of accounting policies or vary a statement so prepared or substituted.

The approved trustee of a registered scheme must, before the deadline after a financial period of the scheme, cause to be made out a balance sheet as at the last day of the period that gives a true and fair view of the financial position of the scheme on that day. The balance sheet must specify the assets and liabilities of the scheme on that day. Obligations in respect of benefits that will become payable to scheme members after that day are not to be regarded as liabilities for that purpose.

The trustee must also, before that deadline, cause to be made out a statement of account for the relevant financial period that gives a true and fair view of the scheme’s financial transactions for that period. The statement must specify—

during the financial period.

Before preparing the relevant financial statements, the trustee must take reasonable steps—

If the financial statements relating to a registered scheme made out in accordance with this section would not otherwise give a true and fair view of the financial position and transactions of the scheme, the trustee must add such information and explanations as will give a true and fair view of the financial position and transactions.

The trustee must ensure that a statement of the accounting policies followed in preparing the financial statements is included in or attached to the statements.

If the financial statements for a registered scheme purport to be prepared in accordance with the applicable accounting guideline, the approved trustee of the scheme must ensure that those statements include a declaration to that effect.

If the financial statements relating to the scheme do not purport to be prepared in accordance with the applicable accounting guideline in any material respect, the trustee must ensure that those statements include a declaration to that effect. The declaration must specify in what respect those statements depart from that guideline.

The approved trustee of a registered scheme must, for each financial period of the scheme, ensure that a scheme report is prepared for the scheme in accordance with this section.

The scheme report must include the following information—

The scheme report must also—

The approved trustee of a registered scheme must, for each financial period of the scheme, ensure that an investment report is prepared for the scheme in accordance with this section.

The investment report must also include the following information—

The information referred to in subsection (2) must be adequate to ensure that scheme members are provided with a proper understanding of—

As soon as practicable after the scheme report and investment report have been prepared for a financial period of a registered scheme, the approved trustee of the scheme must publish a consolidated report consisting of the following—

A consolidated report may include such other information relating to the scheme and its administration as the trustee considers appropriate.

The consolidated report must be printed in a Chinese language version and an English language version.

A scheme member may request the approved trustee of the scheme for a copy of the consolidated report published by the trustee in respect of the scheme for any specified financial period within 7 years preceding the date of the request. The copy must be in either the Chinese language or the English language, according to the member’s election as specified in the request.

As soon as practicable after receiving a request under subsection (1), the trustee must arrange to give to the scheme member who made the request a copy of the consolidated report requested by that member.

The approved trustee of a registered scheme must ensure that a register of scheme members is established and kept in accordance with this section.

The register must specify the name of each scheme member, the member’s residential address, the member’s date of birth and whether the scheme member is a self-employed person or a relevant employee of a participating employer and, if the member is such an employee, the name and business address of the employer.

The register may also specify in relation to a scheme member such other particulars as the trustee thinks appropriate.

The approved trustee of a registered scheme must ensure that all records in respect of the management of the scheme (other than accounting records) are so kept as will correctly record and explain the operation of the scheme.

The provisions in section 77(2) to (4) apply to those records as if they were accounting records.

The approved trustee of a registered scheme must ensure that the scheme’s financial statements for a financial period are audited as required by this Part before the deadline after that period.

An approved trustee who fails to take all reasonable steps to comply with, or to secure compliance with, this section commits an offence and is liable on conviction to a fine at level 5.

Within 3 months after the day on which a provident fund scheme is registered under section 21 or 21A of the Ordinance, or within such extended period as the Authority allows, the approved trustee of the scheme must appoint at least 1 person as auditor of the scheme.

An auditor of a registered scheme appointed under this section holds office until—

Within 30 days after a vacancy occurs in the office of auditor of a registered scheme, or within such extended period as the Authority allows, the trustee must, if there is no surviving or continuing auditor of the scheme, appoint another auditor to fill the vacancy.

While a vacancy in the office of auditor of the scheme continues, the surviving or continuing auditor (if any) of the scheme may act.

The trustee must appoint as auditor of the scheme only a person who—

If the trustee appoints an auditor of the scheme in contravention of subsection (5), the purported appointment has no effect.

An approved trustee who fails to take all reasonable steps to comply with a requirement of this section commits an offence and is liable on conviction to a fine at level 5.

