Iran conflict sent oil surging to $119/bbl before retreating. HSI fell 3.4% on the week amid risk-off selling, while gold broke above $5,000 for the first time. HIBOR continues its slide, keeping premium financing windows open for advisors.
25,408
Hang Seng Index
▼ −3.41% this week
HSI25,408−3.41%
S&P 5006,796+0.83%
Nasdaq22,696+1.38%
Gold$5,098+2.10%
WTI Oil$87.50−26% off peak
USD/HKD7.7850Pegged
HIBOR 1M3.80%−2 bps
USD/CNH7.251−0.18%
US 10Y4.16%+7 bps
Market Analysis
Stock Connect Inflows Hit 15-Month High as Institutions Rotate Into HK Equities
Net northbound capital of HK$12.4B this week signals renewed institutional confidence. Technology and financial sector stocks were the primary beneficiaries, with the HSI Tech Index surging 2.91%.
Rates
Fed Holds Rates; HIBOR Continues 3-Month Slide
With 1M HIBOR now at 4.18%, premium financing strategies are becoming more attractive. We model three scenarios for advisors.
Wealth Planning
Gold at $2,921: Why High-Net-Worth Clients Are Repositioning
A 13.2% YTD gain has reignited conversations about portfolio hedging. FM Weekly examines the role of alternative assets in legacy planning.
Insurance
VHIS Enrolment Deadline: What Advisors Need to Know
The new 2026 VHIS premium tables are in effect. We compare Manulife's Flexi Superior and the new Flexi Annex plan side by side.
MPF
MPF Voluntary Contributions: A Q1 Checklist for Clients
With Asia Pacific funds up 9.3% YTD, now is a good time to review top-up elections. FM Weekly provides a step-by-step guide.
Key Indices
Market Snapshot · 10 March 2026
Hang Seng
25,408
▼ −3.41% WoW YTD +22.1%
S&P 500
6,796
▼ −1.2% WoW YTD +2.8%
Gold Spot
$5,098
▲ +2.10% WoW YTD +42.6%
HIBOR 1M
3.80%
● Declining · down from 4.18% Jan
USD/HKD
7.7850
● Peg intact · Band 7.75–7.85
FM Weekly · Editor's Note
The Case for HK Equities Has Rarely Been Stronger
A combination of strong mainland inflows, a bottoming rate cycle, and deeply discounted valuations relative to global peers creates a compelling environment for long-term wealth allocation into Hong Kong assets. Premium financing at current HIBOR levels warrants serious consideration.
HK$8.2B
Stock Connect Inflow
Week of 3–7 Mar · Cautious amid tensions
3.80%
1M HIBOR
Down from 4.18% in January
+22.1%
HSI Year-to-Date
Still outperforming most major indices
$5,098
Gold Spot Price
All-time high amid Iran conflict
Insurance & Finance Products
Comprehensive Cover for Every Life Stage
From whole life legacy planning and critical illness protection to voluntary health insurance and premium financing — FM Weekly presents the complete Manulife product suite for Hong Kong advisors.
HIBOR 1M4.18%−28 bps YTD
USD/HKD7.7850Pegged
US Fed Rate4.25–4.50%On hold
HK Base Rate4.75%Follows Fed
Life Products8 ActiveUpdated Mar 2026
CI Products11 ActiveUpdated Mar 2026
Life Insurance
Whole Life & Term Plans
Legacy-building products with guaranteed cash value, designed for wealth transfer across generations.
Whole Life · SP / 5-Pay
Nexara GS
USD-denominated · Premium financing eligible
Guaranteed cash value from Year 2
Legacy transfer across 3 generations
Reversionary + terminal bonus
Whole of life cover to age 128
Projected IRR ~4.8% (20Y)
Whole Life · Multi-Pay
Nexara PS
HKD/USD · SP / 5-Pay / 10-Pay options
High early cash value structure
Waiver of premium rider available
Flexible payment term selection
Ideal for wealth accumulation
Projected IRR ~4.5% (20Y)
Term Life · 20-Year
ManuTerm 20
HKD · Level term · Guaranteed renewable
Death & Total Permanent Disability
Guaranteed renewability at term end
CI & income rider attachable
Affordable entry-level coverage
From HK$320/month · Age 35, NS
Critical Illness · Protection
Protection Against Life's Most Serious Illnesses
With cancer rates rising and treatment costs escalating, critical illness coverage has never been more important for Hong Kong families.
