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MANULIFE GLOBAL SELECT (MPF) SCHEME
CONSOLIDATED REPORT
31 March2019
Building a better working world
MANULIFE GLOBAL SELECT (MPF) SCHEME
CONTENTS
Pages
SCHEME REPORT 1 - 6
INVESTMENT REPORT 7 - 71
INDEPENDENT AUDITOR'S REPORT 72 - 74
AUDITED FINANCIAL STATEMENTS
Master trust scheme
Statement of profit or loss and other comprehensive income 75
Statement of net assets available for benefits 76
Statement of changes in net assets available for benefits 77
Statement of cash flows 78
Constituent funds
Statement of profit or loss and other comprehensive income 79 - 86
Statement of net assets available for benefits 87 - 94
Statement of changes in net assets available for benefits 95 - 102
Statement of cash flows 103 - 110
Notes to financial statements 111 - 142
INFORMATION FOR THE SCHEME MEMBERS 143
INDEPENDENT AUDITOR'S ASSURANCE REPORT 144 - 146
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
DIRECTORS OF MANULIFE PROVIDENT FUNDS TRUST COMPANY LIMITED
Alan Taylor (Independent Director) (appointed on 22 August 2018)
22/F, Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
Alexander Lawrence Nutting
18/F, Manulife Tower
One Bay East
83 Hoi Bun Road
Kwun Tong, Kowloon
Hong Kong
Anthony Nigel Clifton Griffiths (Independent Director)
22/F, Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
Ke Wing Siu, Nigel
10/F, Lee Garden One
33 Hysan Avenue
Causeway Bay
Hong Kong
Lam Choi Wah, Shirley (resigned on 1 July 2018)
16/F, Lee Garden One
33 Hysan Avenue
Causeway Bay
Hong Kong
Leung Siu Mei, Ellen (appointed on 1 July 2018)
21/F, Tower A
Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
Luzia Rosa Hung (resigned on 1 July 2018)
21/F, Tower A
Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
DIRECTORS OF MANULIFE PROVIDENT FUNDS TRUST COMPANY LIMITED (continued)
Ng Ching Fat, Raymond (appointed on 1 July 2018)
21/F, Tower A
Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
MANAGEMENT AND ADMINISTRATION
Trustee and Manulife Provident Funds Trust Company Limited
Custodian: 22/F, Manulife Financial Centre
223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
Auditor: Ernst & Young
22/F, CITIC Tower
1 Tim Mei Avenue
Central, Hong Kong
Administrator of the Manulife (International) Limited
Scheme and MPF 22/F, Manulife Financial Centre
corporate intermediary: 223-231 Wai Yip Street
Kwun Tong, Kowloon
Hong Kong
Administrator of the HSBC Institutional Trust Services (Asia) Limited
Constituent Funds 1 Queen's Road, Central
of the Scheme: Hong Kong
Investment Manager*: Manulife Investment Management (Hong Kong) Limited
(Formerly known as "Manulife Asset Management (Hong Kong) Limited")
16/F, Lee Garden One
33 Hysan Avenue
Causeway Bay
Hong Kong
Principal Banks: The Hong Kong and Shanghai Banking Corporation Limited
Hong Kong Bank Main Building
1 Queen's Road, Central, Hong Kong
Citibank, N.A.
50/F Champion Tower, 3 Garden Road
Central, Hong Kong
Standard Chartered Bank Hong Kong
Standard Chartered Bank Building
4-4A Des Voeux Road, Central, Hong Kong
Manulife Provident Funds Trust Company Limited (the "Trustee") does not retain a regular external legal
adviser.
* Manulife Investment Management (Hong Kong) Limited ("MIMHK", formerly known as "Manulife Asset
Management (Hong Kong) Limited") is the Investment Manager of certain underlying investments of the
Manulife Global Select (MPF) Scheme. MIMHK is licensed with the Securities and Futures Commission
to carry out asset management activities in Hong Kong.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
Manulife Provident Funds Trust Company Limited ("MPFTC") is pleased to present the scheme report for
Manulife Global Select (MPF) Scheme (the "Scheme") together with its financial statements for the year
ended 31 March 2019.
The Scheme was constituted by a master trust deed dated 29 April 2000 which was amended through eleven
deeds of amendment dated 10 September 2001, 15 August 2002, 11 March 2003, 13 August 2003, 14
October 2004, 21 July 2005, 5 January 2006, 10 March 2008, 11 June 2009, 7 December 2010 and 13 March
2012. There were ten supplemental deeds dated 23 May 2003, 3 September 2012, 11 December 2013, 15
January 2014, 11 May 2015, 27 July 2015, 7 December 2015, 6 December 2016, 21 May 2018 and 1 April
2019. The offering document was updated according to the changes made to the deeds. The most updated
offering document for the scheme financial year ended 31 March 2019 was dated 1 April 2017 with its first
addendum and second addendum dated 25 May 2018 and 18 February 2019 respectively. Subsequent to the
financial year ended of 31 March 2019, the offering document has a third addendum dated 1 April 2019.
The Scheme is a master trust scheme which consists of twenty-nine constituent funds. Each constituent fund
has been structured as a feeder fund, the assets of which are invested directly in a corresponding approved
pooled investment fund ("APIFs"). These APIFs are structured as sub-funds of an umbrella unit trust fund
(each sub-fund is referred to as "First level UT APIF") with Manulife Investment Management (Hong Kong)
Limited ("MIMHK", formerly known as "Manulife Asset Management (Hong Kong) Limited") as the
investment manager except that the Interest Fund Policy and the Stable Fund Policy are in the form of an
insurance policy ("IP APIF") issued by Manulife (International) Limited ("MIL"). The Scheme also offers
an investment arrangement which is the Default Investment Strategy ("DIS") in accordance with the
Mandatory Provident Fund Schemes Ordinance (the "MPFSO").
The assets of the First level UT APIF invested by Manulife MPF Conservative Fund invest in direct
investments permissible under the Mandatory Provident Fund Schemes (General) Regulation (the "General
Regulation"). The assets of the First level UT APIF invested by Manulife MPF Hang Seng Index Tracking
Fund invest in an index-tracking collective investment scheme permissible under Section 6A of Schedule 1
to the General Regulation. The assets of the other First level UT APIFs as well as the two IP APIFs invested
by the respective constituent funds are invested in sub-funds of 2 umbrella unit trust funds. The investment
managers of the underlying investments are MIMHK, FIL Investment Management (Hong Kong) Limited
("FIL Investment") and Vanguard Investments Hong Kong Limited. The assets of the eleven First Level UT
APIFs invested by the Manulife MPF Aggressive Fund, Manulife MPF Growth Fund, Manulife MPF Stable
Fund, Manulife MPF International Equity Fund, Manulife MPF Smart Retirement Fund, Manulife MPF
2020 Retirement Fund, Manulife MPF 2025 Retirement Fund, Manulife MPF 2030 Retirement Fund,
Manulife MPF 2035 Retirement Fund, Manulife MPF 2040 Retirement Fund, Manulife MPF 2045
Retirement Fund of the Scheme are allowed to be invested in index-tracking collective investment scheme
("ITCIS") as permitted under the MPF legislative requirements.
With effect from 1 August 2018, the management fees of twenty-three constituent funds under the Scheme
have been reduced. Apart from that, there is no change of management fee level for Manulife MPF Interest
Fund, Manulife MPF Conservative Fund, Manulife MPF RMB Bond Fund, Manulife MPF Hang Seng Index
Tracking Fund, Manulife MPF Core Accumulation Fund and Manulife MPF Age 65 Plus Fund.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
Members should also note that the Scheme had the scheme restructured effective 26 September 2018, under
which participating employers and members of another two MPF Schemes, Manulife MPF Plan – Advanced
and Manulife MPF Plan – Basic were transferred to the Scheme.
Changes to the Inland Revenue Ordinance will take effect on 1 April 2019. From 1 April 2019, similar to
premiums paid for qualifying deferred annuity products, MPF voluntary contributions made in a specified
account (namely, TVC account) set-up by scheme members can also enjoy tax concession in order for them
to meet the long-term saving objective for retirement protection.
Tax Deductible Voluntary Contribution ("TVC") is a new type of contributions and can only be paid into
TVC account of an MPF scheme. TVC may enjoy tax concession. Other characteristics of TVC are as
follows:
• TVC can only be made directly by the person who is a current holder of a contribution account or
personal account of an MPF scheme; or who is a current member of an MPF exempted ORSO scheme.
• Involvement of employers is not required.
• Although it is voluntary in nature, TVC is subject to the same vesting, preservation and withdrawal
restrictions applicable to mandatory contributions.
Accordingly, any accrued benefits derived from TVCs (including the TVCs made in excess of the maximum
tax deduction limit during a tax assessment year) will be preserved. Members should note that accrued
benefits held in a TVC account can only be withdrawn upon retirement at age 65 or on other statutory
grounds under the MPF legislation.
Members of the Scheme can obtain information about the Scheme and its operation from the Scheme's
Offering Document. Members can download the Offering Document at www.manulife.com.hk or request a
copy in writing to Provident Funds Services, Manulife (International) Limited, 21/F, Tower A, Manulife
Financial Centre, 223-231 Wai Yip Street, Kwun Tong, Kowloon, Hong Kong or call the Customer Service
Hotline on 2108 1388.
Members of the Scheme are also advised to review the terms of the Trust Deed. Copies of the Trust Deed
are available for inspection free of charge during normal working hours at the customer service centres
located at 23/F, The Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong and 21/F, Tower A,
Manulife Financial Centre, 223-231 Wai Yip Street, Kwun Tong, Kowloon, Hong Kong.
Members of the Scheme may also request a copy of the consolidated reports of the Scheme for any specific
financial year within the seven years preceding the date of request. Members may also download the latest
consolidated report from the web site www.manulife.com.hk six months after the scheme financial year end.
MPFTC and MIL, which are both 100% owned by Manulife International Holdings Limited, and MIMHK
are members of the Manulife Financial Group. MIL is an associate of MPFTC under Schedule 8 of the
MPFSO.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
SCHEME REPORT
31 March 2019
The particulars of the persons who were direct controllers of MIL during the financial year ended 31 March
2019 are:
1. Anil Wadhwani
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
2. Christopher Alan Edwards
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
3. David Gareth Thomas (resigned on 16 April 2019)
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
4. David John Bell
22/F, Manulife Financial Centre, 223-231 Wai Yip Street, Kwun Tong, Kowloon, Hong Kong
5. Diane Margaret Daly Bean
22/F, Manulife Financial Centre, 223-231 Wai Yip Street, Kwun Tong, Kowloon, Hong Kong
6. Garry Alides Willinge
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
7. Guy Raymond Adam Mills
22/F, Tower A, Manulife Financial Centre, 223-231 Wai Yip Street, Kwun Tong, Kowloon, Hong Kong
8. Jose C. DaSilveira
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
9. Kenneth Joseph Rappold Jr (appointed on 24 April 2018)
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
10. Manulife International Holdings Limited
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
11. Philip James Witherington (resigned on 24 April 2018)
10/F, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong
At 31 March 2019, the Scheme recorded 102,233 participating employers and 1,874,727 accounts that are
held by employee members through participating employers, self-employed person members, personal
account members, and individual relevant employee members under the Flexi Retirement Contribution
("FRC") arrangement.
During the financial year ended 31 March 2019, total contributions and asset transfers to the Scheme were
HK$45.0 billion while benefits paid out totaled HK$10.9 billion. The assets under management at 31 March
2019 were HK$207.3 billion.
Separate detailed reports of each of the constituent funds of the Scheme are included in the section
"Investment Report"; the reports are prepared by MIMHK.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies
At 31 March 2019 and during the year, Manulife Global Select (MPF) Scheme is a master trust scheme
offering the following twenty-nine constituent funds:
1. Manulife MPF Aggressive Fund (the "MGAG");
2. Manulife MPF Conservative Fund (the "MGCP");
3. Manulife MPF European Equity Fund (the "MGEE");
4. Manulife MPF Growth Fund (the "MGGR");
5. Manulife MPF Hong Kong Bond Fund (the "MGHB");
6. Manulife MPF Hong Kong Equity Fund (the "MGHE");
7. Manulife MPF Interest Fund (the "MGIT");
8. Manulife MPF International Bond Fund (the "MGIB");
9. Manulife MPF International Equity Fund (the "MGIE");
10. Manulife MPF Japan Equity Fund (the "MGJE");
11. Manulife MPF North American Equity Fund (the "MGNE");
12. Manulife MPF Pacific Asia Equity Fund (the "MGPE");
13. Manulife MPF Stable Fund (the "MGST");
14. Manulife MPF Fidelity Growth Fund (the "MGFG");
15. Manulife MPF Fidelity Stable Growth Fund (the "MGFS");
16. Manulife MPF China Value Fund (the "MGCV");
17. Manulife MPF Healthcare Fund (the "MGHC");
18. Manulife MPF Pacific Asia Bond Fund (the "MGPB");
19. Manulife MPF Hang Seng Index Tracking Fund (the "MGHS");
20. Manulife MPF RMB Bond Fund (the "MGRB");
21. Manulife MPF Smart Retirement Fund (the "MG15");
22. Manulife MPF 2020 Retirement Fund (the "MG20");
23. Manulife MPF 2025 Retirement Fund (the "MG25");
24. Manulife MPF 2030 Retirement Fund (the "MG30");
25. Manulife MPF 2035 Retirement Fund (the "MG35");
26. Manulife MPF 2040 Retirement Fund (the "MG40");
27. Manulife MPF 2045 Retirement Fund (the "MG45");
28. Manulife MPF Age 65 Plus Fund (the "MGAP"); and
29. Manulife MPF Core Accumulation Fund (the "MGCA").
Each of the constituent funds is managed in accordance with separate and distinct investment policies
reflecting the different risk profiles of the twenty-nine investment choices as set out below.
1. MGAG
The MGAG is a unitised equity fund that aims to provide long term capital growth. The underlying
investments are made on a diversified basis mainly in equities and equity-related investments. The
underlying portfolio may also include bonds, deposits and other investments as permitted under the
Mandatory Provident Fund Schemes (General) Regulation ("General Regulation") up to 30% of the net
asset value of MGAG. The investment manager may at its discretion invest in any region such as
America, Pacific Asia, Japan, Europe, etc, with a relative bias towards Hong Kong and Pacific Asia
region markets.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
2. MGCP
The MGCP is a fund mandated by the Mandatory Provident Fund Schemes Ordinance (the "MPFSO")
that aims to provide a rate of return to match the prescribed savings rate published by the Mandatory
Provident Fund Schemes Authority (the "MPFA") but with no guarantee of capital or interest. The
underlying investments for MGCP are invested in fixed income instruments that comply with Section 37
and Schedule 1 of the General Regulation.
3. MGEE
The MGEE is a unitised equity fund that aims to achieve medium to long term capital growth. The
underlying investments are made on a diversified basis in shares of companies covering different sectors
of the economy in Europe and which are listed on any stock exchange. The underlying portfolio may
also include bonds, deposits and other investments as permitted under the General Regulation up to 30%
of the net asset value of the MGEE.
4. MGGR
The MGGR is a unitised balanced fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis. Around 50% to 90% of the underlying portfolio
of the MGGR is indirectly invested in equities and equity-related investments, with the remainder of the
assets being indirectly invested in bonds, deposits and other investments as permitted under the General
Regulation. The investment manager may at its discretion invest in any region such as America, Pacific
Asia, Japan, Europe, etc.
5. MGHB
The MGHB is a unitised bond fund that aims to provide a competitive overall rate of return. The
underlying investments are made on a diversified basis with at least up to 70% of the net asset value of
the Hong Kong Bond Fund invested in Hong Kong Dollar denominated Permitted Deposits and Debt
Securities (in a range of portfolio remaining maturity periods) issued by the government of Hong Kong
or any government, central bank or multilateral international agency. It may also purchase Debt
Securities which satisfy the minimum credit rating stipulated by the MPFA or those which are listed on
any approved stock exchange, being a security issued by, or guaranteed by, a company whose shares are
so listed. The underlying portfolio may also include other investments as permitted under the General
Regulation up to 30% of the net asset value of the MGHB.
6. MGHE
The MGHE is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis mainly in shares of companies listed on The
Hong Kong Stock Exchange or companies covering different sectors of the economy in Hong Kong and
which are listed on any stock exchange. The underlying portfolio may also include bonds, deposits and
other investments as permitted under the General Regulation up to 30% of the net asset value of the
MGHE. The underlying portfolio may also, via the Stock Connect, invest up to 10% of its net asset
value in shares of companies listed in Mainland China.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
7. MGIT
The MGIT is a non-unitised bond fund that aims to provide a capital guarantee and to provide members
with interest each month at a rate that equals to or exceeds the prescribed savings rate published by the
MPFA. The underlying investments made for MGIT are invested at least up to 70% of the net asset
value of the MGIT in Hong Kong dollar fixed income instruments. The underlying portfolio may
include other investments as permitted under the General Regulation up to 30% of the net asset value of
the MGIT.
8. MGIB
The MGIB is a unitised bond fund that aims to provide competitive overall rates of return. The
underlying investments are made on a diversified basis mainly in Permitted Deposits and Debt Securities
issued by any government, central bank or multilateral international agency. It may also purchase Debt
Securities which satisfy the minimum credit rating stipulated by the MPFA or those which are listed on
any approved stock exchange being a security issued by, or guaranteed by, a company whose shares are
so listed. The investment manager may at its discretion invest in any region such as North America,
Europe, United Kingdom and Asia. The underlying portfolio may also include other investments as
permitted under the General Regulation up to 30% of the net asset value of the MGIB.
9. MGIE
The MGIE is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis in global equities and equity-related investments.
The investment manager may at its discretion invest in any region such as North America, Japan,
Europe, other Pacific Asia region markets and Hong Kong. The underlying portfolio may also include
bonds, deposits and other investments as permitted under the General Regulation up to 30% of the net
asset value of the MGIE.
10. MGJE
The MGJE is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis in shares of companies covering different sectors
of the economy in Japan and which are listed on any stock exchange. The underlying portfolio may also
include bonds, deposits and other investments as permitted under the General Regulation up to 30% of
the net asset value of the MGJE.
11. MGNE
The MGNE is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis in shares of companies covering different sectors
of the economy in North America and which are listed on any stock exchange. The underlying portfolio
may also include bonds, deposits and other investments as permitted under the General Regulation up to
30% of the net asset value of the MGNE.
12. MGPE
The MGPE is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis in shares of companies covering different sectors
of the Asia Pacific markets, excluding Japan and which are listed on any stock exchange. The
underlying portfolio may also include bonds, deposits and other investments as permitted under the
General Regulation up to 30% of the net asset value of the MGPE.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
13. MGST
The MGST is a unitised balanced fund that aims to provide relatively stable medium to long term
growth. The underlying investments are made on a diversified basis. Up to 40% of the portfolio of the
MGST is indirectly invested in equities and equity-related investments, with the remainder of the assets
being indirectly invested in bonds, deposits and other investments as permitted under the General
Regulation. The investment manager may at its discretion invest in any region such as America, Pacific
Asia, Japan, Europe, etc, with a relative bias towards Hong Kong.
14. MGFG
The MGFG is designed to provide long term capital growth. The underlying investments of MGFG are
focused on the global equity markets while enjoying the flexibility of investing in global bonds. It is
managed with a view to limit the volatility of returns in the short term.
The assets of the first level pooled investment fund under the MGFG are invested as a feeder fund into
the respective APIF operated within the umbrella unit trust structure currently managed by FIL
Investment Management (Hong Kong) Limited. It is intended that the underlying investments of the
APIF managed by FIL Investment Management (Hong Kong) Limited are made on a geographically
diversified basis with a bias towards Hong Kong. Approximately 90% of the APIF is invested in global
equities in the markets of Hong Kong, Europe, Japan, America and the Asia Pacific region.
15. MGFS
The MGFS is designed to provide medium to long term capital growth. The underlying investments of
MGFS are diversified between equities and bonds and are managed with a view to limit the volatility of
returns in the short term.
The assets of the first level pooled investment fund under the MGFS are invested as a feeder fund into
the respective APIF operated within the umbrella unit trust structure currently managed by FIL
Investment Management (Hong Kong) Limited. It is intended that the investments of the APIF managed
by FIL Investment Management (Hong Kong) Limited are made on a geographically diversified basis
with a bias towards Hong Kong. Approximately 50% of the APIF is invested in global equities and 45%
of the APIF is invested in global bonds in the markets of Hong Kong, Europe, Japan, America and the
Asia Pacific region; with the remaining 5% of the assets being in cash deposits as permitted under the
General Regulation.
16. MGCV
The MGCV is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are made on a diversified basis mainly in shares of companies covering different
sectors of the economy in the Greater China region, including the People's Republic of China, Hong
Kong and Taiwan, and which are listed on any stock exchange subject to the restrictions in the General
Regulation and which have a value or growth proposition. The underlying portfolio may also include
bonds, deposits and other permitted investments as permitted under the General Regulation, up to 30%
of the net asset value of the MGCV.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
17. MGHC
The MGHC is a unitised equity fund that aims to provide long term capital growth. The underlying
investments are made on a diversified basis mainly consisting of equity-related investments and equities
of companies in health care and related industries and which are listed on any stock exchange. The
underlying portfolio may invest in shares of companies covering mainly the pharmaceutical, healthcare
equipment & services, food & drug retailers, managed care business and biotechnology sectors. The
investment manager may at its discretion invest in any region such as North America (including
Canada), Europe (including UK), Asia and Japan. The underlying portfolio may also include bonds,
deposits and other investments as permitted under the General Regulation, up to 30% of the net asset
value of the MGHC.
18. MGPB
The MGPB is a unitised bond fund that aims to provide competitive overall rates of return. The
underlying investments are made on a diversified basis mainly in debt securities issued by any
government, central bank, supra-national, multilateral international agency and corporate issuer in the
Asia Pacific region. The underlying portfolio may also include other investments as permitted under the
General Regulation, up to 30% of the net asset value of the MGPB.
19. MGHS
The MGHS is a unitised equity fund that aims to provide medium to long term capital growth. The
underlying investments are in shares of constituent companies of the Hang Seng Index in substantially
similar composition and weighting as they appear in the index through an approved index-tracking
collective investment scheme ("ITCIS") (currently, the Tracker Fund of Hong Kong managed by State
Street Global Advisors Asia Limited). The MGHS seeks to track the performance of the Hang Seng
Index of Hong Kong.
20. MGRB
The MGRB is a unitised bond fund that aims to provide competitive overall rates of return. The
underlying investments are made on a diversified basis with at least up to 70% of the net asset value of
the fund invested in Renminbi ("RMB") denominated debt securities which are issued, traded or
distributed by any government, central bank, supra-nationals, multilateral international agencies and
corporate issuers outside Mainland China. The MGRB may also, through the underlying APIF, invest
up to 30% of its net asset value in other RMB or non-RMB denominated investments including money
market instruments, certificates of deposits, cash and deposits, and non-RMB denominated debt
securities, as permitted under the General Regulation.
21. MG15
The MG15 is a unitised fund and is a matured Retirement Fund designed to enable accrued benefits
investing in any other Retirement Funds upon their maturity to be switched to the Smart Retirement
Fund. It aims to provide medium to long term capital growth for members who hold a longer term
investment view and who are prepared to accept significant fluctuations in the value of their investments
in order to achieve potential medium to long term returns. The underlying investments are made on a
diversified basis. Around 40% to 60% of the underlying portfolio is indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc.
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MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
22. MG20
The MG20 is a unitised fund designed for members expecting to attain their normal retirement age
around 2020. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 65% - 85% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. As the MG20 gets
closer to its maturity date on the last business day of 2020, the asset allocation strategy of the underlying
portfolio will become less aggressive and increasingly contain fixed income securities.
23. MG25
The MG25 is a unitised fund designed for members expecting to attain their normal retirement age
around 2025. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 75% - 95% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. When the MG25 gets
closer to its maturity date on the last business day of 2025, the asset allocation strategy of the underlying
portfolio will become less aggressive and will increasingly contain fixed income securities.
24. MG30
The MG30 is a unitised fund designed for members expecting to attain their normal retirement age
around 2030. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 75% - 95% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. When the MG30 gets
closer to its maturity date on the last business day of 2030, the asset allocation strategy of the underlying
portfolio will become less aggressive and will increasingly contain fixed income securities.
25. MG35
The MG35 is a unitised fund designed for members expecting to attain their normal retirement age
around 2035. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 80% - 100% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. When the MG35 gets
closer to its maturity date on the last business day of 2035, the asset allocation strategy of the underlying
portfolio will become less aggressive and will increasingly contain fixed income securities.
13
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment Policies (continued)
26. MG40
The MG40 is a unitised fund designed for members expecting to attain their normal retirement age
around 2040. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 80% - 100% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. When the MG40 gets
closer to its maturity date on the last business day of 2040, the asset allocation strategy of the underlying
portfolio will become less aggressive and will increasingly contain fixed income securities.
27. MG45
The MG45 is a unitised fund designed for members expecting to attain their normal retirement age
around 2045. It aims to provide long term capital growth while lowering the risk of loss as the members
approach their normal retirement age. The underlying investments are made on a diversified basis. At
launch in 2011, around 80% - 100% of the underlying portfolio was indirectly invested in equities and
equity-related investments, with the remainder of the assets being indirectly invested in bonds, deposits
and other investments as permitted under the General Regulation. The investment manager may at its
discretion invest in regions such as America, Pacific Asia, Japan and Europe, etc. When the MG45 gets
closer to its maturity date on the last business day of 2045, the asset allocation strategy of the underlying
portfolio will become less aggressive and will increasingly contain fixed income securities.
28. MGAP
The MGAP is a unitised equity fund that aims to provide stable growth to members by investing in a
globally diversified manner. It is intended for members who hold a medium to long term investment
view and want to seek returns through some capital appreciation and current income generation. The
MGAP will adopt a passive investment strategy through indirectly investing in an underlying APIF
(currently the Vanguard Income Fund ("VIF")) in order to reduce the deviation of performance from the
MGAP Reference Portfolio. The investment manager of the VIF will use sampling techniques in its
passive investment strategy to select securities for investment for efficient portfolio management.
