(e)
79 -
According to Wyatt, the HK$46.6 billion of investment funds surveyed fepresents about 40% of the total estimated funds under management in the retirement schemes industry. Using information from the Wyatt reports the aggregate value of retirement schemes should be as follows:
Total value
Wyatt's Surveyed Schemes
of funds
Growth
Year
Total value of funds.
(+40%)
Rate
HK$b
HK$b
%
1994
46.6
117
-11%
1993
52.6
132
61%
1992
32.7
82
9%
1991
30.0
75
20%
1990
25.0
63
0%
1989
25.0
63
25%
1988
20.0
50
0%
1987
20.0
50
18%
1986
17.0
43
70%
1985
10.0
25
33%
1984
7.5
19
150%
1983
3.0
8
(f)
Based on Wyatt's survey on investment returns for the total population of retirement schemes in Hong Kong from 1983-1994 (as shown below), the median annual rate of return is 16.3% per annum over the 12-year period. Discounting the average annual inflation factor of 8.8% (Hang Seng CPI) over the same 12-year period, there is a real rate of return of 7.5% per annum (after deduction of a fund management fee of about 1%).
Year
Return in %
1994
-13.3
1993
53.3
1992
5.2
1991
16.1
1990
-3.4
1989
17.9
1988
11.7
1987
5.4
1986
41.2
1985
34.6
1984
4.4
1983
36.0
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