Principal MPF − Smart Plan


IMPORTANT INFORMATION
  1. Principal MPF - Smart Plan (the “Smart Plan”) is an MPF Scheme.
     
  2. The Principal Guaranteed Fund of the Smart Plan invests solely in a single approved pooled investment fund in the form of an insurance policy issued by Principal Insurance Company (Hong Kong) Limited (“Sponsor”). The guarantee of the Principal Guaranteed Fund Policy, in which the Principal Guaranteed Fund of the Smart Plan invests, is given by the Sponsor. Your investments in this constituent fund, if any, are therefore subject to the credit risks of the Sponsor. The guarantee applies in specified circumstances only. Please refer to Section 5.1 (6) of the offering document of the Smart Plan for details of the credit risk, guarantee features and guarantee conditions. Upon realization of units in this constituent fund other than under the guarantee conditions, the proceeds of realisation are subject to a reduction by the Sponsor of a certain percentage of the member’s account balance (or the relevant part of the account balance). The rate of reduction is determined by the Sponsor at its sole discretion and can be changed by the Sponsor at any time without prior notice. The current maximum rate of reduction is 5%. Subject to the approval of the Mandatory Provident Fund Schemes Authority (“Authority”), the maximum rate may be increased.
     
  3. The Principal - MPF Conservative Fund in the Smart Plan does not guarantee the repayment of capital.
     
  4. Please be reminded that in the event that you do not make any investment choices or if you submit an investment mandate which is invalid in the circumstances set out in the relevant scheme enrolment form, your contributions made and/or benefits transferred into Principal MPF − Smart Plan will be invested into the Default Investment Strategy (“DIS”) as stated in section 6.5A of the relevant offering document of Principal MPF − Smart Plan.
     
  5. You should consider your own risk tolerance level and financial circumstances before investing in the DIS. You should note that the Principal Core Accumulation Fund and the Principal Age 65 Plus Fund may not be suitable for you, and there may be a risk mismatch between the Principal Core Accumulation Fund and the Principal Age 65 Plus Fund and your risk profile (the resulting portfolio risk may be greater than your risk preference). You should seek financial and/or professional advice if you are in doubt as to whether the DIS is suitable for you, and make the investment decision most suitable for you taking into account your circumstances.
     
  6. You should note that the implementation of the DIS may have an impact on your MPF investments and benefits. You should consult with the Trustee if you have doubts on how you are being affected.
     
  7. Fees and charges of an MPF conservative fund can be deducted from either: (i) the assets of the constituent fund; or (ii) members’ account by way of unit deduction. The Principal - MPF Conservative Fund uses method (i) and, therefore, unit prices/ NAV/ fund performance quoted have incorporated the impact of fees and charges.
     
  8. You should not invest based on the marketing information provided in this website alone and should read the offering document of the Smart Plan for further details including product features, fees and charges and risk factors.
     

Principal MPF − Simple Plan


IMPORTANT INFORMATION
  1. Principal MPF − Simple Plan (the “Simple Plan”) is an MPF Scheme.
     
  2. The Principal - MPF Conservative Fund of the Simple Plan does not guarantee the repayment of capital.
     
  3. Please be reminded that in the event that you do not make any investment choices or if you submit an investment mandate which is invalid in the circumstances set out in the relevant scheme enrolment form, your contributions made and/or benefits transferred into Principal MPF − Simple Plan will be invested into the Default Investment Strategy (“DIS”) as stated in section 6.5A of the relevant offering document of Principal MPF − Simple Plan.
     
  4. You should consider your own risk tolerance level and financial circumstances before investing in the DIS. You should note that the Principal Core Accumulation Fund and the Principal Age 65 Plus Fund may not be suitable for you, and there may be a risk mismatch between the Principal Core Accumulation Fund and the Principal Age 65 Plus Fund and your risk profile (the resulting portfolio risk may be greater than your risk preference). You should seek financial and/or professional advice if you are in doubt as to whether the DIS is suitable for you, and make the investment decision most suitable for you taking into account your circumstances.
     
  5. You should note that the implementation of the DIS may have an impact on your MPF investments and benefits. You should consult with the Trustee if you have doubts on how you are being affected.
     
  6. Fees and charges of an MPF conservative fund can be deducted from either: (i) the assets of the constituent fund; or (ii) members’ account by way of unit deduction. The Principal - MPF Conservative Fund uses method (i) and, therefore, unit prices/ NAV/ fund performance quoted have incorporated the impact of fees and charges.
     
  7. You should not invest based on the marketing information provided in this website alone and should read the offering documents of the Simple Plan for further details including product features, fees and charges and risk factors.
     

Principal Central Provident Fund


IMPORTANT INFORMATION
  1. The Principal Central Provident Fund (the “Principal CPF”) is a master trust designed to comply with the Occupational Retirement Schemes Ordinance (“ORSO”).
     
  2. One of the investment options (the "Guaranteed Fund") of the Principal CPF invests 100% in the Deposit Administration Guaranteed Fund Policy (the "China Life Policy") issued by The China Life Insurance (Overseas) Company Limited ("China Life"). Your investments in the Guaranteed Fund are therefore subject to the credit risks of China Life. Please refer to the section entitled "GUARANTEED FUND AND CHINA LIFE POLICY" in Appendix 1 to Principal Brochure for details of investment return and fees and charges of the Guaranteed Fund and the guarantee features and conditions of the China Life Policy.
     
  3. A few investment options (each, "Relevant Investment Options") of the Principal CPF each invests 100% in the (a) Stable Fund Policy, (b) Balanced Fund Policy, (c) Growth Fund Policy; (d) Principal Stable Fund Policy, (e) Principal Balanced Fund Policy, (f) Principal Growth Fund Policy, and (g) Principal − RCM Hong Kong Fund Policy. Each of these underlying insurance policies was issued by Principal Insurance Company (Hong Kong) Limited ("PIC"). Your investments in these Relevant Investment Options are therefore subject to the credit risks of PIC. Each reference to "Insurer" in this document means either China Life or PIC, as the case may be, unless expressly specified otherwise.
     
  4. You should consider your own risk tolerance level and financial circumstances before making any investment choices. When, in your selection of investment choices, you are in doubt as to whether a particular investment choice is suitable for you (including whether it is consistent with your investment objectives), you should seek financial and/or professional advice and choose the investment option(s) most suitable for you taking into account your circumstances.
     
  5. You should not invest based on the marketing information provided in this website alone and should read the principal brochure of the Principal CPF for further details, including product features,fees and charges and risk factors.
     



Issuer of this material:

(For Principal MPF − Smart Plan and Principal MPF − Simple Plan)
Principal Trust Company (Asia) Limited

(For Principal Central Provident Fund)
Principal Trust Company (Asia) Limited