Sampling is an approach whereby the investment manager of the VIF tracks the MGAP Reference
Portfolio by investing in a representative portion, or "sample", of the full list of securities contained in
the MGAP Reference Portfolio, such that the overall characteristics of the portion of securities would be
similar to those of the full list of securities contained in the MGAP Reference Portfolio.
29. MGCA
The MGCA is a unitised fund that aims to provide capital growth to members by investing in a globally
diversified manner. It is intended for members who hold a medium to long term investment view and
want to seek returns through capital appreciation and modest income generation. The MGCA will adopt
a passive investment strategy through indirectly investing in an underlying APIF (currently the Vanguard
Moderate Growth Fund ("VMGF")) in order to reduce the deviation of performance from the MGCA
Reference Portfolio. The investment manager of the VMGF will use sampling techniques in its passive
investment strategy to select securities for investment for efficient portfolio management. Sampling is an
approach whereby the investment manager of the VMGF tracks the MGCA Reference Portfolio by
investing in a representative portion, or "sample", of the full list of securities contained in the MGCA
Reference Portfolio, such that the overall characteristics of the portion of securities would be similar to
those of the full list of securities contained in the MGCA Reference Portfolio.
14
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
General Investment Climate
1. North American Equity Markets
Top contributors included a cloud-based software company that benefited from more companies shifting
to cloud-based platforms to help reduce costs and increase efficiency. Other standouts included a cellular
tower operator in the real estate sector. Secular tailwinds, driven by more mobile devices worldwide
increasing demand for its services, as well as the settlement of pending litigation, lifted the stock.
Conversely, security selection in the industrials, healthcare, financials and consumer discretionary
sectors hindered the Fund's performance. Individual detractors included a diversified industrials
conglomerate that was a top holding and large overweighting early in the period. Its shares declined due
to disappointing results in its power-generation unit, a dividend cut, an investigation into its accounting
practices and a profit warning. Despite new leadership and the sale of the company's biopharmaceuticals
business, we reduced our stake because the turnaround was taking longer than expected. In the consumer
discretionary sector, a non-benchmark position in a recreational vehicle company hurt, as new tariffs on
steel and aluminum imports boosted input costs, pressuring near-term earnings.
By period end, steadily rising risk around trade and tariff issues and an associated deceleration in global
economic growth had clouded the near-term outlook for the stock market. Many investors appeared to
be pricing in the possibility of a US recession later this year, despite the economy's continued resilience
and steady growth. However, we believe the foundations for continued expansion – a healthy US
consumer, steady housing demand and a solid financial system – remain intact, despite rising political
and capital spending uncertainties. We're also hopeful that escalation in the trade war can be averted.
2. European Equity Markets
Eurozone equities rose modestly in the second quarter of 2018 (in EUR terms), but lagged many other
developed markets amid heightened political risks and the fears over the impact of increased US tariffs
on trade. Italy was the region's weakest market. After weeks of negotiation, the anti-establishment Five
Star Movement and far-right League agreed to form a coalition government with policies that set it on a
confrontational path with the EU. At the overall Eurozone level, there were few signs of a rebound in
economic activity after the slowdown in the first quarter. Inflation accelerated, as rising oil prices caused
Eurozone consumer prices to jump to a year-on-year increase of 2.0% in June, compared to just 1.2% in
April. As widely expected, the European Central Bank announced that it would end its bond buying
programme by the end of this year. However, it kept interest rates on hold and stressed that interest rates
would remain at their current low levels until "at least mid-2019". UK equities rallied strongly over the
quarter (in GBP terms) as a fall in sterling boosted the overseas earnings of multinational companies.
However, investors and companies alike showed increasing frustration over the government's ability to
clarify its position over Brexit.
15
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
General Investment Climate (continued)
2. European Equity Markets (continued)
Eurozone equities recorded moderate gains (in EUR terms) in the third quarter of 2018. While returns
were positive, the region lagged many other developed markets amid uncertainty over the impact of
increased US tariffs on trade. There was also rising concern over Italian debt levels and the prospect of
political turmoil with the rest of the EU over the new coalition government's spending and budget plans.
Italy was the worst performing country, as its banking stocks came under pressure. Eurozone banks were
additionally hit by worries over their exposure to Turkey as the lira sold off sharply. September's flash
Eurozone composite purchasing managers' index fell to a four-month low, dragged lower by weaker
manufacturing activity and stagnant exports. The survey also revealed that business optimism was
hovering near two-year lows. Nevertheless, the European Central Bank confirmed it would continue
with plans to halve its monthly bond purchases starting in October as the uncertainty surrounding the
inflation outlook was "receding". In Germany, exporters continued to be affected by fears of US tariffs.
UK equities retreated slightly over the quarter (in GBP terms).
European equities recorded steep declines (in EUR terms) in the fourth quarter of 2018, touching a two-
year low as most markets delivered double-digit losses. Fears over the impact of higher tariffs added to
rising concerns over the outlook for global growth. Politics also remained a concern as France suffered
the worst street violence in many years, forcing President Emmanuel Macron to backtrack on key
policies. Political risks also remained elevated in Italy as Rome's proposed budget broke EU guidelines,
although a compromise was reached with Brussels during December. In economic news, Eurozone
economic activity faltered as exports were hit by higher tariffs, German carmakers struggled to comply
with new emissions tests and Italian growth stagnated due to the country's standoff with Brussels. The
flash estimate of the Eurozone composite purchasing managers' index fell to 51.3 in December, its
lowest level in four years. In Germany, equities fell into a bear market, posting their worst annual
performance since 2008. UK equities also suffered steep declines (in GBP terms), although they held up
better than many stock markets in the Eurozone, helped by weakness in the British pound. Prime
Minister Theresa May finally reached a withdrawal agreement with the EU. However, the deal faced
widespread criticism from both Leavers and Remainers, forcing her to postpone a key Common's vote to
ratify the deal until January.
European equities rallied strongly in the first quarter of 2019 (in EUR terms). Sentiment was lifted by
hopes of improved trade relations between the US and China and the associated implications for global
trade. Dovish comments from major central banks also buoyed shares, helping them overcome weak
Eurozone economic news and the uncertainty caused by the UK's impending Brexit deadline. Economic
news remained muted and Eurozone investor confidence, as measured by Sentix, reached the lowest
level since late 2014. The Eurozone economy expanded by just 0.2% in the final quarter of 2018, with
Italy falling into a recession, having recorded two successive quarters of negative growth. German
equities rose, but underperformed the broader region, with exports continuing to suffer from the
slowdown in global trade. With inflation remaining below target and growth subdued, the European
Central Bank reinstated its policy of offering cheap long-term loans to banks and pledged not to raise
rates until the end of 2019 at the earliest. UK equities rallied strongly (in GBP terms), but lagged most
other European markets. UK economic activity was marginally stronger than expected, helped by
resilient consumer spending and stockpiling ahead of the Brexit deadline.
16
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
General Investment Climate (continued)
3. Pacific Asia Equity Markets
Equity markets in Asia ex-Japan were volatile over the 12-month period amid increased China-US trade
tensions and continued macroeconomic challenges. Regional markets showed little movement amid the
announcement of US tariffs on Chinese imports and emerging concerns over Italy's 2019 budget.
Ongoing China-US trade tensions heightened volatility in regional markets for most of the second half
of 2018, and with both sides imposing escalating tariffs, risk-off sentiment took hold until a "trade truce"
was reached on the sidelines of the G20 summit at the end of November. Central banks in Asia were
raising rates at the beginning of the reporting period to defend their currencies against a stronger US
dollar but have taken a more accommodative stance in 2019 given concerns over slowing growth.
China's strong performance during the period was attributable to the first quarter of 2019 being driven
by positive developments in Sino-US trade talks, strengthened government stimulus measures, and
attractive valuations. At the annual National People's Congress in March, the government announced
broad-based tax cuts, and promised more affordable funding for private firms and an accommodative
monetary policy.
Trade concerns negatively impacted export-oriented countries like South Korea and Taiwan leading to
slower than expected gross domestic product growth and export figures.
ASEAN countries were lower on the back of a strong US dollar. The four interest rate hikes by the US
Federal Reserve Board (Fed) led to higher Treasury yields. This contributed to emerging market sell-
offs, which triggered substantial capital outflows as well as currency weakness and interest rate hikes in
Asian markets running current account deficits.
Concerns of twin deficits in India weighed on the country through the third quarter of 2018. In the fourth
quarter of 2018, lower oil prices and dampened inflation expectations were key drivers of India's
outperformance. However, there are liquidity concerns caused by defaults in the non-banking financial
company sector. Election overhang was addressed as the incumbent party was favored.
17
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
General Investment Climate (continued)
4. Global Bond Markets
Positive US economic growth, better-than-expected corporate earnings and higher oil prices pushed the
US stock market to a new high in September 2018. However, the market plunged in late 2018 amid
mounting global trade tensions, fears of slowing economic growth, declining oil prices and uncertainty
about US interest rates. Stocks rebounded in the New Year, buoyed by the US Federal Reserve Board's
decision to hold-off on further interest rate increases. The end of the partial US government shutdown
and progress toward resolving the trade dispute with China also helped US stocks, which hit another
record in April 2019. In May, escalating trade tensions between the US and both China and Mexico
spurred concern that economic growth and corporate earnings would decelerate, causing stocks to give
back some of their earlier gains.
In the US equity market, the more-defensive real estate, utilities and consumer staples sectors led the
way with sizable gains. In contrast, energy sector stocks saw a steep slide, as oil prices declined. The
economically sensitive materials and industrials sectors and the interest rate sensitive financials sector
were also weak performers.
5. Hong Kong Bond Market
In the US, the Federal Reserve Board (Fed) increased its federal funds target range three times over the
period to the target rate range between 2.25% and 2.50%, then announced a "pause" in interest rate
increases in January 2019. US Treasury yields trended towards the latter part of the period amid market
expectations that the Fed may be near the end of the current cycle for raising interest rates. In China, the
People's Bank of China (PBoC) leaned towards monetary policy easing towards the latter part of the
period. The PBoC reduced the reserve requirement ratio in early 2019, bringing the combined net
liquidity injection to around 800 billion renminbi after taking into account the injection from the targeted
medium-term lending facility.
Hong Kong bond yields mainly tracked the US market throughout the period. Hong Kong ten-year
government bonds fell from 1.99% to 1.47%. The Markit iBoxx ALBI Hong Kong Dollar Bond Index
returned 4.62% in Hong Kong dollar terms over the period.
Note: The General Investment Climate commentary above is provided by Manulife Investment
Management (Hong Kong) Limited (formerly known as "Manulife Asset Management (Hong Kong)
Limited"), one of the investment managers of underlying investments of the Manulife Global Select
(MPF) Scheme.
18
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary
For the 12-month period ended 31 March 2019, most of the equity funds or constituent funds with exposure
to equities suffered significant loss due to unfavorable investment market sentiment in 2018. The top five
least performing funds (1-year performance) were Manulife MPF Japan Equity Fund (-8.06%), Manulife
MPF Hong Kong Equity Fund (-7.61%), Manulife MPF Pacific Asia Equity Fund (-6.07%), Manulife MPF
Aggressive Fund (-5.06%) and Manulife MPF Growth Fund (-4.63%).
Nine constituent funds under the Scheme recorded positive returns. The top five performing funds (1-year
performance) were Manulife MPF Healthcare Fund (11.68%), Manulife MPF Hong Kong Bond Fund
(4.60%), Manulife MPF Age 65 Plus Fund (2.70%), Manulife MPF Core Accumulation Fund (2.24%) and
Manulife MPF RMB Bond Fund (1.92%).
The Manulife MPF Healthcare Fund delivered excellent performance within the MPF market. In addition,
the fund also delivered excellent returns over a longer term period. The fund delivered a 10-year return of
202.17% ranking it #7 amongst all MPF constituent funds.
(Source: Lipper Inc. (31 March 2019)).
In addition, the Manulife MPF Interest Fund continued to maintain the declared interest rate at 0.50% per
annum. The declared interest rate far exceeds the MPFA prescribed savings rate which the fund targets to
achieve.
(Source: Manulife Global Select (MPF) Scheme Quarterly Fund Fact Sheet (31 March 2019)).
MPFTC continues to hold a positive view on the long term capability and suitability of the fund managers as
they all possess extensive experience in managing equity and fixed income portfolios.
19
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
A. Trustee's commentary on analysis of the investments held by the scheme and supporting
information of its commentary
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Conservative Fund
Launch date: 01/12/2000 1.16 0.34 0.18 0.58
Benchmark / Performance Target
(MPFA Prescribed Saving Rate) 0.07 0.02 0.01 0.47
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed
Out-
performed
Trustee's commentary The fund's performance has outperformed in the 1 year, 5 years,
10 years term and since launch when compared to the MPFA
Prescribed Saving Rate ("PSR") as the benchmark.
No market median information is available for conservative
funds as fees and charges of a MPF conservative fund can be
deducted from either (i) the assets of the fund or (ii) members'
accounts by way of unit deductions.
The Manulife MPF Conservative Fund uses method (i) and,
therefore, any unit prices/NAV/fund performance quoted for the
constituent fund have incorporated the impact of fees and
charges.
20
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Interest Fund
Launch date: 01/12/2000 0.50 0.15 0.12 0.66
Benchmark / Performance Target
(MPFA Prescribed Saving Rate) 0.07 0.02 0.01 0.47
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed
Out-
performed
Trustee's commentary The declared interest rate has been 0.50% p.a. since November
2017 which far exceeds the MPFA Prescribed Saving Rate
("PSR") which the fund targets to achieve.
The fund's performance has outperformed in the 1 year, 5 years,
10 years term and since launch when compared to the MPFA
Prescribed Saving Rate ("PSR") as the benchmark.
There is no market median performance information available for
comparison as the fund is a hard guaranteed fund with
customized guarantee conditions.
Manulife MPF Stable Fund
Launch date: 01/12/2000 0.00 2.29 3.34 2.37
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information available for
comparison as the fund is a soft guaranteed fund with customized
guarantee conditions.
21
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF International Bond
Fund
Launch date: 01/12/2000
-1.94 0.11 1.90 2.81
Benchmark / Performance Target
(Lipper Global Bond Median) -0.73 0.07 1.91 1.93
Deviation from the benchmark /
performance target
Under-
performed
Out-
performed
Under-
performed
Out-
performed
Trustee's commentary The fund's performance has under-performed the market median in
the 1 year and 10 years term. Better performance was recorded at
the 5 years term and since launch.
According to the investment manager, the fund's duration
positioning (sensitivity to interest rates) detracted from
performance, particularly in the Eurozone, Australia and Japan,
where long-term interest rates moved lower, and the portfolio's
shorter-duration profile had a negative impact. Currency
positioning also detracted, driven by an overweight exposure to the
Norwegian krone, Australian dollar and New Zealand dollar.
Manulife MPF Hong Kong Bond
Fund
Launch date: 01/12/2000
4.60 2.24 1.54 2.01
Benchmark / Performance Target
(Lipper Hong Kong Dollar Bond
Median)
3.58 2.09 1.54 1.81
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed Inline
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year, 5 years periods and since launch and align with the
market median in the 10 years term.
According to the investment manager, the fund's overweight
duration positioning was the biggest contributor to performance as
Hong Kong bond yields declined over the period. Security selection
within the portfolio's Hong Kong corporate bonds exposure also
contributed to performance. Exposures to a Hong Kong utility
company and an Australian bank were among the contributors.
22
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years
Since
Launch
Manulife MPF Pacific Asia Bond
Fund
Launch date: 23/04/2012
1.12 1.28 N/A 1.36
Benchmark / Performance Target
(Lipper Asian Bond Median) 1.43 1.31 N/A 0.93
Deviation from the benchmark /
performance target
Under-
performed
Under-
performed N/A
Out-
performed
Trustee's commentary The fund's performance has slightly under-performed the market
median in the 1 year and 5 years terms while outperforming the
market median since launch.
According to the investment manager, the fund's underweight in
Australian dollar interest rate duration detracted from
performance as local yields fell over the period.
Manulife MPF RMB Bond Fund
Launch date: 16/12/2013 1.92 1.58 N/A 1.26
Benchmark / Performance Target
(Lipper RMB Bond Median) -0.25 0.10 N/A 0.58
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed N/A
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year, 5 years terms and since launch.
According to the investment manager, security selection was the
biggest contributor to performance. Selective holdings in
Australian banks and Chinese property names were among the
contributors.
23
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Age 65 Plus Fund
Launch date: 01/04/2017 2.70 N/A N/A 2.98
Benchmark / Performance Target
(Lipper DIS-Age 65 Plus Fund
Median)
2.48 N/A N/A 3.06
Deviation from the benchmark /
performance target
Out-
performed N/A N/A
Under-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year term while slightly under-performing compared to the
since launch performance.
The fund is a passively managed fund tracked against the DIS
Reference Portfolio. During the period, the fund closely matched
the Reference Portfolio.
Manulife MPF Growth Fund
Launch date: 01/12/2000 -4.63 3.14 6.85 3.63
Benchmark / Performance Target
(Lipper Lifestyle- (>60-80% Equity)
Median)
-3.03 3.47 6.94 4.26
Deviation from the benchmark /
performance target
Under-
performed
Under-
performed
Under-
performed
Under-
performed
Trustee's commentary The fund's performance has under-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, both allocation and
underlying equity funds were the main detractors. The stock
selection of both Hong Kong Equity and North American equity
sleeves detracted most.
24
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Fidelity Stable
Growth Fund
Launch date: 01/09/2003
-1.44 2.75 6.19 5.06
Benchmark / Performance Target
(Lipper Lifestyle - (>40-60%
Equity) Median)
-2.67 2.62 5.32 3.94
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, asset allocation added value
by overweighting US equities. In Asia, a selected position in
technology buoyed performance. In particular, Australia's leading
global data services provider for artificial intelligence, gained as it
upgraded its earning guidance for financial year 2019. Within Hong
Kong, a position in a liquor and beverage maker rose as sales
volume growth, higher average selling prices and cost controls
resulted in upbeat earnings.
For bonds, the fund's underweight positions in the peripheral bonds
of Italy were the key contributors to performance as spreads over
German bonds had widened amidst Italy's political crisis and
concerns around the Italian budget. The fund's overall overweight
duration position in US Dollars also aided returns as the yield curve
edged lower over the period.
25
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF International
Equity Fund
Launch date: 01/12/2000
-1.80 5.32 10.24 2.43
Benchmark / Performance Target
(Lipper Global Equity Fund Median) -0.55 4.59 9.15 4.52
Deviation from the benchmark /
performance target
Under-
performed
Out-
performed
Out-
performed
Under-
performed
Trustee's commentary The fund's performance has out -performed the market median in
the 5 years and 10 years terms but under-performed in the 1 year
term and since launch.
According to the investment manager, both allocation and
underlying equity funds were the main detractors. In particular, the
stock selection of both Hong Kong Equity and North American
equity sleeves detracted most.
Manulife MPF North American
Equity Fund
Launch date: 01/12/2000
0.98 7.35 12.91 2.77
Benchmark / Performance Target
(Lipper United States Equity Median) 5.54 7.78 12.90 8.14
Deviation from the benchmark /
performance target
Under-
performed
Under-
performed
Out-
performed
Under-
performed
Trustee's commentary The fund's performance has under-performed the market median in
the 1 year, 5 years terms and since launch but out-performed the
market median in the 10 years term.
According to the investment manager, security selection in the
Industrials, Health Care, Financials and Consumer Discretionary
sectors hindered the Fund's relative performance. Individual
detractors included a diversified industrials conglomerate that was a
top holding and large overweight early in the period. Its shares
declined due to disappointing results in its power-generation unit, a
dividend cut, an investigation into its accounting practices and a
profit warning despite new leadership and the sale of the company's
biopharmaceuticals business. In the Consumer Discretionary sector,
a non-benchmark position in a recreational vehicle company hurt, as
new tariffs on steel and aluminum imports boosted input costs,
pressuring near-term earnings.
26
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF European Equity
Fund
Launch date: 01/12/2000
-0.78 0.98 8.01 0.34
Benchmark / Performance Target
(Lipper European Equity Median) -5.08 0.98 7.85 1.97
Deviation from the benchmark /
performance target
Out-
performed Inline
Out-
performed
Under-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year and 10 years terms and is also inline with the market
median for the 5 years term.
The performance of the fund significantly improved after the
underlying sub-investment manager was replaced in mid-January
2019.
According to the newly appointed investment manager, both stock
selection and sector allocation had a positive effect on
performance, with the latter particularly due to the overweight of
Information Technology and the underweighting of Financials and
Communication Services.
Manulife MPF 2020 Retirement
Fund
Launch date: 21/02/2011
-3.12 2.65 N/A 2.74
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information available for
comparison as the fund is a customized target date fund.
27
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Smart Retirement
Fund
Launch date: 21/02/2011
-3.52 2.15 N/A 2.22
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information available for
comparison as the fund is a customized target date fund.
Manulife MPF Core Accumulation
Fund
Launch date: 01/04/2017
2.24 N/A N/A 5.64
Benchmark / Performance Target
(Lipper DIS-Core Accumulation
Fund Median)
2.04 N/A N/A 5.63
Deviation from the benchmark /
performance target
Out-
performed N/A N/A
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year term and since launch.
The fund is a passively managed fund tracked against the DIS
Reference Portfolio. During the period, the fund closely matched
against the Reference Portfolio.
28
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Healthcare Fund
Launch date: 02/04/2008 11.68 5.44 11.69 7.42
Benchmark / Performance Target
(Lipper Global Equity Median) -0.55 4.59 9.15 4.52
Deviation from the benchmark /
performance target Out-performed
Out-
performed
Out-
performed Out- performed
Trustee's commentary There is no market median performance information available for
comparison as the fund is the only sector equity fund in the MPF
market during the reporting period.
Since this fund is an equity fund investing globally, the "Lipper
MPF Global Equity Fund category median" will be used as the
performance target for the fund.
The fund's performance has out-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, the fund's security selection
within biotechnology companies contributed to performance.
Individual contributors included an American biotechnology
product development company that produced strong earnings
results on the back of robust organic top-line growth. An American
pharmaceuticals company that develops drugs for a rare disease
withstood volatility in the biotechnology sector owing to solid
earnings results driven by continued revenue growth for its leading
ultra-orphan drug and its newly launched follow-on version. A
healthcare products and services company benefited from a
rebound in its dental supply business associated with stabilising
trends in end-user demand.
29
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Aggressive Fund
Launch date: 01/12/2000 -5.06 4.11 8.38 3.63
Benchmark / Performance Target
(Lipper Lifestyle- (>80-100%
Equity) Median)
-4.08 4.22 8.21 4.61
Deviation from the benchmark /
performance target
Under-
performed
Under-
performed
Out-
performed
Under-
performed
Trustee's commentary The fund's performance has under-performed the market median
in the 1 year, 5 years terms and since launch and out-performed
the market median in the 10 years term.
According to the investment manager, both allocation and
underlying equity funds were the main detractors. In particular,
the stock selection of both the Hong Kong Equity and the North
American equity sleeves detracted most.
Manulife MPF Fidelity Growth
Fund
Launch date: 01/09/2003
-2.50 4.53 9.02 6.94
Benchmark / Performance Target
(Lipper Lifestyle- (>80-100%
Equity) Median)
-4.08 4.22 8.21 4.61
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, asset allocation added value
by an overweight of US equities. In Asia, selected positions in
technology buoyed performance. In particular, Australia's leading
global data services provider for artificial intelligence, gained as it
upgraded its earning guidance for financial year 2019. Within
Hong Kong, a position in a liquor and beverage maker increased
in value as sales volume growth, higher average selling prices and
cost controls resulted in upbeat earnings.
For bonds, the fund's underweight positions in the peripheral
bonds of Italy were the key contributors to performance as spreads
over German bonds had widened amidst Italy's political crisis and
concerns around the Italian budget. The fund's overall overweight
duration position in US Dollar bonds also aided returns as the
yield curve edged lower over the period.
30
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Pacific Asia Equity
Fund
Launch date: 01/12/2000
-6.07 4.43 8.09 5.02
Benchmark / Performance Target
(Lipper Pacific Basin ex Japan Equity
Median)
-4.82 3.73 8.04 5.28
Deviation from the benchmark /
performance target
Under-
performed
Out-
performed
Out-
performed
Under-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 5 years and 10 years terms but under-performed the market
median in the 1 year term and since launch.
According to the investment manager, the asset allocation decisions
at country level detracted from performance. An Australian life
insurance company was the biggest performance detractor on the
back of concerns regarding the company's restructuring plans amid
a change in senior management and a regulatory review.
Manulife MPF Japan Equity Fund
Launch date: 01/12/2000 -8.06 6.44 7.54 1.09
Benchmark / Performance Target
(Lipper Japanese Equity Median) -8.64 3.53 6.25 -0.06
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year term, 5 years, 10 years terms and since launch.
According to the investment manager, the most positive
contributing stocks to the fund were a sushi restaurant chain, an
electronics/healthcare company specialising in optics and an
advertising agency.
31
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Hong Kong Equity
Fund
Launch date: 01/12/2000
-7.61 5.96 8.63 4.85
Benchmark / Performance Target
(Lipper Hong Kong Equity Median) -3.83 6.48 9.22 7.41
Deviation from the benchmark /
performance target
Under-
performed
Under-
performed
Under-
performed
Under-
performed
Trustee's commentary The fund's performance has under-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, security selection detracted
from performance with healthcare, consumer services and utilities
being the largest detractors. Within the healthcare sector, the fund's
focus has been on drug companies that have a strong pipeline of
innovative drugs but the sector was sold-off indiscriminately after
generic drug price cuts were worse than expected.