An approved trustee of a registered scheme who fails to appoint an auditor of the scheme as required by section 96 must notify the Authority in writing within 7 days after the day by which the appointment was required to be made.

At any time before the end of the period within which a trustee is required to appoint an auditor under section 96, the trustee may apply in writing to the Authority to extend that period on the grounds that the trustee claims to be unable to comply with the requirement within that period.

On receiving an application under subsection (2), the Authority may extend the period for appointment of an auditor of the scheme for a further period not exceeding 30 days, but only if satisfied that the trustee’s claim is justified.

On becoming aware that the approved trustee of a registered scheme has failed to appoint an auditor of the scheme as required by section 96 (whether as a result of the receipt of a notice under subsection (1) or not), the Authority may—

The approved trustee of the scheme concerned is required to pay the fees referred to in subsection (4)(b) in accordance with section 101.

An approved trustee who fails to take all reasonable steps to comply with a requirement of this section commits an offence and is liable on conviction to a fine at level 5.

Subject to subsections (5), (7) and (8), a person is qualified to be an auditor of registered schemes if the person is—

A person must not—

unless the person is qualified to be an auditor of registered schemes.

Subsection (2) does not prevent a person who is not qualified as an auditor from participating in the preparation of a report required by this Regulation so long as the person is under the supervision of a person who is so qualified.

A firm must not—

unless at least one of the partners of the firm is a person qualified to be an auditor of registered schemes.

If the approved trustee of a registered scheme is a company, a person is not qualified to be auditor of the scheme if the person—

If the approved trustee of a registered scheme is a company, then, for the purposes of this section, a person is taken to be a controller of the trustee if the person is a controller of a company that is an associate of the trustee.

If the approved trustee of a registered scheme consists of trustees all of whom are natural persons, a person is not qualified to be auditor of the scheme if the person is a partner, employer or employee of any of those persons.

If the approved trustee of a registered scheme consists of trustees one or more of whom is a company and the remainder are natural persons, a person is not qualified to be auditor of the scheme if the person—

For the purposes of this section, a person is not a controller of an approved trustee that is a company only because the person is a liquidator of the company or of an associated company. (1 of 2008 s. 54)

If a person who is the auditor of a registered scheme knowingly disqualifies himself, herself or itself from acting as auditor of the scheme while the appointment continues, that person must immediately resign from the office of auditor of the scheme in accordance with section 99(4). The notice must be given within 7 days after the disqualification.

If a partner of a firm that is appointed auditor of a registered scheme knowingly disqualifies the firm from acting as auditor of the scheme while the appointment continues, that partner must immediately cause the firm to resign from the office of auditor of the scheme in accordance with section 99(4). The notice must be given within 7 days after the disqualification.

A person who, without reasonable excuse, fails to comply with this section commits an offence and is liable on conviction to a fine at level 5.

The approved trustee of a registered scheme may, subject to subsection (2), remove an auditor of the scheme from office.

The removal of an auditor of a registered scheme by the approved trustee of the scheme has effect only if the trustee, within 2 specified working days after the removal— (9 of 2016 s. 22)

An auditor must, within 2 specified working days after receiving a copy of the notice, inform the Authority, by written notice, of the reasons as to why, in the auditor’s opinion, the auditor was removed from office. (9 of 2016 s. 22)

An auditor of a registered scheme may, by written notice given to the approved trustee of the scheme, resign as auditor of the scheme.

If an auditor of a registered scheme who has been appointed for a specified period does not wish to seek reappointment for a further period, the auditor must, by written notice given to the approved trustee of the scheme, inform the trustee of the auditor’s wish not to be reappointed.

A notice given for the purposes of subsection (4) or (5) must include or be accompanied by—

If a notice given for the purposes of subsection (4) or (5) includes a statement of the kind referred to in subsection (6)(a), the trustee must, within 7 specified working days after receiving the notice, give the Authority a copy of the notice. (9 of 2016 s. 22)

If a notice given for the purposes of subsection (4) or (5) includes a statement of the kind referred to in subsection (6)(b), the auditor must, within 2 specified working days after giving the notice to the trustee, give the Authority a copy of the notice. (9 of 2016 s. 22)

If, on the retirement or withdrawal of a partner from the firm, the firm would no longer be capable of acting as auditor of a registered scheme because of section 98(4), the firm must resign from office by written notice given to the approved trustee of the scheme in accordance with subsection (4). The notice must be given within 7 days after the retirement or withdrawal of the partner from the firm.

