In January, pension funds experienced a positive performance, with the comprehensive index reaching 296.2 points, marking a 3.4% increase. According to RTHK, the average earnings per person amounted to 11,085 HKD. Major indices recorded positive returns, with equity funds achieving an overall return of 4.8%. Regionally, Asian equity funds performed the best with an 8.7% return, followed by Greater China and Hong Kong equity funds, which saw returns of 7.4% and 6.9%, respectively. U.S. equity funds had the weakest performance, with only a 1% return.
Mixed asset funds returned 3.5%, while fixed income funds saw a return of 0.3%. Notably, Hong Kong dollar bond funds recorded a negative return of 0.3%. GUM highlighted that the ongoing development of artificial intelligence (AI) continues to drive demand for memory and semiconductors, maintaining strong growth momentum in regions such as Greater China, Japan, and South Korea, which are integral to the AI supply chain. Additionally, market expectations of a weakening U.S. dollar have attracted capital inflows into Asia.
GUM believes that global stock markets remain on an upward trend, with non-dollar assets appearing more attractive. The Asian market is viewed most favorably, followed by Europe, although the latter is susceptible to changes in U.S.-Europe relations, such as the recent trade dispute over Greenland.