Manulife MPF 2045 Retirement
Fund
Launch date: 21/02/2011
-4.44 4.26 N/A 4.10
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information available for
comparison as the fund is a customized target date fund.
Manulife MPF 2040 Retirement
Fund
Launch date: 21/02/2011
-4.61 4.19 N/A 4.03
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information available for
comparison as the fund is a customized target date fund.
32
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF 2035 Retirement Fund
Launch date: 21/02/2011 -4.58 4.16 N/A 4.00
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information
available for comparison as the fund is a customized target
date fund.
Manulife MPF 2030 Retirement Fund
Launch date: 21/02/2011 -4.56 3.93 N/A 3.84
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information
available for comparison as the fund is a customized target
date fund.
Manulife MPF 2025 Retirement Fund
Launch date: 21/02/2011 -4.39 3.38 N/A 3.41
Benchmark / Performance Target N/A N/A N/A N/A
Deviation from the benchmark /
performance target N/A N/A N/A N/A
Trustee's commentary There is no market median performance information
available for comparison as the fund is a customized target
date fund.
33
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
Annualized return (in terms of %)
1 Year 5 Years 10 Years Since Launch
Manulife MPF Hang Seng Index
Tracking Fund
Launch date: 23/04/2012
-0.76 8.21 N/A 7.52
Benchmark / Performance Target
(Lipper HK Equity (Index Tracking)
Median)
-0.87 8.21 N/A 7.51
Deviation from the benchmark /
performance target
Out-
performed Inline N/A
Out-
performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year term and since launch, and was inline with the market
median for the 5 years term.
The fund is an index-tracking fund tracking the Hang Seng Index
(Total Return) and its performance was very much inline with the
underlying index for the reporting period.
Manulife MPF China Value Fund
Launch date: 01/02/2006 -4.27 6.86 9.24 7.67
Benchmark / Performance Target
(Lipper Greater China Equity
Median)
-6.34 6.70 8.35 6.01
Deviation from the benchmark /
performance target
Out-
performed
Out-
performed
Out-
performed Out- performed
Trustee's commentary The fund's performance has out-performed the market median in
the 1 year, 5 years, 10 years terms and since launch.
According to the investment manager, the Fund's key holdings in
the real estate and financial sectors contributed most to the relative
performance, and the portfolio manager's bottom-up stock picking
in these sectors was the main source of outperformance. The top
outperformers include a leading property developer, which has a
sizeable land bank in the Greater Bay Area. A Hong Kong-
headquartered life insurance company was also among the top
contributors, with its strong growth of new business value
benefiting from growth in China business. A-share stocks have also
contributed positively, in particular the premium liquor sector,
which has enjoyed a good supply-demand dynamic.
34
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Trustee's Commentary (continued)
B. Supporting information in relation to the Trustee's assessment framework for deriving its
commentary and the Trustee's actions, if any, to address its concerns raised in its commentary in
Section A
The Trustee has established an assessment and monitoring framework to assess and review the performance
of the investment funds via an Investment Control Committee comprising representatives from different
technical areas, reporting to the board of the Trustee on a regular basis. The committee reviews each
investment fund's absolute and relative performance (if applicable) over different periods to flush out
investment funds delivering unsatisfactory performance. If underperformance persists, further enhanced
monitoring and management action is arranged as required until the subject fund reaches a satisfactory level.
During the period, the Trustee saw continuing improvement in the underlying investment of the Manulife
MPF Interest Fund and hence sought the guarantor, Manulife (International) Limited to revise the declared
interest rate of the Manulife MPF Interest Fund. Both parties agreed to maintain the declared interest rate at
0.5% per annum, which far exceeds the target declared rate (i.e. MPFA Prescribed Saving Rate (PSR)) as
described in the Offering Document.
At the same time, 10 of the 18 investment funds in the Scheme outperformed the market median in the 1
year term. Those funds are: Manulife MPF China Value Fund, Manulife MPF Fidelity Growth Fund,
Manulife MPF Fidelity Stable Growth Fund, DIS Funds (Manulife MPF Core Accumulation Fund and
Manulife MPF Age 65 Plus Fund), Manulife MPF Hang Seng Index Tracking Fund, Manulife MPF Hong
Kong Bond Fund, Manulife MPF European Equity Fund, Manulife MPF Japan Equity Fund and Manulife
MPF RMB Bond Fund.
8 out of the 18 investment funds slightly underperformed the market median by a range of 0.31% to 4.56%.
The Manulife MPF Hong Kong Equity and the Manulife MPF North American Equity were the worst
performing funds. For the Manulife MPF North American Equity Fund, the fund significantly
underperformed the benchmark in 2018 but its performance rebounded in 2019. The Trustee conducted an
intensive review with the existing investment manager and also initiated a global manager search to
determine if replacement of the manager was required. The fund is still under close monitoring and action
will be concluded later.
For the Manulife MPF Hong Kong Equity Fund, the Trustee also conducted an intensive review with the
investment manager. The investment manager has committed to add additional resources to the investment
team to strengthen its research capabilities. The fund will be changed to a portfolio managed fund to be
effective in mid-Jul 2019 after which the fund will be split and managed by two managers. It is expected that
such change would help generate a more consistent and acceptable return in the long run.
The underlying sub-investment manager of the European Equity Fund was replaced in mid-January 2019.
The performance has shown significant improvement under the management of the new manager. It reflects
the Trustee's strong global manager search capability and its commitment to take appropriate action to
replace managers as and when required.
Source: Lipper and Manulife Global Select (MPF) Scheme Quarterly Fund Fact Sheet (31 March 2019)
35
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2019
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised ( 1,182,448,691) 108,381,617 ( 19,814,609) ( 734,503,824) 110,836,507 ( 769,353,019) ( 59,828,331) ( 101,327,102)
Income derived from investments - - - - - - - -
Interest on interest bearing securities
Net asset value per unit 19.212 11.122 10.640 19.231 14.393 23.808 16.622 15.520
Net assets available for benefits 23,341,901,072 10,476,036,171 2,145,899,331 17,176,679,172 2,545,165,853 11,594,124,105 4,074,424,934 4,646,987,261
Highest issue price per unit # 20.927 11.118 11.374 20.639 14.415 27.109 16.992 16.376
Lowest redemption price per unit # 17.105 10.992 9.187 17.491 13.526 20.281 16.153 13.352
Net annualised investment return (%) (5.19) 1.21 (0.78) (4.74) 4.61 (7.77) (1.94) (1.89)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2019 to the unit price at 31 March
2018.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
36
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2019 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment 94,650,621 - - - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised - ( 135,435,524) 2,700,118 ( 512,656,190) 14,865,741 ( 172,621,751) ( 38,026,759) ( 1,232,586,625)
Income derived from investments
Interest on interest bearing securities 94,650,621 - - - - - - -
Net asset value per unit N/A 12.198 16.491 24.565 15.358 28.434 21.564 26.441
Net assets available for benefits 21,520,774,781 1,770,111,098 5,302,027,239 8,610,329,481 13,123,366,472 7,583,339,076 6,336,800,288 26,431,770,505
Highest issue price per unit # N/A 13.726 17.831 27.050 15.461 30.221 22.149 28.852
Lowest redemption price per unit # N/A 11.131 13.265 21.856 14.423 25.102 19.929 22.546
Net annualised investment return (%) 0.49 (8.72) 0.99 (6.24) (0.07) (2.50) (1.44) (4.43)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2019 to the unit price at 31 March
2018. The net annualised investment return for MGIT is the sum of credit interest from April 2018 to March 2019 divided by the average monthly net asset value
from 31 March 2018 to 31 March 2019.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
37
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2019 (continued)
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised 2,156,862,266 5,627,054 14,411,401 21,793,804 ( 11,541,326) ( 17,687,531) ( 26,883,694) ( 24,748,155)
Income derived from investments
Interest on interest bearing securities - - - - - - - -
Net asset value per unit 21.975 16.538 10.978 10.686 11.944 12.453 13.127 13.567
Net assets available for benefits 21,984,098,643 4,715,047,227 1,266,750,029 1,222,242,506 371,573,910 559,575,668 622,950,561 580,568,639
Highest issue price per unit # 22.123 17.566 10.993 10.684 12.538 13.172 14.142 14.685
Lowest redemption price per unit # 18.950 14.036 10.281 10.010 11.068 11.525 11.941 12.158
Net annualised investment return (%) 11.68 (0.76) 1.09 1.94 (3.59) (3.21) (4.50) (4.69)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2019 to the unit price at 31 March
2018.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
38
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2019 (continued)
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised ( 26,027,643) ( 19,993,872) ( 35,621,497) 36,961,032 92,809,004
Income derived from investments
Interest on interest bearing securities - - - - -
Net asset value per unit 13.747 13.771 13.850 10.604 11.160
Net assets available for benefits 589,169,811 463,580,158 825,414,008 1,346,732,621 4,810,358,856
Highest issue price per unit # 14.901 14.934 15.004 10.603 11.195
Lowest redemption price per unit # 12.241 12.237 12.310 10.089 10.092
Net annualised investment return (%) (4.71) (4.73) (4.56) 2.72 2.26
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2019 to the unit price at 31 March
2018.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
39
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2018
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - -
Net appreciation of investment
- realised and unrealised 3,334,418,894 13,043,677 128,448,283 1,958,028,544 6,331,500 2,340,696,758 122,531,350 464,563,064
Income derived from investments
Interest on interest bearing securities - - - - - - - -
Net asset value per unit 20.264 10.989 10.724 20.188 13.759 25.813 16.951 15.819
Net assets available for benefits 20,487,437,513 6,798,742,690 2,190,504,280 14,245,789,896 2,058,013,614 10,130,633,991 3,468,672,226 3,862,485,466
Highest issue price per unit # 21.827 10.991 11.584 21.430 14.077 28.456 17.015 16.951
Lowest redemption price per unit # 16.922 10.964 10.003 17.325 13.675 19.397 16.281 13.682
Net annualised investment return (%) 18.91 0.24 6.84 16.04 0.59 32.57 4.16 14.32
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2018 to the unit price at 31 March
2017.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
40
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2018 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment 32,032,686 - - - - - - -
Net appreciation of investment
- realised and unrealised - 258,706,834 386,524,900 1,324,801,691 706,409,640 967,609,144 391,332,544 5,854,751,905
Income derived from investments
Interest on interest bearing securities 32,032,686 - - - - - - -
Net asset value per unit N/A 13.363 16.330 26.200 15.369 29.162 21.879 27.667
Net assets available for benefits 16,964,389,076 1,831,941,516 4,402,084,102 7,773,934,727 12,295,725,042 6,505,616,144 3,917,587,461 27,207,421,314
Highest issue price per unit # N/A 14.528 17.774 27.994 15.924 31.626 22.896 30.315
Lowest redemption price per unit # N/A 11.261 14.502 21.263 14.395 24.446 19.425 21.709
Net annualised investment return (%) 0.22 16.31 10.49 21.85 6.86 18.23 12.53 26.84
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2018 to the unit price at 31 March
2017. The net annualised investment return for MGIT is the sum of credit interest from April 2017 to March 2018 divided by the average monthly net asset value
from 31 March 2017 to 31 March 2018.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
41
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2018 (continued)
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - -
Net appreciation of investment
- realised and unrealised 774,705,812 768,746,521 26,580,210 56,892,527 29,141,056 54,236,060 68,965,178 66,495,113
Income derived from investments
Interest on interest bearing securities - - - - - - - -
Net asset value per unit 19.676 16.664 10.860 10.483 12.389 12.866 13.746 14.235
Net assets available for benefits 17,722,641,767 3,954,002,198 1,150,495,676 1,070,450,728 325,793,272 547,647,368 576,465,704 515,349,593
Highest issue price per unit # 22.177 18.345 11.036 10.492 12.984 13.564 14.661 15.295
Lowest redemption price per unit # 18.581 12.947 10.517 9.657 10.954 11.340 11.794 11.986
Net annualised investment return (%) 4.66 27.06 3.08 8.43 13.03 13.31 16.05 18.04
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2018 to the unit price at 31 March
2017.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
42
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2018 (continued)
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - -
Net appreciation of investment
- realised and unrealised 72,342,649 57,722,306 104,334,354 8,148,980 87,398,516
Income derived from investments
Interest on interest bearing securities - - - - -
Net asset value per unit 14.426 14.455 14.512 10.323 10.913
Net assets available for benefits 533,908,614 416,007,260 748,624,271 673,866,385 2,280,552,863
Highest issue price per unit # 15.530 15.571 15.642 10.413 11.397
Lowest redemption price per unit # 12.083 12.079 12.123 9.998 9.979
Net annualised investment return (%) 18.60 18.86 18.89 N/A N/A
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2018 to the unit price at 31 March
2017.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
43
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2017
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised 2,045,133,547 2,949,777 209,311,696 1,031,352,816 ( 9,393,894) 944,672,413 ( 69,343,114) 412,091,880
Income derived from investments
Interest on interest bearing securities - - - - - - - -
Net asset value per unit 17.041 10.963 10.037 17.397 13.678 19.471 16.274 13.837
Net assets available for benefits 17,605,371,430 4,797,879,971 1,812,701,185 12,072,952,870 1,637,118,079 7,070,574,012 2,815,309,993 3,086,652,307
Highest issue price per unit # 17.151 10.964 10.050 17.480 14.051 19.857 17.173 13.922
Lowest redemption price per unit # 14.529 10.956 8.272 15.492 13.381 15.954 15.938 11.384
Net annualised investment return (%) 13.24 0.07 13.04 9.48 (0.33) 16.05 (2.26) 16.50
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2017 to the unit price at 31 March
2016.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
44
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2017 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment 1,194,970 - - - - - - - -
Net appreciation of investment
- realised and unrealised - 189,996,673 465,294,820 791,012,780 312,261,441 491,175,285 125,682,291 3,027,509,098 704,203,417
Income derived from investments
Interest on interest bearing securities 1,194,970 - - - - - - - -
Net asset value per unit N/A 11.489 14.779 21.501 14.382 24.666 19.443 21.812 18.800
Net assets available for benefits 13,358,384,190 1,422,884,315 3,440,606,268 5,720,971,176 10,119,136,246 5,117,595,684 2,949,401,899 21,725,478,808 16,362,512,276
Highest issue price per unit # N/A 11.781 15.018 21.676 14.493 24.864 19.612 22.342 19.742
Lowest redemption price per unit # N/A 9.384 11.914 17.664 13.779 21.327 18.183 17.376 17.227
Net annualised investment return (%) 0.01 15.58 20.08 16.77 3.34 11.09 4.84 16.21 5.15
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2017 to the unit price at 31 March
2016. The net annualised investment return for MGIT is the sum of credit interest from April 2016 to March 2017 divided by the average monthly net asset value
from 31 March 2016 to 31 March 2017.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
45
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment income and performance record for the year ended/at 31 March 2017 (continued)
MGHS MGPB MGRB MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Net income excluding
net appreciation/depreciation of investment - - - - - - - - - -
Net appreciation/(depreciation) of investment
- realised and unrealised 366,751,887 1,473,866 ( 9,986,431) 9,189,478 21,083,373 31,187,550 31,903,504 35,055,504 28,157,154 51,813,742
Income derived from investments
Interest on interest bearing securities - - - - - - - - - -
Net asset value per unit 13.115 10.536 9.668 10.961 11.355 11.845 12.059 12.164 12.161 12.206
Net assets available for benefits 2,568,277,798 824,794,508 529,551,814 204,148,373 370,917,493 383,287,235 329,268,598 345,649,652 273,136,172 498,824,942
Highest issue price per unit # 13.333 10.853 10.055 11.010 11.404 11.902 12.131 12.238 12.239 12.285
Lowest redemption price per unit # 10.473 10.138 9.559 10.197 10.424 10.455 10.410 10.408 10.390 10.410
Net annualised investment return /
actual net investment return (%) 18.92 0.56 (1.90) 5.59 6.59 9.96 11.99 12.75 12.89 13.06
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2017 to the unit price at 31 March
2016.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
46
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2016
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 17.799 10.958 10.704 18.160 13.730 23.502 16.650 13.224
Lowest redemption price per unit # 13.522 10.954 7.895 14.605 13.323 14.719 15.941 10.530
Net annualised investment return (%) (9.17) 0.00 (11.61) (7.30) 1.23 (17.03) 1.69 (5.32)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2016 to the unit price at 31 March
2015.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
47
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2016 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 11.202 13.628 22.161 14.828 26.479 20.387 26.356 21.071
Lowest redemption price per unit # N/A 8.560 10.803 16.220 13.323 19.868 17.306 16.528 16.826
Net annualised investment return (%) 0.01 (4.05) (1.29) (10.81) (3.07) (9.47) (4.57) (15.67) (10.53)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2016 to the unit price at 31 March
2015. The net annualised investment return for MGIT is the sum of credit interest from April 2015 to March 2016 divided by the average monthly net asset value
from 31 March 2015 to 31 March 2016.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
48
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2016 (continued)
MGHS MGPB MGRB MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 14.755 10.477 10.155 11.381 11.845 12.367 12.570 12.686 12.689 12.734
Lowest redemption price per unit # 9.725 9.783 9.528 9.728 9.907 9.827 9.725 9.701 9.675 9.689
Net annualised investment return /
actual net investment return (%) (14.62) 1.66 (1.32) (4.94) (5.33) (7.29) (8.33) (8.75) (8.91) (8.99)
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2016 to the unit price at 31 March
2015.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
49
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2015
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 16.673 10.954 10.461 17.285 13.628 20.260 16.853 12.749
Lowest redemption price per unit # 15.286 10.931 8.849 16.133 12.863 17.058 16.233 11.422
Net annualised investment return (%) 5.50 0.23 (0.90) 4.01 5.21 13.43 (0.96) 4.74
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2015 to the unit price at 31 March
2014.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
50
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2015 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 10.593 12.720 21.621 14.379 24.675 19.680 22.256 20.534
Lowest redemption price per unit # N/A 8.522 11.131 19.168 13.674 22.260 18.657 18.384 16.104
Net annualised investment return (%) 0.01 16.03 7.80 4.38 4.68 7.65 3.19 17.26 18.51
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2015 to the unit price at 31 March
2014. The net annualised investment return for MGIT is the sum of credit interest from April 2014 to March 2015 divided by the average monthly net asset value
from 31 March 2014 to 31 March 2015.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
51
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2015 (continued)
MGHS MGPB MGRB MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 13.040 10.635 10.133 11.138 11.438 11.739 11.856 11.901 11.911 11.945
Lowest redemption price per unit # 10.989 10.216 9.858 10.590 10.733 10.874 10.902 10.925 10.927 10.955
Net annualised investment return /
actual net investment return (%) 15.88 0.03 1.09 1.69 2.99 4.52 4.99 5.43 5.42 5.53
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2015 to the unit price at 31 March
2014.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
52
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2014
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 15.946 10.931 10.218 16.686 13.416 18.898 16.763 12.097
Lowest redemption price per unit # 13.496 10.926 8.279 14.532 12.675 15.101 15.904 10.098
Net annualised investment return (%) 10.70 0.05 17.93 7.72 (2.89) 5.72 (0.58) 16.12
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2014 to the unit price at 31 March
2013.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
53
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2014 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 9.524 11.731 20.160 13.926 23.202 19.006 20.886 17.091
Lowest redemption price per unit # N/A 7.727 9.272 17.116 13.063 19.796 17.083 16.854 13.655
Net annualised investment return (%) 0.01 11.61 20.87 3.13 0.75 10.30 6.32 (0.95) 23.57
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2014 to the unit price at 31 March
2013. The net annualised investment return for MGIT is the sum of credit interest from April 2013 to March 2014 divided by the average monthly net asset value
from 31 March 2013 to 31 March 2014.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
54
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the period ended/year ended/at 31 March 2014 (continued)
MGHS MGPB MGRB MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 12.090 10.653 10.082 10.845 11.059 11.271 11.354 11.379 11.386 11.411
Lowest redemption price per unit # 9.987 9.802 9.877 9.742 9.688 9.694 9.688 9.680 9.677 9.695
Net annualised investment return /
actual net investment return (%) 1.07 (2.06) (1.21)* 4.65 7.02 8.83 9.65 9.95 10.05 10.07
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2014 to the unit price at 31 March
2013.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
* The actual net investment return of MGRB is calculated based on the ratio of the unit price at 31 March 2014 to the unit price at its launch date on 16 December
2013.
55
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2013
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 14.394 10.929 8.836 15.473 13.368 17.820 16.939 10.476
Lowest redemption price per unit # 11.491 10.925 6.534 12.968 13.011 13.488 16.250 8.166
Net annualised investment return (%) 8.59 0.01 12.35 6.91 1.69 12.57 1.72 9.72
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2013 to the unit price at 31 March
2012.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
56
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2013 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 8.114 9.688 19.590 13.699 20.880 17.923 20.534 13.649
Lowest redemption price per unit # N/A 6.031 7.591 15.607 12.740 16.832 15.726 15.489 10.561
Net annualised investment return (%) 0.01 11.65 10.93 7.00 3.58 8.85 5.57 7.53 18.97
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2013 to the unit price at 31 March
2012. The net annualised investment return for MGIT is the sum of credit interest from April 2012 to March 2013 divided by the average monthly net asset value
from 31 March 2012 to 31 March 2013.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
57
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the period ended/year ended/at 31 March 2013 (continued)
MGHS MGPB MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 11.732 10.545 10.367 10.328 10.355 10.346 10.344 10.341 10.359
Lowest redemption price per unit # 8.968 9.781 9.056 8.646 8.430 8.328 8.297 8.284 8.294
Net annualised investment return /
actual net investment return (%) 10.28* 5.20* 5.04 6.73 7.99 8.54 8.73 8.74 8.82
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2013 to the unit price at its launch
date at 23 Apr 2012 or 31 March 2012.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
* The actual net investment return of MGHS and MGPB is calculated based on the ratio of the unit price at 31 March 2013 to the unit price at its launch date on
23 April 2012.
58
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2012
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 14.666 10.926 8.863 15.653 13.288 18.527 16.635 9.984
Lowest redemption price per unit # 10.961 10.924 6.257 12.447 12.489 11.951 15.594 7.671
Net annualised investment return (%) (8.24 ) 0.01 (8.74 ) (5.97 ) 3.87 (16.33 ) 4.50 (2.36 )
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2012 to the unit price at 31 March
2011.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
59
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2012 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 7.894 8.689 21.444 13.448 21.089 17.603 22.073 11.593
Lowest redemption price per unit # N/A 6.247 6.582 15.531 12.544 15.791 15.118 13.810 8.874
Net annualised investment return (%) 0.01 (5.98 ) 5.19 (12.55 ) (0.92 ) (6.94 ) (1.76 ) (14.61) 6.73
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2012 to the unit price at 31 March
2011. The net annualised investment return for MGIT is the sum of credit interest from April 2011 to March 2012 divided by the average monthly net asset value
from 31 March 2011 to 31 March 2012.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
60
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2012 (continued)
MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 10.418 10.434 10.447 10.439 10.438 10.444 10.457
Lowest redemption price per unit # 8.689 8.238 8.008 7.908 7.879 7.870 7.870
Net annualised investment return (%) (3.58 ) (5.62 ) (6.79 ) (7.26 ) (7.49 ) (7.59 ) (7.56 )
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2012 to the unit price at 31 March
2011.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
61
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2011
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 14.448 10.925 8.596 15.357 12.884 18.968 15.991 9.818
Lowest redemption price per unit # 11.142 10.921 6.387 12.367 12.326 14.078 14.684 7.560
Net annualised investment return (%) 12.24 0.00 9.57 11.07 1.64 9.40 4.68 11.26
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2011 to the unit price at 31 March
2010.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
62
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2011 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 8.399 8.264 20.750 13.469 20.757 17.256 22.189 10.747
Lowest redemption price per unit # N/A 6.723 6.248 15.397 12.255 16.270 14.720 15.803 8.518
Net annualised investment return (%) 0.06 (3.11) 15.16 14.58 4.97 9.94 7.73 17.23 8.30
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2011 to the unit price at 31 March
2010. The net annualised investment return for MGIT is the sum of credit interest from April 2010 to March 2011 divided by the average monthly net asset value
from 31 March 2010 to 31 March 2011.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
63
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/period ended/at 31 March 2011 (continued)
MG15 MG20 MG25 MG30 MG35 MG40 MG45
HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 10.140 10.164 10.191 10.184 10.189 10.194 10.201
Lowest redemption price per unit # 9.835 9.727 9.678 9.643 9.639 9.638 9.646
Net annualised investment return /
actual net investment return (%) 1.33* 1.35* 1.48* 1.36* 1.38* 1.45* 1.52*
* The actual net investment return of each unitised constituent fund above is calculated based on the ratio of the unit price at 31 March 2011 to the unit price at its
launch date on 21 February 2011.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
64
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2010
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # 12.970 10.926 7.847 13.958 12.524 17.243 15.446 8.689
Lowest redemption price per unit # 8.686 10.920 4.994 10.001 11.952 10.446 13.696 5.946
Net annualised investment return (%) 47.70 0.01 55.41 38.22 0.02 57.34 8.50 47.74
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2010 to the unit price at 31 March
2009.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
65
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Performance record for the year ended/at 31 March 2010 (continued)
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV MGHC
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
Highest issue price per unit # N/A 8.021 7.166 18.594 12.816 18.916 16.166 18.322 10.082
Lowest redemption price per unit # N/A 6.091 4.968 11.368 11.097 12.127 11.908 10.994 7.184
Net annualised investment return (%) 0.34 33.37 45.36 58.59 14.31 54.71 33.97 62.90 36.44
The net annualised investment return of each unitised constituent fund is calculated based on the ratio of the unit price at 31 March 2010 to the unit price at 31 March
2009. The net annualised investment return for MGIT is the sum of credit interest from April 2009 to March 2010 divided by the average monthly net asset value
from 31 March 2009 to 31 March 2010.
# Highest issue price per unit and lowest redemption price per unit are determined by reference to published fund prices during the scheme year.
