Morningstar has announced the winning funds and fund houses for its 2019 Hong Kong Fund Awards.
The annual Morningstar Hong Kong Fund Awards are designed to help investors identify the funds and fund houses that added the most value for investors within the context of their relevant peer group in 2018 and over longer time periods. Morningstar selects the winners using a quantitative methodology with a qualitative overlay that considers the one-, three-, and five-year performance history of all eligible funds, and adjusts returns for risk using Morningstar Risk, a measure that imposes a higher penalty for downside variation in a fund’s return than it does for upside volatility.
There has been a stronger focus on fees both from the regulator and market participants. A number of MPF providers have been voluntarily slashing management fees in 2018, including some of the biggest MPF sponsors in Hong Kong. Since 2018, we have assigned a 20% weighting factor for fee assessment in our overall evaluation, which takes each scheme’s average cost compared to its peers into consideration, to reflect the importance of fees when it comes to MPF scheme selection.
“Investing is not just an opportunity, but a responsibility. Through the years, we’ve expanded our presence in global markets where investors need an independent view they can trust,” said Nick Cheung, Chief Executive Officer for Morningstar in Asia. “It’s our honor to recognize outstanding achievements in investment management again this year through the Morningstar Awards.”
“A defining feature of this year’s winners was their ability to deliver excellent peer-relative returns over three- and five-year periods, while managing to help insulate investors from severe drawdowns during volatile market conditions in 2018,” said Wing Chan, Morningstar’s Director of Manager Research Practice, EMEA & Asia. “These funds have demonstrated their ability to earn strong returns over the long term without undue risk. We believe that taking a patient, long-term view to investing will help investors reach their financial goals.”
The winners of the 2019 Morningstar Hong Kong Fund Awards are:
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AWARDS: |
WINNERS: |
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Best Asia Bond Fund |
PineBridge Asian Bond Fund – Provident Fund Units |
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Best Asia-Pacific Equity Fund |
First State Asian Equity Plus Fund - Class I USD Acc |
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Best Global Equity Fund |
AB Low Volatility Equity Portfolio Class AD USD |
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Best Greater China Equity Fund |
Schroder ISF Greater China A1 Acc USD |
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Best Hong Kong Equity Fund |
First State Hong Kong Growth Fund – Class I USD Acc |
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FUND HOUSE AWARDS: |
WINNERS: |
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Best Equity Fund House |
T. Rowe Price |
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Best Fixed-Income Fund House |
Capital Group |
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MANDATORY PROVIDENT FUND (MPF) SCHEME AWARDS: |
WINNERS:
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Best MPF Scheme |
HSBC Mandatory Provident Fund – ValueChoice |
The finalists for the Best MPF Scheme award are Hang Seng Mandatory Provident Fund – ValueChoice and Fidelity Retirement Master Trust.
Notes:
The Morningstar fund category awards are based on Morningstar fund data as of 31 December 2018. The awards methodology emphasises the one-year period, but funds must also have delivered strong three- and five-year returns after adjusting for risk within the awards peer groups in order to obtain an award. For the full methodology, please click here.
View all Morningstar Hong Kong Fund Awards 2019 articles here.