The auditor of a registered scheme must report to the approved trustee of the scheme on the financial statements of the scheme and on the scheme’s accounting records and other records relating to the scheme. The report must be given to the trustee within sufficient time to enable the trustee to comply with section 110.

An auditor must, in a report under this section—

The intervening period between the 2 dates referred to in subsection (2)(d)(ii) or (e)(ii) must be not less than 3 months or, if the Authority has in a particular case allowed a shorter period, not less than that period. (9 of 2016 s. 23)

The auditor may include in the auditor’s report such explanations and qualifications as the auditor thinks relevant.

The auditor’s report must be attached to, or endorsed on, the financial statements.

If, in the course of performing the auditor’s duties under this Part, the auditor of a registered scheme—

except as permitted by subsection (4), it is the duty of the auditor to report the matter immediately to the Authority by written notice.

The auditor is not required to comply with subsection (1) with respect to a payment referred to in paragraph (d) of that subsection if the trustee has fully reimbursed the scheme as soon as practicable after the payment was brought to the trustee’s notice.

The circumstances referred to in subsection (1)(e) arise when a custodian of the scheme assets—

Before reporting a matter to the Authority in accordance with subsection (1), the auditor may, by written notice given to the trustee—

The auditor is not required to report the matter to the Authority if the trustee complies with the request and requirement in the notice.

The auditor must not give a notice under subsection (4)—

If, on receiving a report made under section 103 or otherwise becoming aware of a matter referred to in that section, the Authority is of the opinion that the matter is capable of being rectified, the Authority may, by written notice given to the trustee concerned, direct the trustee to rectify the matter at the trustee’s own expense within such period as is specified in the notice.

As soon as practicable after giving a direction under subsection (1), the Authority must—

An approved trustee who, without reasonable excuse, fails to comply with a direction given by the Authority under subsection (1) commits an offence and is liable on conviction to a fine at level 6.

It is the duty of an auditor to comply with a request made to the auditor in accordance with subsection (2).

In performing a duty under this Part or Part 9, the auditor of a registered scheme must form an opinion as to whether the auditor has obtained all the information and explanations that the auditor has required.

When forming an opinion for the purposes of making a report under section 102 or 103, the auditor may treat—

as conclusive evidence as to the amount of the member’s relevant income.

This section applies to the following persons—

A person to whom this section applies—

A person to whom this section applies who, without reasonable excuse, contravenes subsection (2) commits an offence and is liable on conviction to a fine at level 6 and to imprisonment for 12 months.

If the approved trustee of a registered scheme is or includes a company, the company must, within 6 months after each relevant period, lodge with the Authority for that period a trustee’s return that complies with this section.

If the approved trustee consists of or includes natural persons, each of those persons must, within 6 months after each relevant period, lodge with the Authority for that period a trustee’s return that complies with this section.

For the purposes of this section, the relevant period is—

A nomination referred to in subsection (3)(b) may be varied in respect of a later relevant period only with the consent of the Authority.

A trustee’s return must include—

The following are the particulars referred to in subsection (5)(a)—

If the trustee is or includes a company, the trustee must attach to the return the following documents—

If the trustee is a natural person, the person must attach to the return—

A trustee’s return must be signed—

For the purposes of section 22A(1) of the Ordinance, the date is the deadline after each financial period relating to the registered scheme concerned.

The following information is the information that must be included in the annual statement required to be lodged under section 22A of the Ordinance—

The following documents are documents that must accompany the annual statement required to be lodged under section 22A of the Ordinance—

The annual statement must be signed—

For the purposes of sections 112, 113 and 116—

A nomination referred to in subsection (1)(b) may be varied in respect of a later relevant period only with the consent of the Authority.

The approved trustee of a registered scheme must, before the deadline after each relevant period, lodge with the Authority for that period a report specifying—

If the trustee is the approved trustee of 2 or more registered schemes and the control objectives and procedures and internal control measures for those schemes are the same for each scheme, the trustee may lodge a single report in respect of all of the schemes.