66
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment portfolio at 31 March 2019
Name Quoted investments Holdings Market value Cost % of
of Fund - approved pooled investment fund Units HK$ HK$ net assets
MGAG Aggressive Unit Trust Fund 1,214,965,926 23,341,901,072 20,142,892,761 100.00
MGCP Conservative Unit Trust Fund 941,913,059 10,476,036,171 10,386,543,758 100.00
MGEE European Equity Unit Trust Fund 201,680,827 2,145,899,331 2,091,405,897 100.00
MGGR Growth Unit Trust Fund 893,168,007 17,176,679,172 15,480,152,085 100.00
MGHB Hong Kong Bond Unit Trust Fund 176,835,813 2,545,165,853 2,426,172,182 100.00
MGHE Hong Kong Equity Unit Trust Fund 486,984,420 11,594,124,105 11,063,330,307 100.00
MGIB International Bond Unit Trust Fund 245,125,182 4,074,424,934 4,045,384,012 100.00
MGIE International Equity Unit Trust Fund 299,426,151 4,646,987,261 3,922,971,603 100.00
MGIT Interest Fund Policy N/A 21,520,774,781 21,520,774,781 100.00
MGJE Japan Equity Unit Trust Fund 145,116,719 1,770,111,098 1,767,758,804 100.00
MGNE North American Equity Unit Trust Fund 321,511,406 5,302,027,239 4,920,198,083 100.00
MGPE Pacific Asia Equity Unit Trust Fund 350,513,046 8,610,329,481 7,992,034,338 100.00
MGST Stable Fund Policy 854,472,231 13,123,366,472 12,142,963,924 100.00
MGFG Growth Unit Trust Fund (Series I) 266,697,161 7,583,339,076 6,534,830,782 100.00
MGFS Stable Growth Unit Trust Fund 293,866,078 6,336,800,288 5,904,566,738 100.00
MGCV China Value Unit Trust Fund 999,659,749 26,431,770,505 22,616,059,250 100.00
MGHC Healthcare Unit Trust Fund 1,000,420,009 21,984,098,643 19,159,764,420 100.00
MGHS Hang Seng Index Tracking
Unit Trust Fund 285,100,043 4,715,047,227 4,419,343,243 100.00
MGPB Pacific Asia Bond Unit Trust Fund 115,386,468 1,266,750,029 1,228,477,624 100.00
MGRB RMB Bond Unit Trust Fund 114,383,106 1,222,242,506 1,173,963,471 100.00
67
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Investment portfolio at 31 March 2019 (continued)
Name Quoted investments Holdings Market value Cost % of
of Fund - approved pooled investment fund Units HK$ HK$ net assets
MG15 Smart Retirement Unit Trust Fund 31,108,611 371,573,910 356,737,388 100.00
MG20 2020 Retirement Unit Trust Fund 44,934,734 559,575,668 522,973,576 100.00
MG25 2025 Retirement Unit Trust Fund 47,455,690 622,950,561 574,837,430 100.00
MG30 2030 Retirement Unit Trust Fund 42,791,144 580,568,639 530,830,849 100.00
MG35 2035 Retirement Unit Trust Fund 42,857,575 589,169,811 533,233,627 100.00
MG40 2040 Retirement Unit Trust Fund 33,663,375 463,580,158 419,548,906 100.00
MG45 2045 Retirement Unit Trust Fund 59,597,673 825,414,008 752,320,090 100.00
MGAP Age 65 Plus Unit Trust Fund 127,004,502 1,346,732,621 1,304,692,127 100.00
MGCA Core Accumulation Unit Trust Fund 431,034,774 4,810,358,856 4,657,686,960 100.00
Note: Investments are accounted for on a trade day basis.
68
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Statement of movement in portfolio holdings
Year Year
ended ended
31 March 2019 31 March 2018
Name Quoted investments % of % of
of Fund - approved pooled investment fund net assets net assets
MGAG Aggressive Unit Trust Fund 100.00 100.00
MGCP Conservative Unit Trust Fund 100.00 100.00
MGEE European Equity Unit Trust Fund 100.00 100.00
MGGR Growth Unit Trust Fund 100.00 100.00
MGHB Hong Kong Bond Unit Trust Fund 100.00 100.00
MGHE Hong Kong Equity Unit Trust Fund 100.00 100.00
MGIB International Bond Unit Trust Fund 100.00 100.00
MGIE International Equity Unit Trust Fund 100.00 100.00
MGIT Interest Fund Policy 100.00 100.00
MGJE Japan Equity Unit Trust Fund 100.00 100.00
MGNE North American Equity Unit Trust Fund 100.00 100.00
MGPE Pacific Asia Equity Unit Trust Fund 100.00 100.00
MGST Stable Fund Policy 100.00 100.00
MGFG Growth Unit Trust Fund (Series I) 100.00 100.00
MGFS Stable Growth Unit Trust Fund 100.00 100.00
MGCV China Value Unit Trust Fund 100.00 100.00
MGHC Healthcare Unit Trust Fund 100.00 100.00
MGHS Hang Seng Index Tracking Unit Trust Fund 100.00 100.00
MGPB Pacific Asia Bond Unit Trust Fund 100.00 100.00
MGRB RMB Bond Unit Trust Fund 100.00 100.00
69
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Statement of movement in portfolio holdings (continued)
Year Year
ended ended
31 March 2019 31 March 2018
Name Quoted investments % of % of
of Fund - approved pooled investment fund net assets net assets
MG15 Smart Retirement Unit Trust Fund 100.00 100.00
MG20 2020 Retirement Unit Trust Fund 100.00 100.00
MG25 2025 Retirement Unit Trust Fund 100.00 100.00
MG30 2030 Retirement Unit Trust Fund 100.00 100.00
MG35 2035 Retirement Unit Trust Fund 100.00 100.00
MG40 2040 Retirement Unit Trust Fund 100.00 100.00
MG45 2045 Retirement Unit Trust Fund 100.00 100.00
MGAP Age 65 Plus Unit Trust Fund 100.00 100.00
MGCA Core Accumulation Unit Trust Fund 100.00 100.00
70
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Fund expense ratio
Year ended Year ended
Name Quoted investments 31 March 2019 31 March 2018
of Fund - approved pooled investment fund % %
MGAG Aggressive Unit Trust Fund 1.82 2.09
MGCP Conservative Unit Trust Fund 0.75 0.77
MGEE European Equity Unit Trust Fund 1.85 1.94
MGGR Growth Unit Trust Fund 1.80 2.06
MGHB Hong Kong Bond Unit Trust Fund 1.28 1.54
MGHE Hong Kong Equity Unit Trust Fund 1.82 1.95
MGIB International Bond Unit Trust Fund 1.28 1.53
MGIE International Equity Unit Trust Fund 1.81 2.33
MGIT Interest Fund Policy 1.78 1.79
MGJE Japan Equity Unit Trust Fund 1.84 1.94
MGNE North American Equity Unit Trust Fund 1.82 2.81
MGPE Pacific Asia Equity Unit Trust Fund 1.86 1.97
MGST Stable Fund Policy 1.82 1.98
MGFG Growth Unit Trust Fund (Series I) 1.86 2.00
MGFS Stable Growth Unit Trust Fund 1.79 1.98
MGCV China Value Unit Trust Fund 2.00 2.02
MGHC Healthcare Unit Trust Fund 1.92 1.98
MGHS Hang Seng Index Tracking Unit Trust Fund 1.00 1.01
MGPB Pacific Asia Bond Unit Trust Fund 1.36 1.59
MGRB RMB Bond Unit Trust Fund 1.22 1.24
71
MANULIFE GLOBAL SELECT (MPF) SCHEME
INVESTMENT REPORT
Year ended 31 March 2019
Fund expense ratio (continued)
Year ended Year ended
Name Quoted investments 31 March 2019 31 March 2018
of Fund - approved pooled investment fund % %
MG15 Smart Retirement Unit Trust Fund 1.39 2.11
MG20 2020 Retirement Unit Trust Fund 1.38 2.08
MG25 2025 Retirement Unit Trust Fund 1.37 2.10
MG30 2030 Retirement Unit Trust Fund 1.38 2.12
MG35 2035 Retirement Unit Trust Fund 1.37 2.13
MG40 2040 Retirement Unit Trust Fund 1.39 2.15
MG45 2045 Retirement Unit Trust Fund 1.36 2.12
MGAP Age 65 Plus Unit Trust Fund 0.76 0.78
MGCA Core Accumulation Unit Trust Fund 0.75 0.74
Ernst & Young 22/F, CITIC Tower 1 Tim Mei Avenue Central, Hong Kong
INDEPENDENT AUDITOR'S REPORT
$.';;k~ttCifi!JJtrJr Tel 'l!W!i: +852 2846 9888 wif!q:iJi~~il':tl 51k Fax 11!1{: +852 2868 4432 'llffl*Ja:22tl ey.com
TO THE TRUSTEE OF MANULIFE GLOBAL SELECT (MPF) SCHEME
Report on the audit of the financial statements
Opinion
We have audited the financial statements of Manulife Global Select (MPF) Scheme (the "Scheme") set out on pages 75 to 142, which comprise the statement of net assets available for benefits as at 31 March 2019, and the statement of profit or loss and other comprehensive income, the statement of changes in net assets available for benefits and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, the financial statements give a true and fair view of the financial position of the Scheme as at 31 March 2019, and its financial transactions and cash flows for the year then ended in accordance with Hong Kong Financial Reporting Standards ("HKFRSs") issued by the Hong Kong Institute of Certified Public Accountants ("HKICPA").
Basis for opinion
We conducted our audit in accordance with Hong Kong Standards on Auditing ("HKSAs") and with reference to Practice Note 860.1 (Revised), The Audit of Retirement Schemes issued by the HKICPA. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Scheme in accordance with the HKICPA's Code of Ethics for Professional Accountants (the "Code"), and we have fulfilled our other ethical responsibilities in accordance with the Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Information other than the financial statements and auditor's report thereon
The trustee of the Scheme is responsible for the other information. The other information comprises the information included in the consolidated report, other than the financial statements, our auditor's report and independent auditor's assurance report.
Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report the fact. We have nothing to report in this regard.
72
A member fir'm Of Ernst & Young Global l imited
INDEPENDENT AUDITOR'S REPORT {continued) TO THE TRUSTEE OF MANULIFE GLOBAL SELECT {MPF) SCHEME
Responsibilities of trustee for the financial statements
The trustee is responsible for the preparation of financial statements that give a true and fair view in accordance with HKFRSs issued by the HKICPA and for such internal control as the trustee determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustee is responsible for assessing the Scheme's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustee either intends to liquidate the Scheme or to cease operations, or has no realistic alternative but to do so.
In addition, the trustee is required to ensure that the financial statements have been properly prepared in accordance with sections 80, 81, 83 and 84 of the Mandatory Provident Fund Schemes (General) Regulation (the "General Regulation").
Auditor's responslbllities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Our report is made solely to you, as a body, in accordance with Section 102 of the General Regulation, and for no other purpose. We do not assume responsibility towards or accept liability to any other person for the contents of this report.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with HKSAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. In addition, we are required to assess whether the financial statements of the Scheme have been properly prepared, in all material respects, in accordance with sections 80, 81, 83 and 84 of the General Regulation.
As part of an audit in accordance with HKSAs, we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Scheme's internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustee.
73
A member firm of Ernst & Young Global limited
INDEPENDENT AUDITOR'S REPORT (continued) TO THE TRUSTEE OF MANULIFE GLOBAL SELECT (MPF) SCHEME
Auditor's responsibilities for the audit of the financial statements (continued)
• Conclude on the appropriateness of the trustee's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Scheme's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Scheme to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with the trustee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Report on matters under the Mandatory Provident Fund Schemes (General) Regulation
a. In our opinion, the financial statements have been properly prepared, in all material respects, in accordance with Sections 80, 81, 83 and 84 of the General Regulation.
b. We have obtained all the information and explanations which, to the best of our knowledge and belief, are necessary for the purpose of our audit.
Certified Public Accountants Hong Kong 17 September 2019
A member firm ot Ernst & Young Global limited
74
75
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
Year ended 31 March 2019
2019 2018
HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal of investments
at fair value through profit or loss 3,126,993,304 7,076,637,670
Net change in unrealised gains/losses on investments
at fair value through profit or loss (5,588,200,282) 13,389,303,026 ______________ _____________
(2,461,206,978) 20,465,940,696
OTHER INCOME
Interest income 322,928 7,374 ______________ _____________
(2,460,884,050) 20,465,948,070
EXPENSES
Bank charges 40,005 28,140 ______________ _____________
(LOSS)/PROFIT AND TOTAL COMPREHENSIVE
INCOME FOR THE YEAR (2,460,924,055) 20,465,919,930 ______________ _____________ ______________ _____________
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS
At 31 March 2019
ASSETS Investments at fair value through profit or loss Contribution receivables from employers Contribution receivables from employees Amounts receivable on sale of investments Other receivables Cash and cash equivalents
TOTAL ASSETS
LIABILITIES Benefits payable Amounts payable on purchase of investments Other payables
TOTAL LIABILITIES
EQUITY Net assets available for benefits
TOTAL LIABILITIES AND EQUITY
Notes
6
ll(b) ll(b)
7
ll(b)
2019 HK$
206,037,799,476 546,278,981 349,485,370 534,650,435 41,424,800
581,265,446
208,090,904,508
107,008,330 504,181,480 189,000,687
800,190,497
207,290,714,011
208,090,904,508
For and on behalf of Manulife Provident Funds Trust Company Limited
\A,,... . .......................... . ~\fung Directot\
76
2018 HK$
174,656,784,757 455,651,362 308,937,723 620,526,661 41,982,049
441,726,902
176,525,609,454
110,610,810 529,770,320 212,294,911
852,676,041
175,672,933,413
176,525,609,454
77
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
Year ended 31 March 2019
Notes 2019 2018
HK$ HK$
BALANCE BROUGHT FORWARD 175,672,933,413 138,307,477,117 ______________ ______________
CONTRIBUTIONS RECEIVED AND RECEIVABLE 4
From employers
Normal or mandatory 5,983,202,559 5,063,916,535
Additional voluntary 1,176,207,048 844,626,717
From members
Normal or mandatory 5,873,953,969 4,975,899,607
Additional voluntary 384,599,898 573,925,760
Transfers in
Group transfers in from other schemes 3,886,529,097 5,244,687,392
Individual transfers in from other schemes 27,683,894,703 11,148,748,534 ______________ ______________
44,988,387,274 27,851,804,545 ______________ ______________
BENEFITS PAID AND PAYABLE 5
Death or disability benefits ( 224,269,058) ( 188,900,096)
Lump sum retirement benefits ( 1,997,411,303) ( 1,832,734,454)
Payments to and on account of leavers
Refunds of contributions ( 2,653,920,403) ( 2,409,136,227)
Group transfers out to other schemes ( 149,675,233) ( 155,821,542)
Individual transfers out to other schemes ( 5,522,288,987) ( 5,740,456,102)
Withdrawal from special voluntary contribution ( 362,117,637) ( 625,219,758) ______________ ______________
( 10,909,682,621) ( 10,952,268,179) ______________ ______________ 209,751,638,066 155,207,013,483
Total comprehensive income for the year ( 2,460,924,055) 20,465,919,930 ______________ ______________
BALANCE CARRIED FORWARD 207,290,714,011 175,672,933,413 ______________ ______________ ______________ ______________
78
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS
Year ended 31 March 2019
Note 2019 2018
HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
(Loss)/profit for the year ( 2,460,924,055) 20,465,919,930
Adjustments for:
Net change in unrealised gains/losses on investments
at fair value through profit or loss 5,588,200,282 ( 13,389,303,026)
Net realised gains on disposal of investments
at fair value through profit or loss ( 3,126,993,304) ( 7,076,637,670)
Interest income ( 322,928) ( 7,374) _______________ ______________
( 40,005) ( 28,140)
Decrease/(increase) in other receivables 557,249 ( 12,263,720)
(Decrease)/increase in other payables ( 23,294,224) 61,008,908 _______________ ______________
Net cash flows (used in)/from operating activities ( 22,776,980) 48,717,048 _______________ ______________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value
through profit or loss – in cash (92,002,456,142) ( 84,606,131,795)
Purchases of investments at fair value
through profit or loss – in specie * ( 9,439,271,204) -
Sales of investments at fair value through profit or loss 67,754,443,656 67,842,602,824
Interest received 322,928 7,374 _______________ ______________
Net cash flows used in investing activities (33,686,960,762) ( 16,763,521,597) _______________ ______________
CASH FLOWS FROM FINANCING ACTIVITIES
Contributions received – in cash 35,323,290,183 27,697,744,508
Contributions received – in specie * 9,439,271,204 -
Benefits paid (10,913,285,101) ( 10,914,391,695) _______________ ______________
Net cash flows from financing activities 33,849,276,286 16,783,352,813 _______________ ______________
NET INCREASE IN CASH AND CASH EQUIVALENTS 139,538,544 68,548,264
Cash and cash equivalents at beginning of year 441,726,902 373,178,638 _______________ ______________
CASH AND CASH EQUIVALENTS AT END OF YEAR 581,265,446 441,726,902 _______________ ______________ _______________ ______________
ANALYSIS OF BALANCES OF CASH AND CASH
EQUIVALENTS
Bank balances 7 581,265,446 441,726,902 _______________ _____________ _______________ _____________
* The purchase and subscription were done in specie arising from the scheme merger arrangement. Please
refer to note 1 to the financial statements for details.
79
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS
Year ended 31 March 2019
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains/(losses) on disposal
of investments at fair value
through profit or loss 400,168,931 29,767,571 3,146,903 246,134,560 4,479,162 240,763,736 (3,782,914) 118,233,103
Net change in unrealised gains/losses on
investments at fair value
through profit or loss (1,582,617,622) 78,614,046 (22,961,512) (980,638,384) 106,357,345 (1,010,116,755) (56,045,417) (219,560,205) ____________ __________ ___________ ____________ __________ ____________ __________ __________
(LOSS)/PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR (1,182,448,691) 108,381,617 (19,814,609) (734,503,824) 110,836,507 ( 769,353,019) (59,828,331) (101,327,102) ____________ __________ ___________ ____________ __________ ____________ __________ __________ ____________ __________ ___________ ____________ __________ ____________ __________ __________
80
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised (losses)/gains on disposal
of investments at fair value
through profit or loss - (143,390,709) 180,033,488 247,531,014 125,897,639 140,139,112 47,904,254 801,365,032
Net change in unrealised gains/losses on
investments at fair value
through profit or loss - 7,955,185 (177,333,370) (760,187,204) (111,031,898) (312,760,863) (85,931,013) (2,033,951,657) _________ ___________ ___________ ____________ ___________ ___________ __________ ____________
- (135,435,524) 2,700,118 (512,656,190) 14,865,741 (172,621,751) (38,026,759) (1,232,586,625)
OTHER INCOME
Interest income 94,650,621 - - - - - - - _________ ___________ ___________ ____________ ___________ ___________ __________ ____________
PROFIT/(LOSS) AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 94,650,621 (135,435,524) 2,700,118 (512,656,190) 14,865,741 (172,621,751) (38,026,759) (1,232,586,625) _________ ___________ ___________ ____________ ___________ ___________ __________ ____________ _________ ___________ ___________ ____________ ___________ ___________ __________ ____________
81
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains/(losses) on disposal
of investments at fair value
through profit or loss 407,905,492 116,240,820 ( 1,431,534) 6,212,656 2,782,160 7,413,460 8,151,566 7,259,676
Net change in unrealised gains/losses on
investment at fair value
through profit or loss 1,748,956,774 (110,613,766) 15,842,935 15,581,148 (14,323,486) (25,100,991) (35,035,260) (32,007,831) ____________ ___________ __________ __________ __________ __________ __________ __________
PROFIT/(LOSS) AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 2,156,862,266 5,627,054 14,411,401 21,793,804 (11,541,326) (17,687,531) (26,883,694) (24,748,155) ____________ ___________ __________ __________ __________ __________ __________ __________ ____________ ___________ __________ __________ __________ __________ __________ __________
82
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal
of investments at fair value
through profit or loss 8,388,864 7,127,875 13,819,552 1,476,249 8,604,965
Net change in unrealised gains/losses on
investment at fair value
through profit or loss (34,416,507) (27,121,747) (49,441,049) 35,484,783 84,204,039 __________ __________ __________ _________ __________
(LOSS)/PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR (26,027,643) (19,993,872) (35,621,497) 36,961,032 92,809,004 __________ __________ __________ _________ __________ __________ __________ __________ _________ __________
83
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS
Year ended 31 March 2018
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal
of investments at fair value
through profit or loss 614,757,323 7,063,919 148,331,636 325,695,262 13,394,918 1,245,630,191 17,306,407 175,920,418
Net change in unrealised gains/losses on
investments at fair value
through profit or loss 2,719,661,571 5,979,758 ( 19,883,353) 1,632,333,282 ( 7,063,418) 1,095,066,567 105,224,943 288,642,646 ____________ _________ ___________ ____________ __________ ____________ __________ __________
PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 3,334,418,894 13,043,677 128,448,283 1,958,028,544 6,331,500 2,340,696,758 122,531,350 464,563,064 ____________ _________ ___________ ____________ __________ ____________ __________ __________ ____________ _________ ___________ ____________ __________ ____________ __________ __________
84
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal
of investments at fair value
through profit or loss - 311,372,516 333,403,234 486,182,917 210,705,358 239,371,865 79,324,772 1,628,344,923
Net change in unrealised gains/losses on
investments at fair value
through profit or loss - ( 52,665,682) 53,121,666 838,618,774 495,704,282 728,237,279 312,007,772 4,226,406,982 _________ ___________ ___________ ____________ ___________ ___________ __________ ____________
- 258,706,834 386,524,900 1,324,801,691 706,409,640 967,609,144 391,332,544 5,854,751,905
OTHER INCOME
Interest income 32,032,686 - - - - - - - _________ __________ ___________ ____________ ___________ ___________ __________ ____________
PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 32,032,686 258,706,834 386,524,900 1,324,801,691 706,409,640 967,609,144 391,332,544 5,854,751,905 _________ __________ ___________ ____________ ___________ ___________ __________ ____________ _________ __________ ___________ ____________ ___________ ___________ __________ ____________
85
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal
of investments at fair value
through profit or loss 513,854,754 552,119,572 12,222,217 12,046,196 7,744,021 12,377,942 14,139,472 13,722,356
Net change in unrealised gains/losses on
investment at fair value
through profit or loss 260,851,058 216,626,949 14,357,993 44,846,331 21,397,035 41,858,118 54,825,706 52,772,757 __________ __________ __________ __________ __________ __________ __________ __________
PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 774,705,812 768,746,521 26,580,210 56,892,527 29,141,056 54,236,060 68,965,178 66,495,113 __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________ __________
86
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
INVESTMENT INCOME
Net realised gains on disposal
of investments at fair value
through profit or loss 12,680,206 11,287,819 25,080,841 1,593,270 18,930,659
Net change in unrealised gains/losses on
investment at fair value
through profit or loss 59,662,443 46,434,487 79,253,513 6,555,710 68,467,857 __________ __________ __________ _________ __________
PROFIT AND TOTAL
COMPREHENSIVE INCOME
FOR THE YEAR 72,342,649 57,722,306 104,334,354 8,148,980 87,398,516 __________ __________ __________ _________ __________ __________ __________ __________ _________ __________
87
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS
At 31 March 2019
Notes MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 23,341,901,072 10,476,036,171 2,145,899,331 17,176,679,172 2,545,165,853 11,594,124,105 4,074,424,934 4,646,987,261
Amounts receivable on subscription 11(b) 21,874,065 27,559,965 2,958,980 10,552,007 13,891,640 90,524,370 4,576,170 2,693,253
Amounts receivable on sale of investments 11(b) 12,909,605 44,867,278 2,668,274 64,157,805 4,104,314 112,720,327 3,377,871 2,150,608 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL ASSETS 23,376,684,742 10,548,463,414 2,151,526,585 17,251,388,984 2,563,161,807 11,797,368,802 4,082,378,975 4,651,831,122 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 12,909,605 44,867,278 2,668,274 64,157,805 4,104,314 112,720,327 3,377,871 2,150,608
Amounts payable on purchase of investments 11(b) 21,874,065 27,559,965 2,958,980 10,552,007 13,891,640 90,524,370 4,576,170 2,693,253 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 34,783,670 72,427,243 5,627,254 74,709,812 17,995,954 203,244,697 7,954,041 4,843,861 _________ _________ _________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 23,341,901,072 10,476,036,171 2,145,899,331 17,176,679,172 2,545,165,853 11,594,124,105 4,074,424,934 4,646,987,261 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 23,376,684,742 10,548,463,414 2,151,526,585 17,251,388,984 2,563,161,807 11,797,368,802 4,082,378,975 4,651,831,122 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE 1,214,965,926 941,913,059 201,680,827 893,168,007 176,835,813 486,984,420 245,125,182 299,426,151 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT 19.212 11.122 10.640 19.231 14.393 23.808 16.622 15.520 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________
88
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
At 31 March 2019
Notes MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 21,520,774,781 1,770,111,098 5,302,027,239 8,610,329,481 13,123,366,472 7,583,339,076 6,336,800,288 26,431,770,505
Amounts receivable on subscription 11(b) 56,973,333 170,196,116 8,271,082 13,245,626 7,037,688 5,855,939 3,960,822 15,042,346
Amounts receivable on sale of investments 11(b) 58,860,774 18,762,757 9,000,899 78,835,204 17,665,205 5,711,353 4,368,411 27,941,789 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL ASSETS 21,636,608,888 1,959,069,971 5,319,299,220 8,702,410,311 13,148,069,365 7,594,906,368 6,345,129,521 26,474,754,640 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 58,860,774 18,762,757 9,000,899 78,835,204 17,665,205 5,711,353 4,368,411 27,941,789
Amounts payable on purchase of investments 11(b) 56,973,333 170,196,116 8,271,082 13,245,626 7,037,688 5,855,939 3,960,822 15,042,346 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 115,834,107 188,958,873 17,271,981 92,080,830 24,702,893 11,567,292 8,329,233 42,984,135 __________ _________ _________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 21,520,774,781 1,770,111,098 5,302,027,239 8,610,329,481 13,123,366,472 7,583,339,076 6,336,800,288 26,431,770,505 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 21,636,608,888 1,959,069,971 5,319,299,220 8,702,410,311 13,148,069,365 7,594,906,368 6,345,129,521 26,474,754,640 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE N/A 145,116,719 321,511,406 350,513,046 854,472,231 266,697,161 293,866,078 999,659,749 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT N/A 12.198 16.491 24.565 15.358 28.434 21.564 26.441 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________
