DIS at a glance

The Default Investment Strategy ("DIS") has commenced on 1 April 2017. It is a ready-made and low cost investment strategy designed for MPF members who do not have time, or do not
know how to make investment decisions. Members can also actively select the DIS or funds under the DIS if they find that the solution suits their own circumstances. You can know more
about the key features of the DIS here.

DIS "1, 2, 3"

1) ONE Investment Solution: Ready-made and low cost

2) TWO Constituent Funds:

• Invesco Core Accumulation Fund ("CAF")
• Invesco Age 65 Plus Fund ("A65F")

3) THREE Features:

• Fee cap: Management fee: 0.75% p.a. of NAV
  Out-of-pocket expenses: 0.20% p.a. of NAV
• Age-based de-risking
• Globally diversified investment principle

As an MPF member approaches retirement age, the investment strategy will be progressively adjusted to reduce the proportion of higher risk assets.

Things to note

• As various investment approaches (active, passive, hybrid, etc.) can be adopted for different DIS funds under different schemes:
  Standardized Investment Strategy  Identical Investment Outcomes
• The DIS is also for members to choose as an active choice:
   

Active Investment Option	De-risking Applies
DIS (the strategy)
Invesco Core Accumulation Fund
Invesco Age 65 Plus Fund

How does DIS affect you?

1) You HAVE NOT given investment instruction

Your MPF assets may be affected. If you are under or become 60 years old on the Effective Date (or we are not aware of your date of birth), we will send you the "DIS Re-investment Notice" ("DRN") within 6 months of the Effective Date. If you do not respond within 42 days of the date of the DRN, your MPF assets will be invested according to the DIS.

2) You are NOT SURE if you have given investment instruction

You should contact us as soon as possible to review your MPF investment instructions, and verify personal details (especially your address) to ensure you can receive important information from us.

3) You HAVE GIVEN investment instruction

In general, you will not receive the "DIS Re-investment Notice". We will continue to invest according to the investment instruction you have given. 

However, there are some exceptions. For example, the future contributions in some cases may also be redirected to DIS although you have given investment instruction before. For details, please refer to FAQ. 

If you are not sure which situation you are in, please contact us.

Point to note on de-risking process

If one or more of the specified fund switching instruction(s) is / are being processed on the annual date of de-risking, the annual de-risking will only take place on the next dealing day upon the completion of these instructions where necessary. You should note that the annual de-risking may be postponed as a result.

Notice distribution schedule

If you are currently invested in the default investment arrangement (DIA) of BCT Strategic MPF Scheme, you will receive the DIS RE-INVESTMENT NOTICE ("Notice") on 20 April 2017*.
You have to give instruction in response to the Notice within the 42-day reply period. If you want to stay invested in the original default fund, you must respond to the Notice through the
following "authorized" channels, so that your instruction is received by us before the following cut-off times on the Due Date. Channels other than those set out below are not authorized for
DIS purposes and submitting your instruction through unauthorized channels (e.g. via e-mail or intermediaries) is generally not acceptable (although the trustee may, on a case basis,
choose to accept and process such instruction based on the actual time of receipt by the trustee).

How to Get Prepared

• There are different roles to play by different stakeholders: members, employers / HR practitioners, service providers and government / regulator. 
   
• While the government / regulator will be highly involved in the publicity, education, supervision and monitoring throughout the process, the other three parties can do their part to better prepare for the DIS.

Before the launch of DIS

> Members

Care about your retirement
Manage your MPF account

• Review your MPF investment regularly. If you have not provided any investment instruction before, please contact INVESCO as soon as possible
• Update personal details with us if there is any change, to ensure you can receive important DIS information
• Read the notice(s) we send to you

> Employers / HR

Be resourceful

• Understand the DIS & know the timeline
• Arrange member briefings for staff
• Remind staff to give specific investment instruction
• Use updated forms & materials
• Update your intranet, staff handbook, etc.

> How Invesco can help

Provide timely information & assistance

• Readiness of products, forms, relevant documents
• Communicate with employers and members in advance
• Send "DIS Pre-implementation Notice" and "Important Note" to all members
• Provide employer & member briefings
• Customer service hotline and website

After the launch of DIS

> Members

Think and act

• Be alert of notice from Invesco
• What does DIS mean to you?
• What to do if you receive "DIS Re-investment Notice"
• Understand the potential impact on investment
• Access information via channels of Invesco

> Employers / HR

Ready to help

• Answer enquiries
• Use new version of membership enrollment form
• Give Invesco's channels for staff to get support (e.g. hotline, website, etc.)
• Work with Invesco for market update and support

> How Invesco can help

Communication is key

• Send "DIS Re-investment Notice" to relevant members
• Re-invest in the DIS if no opt-out indication
• Send confirmation of change to relevant members
• On-going investor education & member communication.

Notices

• DIS Pre-implementation Notice ("DPN")
• Important Note

Leaflet

• DIS Flyer

Frequently asked questions

• FAQ