A report lodged under this section must be accompanied by an auditor’s report prepared in accordance with section 113.

The report must be signed—

The approved trustee of an employed sponsored scheme is not required to comply with this section during a relevant period if—

The Authority may grant the approved trustee of an employer sponsored scheme an exemption for the purposes of subsection (5) if satisfied that—

As soon as practicable after preparing a report for the purposes of section 112, the approved trustee of the scheme or schemes concerned must submit the report to—

The approved trustee must allow the auditor sufficient time to comply with the requirements in subsections (3) and (6).

On receiving the report, the auditor must review the report and report in writing to the trustee on the review in accordance with subsections (4) and (5).

The auditor’s report on the review must state the auditor’s opinion as to—

The auditor’s report must also—

The auditor must ensure that the auditor’s report prepared under this section is given to the trustee concerned in sufficient time to enable the trustee to comply with section 112(1).

In the case of an approved trustee that is or includes a company, the company must, within 6 months after the end of each financial year of the company, lodge with the Authority a report. The report must state—

The report must be accompanied by a report by the auditor of the company that has been prepared in accordance with section 115.

The report must be signed by at least 2 directors of the company.

As soon as practicable after a company has prepared a report for the purposes of section 114, the company must submit the report to its auditor.

The company must allow the auditor sufficient time to comply with the requirements in subsections (3) and (5).

On receiving the report, the auditor must review the report and report in writing on the review to the company. The auditor’s report must state—

The intervening period between the 2 dates referred to in subsection (3)(a)(ii) must be not less than 3 months or, if the Authority has in a particular case allowed a shorter period, not less than that period.

The auditor must ensure that the auditor’s report prepared under this section is given to the company in sufficient time to enable it to comply with section 114(1).

For the purposes of this section, the auditor of a company to which this section applies is entitled—

A company to which this section applies must take all reasonable steps to ensure that—

A company that, without reasonable excuse, fails to comply with subsection (7) commits an offence and is liable on conviction to a fine at level 6.

If the Authority—

the Authority may, by written notice given to the company, direct it to rectify the matter within such period as is specified in the notice.

If the Authority—

the Authority may, by written notice given to the approved trustee of the scheme, direct the trustee to rectify the matter within such period as is specified in the notice.

If the Authority—

the Authority may, by written notice given to the company, direct it to rectify the matter within such period as is specified in the notice.

As soon as practicable after giving a direction under this section to rectify a matter, the Authority must—

A company that is or is included in an approved trustee that, without reasonable excuse, fails to comply with a direction given under subsection (1) or (3) commits an offence and is liable on conviction to a fine at level 6.

An approved trustee who, without reasonable excuse, fails to comply with a direction given under subsection (2) commits an offence and is liable on conviction to a fine at level 6.

It is the duty of an auditor to comply with a request made to the auditor in accordance with subsection (4).

The limitations and prohibitions set out in this section are the limitations and prohibitions with which the approved trustee of an employer sponsored scheme must comply for the purposes of section 29 of the Ordinance.

Not more than 10 per cent of the total assets of each constituent fund of an employer sponsored scheme, as determined by reference to their market value, may consist of restricted securities.

Subsection (2) does not apply to—

A loan, other than a loan made by way of a deposit with an authorized financial institution, may not be made from the assets of a constituent fund.

In this section—

In this Part—

In this Part—

If accrued benefits of an employee are held in a contribution account in an employer sponsored scheme and the employee ceases to be employed by the participating employer concerned in the scheme, the employee must, subject to subsection (2), elect to have those benefits transferred to—

If an employee who is a member of an employer sponsored scheme ceases to be employed by the participating employer concerned in the scheme and subsequently becomes employed by another employer, the employee may, instead of making an election under subsection (1), elect to have the employee’s accrued benefits in the scheme transferred to the contribution account in the registered scheme in which the new employer is participating in relation to that employee.

An election under subsection (1) is effective when written notice of the election is given to the transferee trustee concerned.

An election under subsection (2) is effective when written notice of the election is given to the transferee trustee concerned or to the employee’s new employer.

As soon as practicable after the new employer has received a notice of election given under subsection (4), that employer must give written notice of the election to the transferee trustee concerned.