89
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
At 31 March 2019
Notes MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 21,984,098,643 4,715,047,227 1,266,750,029 1,222,242,506 371,573,910 559,575,668 622,950,561 580,568,639
Amounts receivable on subscription 11(b) 19,881,703 18,859,841 1,694,211 2,681,920 114,233 48,939 880,439 13,584
Amounts receivable on sale of investments 11(b) 17,663,321 30,624,184 3,858,852 2,673,664 985,766 567,586 479,782 335,362 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL ASSETS 22,021,643,667 4,764,531,252 1,272,303,092 1,227,598,090 372,673,909 560,192,193 624,310,782 580,917,585 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 17,663,321 30,624,184 3,858,852 2,673,664 985,766 567,586 479,782 335,362
Amounts payable on purchase of investments 11(b) 19,881,703 18,859,841 1,694,211 2,681,920 114,233 48,939 880,439 13,584 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 37,545,024 49,484,025 5,553,063 5,355,584 1,099,999 616,525 1,360,221 348,946 __________ _________ _________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 21,984,098,643 4,715,047,227 1,266,750,029 1,222,242,506 371,573,910 559,575,668 622,950,561 580,568,639 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 22,021,643,667 4,764,531,252 1,272,303,092 1,227,598,090 372,673,909 560,192,193 624,310,782 580,917,585 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE 1,000,420,009 285,100,043 115,386,468 114,383,106 31,108,611 44,934,734 47,455,690 42,791,144 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT 21.975 16.538 10.978 10.686 11.944 12.453 13.127 13.567 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS ( continued)
At 31 March 2019
Notes MG35 MG40 MG45 MGAP MGCA HK$ HK$ HK$ HK$ HK$
ASSETS Investments at fair value through
profit or loss 6 589,169,811 463,580,158 825,414,008 1,346,732,621 4,810,358,856 Amounts receivable on subscription I l(b) 738,567 113,818 541,937 2,159,526 1,239,360 Amounts receivable on sale of investments 11 (b) 258,176 267,317 291,059 3,582,115 4,960,777
TOTAL ASSETS 590,166,554 463,961,293 826,247,004 1,352,474,262 4,816,558,993
LIABILITIES Amounts payable on redemption ll(b) 258,176 267,317 291,059 3,582,11 5 4,960,777 Amounts payable on purchase of
investments ll(b) 738,567 I 13,818 541 ,937 2,159,526 1,239,360
TOTAL LIABILlTIES 996,743 381,135 832,996 5,741,641 6,200,137
EQUITY Net assets av<1ilable for benefits 589,169,811 463,580,158 825,414,008 1,346,732,621 4,810,358,856
TOTAL LIABILITIES AND EQUITY 590,166,554 463,961,293 826,247,004 1,352,474,262 4,816,558,993
CAPITALACCOUNT'S UNITS IN ISSUE 42,857,575 33,663,375 59,597,673 127,004,502 431,034,774
NET ASSET VALUE PER UNIT 13.747 13.771 13.850 10.604 11.160
For and on behalf of Manulife Provident Funds Tmst Company Limited
90
91
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS
At 31 March 2018
Notes MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 20,487,437,513 6,798,742,690 2,190,504,280 14,245,789,896 2,058,013,614 10,130,633,991 3,468,672,226 3,862,485,466
Amounts receivable on subscription 11(b) 14,055,125 46,469,831 4,326,764 28,738,412 4,999,240 42,674,839 9,357,751 3,345,654
Amounts receivable on sale of investments 11(b) 21,438,815 59,431,175 5,926,602 35,803,974 8,313,060 69,304,059 9,417,770 8,608,948 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL ASSETS 20,522,931,453 6,904,643,696 2,200,757,646 14,310,332,282 2,071,325,914 10,242,612,889 3,487,447,747 3,874,440,068 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 21,438,815 59,431,175 5,926,602 35,803,974 8,313,060 69,304,059 9,417,770 8,608,948
Amounts payable on purchase of investments 11(b) 14,055,125 46,469,831 4,326,764 28,738,412 4,999,240 42,674,839 9,357,751 3,345,654 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 35,493,940 105,901,006 10,253,366 64,542,386 13,312,300 111,978,898 18,775,521 11,954,602 _________ _________ _________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 20,487,437,513 6,798,742,690 2,190,504,280 14,245,789,896 2,058,013,614 10,130,633,991 3,468,672,226 3,862,485,466 _________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 20,522,931,453 6,904,643,696 2,200,757,646 14,310,332,282 2,071,325,914 10,242,612,889 3,487,447,747 3,874,440,068 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE 1,011,035,309 618,684,852 204,254,993 705,672,754 149,570,954 392,466,281 204,631,916 244,174,046 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT 20.264 10.989 10.724 20.188 13.759 25.813 16.951 15.819 _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________
92
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
At 31 March 2018
Notes MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 16,964,389,076 1,831,941,516 4,402,084,102 7,773,934,727 12,295,725,042 6,505,616,144 3,917,587,461 27,207,421,314
Amounts receivable on subscription 11(b) 98,939,131 90,326,638 9,953,485 25,066,419 17,519,100 6,035,728 7,132,246 30,643,651
Amounts receivable on sale of investments 11(b) 114,657,800 41,652,954 28,623,679 15,509,945 18,853,151 10,613,839 7,541,199 62,850,217 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL ASSETS 17,177,986,007 1,963,921,108 4,440,661,266 7,814,511,091 12,332,097,293 6,522,265,711 3,932,260,906 27,300,915,182 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 114,657,800 41,652,954 28,623,679 15,509,945 18,853,151 10,613,839 7,541,199 62,850,217
Amounts payable on purchase of investments 11(b) 98,939,131 90,326,638 9,953,485 25,066,419 17,519,100 6,035,728 7,132,246 30,643,651 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 213,596,931 131,979,592 38,577,164 40,576,364 36,372,251 16,649,567 14,673,445 93,493,868 __________ _________ _________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 16,964,389,076 1,831,941,516 4,402,084,102 7,773,934,727 12,295,725,042 6,505,616,144 3,917,587,461 27,207,421,314 __________ _________ _________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 17,177,986,007 1,963,921,108 4,440,661,266 7,814,511,091 12,332,097,293 6,522,265,711 3,932,260,906 27,300,915,182 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE N/A 137,085,960 269,566,307 296,716,606 800,052,382 223,084,832 179,058,051 983,373,994 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT N/A 13.363 16.330 26.200 15.369 29.162 21.879 27.667 __________ _________ _________ _________ _________ _________ _________ _________ __________ _________ _________ _________ _________ _________ _________ _________
93
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
At 31 March 2018
Notes MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 17,722,641,767 3,954,002,198 1,150,495,676 1,070,450,728 325,793,272 547,647,368 576,465,704 515,349,593
Amounts receivable on subscription 11(b) 9,256,698 33,684,214 3,320,162 20,391,602 573,336 514,688 1,713,524 2,720,938
Amounts receivable on sale of investments 11(b) 39,158,334 31,887,802 3,726,256 8,992,989 1,336,877 533,344 980,702 529,566 _________ _________ ________ _________ _________ _________ _________ _________
TOTAL ASSETS 17,771,056,799 4,019,574,214 1,157,542,094 1,099,835,319 327,703,485 548,695,400 579,159,930 518,600,097 _________ _________ ________ _________ _________ _________ _________ _________ _________ _________ ________ _________ _________ _________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 39,158,334 31,887,802 3,726,256 8,992,989 1,336,877 533,344 980,702 529,566
Amounts payable on purchase of investments 11(b) 9,256,698 33,684,214 3,320,162 20,391,602 573,336 514,688 1,713,524 2,720,938 _________ _________ ________ _________ _________ _________ _________ _________
TOTAL LIABILITIES 48,415,032 65,572,016 7,046,418 29,384,591 1,910,213 1,048,032 2,694,226 3,250,504 _________ _________ ________ _________ _________ _________ _________ _________
EQUITY
Net assets available for benefits 17,722,641,767 3,954,002,198 1,150,495,676 1,070,450,728 325,793,272 547,647,368 576,465,704 515,349,593 _________ _________ ________ _________ _________ _________ _________ _________
TOTAL LIABILITIES AND EQUITY 17,771,056,799 4,019,574,214 1,157,542,094 1,099,835,319 327,703,485 548,695,400 579,159,930 518,600,097 _________ _________ ________ _________ _________ _________ _________ _________ _________ _________ ________ _________ _________ _________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE 900,740,157 237,278,310 105,941,413 102,116,696 26,296,953 42,564,635 41,935,993 36,202,939 _________ _________ ________ _________ _________ _________ _________ _________ _________ _________ ________ _________ _________ _________ _________ _________ NET ASSET VALUE PER UNIT 19.676 16.664 10.860 10.483 12.389 12.866 13.746 14.235 _________ _________ ________ _________ _________ _________ _________ _________ _________ _________ ________ _________ _________ _________ _________ _________
94
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
At 31 March 2018
Notes MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
ASSETS
Investments at fair value through profit or loss 6 533,908,614 416,007,260 748,624,271 673,866,385 2,280,552,863
Amounts receivable on subscription 11(b) 606,401 981,612 812,205 14,269,044 1,341,882
Amounts receivable on sale of investments 11(b) 1,109,030 779,654 999,730 1,444,363 10,500,827 _________ _________ ________ _________ _________
TOTAL ASSETS 535,624,045 417,768,526 750,436,206 689,579,792 2,292,395,572 _________ _________ ________ _________ _________ _________ _________ ________ _________ _________ LIABILITIES
Amounts payable on redemption 11(b) 1,109,030 779,654 999,730 1,444,363 10,500,827
Amounts payable on purchase of investments 11(b) 606,401 981,612 812,205 14,269,044 1,341,882 _________ _________ ________ _________ _________
TOTAL LIABILITIES 1,715,431 1,761,266 1,811,935 15,713,407 11,842,709 _________ _________ ________ _________ _________
EQUITY
Net assets available for benefits 533,908,614 416,007,260 748,624,271 673,866,385 2,280,552,863 _________ _________ ________ _________ _________
TOTAL LIABILITIES AND EQUITY 535,624,045 417,768,526 750,436,206 689,579,792 2,292,395,572 _________ _________ ________ _________ _________ _________ _________ ________ _________ _________ CAPITAL ACCOUNT'S UNITS
IN ISSUE 37,009,052 28,779,286 51,586,038 65,275,113 208,966,605 _________ _________ ________ _________ _________ _________ _________ ________ _________ _________ NET ASSET VALUE PER UNIT 14.426 14.455 14.512 10.323 10.913 _________ _________ ________ _________ _________ _________ _________ ________ _________ _________
95
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS
Year ended 31 March 2019
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 20,487,437,513 6,798,742,690 2,190,504,280 14,245,789,896 2,058,013,614 10,130,633,991 3,468,672,226 3,862,485,466 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
Proceeds on issue 6,565,096,077 10,089,388,529 770,963,644 5,877,456,624 1,134,204,743 9,534,131,047 1,641,922,189 1,573,370,028
Payments on redemption ( 2,528,183,827) ( 6,520,476,665) ( 795,753,984) ( 2,212,063,524) ( 757,889,011) ( 7,301,287,914) ( 976,341,150) ( 687,541,131) _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________
4,036,912,250 3,568,911,864 ( 24,790,340) 3,665,393,100 376,315,732 2,232,843,133 665,581,039 885,828,897 _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________
Total comprehensive income for the year ( 1,182,448,691) 108,381,617 ( 19,814,609) ( 734,503,824) 110,836,507 ( 769,353,019) ( 59,828,331) ( 101,327,102) _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________ BALANCE CARRIED FORWARD 23,341,901,072 10,476,036,171 2,145,899,331 17,176,679,172 2,545,165,853 11,594,124,105 4,074,424,934 4,646,987,261 _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________ _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR 1,011,035,309 618,684,852 204,254,993 705,672,754 149,570,954 392,466,281 204,631,916 244,174,046
Units issued 335,859,198 913,466,819 73,539,626 303,299,276 82,358,826 406,150,942 99,793,207 100,182,678
Units redeemed ( 131,928,581) ( 590,238,612) ( 76,113,792) ( 115,804,023) ( 55,093,967) ( 311,632,803) ( 59,299,941) ( 44,930,573) _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________
UNITS OUTSTANDING AT END OF YEAR 1,214,965,926 941,913,059 201,680,827 893,168,007 176,835,813 486,984,420 245,125,182 299,426,151 _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________ _____________ _____________ ____________ _____________ ____________ _____________ ____________ ____________
96
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 16,964,389,076 1,831,941,516 4,402,084,102 7,773,934,727 12,295,725,042 6,505,616,144 3,917,587,461 27,207,421,314 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
Proceeds on issue 15,047,655,746 7,784,663,098 3,457,980,546 4,579,376,428 3,025,477,448 2,220,750,369 3,174,300,262 6,766,213,860
Payments on redemption (10,585,920,662) (7,711,057,992) (2,560,737,527) (3,230,325,484) ( 2,212,701,759) ( 970,405,686) ( 717,060,676) (6,309,278,044) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
4,461,735,084 73,605,106 897,243,019 1,349,050,944 812,775,689 1,250,344,683 2,457,239,586 456,935,816 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
Total comprehensive income for the year 94,650,621 ( 135,435,524) 2,700,118 ( 512,656,190) 14,865,741 ( 172,621,751) ( 38,026,759) (1,232,586,625) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
BALANCE CARRIED FORWARD 21,520,774,781 1,770,111,098 5,302,027,239 8,610,329,481 13,123,366,472 7,583,339,076 6,336,800,288 26,431,770,505 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR N/A 137,085,960 269,566,307 296,716,606 800,052,382 223,084,832 179,058,051 983,373,994
Units issued N/A 615,000,678 210,585,538 186,879,287 202,148,754 78,351,326 148,808,497 263,613,287
Units redeemed N/A ( 606,969,919) ( 158,640,439) ( 133,082,847) ( 147,728,905) ( 34,738,997) ( 34,000,470) ( 247,327,532) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
UNITS OUTSTANDING AT END OF YEAR N/A 145,116,719 321,511,406 350,513,046 854,472,231 266,697,161 293,866,078 999,659,749 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
97
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 17,722,641,767 3,954,002,198 1,150,495,676 1,070,450,728 325,793,272 547,647,368 576,465,704 515,349,593 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
Proceeds on issue 6,641,720,880 4,874,928,002 492,372,865 823,348,791 137,014,824 138,229,774 165,184,320 168,287,202
Payments on redemption ( 4,537,126,270) (4,119,510,027) ( 390,529,913) ( 693,350,817) ( 79,692,860) (108,613,943) ( 91,815,769) ( 78,320,001) _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
2,104,594,610 755,417,975 101,842,952 129,997,974 57,321,964 29,615,831 73,368,551 89,967,201 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
Total comprehensive income
for the year 2,156,862,266 5,627,054 14,411,401 21,793,804 ( 11,541,326) ( 17,687,531) ( 26,883,694) ( 24,748,155) _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
BALANCE CARRIED FORWARD 21,984,098,643 4,715,047,227 1,266,750,029 1,222,242,506 371,573,910 559,575,668 622,950,561 580,568,639 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________ _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
UNITS OUTSTANDING AT BEGINNING OF YEAR 900,740,157 237,278,310 105,941,413 102,116,696 26,296,953 42,564,635 41,935,993 36,202,939
Units issued 319,539,869 307,474,917 46,270,846 79,485,472 11,545,011 11,121,611 12,487,190 12,377,668
Units redeemed ( 219,860,017) ( 259,653,184) ( 36,825,791) ( 67,219,062) ( 6,733,353) ( 8,751,512) ( 6,967,493) ( 5,789,463) _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
UNITS OUTSTANDING AT END OF YEAR 1,000,420,009 285,100,043 115,386,468 114,383,106 31,108,611 44,934,734 47,455,690 42,791,144 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________ _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
98
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 533,908,614 416,007,260 748,624,271 673,866,385 2,280,552,863 ____________ ____________ ___________ ____________ ____________
Proceeds on issue 164,238,965 138,043,971 257,477,140 956,445,867 3,215,895,267
Payments on redemption ( 82,950,125) ( 70,477,201) (145,065,906) ( 320,540,663) ( 778,898,278) ____________ ____________ ___________ ____________ ____________
81,288,840 67,566,770 112,411,234 635,905,204 2,436,996,989 ____________ ____________ ___________ ____________ ____________
Total comprehensive income
for the year ( 26,027,643) ( 19,993,872) ( 35,621,497) 36,961,032 92,809,004 ____________ ____________ ___________ ____________ ____________
BALANCE CARRIED FORWARD 589,169,811 463,580,158 825,414,008 1,346,732,621 4,810,358,856 ____________ ____________ ___________ ____________ ____________ ____________ ____________ ___________ ____________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR 37,009,052 28,779,286 51,586,038 65,275,113 208,966,605
Units issued 11,908,035 10,033,341 18,538,484 92,863,365 293,744,138
Units redeemed ( 6,059,512) ( 5,149,252) ( 10,526,849) ( 31,133,976) ( 71,675,969) ____________ ____________ ___________ ____________ ____________
UNITS OUTSTANDING AT END OF YEAR 42,857,575 33,663,375 59,597,673 127,004,502 431,034,774 ____________ ____________ ___________ ____________ ____________ ____________ ____________ ___________ ____________ ____________
99
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS
Year ended 31 March 2018
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 17,605,371,430 4,797,879,971 1,812,701,185 12,072,952,870 1,637,118,079 7,070,574,012 2,815,309,993 3,086,652,307 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
Proceeds on issue 2,432,705,333 6,822,580,295 2,084,482,219 2,122,342,275 1,146,920,275 7,504,910,665 1,485,350,312 1,017,251,596
Payments on redemption (2,885,058,144) (4,834,761,253) (1,835,127,407) ( 1,907,533,793) ( 732,356,240) ( 6,785,547,444) ( 954,519,429) ( 705,981,501) _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
( 452,352,811) 1,987,819,042 249,354,812 214,808,482 414,564,035 719,363,221 530,830,883 311,270,095 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
Total comprehensive income for the year 3,334,418,894 13,043,677 128,448,283 1,958,028,544 6,331,500 2,340,696,758 122,531,350 464,563,064 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________ BALANCE CARRIED FORWARD 20,487,437,513 6,798,742,690 2,190,504,280 14,245,789,896 2,058,013,614 10,130,633,991 3,468,672,226 3,862,485,466 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________ _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR 1,033,098,925 437,624,177 180,598,977 693,962,370 119,691,142 363,136,232 172,999,438 223,067,270
Units issued 126,564,451 621,474,588 192,822,083 109,832,905 82,694,042 308,214,198 88,596,598 67,317,207
Units redeemed ( 148,628,067) ( 440,413,913) ( 169,166,067) ( 98,122,521) ( 52,814,230) ( 278,884,149) ( 56,964,120) ( 46,210,431) _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
UNITS OUTSTANDING AT END OF YEAR 1,011,035,309 618,684,852 204,254,993 705,672,754 149,570,954 392,466,281 204,631,916 244,174,046 _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________ _____________ ____________ ____________ _____________ ____________ _____________ ____________ ____________
100
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 13,358,384,190 1,422,884,315 3,440,606,268 5,720,971,176 10,119,136,246 5,117,595,684 2,949,401,899 21,725,478,808 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
Proceeds on issue 14,490,271,861 7,719,019,109 2,618,350,954 3,450,355,586 3,664,864,714 1,578,074,045 1,187,678,692 7,582,268,122
Payments on redemption (10,916,299,661) (7,568,668,742) (2,043,398,020) (2,722,193,726) ( 2,194,685,558) (1,157,662,729) ( 610,825,674)( 7,955,077,521) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
3,573,972,200 150,350,367 574,952,934 728,161,860 1,470,179,156 420,411,316 576,853,018 ( 372,809,399) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
Total comprehensive income for the year 32,032,686 258,706,834 386,524,900 1,324,801,691 706,409,640 967,609,144 391,332,544 5,854,751,905 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
BALANCE CARRIED FORWARD 16,964,389,076 1,831,941,516 4,402,084,102 7,773,934,727 12,295,725,042 6,505,616,144 3,917,587,461 27,207,421,314 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR N/A 123,847,307 232,795,992 266,084,010 703,609,082 207,473,575 151,691,612 996,025,559
Units issued N/A 600,353,026 163,112,109 139,718,334 240,714,801 56,689,155 56,046,940 290,519,040
Units redeemed N/A ( 587,114,373) ( 126,341,794) ( 109,085,738) ( 144,271,501) ( 41,077,898) ( 28,680,501) ( 303,170,605) _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
UNITS OUTSTANDING AT END OF YEAR N/A 137,085,960 269,566,307 296,716,606 800,052,382 223,084,832 179,058,051 983,373,994 _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________
101
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 16,362,512,276 2,568,277,798 824,794,508 529,551,814 204,148,373 370,917,493 383,287,235 329,268,598 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
Proceeds on issue 6,099,209,442 4,468,340,518 769,670,638 1,407,024,756 182,268,582 230,219,759 222,521,406 204,941,131
Payments on redemption (5,513,785,763) (3,851,362,639) (470,549,680) ( 923,018,369) ( 89,764,739) (107,725,944) ( 98,308,115) ( 85,355,249) _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
585,423,679 616,977,879 299,120,958 484,006,387 92,503,843 122,493,815 124,213,291 119,585,882 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
Total comprehensive income
for the year 774,705,812 768,746,521 26,580,210 56,892,527 29,141,056 54,236,060 68,965,178 66,495,113 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
BALANCE CARRIED FORWARD 17,722,641,767 3,954,002,198 1,150,495,676 1,070,450,728 325,793,272 547,647,368 576,465,704 515,349,593 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________ _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
UNITS OUTSTANDING AT BEGINNING OF YEAR 870,341,814 195,820,538 78,284,832 54,772,670 18,624,459 32,666,457 32,359,628 27,305,501
Units issued 305,162,401 285,367,603 71,117,331 138,927,456 15,218,213 18,510,169 16,970,843 15,127,820
Units redeemed ( 274,764,058) ( 243,909,831) ( 43,460,750) ( 91,583,430) ( 7,545,719) ( 8,611,991) ( 7,394,478) ( 6,230,382) _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
UNITS OUTSTANDING AT END OF YEAR 900,740,157 237,278,310 105,941,413 102,116,696 26,296,953 42,564,635 41,935,993 36,202,939 _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________ _____________ ____________ ___________ ____________ ___________ ____________ ____________ ___________
102
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MG35 MG40 MG45 MGAP MGCA
HK$ HK$ HK$ HK$ HK$
BALANCE BROUGHT FORWARD 345,649,652 273,136,172 498,824,942 - - ____________ ____________ ___________ ___________ ____________
Proceeds on issue 192,373,004 150,627,737 301,699,285 867,882,595 2,780,172,630
Payments on redemption ( 76,456,691) ( 65,478,955) (156,234,310) (202,165,190) ( 587,018,283) ____________ ____________ ___________ ___________ ____________
115,916,313 85,148,782 145,464,975 665,717,405 2,193,154,347 ____________ ____________ ___________ ___________ ____________
Total comprehensive income
for the year 72,342,649 57,722,306 104,334,354 8,148,980 87,398,516 ____________ ____________ ___________ ___________ ____________
BALANCE CARRIED FORWARD 533,908,614 416,007,260 748,624,271 673,866,385 2,280,552,863 ____________ ____________ ___________ ___________ ____________ ____________ ____________ ___________ ___________ ____________
UNITS OUTSTANDING AT BEGINNING OF YEAR 28,416,877 22,459,149 40,866,706 - -
Units issued 14,104,836 11,009,139 21,982,750 85,013,605 263,675,430
Units redeemed ( 5,512,661) ( 4,689,002) ( 11,263,418) ( 19,738,492) ( 54,708,825) ____________ ____________ ___________ ___________ ____________
UNITS OUTSTANDING AT END OF YEAR 37,009,052 28,779,286 51,586,038 65,275,113 208,966,605 ____________ ____________ ___________ ___________ ____________ ____________ ____________ ___________ ___________ ____________
103
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS
Year ended 31 March 2019
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
(Loss)/profit for the year (1,182,448,691) 108,381,617 ( 19,814,609) ( 734,503,824) 110,836,507 ( 769,353,019) ( 59,828,331) ( 101,327,102) Adjustments for:
Net change in unrealised gains/losses on investments
at fair value through profit or loss 1,582,617,622 ( 78,614,046) 22,961,512 980,638,384 ( 106,357,345) 1,010,116,755 56,045,417 219,560,205 Net realised (gains)/losses on disposal of
investments at fair value through profit or loss ( 400,168,931) ( 29,767,571) ( 3,146,903) ( 246,134,560) ( 4,479,162) ( 240,763,736) 3,782,914 ( 118,233,103) ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows from operating activities - - - - - - - - ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH FLOWS FROM INVESTING ACTIVITIES Purchases of investments at fair value
through profit or loss – in cash (3,148,758,344) (8,339,471,466) (772,331,428) (4,197,586,255) (1,125,312,343) (9,486,281,516) (1,646,703,770) (1,574,022,429)
Purchases of investments at fair value
through profit or loss – in specie * (3,408,518,793) (1,768,826,929) - (1,698,056,774) - - - -
Sales of investments at fair value through profit or loss 2,536,713,037 6,535,040,562 799,012,312 2,183,709,693 762,097,757 7,257,871,646 982,381,049 693,999,471 ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows (used in)/from investing activities (4,020,564,100) (3,573,257,833) 26,680,884 (3,711,933,336) ( 363,214,586) (2,228,409,870) ( 664,322,721) ( 880,022,958) ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH FLOWS FROM FINANCING ACTIVITIES
Subscriptions received – in cash 3,148,758,344 8,339,471,466 772,331,428 4,197,586,255 1,125,312,343 9,486,281,516 1,646,703,770 1,574,022,429 Subscriptions received – in specie * 3,408,518,793 1,768,826,929 - 1,698,056,774 - - - -
Redemption paid (2,536,713,037) (6,535,040,562) (799,012,312) (2,183,709,693) ( 762,097,757) (7,257,871,646) ( 982,381,049) ( 693,999,471) ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows from/(used in) financing activities 4,020,564,100 3,573,257,833 ( 26,680,884) 3,711,933,336 363,214,586 2,228,409,870 664,322,721 880,022,958 ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH AND CASH EQUIVALENTS AT END OF YEAR - - - - - - - - ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ _____________ ____________ ____________ ____________ ____________ ____________ ____________
* The purchase and subscription were done in specie arising from the scheme merger arrangement. Please refer to note 1 to the financial statements for details.
