The Hong Kong Monetary Authority (HKMA) has outsourced the management of nearly 30 percent of the Exchange Fund assets, used to support the local currency’s peg to the U.S. dollar, to external investment managers. According to Christopher Hui Ching-yu, Secretary for Financial Services and the Treasury, these managers handled around HKD690bn (USD88.36bn) last year, with management fees costing 0.43% of the assets. Notably, 90% of these assets are managed by firms based in Hong Kong. The HKMA uses approximately 80 investment managers and does not set fixed terms for their appointments, aligning with standard market practices. Hui also noted that local stocks are managed by about 20 experienced external managers, and the Fund has invested in 32 local hedge funds.