The former employer must, by written notice given within 30 days after the cessation of employment of the casual employee concerned, inform the approved trustee of the employer sponsored scheme concerned— (29 of 2002 s. 14)

Subsection (6) is taken to have been complied with if—

The former employer must in respect of a relevant employee (other than a casual employee)—

inform the approved trustee—

If—

the approved trustee may accept a written notice given by the employee concerned as evidence of the employee’s cessation of employment and the date of cessation. (1 of 2008 s. 24)

The notice referred to in subsection (7B) must be given by way of a statutory declaration in a form approved by the Authority. (1 of 2008 s. 24)

If an employee fails to notify an election in accordance with this section within 3 months after the approved trustee of the employer sponsored scheme concerned has been notified, by the employee’s former employer or by the employee, that the employee has ceased to be employed by the former employer— (1 of 2008 s. 24)

This section shall not apply to or in relation to an election mentioned in section 12A(6A) and (6B) of the Ordinance or any concomitant transfer of the accrued benefits of an employee. (29 of 2002 s. 14)

Subsection (2) applies in relation to accrued benefits in an employer sponsored scheme.

If, after having taken the reasonable steps specified in the operating rules, the approved trustee of the scheme is unable to locate the person who is entitled to the accrued benefits, the trustee must, within the period specified in subsection (3), transfer the benefits to a master trust scheme nominated by the employer concerned or in accordance with the governing rules.

The period is the period of 6 months beginning on the date immediately after the date of completion of the reasonable steps mentioned in subsection (2).

If accrued benefits of an employee are held in a contribution account in a master trust scheme and the employee ceases to be employed by the participating employer concerned in the scheme, the employee may elect to have those benefits transferred to—

If accrued benefits of an employee are held in a contribution account in an industry scheme and the employee ceases to be employed by the participating employer concerned in the scheme, the employee may elect to have those benefits transferred to—

If an employee who is a member of a master trust scheme or an industry scheme ceases to be employed by the participating employer concerned in the scheme and subsequently becomes employed by another employer, the employee may also elect to have the employee’s accrued benefits in the scheme transferred to the contribution account in the registered scheme in which the new employer is participating in relation to that employee.

An election under subsection (1) is effective—

An election under subsection (2) is effective when written notice of the election is given to the transferee trustee concerned.

An election under subsection (3) is effective when written notice of the election is given to the transferee trustee concerned or to the employee’s new employer.

As soon as practicable after the new employer has received a notice of election given under subsection (6), that employer must give written notice of the election to the transferee trustee concerned.

The former employer must, by written notice given within 30 days after the cessation of employment of the casual employee concerned, inform the approved trustee of the registered scheme concerned— (29 of 2002 s. 14)

Subsection (8) is taken to have been complied with if—

The former employer must in respect of a relevant employee (other than a casual employee)—

inform the approved trustee—

If—

the approved trustee may accept a written notice given by the employee concerned as evidence of the employee’s cessation of employment and the date of cessation. (1 of 2008 s. 25)

The notice referred to in subsection (9B) must be given by way of a statutory declaration in a form approved by the Authority. (1 of 2008 s. 25)

If an employee fails to notify an election in accordance with this section within 3 months after the approved trustee of the registered scheme concerned has been notified, by the employee’s former employer or by the employee, that the employee has ceased to be employed by the former employer— (1 of 2008 s. 25)

This section does not apply to a casual employee who is a member of an industry scheme.

This section shall not apply to or in relation to an election mentioned in section 12A(6A) and (6B) of the Ordinance or any concomitant transfer of the accrued benefits of an employee. (29 of 2002 s. 14)

If accrued benefits of a casual employee are held in a contribution account in an industry scheme and the employee ceases to be employed by the participating employer concerned in the scheme, the employee may elect to have those benefits transferred to—

If a casual employee who is a member of an industry scheme ceases to be employed by the participating employer concerned in the scheme and subsequently becomes employed by another employer, the employee may also elect to have the employee’s accrued benefits in the scheme transferred to the contribution account in the registered scheme in which the new employer is participating in relation to that employee, but only if that registered scheme is not the industry scheme in which those benefits are currently held.

An election under subsection (1) is effective when written notice of the election is given to the transferee trustee concerned.

An election under subsection (2) is effective when written notice of the election is given to the transferee trustee concerned or to the employee’s new employer.