104
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit/(loss) for the year 94,650,621 ( 135,435,524) 2,700,118 ( 512,656,190) 14,865,741 ( 172,621,751) ( 38,026,759) (1,232,586,625) Adjustments for:
Net change in unrealised gains/losses on investments
at fair value through profit or loss - ( 7,955,185) 177,333,370 760,187,204 111,031,898 312,760,863 85,931,013 2,033,951,657 Net realised losses/(gains) on disposal of
investments at fair value through profit or loss - 143,390,709 ( 180,033,488) ( 247,531,014) ( 125,897,639) ( 140,139,112) ( 47,904,254) (801,365,032)
Interest income ( 94,650,621) - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows from operating activities - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value
through profit or loss – in cash (14,269,954,422) (7,704,793,620) (3,459,662,949) (4,591,197,221) (3,035,958,860) (1,449,249,241) (3,177,471,686) (6,781,815,165)
Purchases of investments at fair value
through profit or loss – in specie * ( 819,667,122) - - - - ( 771,680,917) - -
Sales of investments at fair value through profit or loss 10,641,717,688 7,733,948,189 2,580,360,307 3,167,000,225 2,213,889,705 975,308,172 720,233,464 6,344,186,472 Interest received 94,650,621 - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows (used in)/from investing activities ( 4,353,253,235) 29,154,569 ( 879,302,642) (1,424,196,996) ( 822,069,155) (1,245,621,986) (2,457,238,222) ( 437,628,693) _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH FLOWS FROM FINANCING ACTIVITIES
Subscriptions received – in cash 14,175,303,801 7,704,793,620 3,459,662,949 4,591,197,221 3,035,958,860 1,449,249,241 3,177,471,686 6,781,815,165
Subscriptions received – in specie * 819,667,122 - - - - 771,680,917 - - Redemption paid (10,641,717,688) (7,733,948,189) (2,580,360,307) (3,167,000,225) (2,213,889,705) ( 975,308,172) ( 720,233,464) (6,344,186,472) _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows from/(used in) financing activities 4,353,253,235 ( 29,154,569) 879,302,642 1,424,196,996 822,069,155 1,245,621,986 2,457,238,222 437,628,693 _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH AND CASH EQUIVALENTS
AT END OF YEAR - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________ _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
* The purchase and subscription were done in specie arising from the scheme merger arrangement. Please refer to note 1 to the financial statements for details.
105
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30 HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit/(loss) for the year 2,156,862,266 5,627,054 14,411,401 21,793,804 ( 11,541,326) ( 17,687,531) ( 26,883,694) ( 24,748,155)
Adjustments for:
Net change in unrealised gains/losses on investments at fair value through profit or loss (1,748,956,774) 110,613,766 ( 15,842,935) ( 15,581,148) 14,323,486 25,100,991 35,035,260 32,007,831
Net realised (gains)/losses on disposal of
investments at fair value through profit or loss ( 407,905,492) ( 116,240,820) 1,431,534 ( 6,212,656) ( 2,782,160) ( 7,413,460) ( 8,151,566) ( 7,259,676) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows from operating activities - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value through profit or loss (6,631,095,875) (4,889,752,375) (493,998,816) (841,058,473) (137,473,927) (138,695,523) (166,017,405) (170,994,556)
Sales of investments at fair value through profit or loss 4,558,621,283 4,120,773,645 390,397,317 699,670,142 80,043,971 108,579,701 92,316,689 78,514,205 ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows used in investing activities (2,072,474,592) ( 768,978,730) (103,601,499) (141,388,331) ( 57,429,956) ( 30,115,822) ( 73,700,716) ( 92,480,351) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH FLOWS FROM FINANCING ACTIVITIES Subscriptions received 6,631,095,875 4,889,752,375 493,998,816 841,058,473 137,473,927 138,695,523 166,017,405 170,994,556
Redemption paid (4,558,621,283) (4,120,773,645) (390,397,317) (699,670,142) ( 80,043,971) (108,579,701) ( 92,316,689) ( 78,514,205) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows from financing activities 2,072,474,592 768,978,730 103,601,499 141,388,331 57,429,956 30,115,822 73,700,716 92,480,351 ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH AND CASH EQUIVALENTS AT END OF YEAR - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________ ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
106
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2019
MG35 MG40 MG45 MGAP MGCA HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
(Loss)/profit for the year ( 26,027,643) ( 19,993,872) ( 35,621,497) 36,961,032 92,809,004
Adjustments for:
Net change in unrealised gains/losses on investments at fair value through profit or loss 34,416,507 27,121,747 49,441,049 ( 35,484,783) ( 84,204,039)
Net realised gains on disposal of
investments at fair value through profit or loss ( 8,388,864) ( 7,127,875) ( 13,819,552) ( 1,476,249) ( 8,604,965) ____________ ____________ ___________ ___________ _____________
Net cash flows from operating activities - - - - - ____________ ____________ ___________ ___________ _____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value
through profit or loss – in cash (164,106,799) (138,911,765) (257,747,408) (794,529,340) (2,417,503,165) Purchases of investments at fair value
through profit or loss – in specie * - - - (174,026,045) ( 798,494,624)
Sales of investments at fair value through profit or loss 83,800,979 70,989,538 145,774,577 318,402,911 784,438,328 ____________ ____________ ___________ ___________ _____________
Net cash flows used in investing activities ( 80,305,820) ( 67,922,227) (111,972,831) (650,152,474) (2,431,559,461) ____________ ____________ ___________ ___________ _____________
CASH FLOWS FROM FINANCING ACTIVITIES Subscriptions received – in cash 164,106,799 138,911,765 257,747,408 794,529,340 2,417,503,165
Subscriptions received – in specie * - - - 174,026,045 798,494,624
Redemption paid ( 83,800,979) ( 70,989,538) (145,774,577) (318,402,911) ( 784,438,328) ____________ ____________ ___________ ___________ _____________
Net cash flows from financing activities 80,305,820 67,922,227 111,972,831 650,152,474 2,431,559,461 ____________ ____________ ___________ ___________ _____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - -
Cash and cash equivalents at beginning of year - - - - - ____________ ____________ ___________ ___________ _____________
CASH AND CASH EQUIVALENTS
AT END OF YEAR - - - - - ____________ ____________ ___________ ___________ _____________ ____________ ____________ ___________ ___________ _____________
* The purchase and subscription were done in specie arising from the scheme merger arrangement. Please refer to note 1 to the financial statements for details.
107
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS
Year ended 31 March 2018
MGAG MGCP MGEE MGGR MGHB MGHE MGIB MGIE
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the year 3,334,418,894 13,043,677 128,448,283 1,958,028,544 6,331,500 2,340,696,758 122,531,350 464,563,064 Adjustments for:
Net change in unrealised gains/losses on investments
at fair value through profit or loss (2,719,661,571) ( 5,979,758) 19,883,353 (1,632,333,282) 7,063,418 (1,095,066,567) ( 105,224,943) ( 288,642,646) Net realised gains on disposal of
investments at fair value through profit or loss ( 614,757,323) ( 7,063,919) ( 148,331,636) ( 325,695,262) ( 13,394,918) (1,245,630,191) ( 17,306,407) ( 175,920,418) ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows from operating activities - - - - - - - - ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH FLOWS FROM INVESTING ACTIVITIES Purchases of investments at fair value through profit or loss (2,428,182,998) (6,792,746,816) (2,082,368,370) (2,100,301,845) (1,144,360,826) (7,532,271,482) (1,480,120,510) (1,018,592,638)
Sales of investments at fair value through profit or loss 2,882,290,311 4,797,156,960 1,832,710,818 1,881,448,857 727,791,165 6,777,963,952 950,268,021 701,243,943 ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows from/(used in) investing activities 454,107,313 (1,995,589,856) ( 249,657,552) ( 218,852,988) ( 416,569,661) ( 754,307,530) ( 529,852,489) ( 317,348,695) ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH FLOWS FROM FINANCING ACTIVITIES
Subscriptions received 2,428,182,998 6,792,746,816 2,082,368,370 2,100,301,845 1,144,360,826 7,532,271,482 1,480,120,510 1,018,592,638 Redemption paid (2,882,290,311) (4,797,156,960) (1,832,710,818) (1,881,448,857) ( 727,791,165) (6,777,963,952) ( 950,268,021) ( 701,243,943) ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
Net cash flows (used in)/from financing activities ( 454,107,313) 1,995,589,856 249,657,552 218,852,988 416,569,661 754,307,530 529,852,489 317,348,695 ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
CASH AND CASH EQUIVALENTS AT END OF YEAR - - - - - - - - ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________ ____________
108
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGIT MGJE MGNE MGPE MGST MGFG MGFS MGCV
HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the year 32,032,686 258,706,834 386,524,900 1,324,801,691 706,409,640 967,609,144 391,332,544 5,854,751,905 Adjustments for:
Net change in unrealised gains/losses on investments
at fair value through profit or loss - 52,665,682 ( 53,121,666) ( 838,618,774) ( 495,704,282) ( 728,237,279) ( 312,007,772) (4,226,406,982) Net realised gains on disposal of
investments at fair value through profit or loss - ( 311,372,516) ( 333,403,234) ( 486,182,917) ( 210,705,358) ( 239,371,865) ( 79,324,772) (1,628,344,923)
Interest income ( 32,032,686) - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows from operating activities - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value through profit or loss (14,430,787,832) (7,719,078,710) (2,620,777,511) (3,441,212,219) (3,655,674,900) (1,577,074,910) (1,184,380,574) (7,569,155,608)
Sales of investments at fair value through profit or loss 10,887,658,110 7,540,418,265 2,022,282,385 2,713,863,849 2,186,401,403 1,152,487,279 607,958,628 7,976,136,556
Interest received 32,032,686 - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows (used in)/from investing activities ( 3,511,097,036) ( 178,660,445) ( 598,495,126) ( 727,348,370) (1,469,273,497) ( 424,587,631) ( 576,421,946) 406,980,948 _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH FLOWS FROM FINANCING ACTIVITIES
Subscriptions received 14,398,755,146 7,719,078,710 2,620,777,511 3,441,212,219 3,655,674,900 1,577,074,910 1,184,380,574 7,569,155,608
Redemption paid (10,887,658,110) (7,540,418,265) (2,022,282,385) (2,713,863,849) (2,186,401,403) (1,152,487,279) ( 607,958,628) (7,976,136,556) _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
Net cash flows from/(used in) financing activities 3,511,097,036 178,660,445 598,495,126 727,348,370 1,469,273,497 424,587,631 576,421,946 ( 406,980,948) _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
CASH AND CASH EQUIVALENTS
AT END OF YEAR - - - - - - - - _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________ _____________ ____________ ____________ _____________ ____________ _____________ _____________ _____________
109
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MGHC MGHS MGPB MGRB MG15 MG20 MG25 MG30 HK$ HK$ HK$ HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the year 774,705,812 768,746,521 26,580,210 56,892,527 29,141,056 54,236,060 68,965,178 66,495,113
Adjustments for:
Net change in unrealised gains/losses on investments at fair value through profit or loss ( 260,851,058) ( 216,626,949) ( 14,357,993) ( 44,846,331) ( 21,397,035) ( 41,858,118) ( 54,825,706) ( 52,772,757)
Net realised gains on disposal of
investments at fair value through profit or loss ( 513,854,754) ( 552,119,572) ( 12,222,217) ( 12,046,196) ( 7,744,021) ( 12,377,942) ( 14,139,472) ( 13,722,356) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows from operating activities - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value through profit or loss (6,101,910,471) (4,449,232,720) (767,964,694) (1,387,459,282) (191,080,484) (230,121,379) (221,556,781) (203,094,197)
Sales of investments at fair value through profit or loss 5,494,939,667 3,839,867,813 468,882,041 915,550,854 88,776,630 107,865,956 97,768,028 85,019,813 ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows used in investing activities ( 606,970,804) ( 609,364,907) (299,082,653) ( 471,908,428) (102,303,854) (122,255,423) (123,788,753) (118,074,384) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH FLOWS FROM FINANCING ACTIVITIES Subscriptions received 6,101,910,471 4,449,232,720 767,964,694 1,387,459,282 191,080,484 230,121,379 221,556,781 203,094,197
Redemption paid (5,494,939,667) (3,839,867,813) (468,882,041) ( 915,550,854) ( 88,776,630) (107,865,956) ( 97,768,028) ( 85,019,813) ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
Net cash flows from financing activities 606,970,804 609,364,907 299,082,653 471,908,428 102,303,854 122,255,423 123,788,753 118,074,384 ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - - - - -
Cash and cash equivalents at beginning of year - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
CASH AND CASH EQUIVALENTS AT END OF YEAR - - - - - - - - ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________ ____________ ____________ ___________ ____________ ___________ ___________ ____________ ____________
110
MANULIFE GLOBAL SELECT (MPF) SCHEME
STATEMENT OF CASH FLOWS - CONSTITUENT FUNDS (continued)
Year ended 31 March 2018
MG35 MG40 MG45 MGAP MGCA HK$ HK$ HK$ HK$ HK$
CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the year 72,342,649 57,722,306 104,334,354 8,148,980 87,398,516
Adjustments for:
Net change in unrealised gains/losses on investments at fair value through profit or loss ( 59,662,443) ( 46,434,487) ( 79,253,513) ( 6,555,710) ( 68,467,857)
Net realised gains on disposal of
investments at fair value through profit or loss ( 12,680,206) ( 11,287,819) ( 25,080,841) ( 1,593,270) ( 18,930,659) ____________ ____________ ___________ ___________ _____________
Net cash flows from operating activities - - - - - ____________ ____________ ___________ ___________ _____________
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of investments at fair value through profit or loss (192,894,516) (149,887,832) (301,397,391) (853,613,551) (2,778,830,748)
Sales of investments at fair value through profit or loss 75,587,508 65,152,423 155,840,620 200,720,827 576,517,456 ____________ ____________ ___________ ___________ _____________
Net cash flows used in investing activities (117,307,008) ( 84,735,409) (145,556,771) (652,892,724) (2,202,313,292) ____________ ____________ ___________ ___________ _____________
CASH FLOWS FROM FINANCING ACTIVITIES Subscriptions received 192,894,516 149,887,832 301,397,391 853,613,551 2,778,830,748
Redemption paid ( 75,587,508) ( 65,152,423) (155,840,620) (200,720,827) ( 576,517,456) ____________ ____________ ___________ ___________ _____________
Net cash flows from financing activities 117,307,008 84,735,409 145,556,771 652,892,724 2,202,313,292 ____________ ____________ ___________ ___________ _____________
NET CHANGE IN CASH AND CASH EQUIVALENTS - - - - -
Cash and cash equivalents at beginning of year - - - - - ____________ ____________ ___________ ___________ _____________
CASH AND CASH EQUIVALENTS AT END OF YEAR - - - - - ____________ ____________ ___________ ___________ _____________ ____________ ____________ ___________ ___________ _____________
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
111
1. THE SCHEME
The Manulife Global Select (MPF) Scheme (the "Scheme") is established and governed by its trust
deed dated 29 April 2000 (the "Trust Deed"), as amended. The Scheme is approved by the
Mandatory Provident Fund Schemes Authority (the "MPFA") as a master trust scheme under the
requirements of the Mandatory Provident Fund Schemes Ordinance (the "MPFSO") and Mandatory
Provident Fund Schemes (General) Regulation (the "General Regulation").
At 31 March 2019, the Scheme offers twenty-nine constituent funds. Each constituent fund has
been structured as a feeder fund, the assets of which are invested directly in a corresponding
approved pooled investment fund ("APIF").
Under a scheme merger arrangement (the "Scheme Merger"), there were subscriptions and
corresponding purchases in cash and in specie made in the Scheme after the Manulife MPF Plan -
Advanced and the Manulife MPF Plan – Basic transferred their participating employers and
members to the Scheme. Details of the subscription and purchase transactions arising from the
Scheme Merger are set out in the Statement of Cash Flows and note 11(a) to the financial
statements.
2.1 BASIS OF PREPARATION
These financial statements have been prepared in accordance with Hong Kong Financial Reporting
Standards ("HKFRSs") (which include all Hong Kong Financial Reporting Standards, Hong Kong
Accounting Standards ("HKASs") and Interpretations) issued by the Hong Kong Institute of
Certified Public Accountants (the "HKICPA"), accounting principles generally accepted in Hong
Kong and the General Regulation. They have been prepared under the historical cost convention,
except for the remeasurement of investments at fair value through profit or loss as further explained
below. These financial statements are presented in Hong Kong Dollar.
2.2 CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES
The Scheme has adopted the following revised standards for the first time for the current year's
financial statements, which is applicable to the Scheme.
HKFRS 9 Financial Instruments
HKFRS 15 Revenue from Contracts with Customers
Amendments to HKFRS 15 Clarifications to HKFRS 15 Revenue from Contracts with
Customers
The nature and the impact of the amendments are described below:
HKFRS 9 Financial Instruments
HKFRS 9 Financial Instruments replaces HKAS 39 Financial Instruments: Recognition and
Measurement and introduces new requirements for the classification and measurement of financial
assets and financial liabilities; impairment for financial assets; and general hedge accounting.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
112
2.2 CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES (continued)
HKFRS 9 Financial Instruments (continued)
(i) Classification and measurement
The following information sets out the impacts of adopting HKFRS 9 on the statement of
financial position, including the effect of replacing HKAS 39's incurred credit loss calculations
with HKFRS 9's expected credit losses ("ECLs"):
A reconciliation between the carrying amounts under HKAS 39 and the balances reported under
HKFRS 9 as at 1 April 2018 is as follows: HKAS 39 HKFRS 9
measurement measurement
Category Amount Reclassification Amount Category
HK$ HK$ HK$
Financial assets
Investments at fair value through profit or loss FVTPL3 174,656,784,757 - 174,656,784,757 FVTPL3
Contribution receivables from employers L&R1 455,651,362 - 455,651,362 AC2
Contribution receivables from employees L&R1 308,937,723 - 308,937,723 AC2
Amounts receivable on sale of investments L&R1 620,526,661 - 620,526,661 AC2
Other receivables L&R1 41,982,049 - 41,982,049 AC2
Cash and cash equivalents L&R1 441,726,902 - 441,726,902 AC2 ____________ ___________ ____________
176,525,609,454 - 176,525,609,454 ____________ ___________ ____________ ____________ ___________ ____________
Financial liabilities
Benefits payable AC2 110,610,810 - 110,610,810 AC2
Amounts payable on purchase of investments AC2 529,770,320 - 529,770,320 AC2
Other payables AC2 212,294,911 - 212,294,911 AC2 ____________ ___________ ____________
852,676,041 - 852,676,041 ____________ ___________ ____________ ____________ ___________ ____________
1 L&R: Loans and receivables 2 AC: Financial assets or financial liabilities at amortised cost 3 FVTPL: Fair value through profit or loss
There has been no impact on the Scheme's accounting for financial liabilities as the new
requirements under HKFRS 9 only affect the accounting for financial liabilities that are
designated at fair value through profit or loss and the Scheme does not have any such
liabilities.
(ii) Impairment
The Scheme has applied the general approach to assess the twelve-month expected credit losses
for all the receivables that are estimated based on the possible default events within the next
twelve months. Given the financial assets are due from creditworthy related parties which are
also major financial institutions located in Hong Kong, the Scheme has determined that the
opening expected credit loss ("ECL") allowances under HKFRS 9 upon the initial adoption of
the standard are immaterial.
(iii) Overall impact of adoption of HKFRS 9 on equity
The Scheme has taken an exemption not to restate comparative information for prior periods
with respect to classification and measurement in accordance with the transitional provision of
HKFRS 9. The adoption of HKFRS 9 did not affect the opening balances of equity, net of tax.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
113
2.2 CHANGES IN ACCOUNTING POLICIES AND DISCLOSURES (continued)
HKFRS 15 Revenue from Contracts with Customers
HKFRS 15 and its amendments replace HKAS 11 Construction Contracts, HKAS 18 Revenue and
related interpretations and it applies, with limited exceptions, to all revenue arising from contracts
with customers. HKFRS 15 establishes a new five-step model to account for revenue arising from
contracts with customers. Under HKFRS 15, revenue is recognised at an amount that reflects the
consideration to which an entity expects to be entitled in exchange for transferring goods or services
to a customer. The principles in HKFRS 15 provide a more structured approach for measuring and
recognising revenue. The standard also introduces extensive qualitative and quantitative disclosure
requirements, including disaggregation of total revenue, information about performance obligations,
changes in contract asset and liability account balances between periods and key judgements and
estimates. After assessment by the Scheme, the application of HKFRS 15 has had no impact on the
classification on financial statements, the financial performance of the Scheme, or the operating,
investing and financial cash flows of the Scheme. Hence, no cumulative effect of the initial
application of HKFRS 15 was recognised as an adjustment to the opening balance of equity at 1
April 2018.
2.3 ISSUED BUT NOT YET EFFECTIVE HONG KONG FINANCIAL REPORTING STANDARDS
The Scheme has not early applied any of the following new and revised HKFRSs, that have been
issued but are not yet effective for the accounting year ended 31 March 2019 in these financial
statements. Among the new and revised HKFRSs, the following is expected to be relevant to the
Scheme's financial statements upon becoming effective:
HK(IFRIC)-Int 23 Uncertainty over Income Tax Treatments1 Amendments to HKAS 1 Definition of Material2
and HKAS 8
1 Effective for annual periods beginning on or after 1 January 2019 2 Effective for annual periods beginning on or after 1 January 2020
Further information about the HKFRS that is expected to be applicable to the Scheme is as follows:
HK(IFRIC)-Int 23
The interpretation was issued in July 2017 and addresses the accounting for income taxes when tax
treatments involve uncertainty that affects the application of HKAS 12. The interpretation does not
apply to taxes or levies outside the scope of HKAS 12, nor does it specifically include requirements
relating to interest and penalties associated with uncertain tax treatments. The interpretation
specifically addresses the following:
(i) Whether an entity considers uncertain tax treatments separately
(ii) The assumptions an entity makes about the examination of tax treatments by taxation
authorities
(iii) How an entity determines taxable profits (tax losses), tax bases, unused tax losses, unused
tax credits and tax rates
(iv) How an entity considers changes in facts and circumstances
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
114
2.3 ISSUED BUT NOT YET EFFECTIVE HONG KONG FINANCIAL REPORTING STANDARDS
(continued)
HK(IFRIC)-Int 23 (continued)
The Scheme expects to adopt the interpretation on 1 April 2019. The interpretation is not expected to
have any significant impact on the financial position or performance of the Scheme upon adoption. Amendments to HKAS 1 and HKAS 8 The amendments to HKAS 1 and HKAS 8 were issued in January 2019 to align the definition of "material" across the standards and to clarify certain aspects of the definition. The new definition states that information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements. The amendments clarify that materiality will depend on the nature or magnitude of information, or both. The amendments are effective for reporting periods beginning on or after 1 January 2020 and are not expected to have any impact on the financial position or performance of the Scheme upon adoption.
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The principal accounting policies adopted in the preparation of financial statements of the Scheme
and its underlying constituent funds are set out below:
Revenue recognition (applicable from 1 April 2018) Revenue from contracts with customers Revenue from contracts with customers is recognised when control of goods or services is transferred to the customers at an amount that reflects the consideration to which the Scheme expects to be entitled in exchange for those goods or services. When the consideration in a contract includes a variable amount, the amount of consideration is estimated to which the Scheme will be entitled in exchange for transferring the goods or services to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognised will not occur when the associated uncertainty with the variable consideration is subsequently resolved. When the contract contains a financing component which provides the customer a significant benefit of financing the transfer of goods or services to the customer for more than one year, revenue is measured at the present value of the amount receivable, discounted using the discount rate that would be reflected in a separate financing transaction between the Scheme and the customer at contract inception. When the contract contains a financing component which provides the Scheme a significant financial benefit for more than one year, revenue recognised under the contract includes the interest expense accreted on the contract liability under the effective interest method. For a contract where the period between the payment by the customer and the transfer of the promised goods or services is one year or less, the transaction price is not adjusted for the effects of a significant financing component, using the practical expedient in HKFRS 15. There is no revenue from contracts with customers recognised during the year.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
115
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Revenue recognition (applicable from 1 April 2018) (continued) Other income Interest income is recognised on an accrual basis using the effective interest method by applying the rate that exactly discounts the estimated future cash receipts over the expected life of the financial instrument or a shorter period, when appropriate, to the net carrying amount of the financial asset. Realised and unrealised gains and losses on investments at fair value through profit or loss are dealt with in profit or loss in the year in which they arise.
Revenue recognition (applicable before 1 April 2018)
Revenue is recognised when it is probable that the economic benefits will flow to the Scheme and its
underlying constituent funds, and when the revenue can be measured reliably on the following
bases:
(a) "Interest income", is recorded on an accrual basis using the effective interest rate method by
applying the rate that discounts the estimated future cash receipts over the expected life of
the financial instrument or a shorter period, when appropriate, to the net carrying amount of
the financial asset.
(b) Realised and unrealised gains and losses on investments at fair value through profit or loss
are dealt with in profit or loss in the year in which they arise.
Expenses
All expenses are accounted for on an accrual basis.
Contributions
Contributions are accounted for on an accrual basis.
Benefits
Benefits are accounted for on an accrual basis.
Cash and cash equivalents
For the purpose of the statement of cash flows, cash and cash equivalents comprise cash on hand
and demand deposits, and short term highly liquid investments that are readily convertible into
known amounts of cash, are subject to an insignificant risk of changes in value, and have a short
maturity of generally within three months when acquired, less bank overdrafts which are repayable
on demand and form an integral part of the Scheme's or its underlying constituent funds' cash
management.
For the purpose of the statement of net assets available for benefits, cash and cash equivalents
comprise cash at bank, including term deposits, which are not restricted as to use.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
116
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Financial assets
Trade receivables that do not contain a significant financial component or for which the Scheme has
applied the practical expedient of not adjusting the effect of a significant financial component are
measured at the transaction price determined under HKFRS 15. All the other financial assets are
initially recognised at fair value plus transaction costs that are attributable to the acquisition of the
financial assets, except in the case of financial assets recorded at fair value through profit or loss.
Regular way purchases and sales of financial assets are recognised on the trade date, that is, the date
when the Scheme commits to purchase or sell the assets.
(a) Classification and measurement
(i) Under HKFRS 9
Debt instruments that do not meet the criteria for amortised cost or as financial assets at
fair value through other comprehensive income are measured at fair value through profit
or loss. Interest income for these financial assets is included in finance income.
Equity investments are measured at fair value through profit or loss unless, on initial
recognition, the Scheme has irrevocably elected to designate the investments that are not
held for trading as equity investments at fair value through other comprehensive income.
Dividends of such investments are recognised in the statement of profit or loss when the
Scheme's right to receive payment is established. Changes in the fair value of such
investments are recognised in other comprehensive income and are never transferred to
the statement of profit or loss even when the assets are sold.
(ii) Under HKAS 39
Financial assets are classified as financial assets at fair value through profit or loss if
held for trading, or, upon initial recognition, are designated at fair value through profit or
loss. Such investments are recognised initially at fair value, with transaction costs taken
directly to the statement of profit or loss, and are subsequently remeasured at fair value.
Gains and losses from changes in the fair value are recognised in the statement of profit
or loss as they arise, together with the related interest income and expenses and
dividends.
Non-derivative financial assets with fixed or determinable payments that are not quoted
in an active market are classified as loans and receivables. They are initially recorded at
fair value plus any directly attributable transaction costs and are subsequently measured
at amortised cost using the effective interest rate method, less impairment allowances.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
117
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Financial assets (continued)
(a) Classification and measurement (continued)
(i) Under HKAS 39 (continued)
Available-for-sale financial investments are non-derivative financial assets in listed and
unlisted equity securities and debt securities. Such investments classified as available
for sale are those which are neither classified as held for trading nor designated as at fair
value through profit or loss. Available-for-sale financial investments are initially
measured at fair value plus directly attributable transaction costs. Subsequently, they are
remeasured at fair value with changes in fair value recognised as other comprehensive
income in the available-for-sale investment revaluation reserve until the securities are
either sold or impaired. On disposal of available-for-sale securities, cumulative gains or
losses are recognised in the statement of profit or loss and removed from the available-
for-sale investment revaluation reserve.
(b) Impairment
(i) Under HKFRS 9
The Scheme applies the expected credit loss model to all the financial assets that are
subject to impairment, financial guarantee contracts or contract assets under HKFRS 15.
For trade receivables and contract assets, without a significant financial component, if
any, the Scheme applies the simplified approach which requires impairment allowances
to be measured for lifetime expected credit losses.
For other financial assets, impairment allowances are recognised under the general
approach where expected credit losses are recognised in two stages. For credit
exposures where there has not been a significant increase in credit risk since initial
recognition, the Scheme is required to provide for credit losses that result from possible
default events within the next 12 months. For those credit exposures where there has
been a significant increase in credit risk since initial recognition, a loss allowance is
required for credit losses expected over the remaining life of the exposure irrespective of
the timing of the default.
The Scheme considers a default has occurred when a financial asset is more than 90 days
past due unless the Scheme has reasonable and supportable information to demonstrate
that a more appropriate default criterion should be applied.
(ii) Under HKAS 39
The Scheme and its underlying constituent funds assess at the end of each reporting
period whether there is objective evidence that a financial asset or group of financial
assets is impaired. An impairment exists if one or more events that occurred after the
initial recognition of the asset have an impact on the estimated future cash flows of the
financial asset or the group of financial assets that can be reliably estimated. Evidence
of impairment may include indications that a debtor or a group of debtors is
experiencing significant financial difficulty, default or delinquency in interest or
principal payments, the probability that they will enter bankruptcy or other financial
reorganisation and observable data indicating that there is a measurable decrease in the
estimated future cash flows, such as changes in arrears or economic conditions that
correlate with defaults.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
118
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Financial assets (continued)
(b) Impairment (continued)
(ii) Under HKAS 39 (continued)
Financial assets carried at amortised cost
For financial assets carried at amortised cost, the Scheme and its underlying constituent
funds first assess whether impairment exists individually for financial assets that are
individually significant, or collectively for financial assets that are not individually
significant. If the Scheme and its underlying constituent funds determine that no
objective evidence of impairment exists for an individually assessed financial asset,
whether significant or not, it includes the asset in a group of financial assets with similar
credit risk characteristics and collectively assesses them for impairment. Assets that are
individually assessed for impairment and for which an impairment loss is, or continues
to be, recognised are not included in a collective assessment of impairment.
The amount of any impairment loss identified is measured as the difference between the
asset's carrying amount and the present value of estimated future cash flows (excluding
future credit losses that have not yet been incurred). The present value of the estimated
future cash flows is discounted at the financial asset's original effective interest rate (i.e.,
the effective interest rate computed at initial recognition).
The carrying amount of the asset is reduced through the use of an allowance account and
the loss is recognised in profit or loss. Interest income continues to be accrued on the
reduced carrying amount and is accrued using the rate of interest used to discount the
future cash flows for the purpose of measuring the impairment loss. Receivables
together with any associated allowance are written off when there is no realistic prospect
of future recovery.
If, in a subsequent period, the amount of the estimated impairment loss increases or
decreases because of an event occurring after the impairment has been recognised, the
previously recognised impairment loss is increased or reduced by adjusting the
allowance account. If a write-off is later recovered, the recovery is credited to profit or
loss.
(c) Derecognition (under HKFRS 9 and HKAS 39)
Financial assets are derecognised when the rights to receive cash flows from the assets have
expired; or where the Scheme has transferred its contractual rights to receive the cash flows of
the financial assets and has transferred substantially all the risks and rewards of ownership; or
where control is not retained.
Financial liabilities
Financial liabilities include bank and other borrowings, trade payables, accruals and other monetary
liabilities. They are initially recognised at the fair value of the consideration received less directly
attributable transaction costs. After initial recognition, they are subsequently measured at amortised
cost using the effective interest rate method.
Financial liabilities are derecognised when they are extinguished, i.e., when the obligation is
discharged or cancelled, or expires.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
119
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Offsetting of financial instruments
Financial assets and financial liabilities are offset and the net amount is reported in the statement of
net assets available for benefits if there is currently an enforceable legal right to offset the
recognised amounts and there is an intention to settle on a net basis, or to realise the assets and settle
the liabilities simultaneously.
Fair value measurement
The Scheme and its underlying constituent funds measure their equity investments at fair value at
the end of each reporting period. Fair value is the price that would be received to sell an asset or
paid to transfer a liability in an orderly transaction between market participants at the measurement
date. The fair value measurement is based on the presumption that the transaction to sell the asset or
transfer the liability takes place either in the principal market for the asset or liability, or in the
absence of a principal market, in the most advantageous market for the asset or liability. The
principal or the most advantageous market must be accessible by the Fund. The fair value of an
asset or a liability is measured using the assumptions that market participants would use when
pricing the asset or liability, assuming that market participants act in their economic best interest.
The Scheme and its underlying constituent funds use valuation techniques that are appropriate in the
circumstances and for which sufficient data is available to measure fair value, maximising the use of
relevant observable inputs and minimising the use of unobservable inputs.
All assets and liabilities for which fair value is measured or disclosed in the financial statements are
categorised within the fair value hierarchy, described as follows, based on the lowest level input that
is significant to the fair value measurement as a whole.
Level 1 – based on quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2 – based on valuation techniques for which the lowest level input that is significant to the fair
value measurement is observable, either directly or indirectly
Level 3 – based on valuation techniques for which the lowest level input that is significant to the fair
value measurement is unobservable
For assets and liabilities that are recognised in the financial statements on a recurring basis, the
Scheme and its underlying constituent funds determine whether transfers have occurred between
levels in the hierarchy by reassessing categorisation (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting period.
Proceeds and payments on issue and redemption of units
The net asset values of the constituent funds are computed on each business day. Prices for issues
and redemptions on each business day are based on the closing valuation of that business day, except
for Manulife MPF Interest Fund ("MGIT"), the valuation of which is performed on a monthly basis
on the last calendar day of each month. For MGIT, no price is issued as it is a non-unitised fund.
Proceeds and payments for units issued and redeemed are shown as movement in the statement of
changes in net assets available for benefits of the respective constituent funds.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
120
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Related parties
A party is considered to be related to the Scheme and its underlying constituent funds if:
(a) the party is a person or a close member of that person's family and that person
(i) has control or joint control over the Scheme and its underlying constituent funds;
(ii) has significant influence over the Scheme and its underlying constituent funds; or
(iii) is a member of the key management personnel of the Trustee;
or
(b) the party is an entity where any of the following conditions applies:
(i) the entity and the Scheme and its underlying constituent funds are members of the
same group;
(ii) one entity is an associate or joint venture of the other entity (or of a parent,
subsidiary or fellow subsidiary of the other entity);
(iii) the entity and the Trustee are joint ventures of the same third party;
(iv) one entity is a joint venture of a third entity and the other entity is an associate of
the third entity;
(v) the entity is a post-employment benefit plan for the benefit of employees of either
the Trustee or an entity related to the Trustee;
(vi) the entity is controlled or jointly controlled by a person identified in (a);
(vii) a person identified in (a)(i) has significant influence over the entity or is a member
of the key management personnel of the entity (or of a parent of the entity); and
(viii) the entity, or any member of a group of which it is a part, provides key management
personnel services to the Trustee.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
121
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Associates
For the purpose of these financial statements, an associate of the Scheme and its underlying
constituent funds include each of the following:
(a) an officer, who may be an individual or a corporate entity, of the Scheme and its underlying
constituent funds;
(b) a close relative, partner or employee of an officer of the Scheme and its underlying
constituent funds;
(c) an associated company of the Scheme and its underlying constituent funds;
(d) an officer of an associated company; and
(e) a close relative, partner or employee of an officer of an associated company.
4. CONTRIBUTIONS
Mandatory contributions for both the employers and members are equal to 5% of the members'
relevant income up to HK$30,000 per month but in respect of members earning less than HK$7,100
per month, the members' mandatory contribution is nil.
Self-employed persons must contribute 5% of their relevant income subject to a maximum
contribution of HK$1,500 per month to the Scheme unless their relevant income is less than
HK$7,100 per month or HK$85,200 per year.
Any contributions made to the Scheme by the employers or members in excess of their mandatory
contributions are considered and recorded as additional voluntary contributions.
5. BENEFITS
Members will become entitled to benefits in respect of mandatory contributions to the Scheme under
the requirements of the MPFSO. Currently, these circumstances include where the member (i)
reaches the age of 65; (ii) permanently ceases employment after reaching the age of 60; (iii) retires
on the ground of total incapacity; (iv) has a terminal illness; (v) permanently departs from Hong
Kong; (vi) dies or (vii) has the right to claim a small balance pursuant to the MPFSO.
Members will become entitled to benefits in respect of voluntary contributions to the Scheme in
circumstances set out in the Trust Deed and the relevant participation agreement.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
122
6. INVESTMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS
The Scheme 2019 2018
HK$ HK$
Investments in quoted investments - constituent funds
MGAG 23,341,901,072 20,487,437,513
MGCP 10,476,036,171 6,798,742,690
MGEE 2,145,899,331 2,190,504,280
MGGR 17,176,679,172 14,245,789,896
MGHB 2,545,165,853 2,058,013,614
MGHE 11,594,124,105 10,130,633,991
MGIB 4,074,424,934 3,468,672,226
MGIE 4,646,987,261 3,862,485,466
MGIT 21,520,774,781 16,964,389,076
MGJE 1,770,111,098 1,831,941,516
MGNE 5,302,027,239 4,402,084,102
MGPE 8,610,329,481 7,773,934,727
MGST 13,123,366,472 12,295,725,042
MGFG 7,583,339,076 6,505,616,144
MGFS 6,336,800,288 3,917,587,461
MGCV 26,431,770,505 27,207,421,314
MGHC 21,984,098,643 17,722,641,767
MGHS 4,715,047,227 3,954,002,198
MGPB 1,266,750,029 1,150,495,676
MGRB 1,222,242,506 1,070,450,728
MG15 371,573,910 325,793,272
MG20 559,575,668 547,647,368
MG25 622,950,561 576,465,704
MG30 580,568,639 515,349,593
MG35 589,169,811 533,908,614
MG40 463,580,158 416,007,260
MG45 825,414,008 748,624,271
MGAP 1,346,732,621 673,866,385
MGCA 4,810,358,856 2,280,552,863 ______________ ______________
Investments at fair value 206,037,799,476 174,656,784,757 ______________ ______________ ______________ ______________
Investments at cost 188,592,449,016 151,623,234,015 ______________ ______________ ______________ ______________
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
123
7. CASH AND CASH EQUIVALENTS
2019 2018
HK$ HK$
Cash and bank balances 579,685,446 441,726,902
Time deposit 1,580,000 - __________ __________
581,265,446 441,726,902 ___________ ___________ ___________ ___________
Cash at bank earns interest at floating rates based on daily bank deposit rates. Short term time
deposits are made for period of one month, and earn interest at the short term time deposit rate. The
carrying amounts of the cash and cash equivalents approximate their fair values.
8. BANK LOANS, OVERDRAFTS AND OTHER BORROWINGS
The Scheme and its underlying constituent funds had no bank loans, overdrafts and other
borrowings at 31 March 2019 (2018: Nil).
9. INCOME TAX
The Scheme and its underlying constituent funds are not subject to Hong Kong Profits tax as they
are not considered to be carrying on a business in Hong Kong. Reconciliations of the tax
expense/credit applicable to income/loss for the year using the statutory rate to tax expense/credit at
the effective tax rate have not been presented as the income/loss of the Scheme and its underlying
constituent funds are not subject to tax.
10. ACCRUED BENEFITS
The total accrued benefits vested in the members' accounts amounted to HK$205,464,257,708 at
31 March 2019 (2018: HK$174,239,904,836).
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
124
11. TRANSACTIONS WITH ASSOCIATES AND RELATED PARTY TRANSACTIONS
(a) Transactions with associates and related parties
The assets of the constituent funds of the Scheme are invested directly in sub-funds of
corresponding approved pooled investment funds ("APIFs").
During the year, the constituent funds had the following transactions with the APIFs:
2019 2018
HK$ HK$
Investments in APIFs * 101,416,138,506 84,784,377,536
Redemption of investments in APIFs 67,668,567,430 68,068,953,455 ______________ _____________ ______________ _____________
The purchase cost and redemption price of investments in an APIF are determined based on
the net asset value of the APIFs at the time of purchase and redemption. All such
transactions were entered into in the ordinary course of business and on normal commercial
terms. The transaction fees of each subscription/redemption/transfer transacted between the
constituent funds and the APIFs are charged to the APIFs. Rebalancing transactions among
Manulife MPF funds are not counted as transactions and do not incur any transaction fee.
* The investments in APIFs include investments purchased in specie arising from the
Scheme Merger with a cost of HK$9,439,271,204 (2018: nil). For details, please refer to
note 1 to the financial statements.
Manulife Investment Management (Hong Kong) Limited (formerly known as "Manulife
Asset Management (Hong Kong) Limited") is the investment manager of underlying
investments under the Scheme. Depending on the investment strategies of any new
constituent funds established on or after 5 January 2006, assets of the relevant constituent
fund may be invested in an APIF for which annual performance fees may be levied.
In respect of the China Value Fund, an annual performance fee may be levied at the
underlying APIF depending on the net asset value of the underlying APIF.
Except for the above, there was no transaction entered into with the investment manager,
associates of the investment manager or its delegates, administrators, trustee, custodian
and/or any associates, during the year (2018: Nil).
(b) Outstanding balances with related parties
The Scheme and its underlying constituent funds had amounts receivable/payable on
sale/purchase of investments and other receivables at the end of the reporting period. The
balances are unsecured, interest-free and normally settled within one week. Their carrying
amounts approximate their fair values.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
125
11. TRANSACTIONS WITH ASSOCIATES AND RELATED PARTY TRANSACTIONS (continued)
(c) Compensation of key management personnel of the Scheme and its underlying constituent
funds
No key management personnel received any compensation in respect of their services
rendered to the Scheme and its underlying constituent funds during the year (2018: Nil).
12. SOFT COMMISSION ARRANGEMENTS
No soft commission has been arranged by the Scheme or its underlying constituent funds during the
year (2018: Nil).
13. SECURITY LENDING ARRANGEMENTS
During the year, the Scheme and its underlying constituent funds did not enter into any security
lending arrangements (2018: Nil).
14. NEGOTIABILITY OF ASSETS
At 31 March 2019, there was no statutory or contractual requirement restricting the negotiability of
the assets of the Scheme and its constituent funds (2018: Nil).
15. COMMITMENTS
The Scheme and its underlying constituent funds had no commitments at 31 March 2019
(2018: Nil).
16. CONTINGENT LIABILITIES
The Scheme and its underlying constituent funds had no contingent liabilities at 31 March 2019
(2018: Nil).
17. MARKETING EXPENSES
There were no advertising expenses, promotional expenses, commissions or brokerage fees payable
to the MPF intermediaries of the Scheme deducted from the constituent funds during the year (2018:
Nil).
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
126
18. FINANCIAL INSTRUMENTS BY CATEGORY
The carrying amounts of each of the categories of financial instruments at the end of the reporting
period are as follows:
2019
Financial assets
Financial assets at Financial
fair value through assets at
profit or loss amortised cost Total
HK$ HK$ HK$
Investments at fair value through
profit or loss 206,037,799,476 - 206,037,799,476
Contribution receivables from employers - 546,278,981 546,278,981
Contribution receivables from employees - 349,485,370 349,485,370
Amounts receivable on sale of investments - 534,650,435 534,650,435
Financial assets included in other receivables - 41,424,800 41,424,800
Cash and cash equivalents - 581,265,446 581,265,446 ______________ ____________ ______________
206,037,799,476 2,053,105,032 208,090,904,508 ______________ ____________ ______________ ______________ ____________ ______________
Financial liabilities
Financial
liabilities at
amortised cost
HK$
Benefits payable 107,008,330
Amounts payable on purchase of investments 504,181,480
Financial liabilities included in other payables 189,000,687 ___________
800,190,497 ___________ ___________
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
127
18. FINANCIAL INSTRUMENTS BY CATEGORY (continued)
2018
Financial assets
Financial assets at fair value Loans and
through profit or loss receivables Total
HK$ HK$ HK$
Investments at fair value through
profit or loss 174,656,784,757 - 174,656,784,757
Contribution receivables from employers - 455,651,362 455,651,362
Contribution receivables from employees - 308,937,723 308,937,723
Amounts receivable on sale of investments - 620,526,661 620,526,661
Financial assets included in other receivables - 41,982,049 41,982,049
Cash and cash equivalents - 441,726,902 441,726,902 ______________ ____________ ______________
174,656,784,757 1,868,824,697 176,525,609,454 ______________ ____________ ______________ ______________ ____________ ______________
Financial liabilities
Financial
liabilities at
amortised cost
HK$
Benefits payable 110,610,810
Amounts payable on purchase of investments 529,770,320
Financial liabilities included in other payables 212,294,911 ___________
852,676,041 ___________ ___________
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
128
19. FAIR VALUE HIERARCHY
The Scheme uses the following hierarchy for determining and disclosing the fair values of financial
instruments:
Management has assessed that the fair values of financial receivables and payables, cash and cash
equivalents, and other payables approximate to their carrying amounts largely due to the short term
maturities of these instruments.
The following tables illustrate the fair value measurement hierarchy of the Scheme's financial
instruments:
Assets measured at recurring fair value
At 31 March 2019:
Fair value measurement using
Quoted prices Significant Significant
in active observable unobservable
Markets Inputs Inputs
(Level 1) (Level 2) (Level 3) Total
HK$'000 HK$'000 HK$'000 HK$'000
Investments at fair value through profit or loss:
APIFs 206,037,799 - - 206,037,799
206,037,799 - - 206,037,799
At 31 March 2018:
Fair value measurement using
Quoted prices Significant Significant
in active observable unobservable
Markets Inputs Inputs
(Level 1) (Level 2) (Level 3) Total
HK$'000 HK$'000 HK$'000 HK$'000
Investments at fair value through profit or loss:
APIFs 174,656,785 - - 174,656,785
174,656,785 - - 174,656,785
During the year, there were no transfers of fair value measurements between Level 1 and Level 2
and no transfers into or out of Level 3 (2018: Nil).
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
129
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES
The Scheme's principal financial instruments comprise investments at fair value through profit or
loss and cash and cash equivalents. The main risks arising from the Scheme's financial instruments
are price risk, foreign currency risk, interest rate risk, credit risk and liquidity risk. The policies for
managing each of these risks are summarised below.
Price risk
Price risk is the risk that the fair values of equity securities decrease as a result of changes in the
levels of equity indices and the value of individual securities. The Scheme and its underlying
constituent funds are exposed to price risk arising from investments in underlying APIFs classified
as trading equity investments at the end of the reporting period. Each constituent fund of the
Scheme is managed in accordance with separate and distinct investment policies reflecting the
different risk profiles of the investments and there is no concentration of price risk for each
constituent fund of the Scheme. The positions held by the Scheme and its underlying constituent
funds at the end of the reporting period are disclosed in the investment portfolios.
At 31 March 2019 and 2018, it is estimated that had the equity indices increased by 5%, with all
other variables held constant, net assets attributable to unitholders and profit would have increased
by the amounts shown below:
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
130
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES
Price risk (continued)
At 31 March 2019
Market Indices (+5%) Change in net assets and income (HK$'000)
MGGR MGAG MGPE MGIE MGHE MGJE MGNE MGEE MGFG MGFS MGCV
FTSE MPF Europe 78,142 137,630 - 30,509 - - - 100,960 - - -
FTSE MPF Hong Kong 159,150 275,491 136,681 4,299 601,581 - - - - - -
FTSE MPF Japan 73,426 123,296 - 17,965 - 90,795 - - - - -
FTSE MPF USA 56,566 98,808 - 59,668 - - 314,246 - - - -
FTSE MPF Asia Pacific ex JP & HK 73,674 117,681 279,643 21,921 - - - - - - -
FTSE MPF Greater China - - - - - - - - - - 1,283,762
Russell 1000 49,926 88,664 - 51,944 - - - - - - -
S&P 500 52,878 93,906 - 55,015 - - - - - - -
MSCI AC World Information Technology 3,626 6,471 - - - - - - - - -
Citigroup WGBI Non-Exempt Auth 10%
Cap, 25% Hedged to HKDFTSE MPF Hong
Kong
FTSE AW North America Index
FTSE AW Europe Index
FTSE W Japan Index
FTSE AW Asia Pacific Ex Japan Ex HK1
month HIBOR
- - - - - - - - 390,841 320,281 -
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
131
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Price risk (continued)
At 31 March 2019 (continued)
Market Indices (+5%) Change in net assets and income (HK$'000)
MGHC MG15 MG20 MG25 MG30 MG35 MG40 MG45 MGHS MGAP MGCA MGST
FTSE MPF Europe - 1,232 1,827 2,889 3,229 3,569 2,847 5,141 - - - 20,948
FTSE MPF Hong Kong - 2,474 3,729 5,602 6,292 6,875 5,555 9,938 - - - 77,285
FTSE MPF Japan - 1,081 1,826 2,721 3,056 3,094 2,609 4,510 - - - 31,159
FTSE MPF USA - 924 1,386 2,112 2,376 2,574 2,046 3,630 - - - 13,795
FTSE MPF Asia Pacific ex JP & HK - 1,154 1,758 2,472 2,857 3,241 2,527 4,340 - - - 5,219
MSCI World Health Care 989,099 - - - - - - - - - - -
Russell 1000 - 730 1,160 1,761 1,911 2,083 1,653 3,006 - - - 11,531
S&P 500 - 773 1,228 1,865 2,024 2,206 1,751 3,184 - - - 12,213
MSCI AC World Information
Technology
- 54 86 130 141 153 122 221 - - - -
Hang Seng Index - - - - - - - - 236,900 - - -
FTSE MPF All-World Index
Citi MPF Government Bond Index
MPFA prescribed savings rate
- - - - - - - - - 66,333 236,608 -
A 5% drop in the equity indices would have resulted in an equal but opposite effect on the financial statements as shown above, on the basis that all other
variables remained constant. In practice, the actual trading results may differ from the above sensitivity analysis and the difference could be material.