As soon as practicable after the new employer has received a notice of election given under subsection (4), that employer must give written notice of the election to the transferee trustee concerned.

A casual employee who fails to make an election under this section is taken to have elected not to have the employee’s accrued benefits held in the contribution account concerned in the industry scheme transferred under this section but to retain the benefits in that account.

If accrued benefits of a self-employed person are held in a contribution account in a master trust scheme, the person may, at any time, elect to have those benefits transferred to—

If accrued benefits of a self-employed person are held in a contribution account in an industry scheme, the person may, at any time, elect to have those benefits transferred to—

If a self-employed person who is a member of a master trust scheme or an industry scheme subsequently becomes employed by an employer, the person may also elect to have the person’s accrued benefits in the scheme transferred to the contribution account in the registered scheme in which the employer is participating in relation to the person.

An election under subsection (1) or (2) is effective when written notice of the election is given to the transferee trustee concerned.

An election under subsection (3) is effective when written notice of the election is given to the transferee trustee concerned or to the person’s employer.

As soon as practicable after the employer has received a notice of election given under subsection (5), that employer must give written notice of the election to the transferee trustee concerned.

If a self-employed person who is a member of a master trust scheme ceases to be self-employed, the person must, by written notice given not later than the next contribution day for the person following the cessation, inform the approved trustee of the scheme—

If a self-employed person who is a member of a master trust scheme fails to notify an election in accordance with this section within 3 months after the approved trustee of the scheme concerned has been notified that the person has ceased to be self-employed—

This section does not apply to a case in which an employee has ceased to be employed as referred to in section 145, 146 or 147.

If accrued benefits of an employee are held in one or more than one sub-account referred to in section 78(6)(b) within a master trust scheme or an industry scheme, the employee may, at any time, subject to subsection (4), elect to have all accrued benefits in the sub-account, or in any one or more than one of those sub-accounts, transferred to—

If accrued benefits of an employee are held in one or more than one sub-account referred to in section 78(6)(b) within an employer sponsored scheme, the employee may, at any time, subject to subsection (4), elect to have all accrued benefits in the sub-account, or in any one or more than one of those sub-accounts, transferred to a personal account of the employee within a master trust scheme or an industry scheme, nominated by the employee.

An employee may make an election under subsection (2) or (3) in respect of the employee’s sub-account within a registered scheme (or if accrued benefits of the employee are held in more than one such sub-account, whether or not within the same registered scheme, in respect of each of those sub-accounts)—

An election under subsection (2) or (3) is effective—

This section does not apply to a case in which an employee has ceased to be employed as referred to in section 145, 146 or 147.

If accrued benefits of an employee are held in one or more than one sub-account referred to in section 78(6)(c) within a master trust scheme or an industry scheme, the employee may, at any time, elect to have all accrued benefits in the sub-account, or in any one or more than one of those sub-accounts, transferred to—

If accrued benefits of an employee are held in one or more than one sub-account referred to in section 78(6)(c) within an employer sponsored scheme, the employee may, at any time, elect to have all accrued benefits in the sub-account, or in any one or more than one of those sub-accounts, transferred to—

An election under subsection (2) or (3) is effective—

If accrued benefits of a member of a master trust scheme or an industry scheme are held in one or more than one personal account of the member within the scheme, the member may, at any time, elect to have all accrued benefits in the account, or in any one or more than one of those accounts, transferred to—

An election under subsection (1) is effective—

If a scheme member holds a TVC account in a registered scheme, the member may, at any time, elect to have all accrued benefits in the account transferred to another TVC account of the member in another registered scheme which the member is eligible to join.

An election under subsection (1) is effective when written notice of the election is given to the transferee trustee.

Subsection (2) applies if—

The member must, when the member ceases to be employed by the participating employer, elect to have all accrued benefits in the TVC account transferred to another TVC account of the member in a master trust scheme or an industry scheme.

An election under subsection (2) is effective when written notice of the election is given to the transferee trustee.

If a member fails to notify an election in accordance with this section within 3 months after the approved trustee of the employer sponsored scheme concerned has been notified, by the member’s participating employer or by the member, that the member has ceased to be employed by the participating employer—

A transferee trustee must, as soon as practicable after being notified of an election made under this Part, give written notice of the election to the transferor trustee. For that purpose, the transferee trustee must complete the appropriate portions of the election form and serve the completed form on the transferor trustee.

For the purposes of subsection (1), the completed form must be served by the transferee trustee on the transferor trustee in the form of an electronic record to an electronic system designated under section 6KA(1) of the Ordinance for use for the purposes of subsection (1) except where—

A fee of the amount prescribed by the regulations is payable for use of the electronic system for the purposes of subsection (1). (16 of 2012 s. 25)

Subsection (1A) does not apply if—

For the purposes of subsection (1A)—

Within 30 days after being notified of an election as referred to in subsection (1), or if an election is made by an employee who ceases to be employed by the participating employer concerned in a registered scheme, within 30 days after the last contribution day in respect of the employment that has ceased, whichever is the later, the transferor trustee must take all practicable steps to ensure that all the accrued benefits concerned are transferred in accordance with the election.

A transferor trustee who is notified of an election under section 146(4)(a) or (10)(b), 148A(5)(a), 148B(4)(a) or (c) or 149(2)(a) or (c) must, within 30 days after being so notified, or if an election is made by an employee who ceases to be employed by the participating employer concerned in a registered scheme, within 30 days after the last contribution day in respect of the employment that has ceased, whichever is the later, arrange for the accrued benefits concerned to be transferred to a separate account within the same registered scheme in accordance with the election.

A transferor trustee who is taken to have been notified of an election under section 145(8)(b) must, within 30 days after the end of the period referred to in that section, arrange for the accrued benefits concerned to be transferred to the personal account referred to in section 145(8)(a). (11 of 2009 s. 19)

A transferor trustee who is taken by a particular date to have been notified of an election under section 149B(4)(b) must, within 30 days after that date, arrange for the accrued benefits concerned to be transferred to a TVC account referred to in section 149B(4)(a). (7 of 2019 s. 22)

A person who makes an election under this Part must give to the transferor trustee, and the transferee trustee (if any), such information as is requested by the trustee to enable the transfer to be made.

Subsections (2), (3) and (3A)— (11 of 2009 s. 19)

Subsection (3B) is subject to section 157. (7 of 2019 s. 22)

Subsection (3B) is not complied with unless all the accrued benefits concerned are transferred in accordance with the election. (7 of 2019 s. 22)

This section applies if a transferor trustee is notified of an election made under this Part or an election to transfer scheme assets and, at the time of the notification— (L.N. 223 of 2000; 40 of 2021 s. 83)

The Authority may, by written notice given to the transferor trustee, require the trustee not to give effect to the election. (40 of 2021 s. 83)

On receiving the notice given under subsection (1A), the transferor trustee must not give effect to the election until the Authority—

Within 30 days after the Authority has given its written consent for the transferor trustee to give effect to the election, or has notified the transferor trustee of the results of the valuation of the scheme assets, that trustee must take all reasonably practicable steps to ensure that all of the accrued benefits concerned are transferred in accordance with the election and the results of that valuation of the scheme assets.

The Authority must establish and maintain a register of members of registered schemes who have established and maintained personal accounts within master trust schemes or industry schemes for the purposes of enabling—

The register may be in the form determined by the Authority.

The register must, in relation to each member of a registered scheme who has established and maintained a personal account, specify—

If requested by—

the Authority must, as soon as reasonably practicable, provide, without charge, to the person who made the request any information contained in the register about the personal accounts (if any) established and maintained within any master trust scheme or industry scheme by the relevant person, the person who authorized the representative to make the request or the deceased person.

If the Authority considers appropriate, it may, on its own initiative, notify a member of a registered scheme in writing of any information contained in the register about the personal accounts (if any) established and maintained within any master trust scheme or industry scheme by the member.

In this Part— (1 of 2015 s. 39)

For the purposes of this Part, a member departs from Hong Kong permanently if the member departs from Hong Kong to reside elsewhere with no intention of returning for employment or to resettle in Hong Kong as a permanent resident. (1 of 2015 s. 39)

A member who has an illness that is likely to reduce the life expectancy of the member to 12 months or less has a terminal illness for the purposes of this Part. (1 of 2015 s. 39)

In this Part—

If the Authority is the administrator, a provision of this Part requiring the administrator to consult the Authority is to be construed as if the requirement has been omitted.