MGCP, MGHB, MGIT, MGIB, MGPB and MGRB invest in underlying investments that are fixed-income instruments. Price of those securities is primarily
subject to fluctuations in interest rates for which the associated interest rate risk is covered in the later part of this note.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
132
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Price risk (continued)
At 31 March 2018
Market Indices (+5%) Change in net assets and income (HK$'000)
MGGR MGAG MGPE MGIE MGHE MGJE MGNE MGEE MGFG MGFS MGCV
FTSE MPF Europe 55,042 103,114 - 25,067 - - - 99,239 - - -
FTSE MPF Hong Kong 132,655 232,683 113,428 7,995 469,108 - - - - - -
FTSE MPF Japan 59,109 108,429 - 14,803 - 86,999 - - - - -
FTSE MPF USA 44,308 77,852 - 39,689 - - 184,765 - - - -
FTSE MPF Asia Pacific ex JP & HK 64,487 104,736 246,307 21,479 - - - - - - -
FTSE MPF Greater China - - - - - - - - - - 1,430,220
Russell 1000 46,937 91,432 - 45,008 - - - - - - -
S&P 500 46,937 91,432 - 45,008 - - - - - - -
MSCI AC World Information Technology 5,814 10,420 - - - - - - - - -
Citigroup WGBI Non-Exempt Auth 10%
Cap, 25% Hedged to HKDFTSE MPF Hong
Kong
FTSE AW North America Index
FTSE AW Europe Index
FTSE W Japan Index
FTSE AW Asia Pacific Ex Japan Ex HK1
month HIBOR
- - - - - - - - 332,346 203,934 -
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
133
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Price risk (continued)
At 31 March 2018 (continued)
Market Indices (+5%) Change in net assets and income (HK$'000)
MGHC MG15 MG20 MG25 MG30 MG35 MG40 MG45 MGHS MGAP MGCA MGST
FTSE MPF Europe - 924 1,778 2,347 2,382 2,596 2,098 3,769 - - - 19,592
FTSE MPF Hong Kong - 2,325 5,660 6,520 6,136 6,357 5,055 8,973 - - - 73,660
FTSE MPF Japan - 942 1,850 2,523 2,557 2,759 2,153 3,936 - - - 31,119
FTSE MPF USA - 852 1,570 1,928 1,973 2,153 1,704 2,960 - - - 17,041
FTSE MPF Asia Pacific ex JP & HK - 903 2,158 2,810 2,610 2,660 2,108 3,764 - - - 11,041
MSCI World Health Care 941,136 - - - - - - - - - - -
Russell 1000 - 718 1,313 1,827 1,929 2,217 1,724 3,181 - - - 8,948
S&P 500 - 718 1,313 1,827 1,929 2,217 1,724 3,181 - - - 8,948
MSCI AC World Information
Technology
- 79 146 195 195 220 174 320 - - - -
Hang Seng Index - - - - - - - - 200,389 - - -
FTSE MPF All-World Index
Citi MPF Government Bond Index
MPFA prescribed savings rate
- - - - - - - - - 31,251 113,087 -
A 5% drop in the equity indices would have resulted in an equal but opposite effect on the financial statements as shown above, on the basis that all other
variables remained constant. In practice, the actual trading results may differ from the above sensitivity analysis and the difference could be material.
MGCP, MGHB, MGIT, MGIB, MGPB and MGRB invest in underlying investments that are fixed-income instruments. Price of those securities is primarily
subject to fluctuations in interest rates for which the associated interest rate risk is covered in the later part of this note.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
134
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Foreign currency risk
Foreign currency risk is the risk that the value of financial assets or liabilities will fluctuate due to
changes in foreign exchange rates. The Scheme and its underlying constituent funds are exposed to
foreign currency risk from its cash and investments in underlying APIFs which are denominated in
currencies other than Hong Kong Dollars and United States Dollars which are officially linked to the
Hong Kong Dollar. The Scheme and its underlying constituent funds' overall currency positions are
monitored on a daily basis by the investment manager.
The Scheme and its underlying constituent funds primarily utilise forward exchange contracts and
futures to hedge foreign-currency-denominated financial assets and liabilities. Increases or
decreases in the Scheme and its underlying constituent funds' foreign-currency-denominated
financial assets and liabilities are partially offset by gains and losses on the economic hedging
instruments.
The tables below indicate currencies other than Hong Kong Dollars and United States Dollars to
which the Scheme and its underlying constituent funds had significant exposure at the end of the
reporting periods on its financial assets and liabilities. At 31 March 2019 and 2018, it is estimated
that had the Hong Kong Dollars or the United States Dollars strengthened by 5% in relation to the
foreign currencies with significant exposure, with all other variables held constant, net assets
attributable to unitholders and profit would have decreased by the amounts shown below.
At 31 March 2019
Currency MGGR MGAG MGPE MGIE MGIB MGJE MGST
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
AUD - 35,194 82,295 - 7,060 - -
EUR 61,713 67,602 - 14,573 57,323 - -
GBP - - - - 11,459 - -
INR - - 49,643 - - - -
JPY 80,079 119,027 - 17,078 22,724 86,311 31,589
KOW - - 61,316 - - - -
SGD - - 15,223 - - - -
TWD - - 47,712 - - - -
Total 141,792 221,823 256,189 31,651 98,566 86,311 31,589
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
135
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Foreign currency risk (continued)
At 31 March 2019 (continued)
Currency MGEE MG15 MG20 MG25 MG30 MG35 MG40 MG45
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
AUD - - - - 892 971 754 1,289
CHF 9,392 - - - - - - -
CNH - 637 1,126 - - - - -
DKK 14,139 - - - - - - -
EUR 45,021 1,791 2,127 2,166 1,885 1,760 1,377 2,427
GBP 19,452 - - - - - - -
JPY - 1,514 2,247 2,920 3,066 2,991 2,509 4,316
SEK 10,952 - - - - - - -
Total 98,956 3,942 5,500 5,086 5,843 5,722 4,640 8,032
Currency MGFG MGFS MGCV MGHC MGPB MGRB MGAP MGCA
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
AUD - - - - 5,746 - - -
CNH - - 90,909 - - 51,230 - -
EUR 43,714 51,150 - - - - 1,298 14,036
GBP - - - 63,598 - - 738 8,003
IDR - - - - 6,301 - - -
INR - - - - 2,559 - - -
JPY 46,977 29,586 - 36,455 - - 1,073 11,724
KOW - - - - 5,395 - - -
MYR - - - - 4,211 - - -
NZD - - - - 2,412 - - -
PHP - - - - 2,323 - - -
SGD - - - - 4,307 - - -
THB - - - - 2,545 - - -
TWD - - 266,231 - - - - -
Total 90,691 80,736 357,140 100,053 35,799 51,230 3,109 33,763
A 5% weakening of the Hong Kong Dollars or the United States Dollars against the foreign
currencies would have resulted in an equal but opposite effect on the financial statements as shown
above, on the basis that all other variables remained constant. In practice the actual trading results
may differ from the above sensitivity analysis and the difference could be material.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
136
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Foreign currency risk (continued)
At 31 March 2019 (continued)
MGCP, MGHB, MGHE, MGIT and MGHS are mainly denominated in Hong Kong Dollars and
MGNE is mainly denominated in United States Dollars. Therefore, there is no significant exposure
to foreign currency risk.
At 31 March 2018
Currency MGGR MGAG MGPE MGIE MGHE MGIB MGJE MGST
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
AUD - - 67,386 5,876 - 5,601 - -
CAD - - - - - 5,436 - -
CNH - - - - 18,931 - - -
EUR 51,796 53,187 - 12,909 - 51,658 - -
GBP 26,449 40,948 - 9,936 - 10,133 - -
INR - - 36,013 - - - - -
JPY 72,002 112,098 - 15,291 - 24,043 89,868 35,301
KOW - - 66,946 5,838 - - - -
NZD - - - - - 5,479 - -
SGD - - 17,130 - - - - -
TWD - - 47,591 - - - - -
Total 150,247 206,233 235,066 49,850 18,931 102,350 89,868 35,301
Currency MGEE MG15 MG20 MG25 MG30 MG35 MG40 MG45
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
CHF 10,353 - - - - - - -
CNH - 633 1,200 - - - - -
DKK 4,567 - - - - - - -
EUR 51,009 1,727 1,205 1,219 1,228 1,338 1,082 1,943
GBP 39,333 612 - 933 946 1,030 833 1,496
JPY - 1,556 2,047 2,612 2,643 2,852 2,226 4,069
Total 105,262 4,528 4,452 4,764 4,817 5,220 4,141 7,508
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
137
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Foreign currency risk (continued)
At 31 March 2018 (continued)
Currency MGFG MGFS MGCV MGHC MGPB MGRB MGAP MGCA
(+5%) HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000
AUD - - - - 4,618 - - -
CHF - - - 30,835 - - - -
CNH - - 88,818 - - 45,125 - -
EUR 33,235 31,178 - 71,514 - - 686 7,424
GBP 16,780 8,746 - 64,591 - - 375 4,058
IDR - - - - 5,549 - - -
INR - - - - 2,729 - - -
JPY 43,368 20,080 - - - - 557 6,064
KOW - - - - 4,460 - - -
MYR - - - - 1,873 - - -
NZD - - - - 2,433 - - -
SGD - - - - 2,793 - - -
TWD - - 282,695 - - - - -
Total 93,383 60,004 371,513 166,940 24,455 45,125 1,618 17,546
A 5% weakening of the Hong Kong Dollars or United States Dollars against the foreign currencies
would have resulted in an equal but opposite effect on the financial statements as shown above, on
the basis that all other variables remained constant. In practice the actual trading results may differ
from the above sensitivity analysis and the difference could be material.
MGCP, MGHB, MGIT and MGHS are mainly denominated in the Hong Kong Dollars and MGNE
is mainly denominated in the United States Dollars. Therefore, there is no significant exposure to
foreign currency risk.
Interest rate risk
Interest rate risk is the risk that the value of financial instruments or future cash flows will fluctuate
as a result of changes in market interest rates. The Scheme and its underlying constituent funds are
exposed to interest rate risk on the underlying APIFs which invest in interest-bearing securities and
cash deposits.
Interest rates are determined by factors of supply and demand in the international money markets
which are influenced by macro-economic factors. Fluctuations in short term and/or long term
interest rates may affect the value of the units. Fluctuations in interest rates of the currencies in
which the units are denominated and/or fluctuations in interest rates of the currencies in which an
underlying portfolio's investments are denominated may affect the value of the units.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
138
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Interest rate risk (continued)
It is the Scheme and its underlying constituent funds' policies that the interest-bearing securities held
by the underlying APIFs of the constituent funds of the Scheme are selected on a diversified basis
mainly in short and medium term fixed income instruments in accordance with the investment
policies of the underlying APIFs which satisfy the minimum credit rating stipulated by the MPFA,
so as to minimise the interest rate risk of the Scheme and its underlying constituent funds from
changes in market interest rates.
At 31 March 2019 and 2018, it is estimated that an increase of interest rate by 25 basis points
("bps"), with all other variables held constant, would have resulted in a decrease in net assets
attributable to unitholders of the below constituent funds by the amounts shown below:
Change in interest rate (+25 bps)
At 31 March 2019 At 31 March 2018
HK$'000 HK$'000
MGAG ( 4,660) ( 1)
MGCP 6,192 3,560
MGGR ( 32,245) ( 24,324)
MGHB ( 33,901) ( 26,101)
MGIB ( 46,920) ( 37,685)
MGIT (188,503) (135,969)
MGST (107,543) ( 93,888)
MGFG ( 8,221) ( 3,460)
MGFS ( 46,521) ( 30,224)
MGPB ( 13,337) ( 13,723)
MGRB ( 10,818) ( 9,380)
MG15 ( 1,522) ( 1,224)
MG20 ( 1,763) ( 620)
MG25 ( 1,041) ( 126)
MG30 ( 485) ( 40)
MG35 ( 162) ( 4)
MG40 ( 92) ( 4)
MG45 ( 94) ( 7)
MGAP ( 3,832) ( 1,892)
MGCA ( 6,575) ( 3,235)
A decrease of the interest rate by 25 bps would have an equal but opposite effect on the net assets
attributable to unitholders of the above sub-funds. The other sub-funds may hold cash or cash
equivalents that may be subject to interest rate risk. This is relatively immaterial to the size of the
sub-funds' net asset value.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
139
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Credit risk
Credit risk is the risk that one party to a financial instrument will fail to discharge an obligation and
cause the other party to incur a financial loss. The Scheme and its underlying constituent funds are
exposed to credit risk on financial instruments with a maximum exposure equal to the carrying
amount of these instruments.
It is the Scheme's constituent funds' policy to engage only with internally approved counterparties.
The investment manager continuously monitors the credit risk on financial instruments and
counterparties and does not expect any material losses due to credit risk.
Concentrations of credit risk are managed by geographical region and by industry sector. There are
no significant concentrations of credit risk within the Scheme and its underlying constituent funds.
Maximum exposure and year-end staging at 31 March 2019 The table below shows the maximum exposure to credit risk based on the Scheme's credit policy, which is mainly based on past due information unless other information is available without undue cost or effort, and year-end staging classification at 31 March 2019. The amounts presented are gross carrying amounts for financial assets.
12-month ECLs Lifetime ECLs
Simplified
Stage 1 Stage 2 Stage 3 approach
HK$ HK$ HK$ HK$ HK$
Contribution receivables from employers 546,278,981 - - - 546,278,981
Contribution receivables from employees 349,485,370 - - - 349,485,370
Amounts receivable on sale of investments 534,650,435 - - - 534,650,435
Other receivables 41,424,800 - - - 41,424,800
Cash and cash equivalents 581,265,446 - - - 581,265,446 ____________ ________ ________ _________ ____________
2,053,105,032 - - - 2,053,105,032 ____________ ________ ________ _________ ____________ ____________ ________ ________ _________ ____________
Maximum exposure at 31 March 2018
The carrying amounts of contribution receivables from employers, contribution receivables from employees, amounts receivables on sale of investments, other receivables and cash and cash equivalents represent the Scheme's maximum exposure to credit risk in relation to financial assets. All the Scheme's amounts receivables are held in major financial institutions located in Hong Kong, which management believes are of high credit quality. The Scheme has policies in place to evaluate credit risk to limit its credit exposure to individual unitholders.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
140
20. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)
Liquidity risk
Liquidity risk is the risk that the Scheme and its underlying constituent funds will encounter
difficulty in raising funds to meet commitments. Liquidity risk may result from an inability to sell a
financial instrument within a reasonable time at an amount close to its fair value.
Considering that the Scheme invests the majority of the assets in actively traded markets,
management of the Scheme and its underlying constituent funds consider the liquidity risk of the
Scheme and its underlying constituent funds is minimal.
Capital management
The operation of the Scheme is regulated and supervised by the MPFA and the Scheme is governed
by the trust deed of the Scheme. The primary objective of the Scheme's capital management is to
achieve reasonable returns on investments for the Scheme assets.
The capital of the Scheme represents net assets attributable to unitholders. The Scheme does not
raise capital by issue of shares or debt, or in any other way other than contributions made to the
Scheme. During the financial period, the Scheme has complied with the General Regulations and
there has been no material change to the trust deed of the Scheme that has impacted how the Scheme
should manage its capital.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
141
21. PAYMENTS CHARGED TO DIS CONSTITUENT FUNDS
In accordance with the Mandatory Provident Fund legislation, the aggregate of the payments for
services of the MGAP and MGCA must not, in a single day, exceed a daily rate of 0.75% per annum
of the net asset value of each of the MGAP and MGCA divided by the number of days in the year.
The above aggregate payment for services includes, but is not limited to, the fees paid or payable for
the services provided by the Trustee, the Administrator, the Investment Manager, the Custodian and
the Sponsor and/or promoter (if any) of each of the MGCA and MGAP and its underlying
investment fund(s), and any of the delegates from these parties and such fees are calculated as a
percentage of the net asset value of each of the MGCA and MGAP and its underlying investment
fund(s), but do not include any out-of-pocket expenses incurred by each of the MGCA and MGAP
and their underlying investment fund(s).
In accordance with the Mandatory Provident Fund legislation, the total amount of all payments that
is charged to or imposed on a DIS constituent fund or members who invest in a DIS constituent
fund, for out-of-pocket expenses incurred by the Trustee on a recurrent basis in the discharge of the
Trustee's duties to provide services in relation to a DIS constituent fund, shall not in a single year
exceed 0.2% per annum of the net asset value of each of the MGCA and MGAP.
For this purpose, out-of-pocket expenses include, for example, annual audit expenses, printing or
postage expenses relating to recurrent activities (such as issuing annual benefit statements),
recurrent legal and professional expenses, safe custody charges which are customarily not calculated
as a percentage of the net asset value and transaction costs incurred by a DIS constituent fund in
connection with recurrent acquisition of investments for the DIS constituent fund (including, for
example, costs incurred in acquiring underlying funds) and annual statutory expenses (such as
compensation fund levy where relevant) of the DIS constituent fund.
Out-of-pocket expenses that are not incurred on a recurrent basis may still be charged to or imposed
on a DIS constituent fund and such out-of-pocket expenses are not subject to the above statutory
limit. Examples include audit, independent review or accounting expense related to an one-off issue
such as scheme merger, change of trustee or scheme administrator.
Payment for services, out-of-pocket expenses and other payment charged to the MGCA and MGAP
are disclosed below. Payments for services and out-of-pocket expenses are those defined in the MPF
Ordinance.
MANULIFE GLOBAL SELECT (MPF) SCHEME
NOTES TO FINANCIAL STATEMENTS
31 March 2019
142
21. PAYMENTS CHARGED TO DIS CONSTITUENT FUNDS (continued)
2019 2018
MGAP
HK$
MGCA
HK$
MGAP
HK$
MGCA
HK$
Payments for out-of-pocket expenses
- Audit Fees 18,620 22,915 47,710 47,710
- Accounting and Professional Fees 13,650 13,650 13,650 13,650
- Annual Fee 4,778 4,778 5,942 5,942
- Transaction Handling Fees 151,430 151,126 129,042 129,546
- Interest Expense 23,436 3,883 11,466 5,575
- Indemnity Insurance 2,334 8,799 574 2,277
- Expenses incurred in respect of
administration of scheme and
constituent funds
80,845
282,920
36,531
144,813
- Cash Payment Fee 6,440 6,325 2,875 2,875
Total out-of-pocket expenses 301,533 494,396 247,790 352,388
Payments for services
- Administration Fee 4,772,098 16,862,542 1,733,926 6,777,395
- Investment Management Fee 97,407 344,292 35,406 138,446
Total payments for services expenses 4,869,505 17,206,834 1,769,332 6,915,841
Total payments 5,171,038 17,701,230 2,017,122 7,268,229
Out-of-pocket expenses expressed as a
percentage of average net asset value at
the last dealing day of each month of
the DIS constituent funds 0.03% 0.01%
0.06% 0.02%
22. APPROVAL OF FINANCIAL STATEMENTS
The financial statements were approved and authorised for issue by the Trustee on 17 September
2019.
143
MANULIFE GLOBAL SELECT (MPF) SCHEME
INFORMATION FOR THE SCHEME MEMBERS
31 March 2019
Members of the Scheme are informed about the financial position of their MPF contributions through the
use of a secure PIN which provides access to Smart Call (an IVR service) or e-MPF online service (a web
based service). Both services allow members to enquire about their fund balances and perform routine
transactions such as changing investment instructions. Members can also find comprehensive information in
the online monthly Member Benefit Statement via e-MPF. After log on to e-MPF, members can set up a
fund price alert by selecting the fund and setting a target unit price by the MPF Fund Price Alert. An email
alert will be sent to members when the target unit price is reached. In addition, members are kept abreast of
the investment market with an online view of monthly fund performance through visiting
www.manulife.com.hk to access the e-MPF service. To further facilitate the provision of information to
members, a Manulife App for mobile devices has been launched allowing access to fund information as well
as login to the Customer Website for account balances etc.
Employers can understand the operation of the Scheme through the Employer's Operations Manual which
continues to be a valuable guide for administrative duties and compliance obligations. In addition,
employers may use the internet to access, at their convenience, information relating to their sub-scheme.
This includes the current Cash Account Balance and the status of Contribution Allocation.
As an additional service, for members that have an email address on its records, Manulife initiates timely
emails to alert members that contributions have been allocated to accounts and fund switch transactions have
been executed.
Ernst & Young 22/F. CITIC Tower 1 Tim Mei Avenue Central, Hong Kong
~;kiiittifi lJ-~tJiJi' Tel ~~i!i: +852 2846 9888 ~;f!cp !iU~~iillJJ/l Fax ffl:~: +852 2868 4432 4'1~ ::k@22~t ey.com
INDEPENDENT AUDITOR'S ASSURANCE REPORT TO THE TRUSTEE OF MANULIFE GLOBAL SELECT (MPF) SCHEME
We have audited the financial statements of Manulife Global Select (MPF) Scheme (the "Scheme") for the year ended 31 March 2019 in accordance with Hong Kong Standards on Auditing and with reference to Practice Note 860.1 (Revised), The Audit of Retirement Schemes ("PN 860.1 (Revised)") issued by the Hong Kong Institute of Certified Public Accountants ("HKICPA"), and have issued an unqualified auditor's report thereon dated 17 September 2019.
Pursuant to Section 102 of the Mandatory Provident Fund Schemes (General) Regulation (the "General Regulation"), we are required to report whether the Scheme complied with certain requirements of the Mandatory Provident Fund Schemes Ordinance ("MPFSO") and the General Regulation.
Trustee's Responsibility
The General Regulation requires the trustee to ensure that:
(a) proper accounting and other records are kept in respect of the constituent funds of the Scheme, the Scheme assets and all financial transactions entered into in relation to the Scheme;
(b) the requirements specified in the guidelines made by the Mandatory Provident Fund Schemes Authority (the "MPFA") under Section 28 of the MPFSO with respect to forbidden investment practices and the requirements of Sections 37(2), 51 and 52 and Part X of, and Schedule 1 to, the General Regulation are complied with;
(c) the requirements under sections 34DB(1)(a), (b), (c) and (d) , 34DC(1) and 3400(1) and (4) of the MPFSO are complied with; and
(d) the Scheme assets are not subject to any encumbrance, otherwise than as permitted by the General Regulation.
Our Independence and Quality Control
We have complied with the independence and other ethical requirements of the Code of Ethics for professional Accountants issued by the HKICPA, which is founded on fundamental principles of integrity, objectivity, professional competence and due care, confidentiality and professional behavior.
Our firm applies Hong Kong Standard on Quality Control 1, Quality Control for Firms that Perform Audits and Reviews of Financial Statements, and Other Assurance and Related Services Engagement and accordingly maintains a comprehensive system of quality control including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.
Auditors Responsibility
Our responsibility is to report on the Scheme's compliance with the above requirements based on the results of the procedures performed by us.
We conducted our engagement in accordance with Hong Kong Standard on Assurance Engagements 3000 (Revised), Assurance Engagements Other Than Audits or Reviews of Historical Financial Information and with reference to PN 860.1 (Revised) issued by the HKICPA. We have planned and performed our work to obtain reasonable assurance on whether the Scheme has complied with the above requirements.
144
A member firm o( Ernst & Yourig Global Limited
INDEPENDENT AUDITOR'S ASSURANCE REPORT {continued) TO THE TRUSTEE OF MANULIFE GLOBAL SELECT (MPF) SCHEME
Auditor's Responsibility (continued)
We have planned and performed such procedures as we considered necessary with reference to the procedures recommended in PN 860.1 (Revised) issued by the HKICPA, which included reviewing, on a test basis, evidence obtained from the Trustee regarding the Scheme's compliance with the above requirements.
We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Opinion
Based on the foregoing:
1. in our opinion:
a) proper accounting and other records have been kept during the year ended 31 March 2019 in respect of the constituent funds of the Scheme, the Scheme assets and all financial transactions entered into in relation to the Scheme; and
b) the requirements specified in the guidelines made by the MPFA under Section 28 of the MPFSO with respect to forbidden investment practices and the requirements of Sections 37(2), 51 and 52 and Part X of, and Schedule 1 to, the General Regulation have been complied with, in all material respects, as at 31 March 2019, 31 December 2018 and 29 June 2018; and
c) the requirements specified in the MPFSO under sections 34DB(1)(a), (b), (c) and (d) 34DC(1) and 3400(1) and (4)(a) with respect to the investment of accrued benefits and control of payment for services relating to Manulife MPF Core Accumulation Fund and Manulife MPF Age 65 Plus Fund have been complied with, in all material respects, as at 31 March 2019, 31 December 2018 and 29 June 2018; and
d) the requirements specified in section 34DD(4)(b) of the MPFSO with respect to the controls of out-of-pocket expenses of the Manulife MPF Core Accumulation Fund and Manulife MPF Age 65 Plus Fund have been complied with, in all material respects, as at31 March 2019.
2. as at 31 March 2019, the Scheme assets were not subject to any encumbrance, otherwise than as permitted by the General Regulation.
145
A member firm -Of Ernst & Vou11g Glob.al limited
INDEPENDENT AUDITOR'S ASSURANCE REPORT (continued) TO THE TRUSTEE OF MANULIFE GLOBAL SELECT (MPF) SCHEME
Other Matter
The requirement(s). specified in the MPFSO under section(s) 3401(1) and (2) and 34DK(2) with respect to the transfer of accrued benefits to an account and specified notice, and 34DJ(2), (3), (4) and (5) with respect to locating scheme members relating to Manulife MPF Core Accumulation Fund and Manulife MPF Age 65 Plus Fund are not applicable to the trustee during the year ended 31 March 2019 as the trustee has completed the relevant transitional provisions. Accordingly, there is no reporting on these sections.
Intended Users and Purpose
This report is intended solely for submission by the trustee to the MPFA pursuant to Section 102 of the General Regulation, and is not intended to be, and should not be, used by anyone for any other purpose.
c1:: ::icco~nran~ Hong Kong 17 September 2019
146
A member fkm of Ernst & Young Global Umit&d