Critical Illness
Critical Illness Plans
★ Top Seller · CI Standalone
MBC2 / MBC2 Plus
HKD · Coverage to age 100
168 critical illness conditions
Multiple claim benefit (MBC2 Plus: 3×)
Cancer re-diagnosis benefit
Recovery cash benefit
Best-seller · Ages 25–55
CI Income Plan
IG Plan
Monthly income on CI diagnosis
Monthly CI income for 5 or 10 years
Return of premium on expiry
100+ covered conditions
Recovery benefit included
Up to HK$30,000/month
Female-Focused
Women's CI
Tailored for female clients · Ages 18–60
Female-specific CI conditions
Pregnancy complications cover
Breast cancer specialist benefit
Wellness checkup benefit
Most popular: Ages 28–45
VHIS · Voluntary Health Insurance
VHIS Plan Comparison
All plans are tax-deductible under the Inland Revenue Ordinance. Premium tables updated January 2026.
Features
Flexi Superior
Flexi Standard
VHIS Flex ★
Cigna VHIS FP
Annual Benefit Limit
HK$600,000
HK$420,000
HK$1,200,000
HK$800,000
Ward Type
Semi-private
Ward
Private room
Private room
Pre-existing Conditions
✓ After 3 years
✗
✓ After 2 years
✓ After 3 years
Mainland China Coverage
✓
✗
✓
✓
Day Patient Surgery
✓
✓
✓
✓
Cancer Treatment
Standard
Basic
Enhanced
Enhanced
Psychiatric Benefit
✗
✗
✓
✗
Tax Deductible Premium
✓
✓
✓
✓
Premium Financing
Bank Financing Comparison
With 1M HIBOR at 4.18% — down 28 bps since January — premium financing spreads are approaching 5-year lows.
Airstar Bank
HIBOR + 0.8%
≈ 5.0% all-in · Floating rate
LTV Ratio80%
Max Loan Tenure20 Years
Min. Policy Face ValueUSD 300K
Eligible ProductsGS, PS, PA
Dah Sing Bank
HIBOR + 1.0%
≈ 5.2% all-in · Floating rate
LTV Ratio75%
Max Loan Tenure25 Years
Min. Policy Face ValueUSD 200K
Eligible ProductsGS, PS, FA, PP
MacSafe / Fixed Rate
4.50%
Fixed rate · Rate lock for full term
LTV Ratio70%
Max Loan Tenure20 Years
Min. Policy Face ValueUSD 250K
Eligible ProductsGS, PS
FM Weekly Advisory View
"With HIBOR declining and policy IRRs holding above 4.5%, the current window for premium financing on whole life products is among the most favourable we have seen since 2019."
FM Weekly Research Desk · March 2026
168
Critical Illness Conditions
MBC2 Plus covers 168 conditions with multiple claim benefit — among the broadest CI coverage in HK.
HK$3,600
Max Annual VHIS Tax Deduction
Each VHIS policy qualifies for up to HK$8,000 in tax deductions under the Inland Revenue Ordinance.
4.8%
GS Plan Projected 20Y IRR
At current HIBOR levels of 4.18%, premium financing on GS Plan generates a potential positive arbitrage of ~60 bps.
11
CI Product Options
4
VHIS Plans
3
Financing Banks
80%
Max LTV (Airstar)
Charts & Analytics · Week 10
Market Performance at a Glance
Comprehensive charts, fund performance tables, and portfolio analytics — updated weekly for Hong Kong advisors.
HSI YTD+22.1%Outperforming
Gold YTD+42.6%All-time high
S&P YTD+2.8%Volatile
Nasdaq YTD+1.4%Recovering
WTI Oil$87.50Iran risk premium
VIX28.96Elevated
Market Charts
Performance Overview
Hang Seng Index · 12-Month Performance
Recovering from a Mar 2025 low of 15,904. Broke 200-day MA this week.
Sample Portfolio Mix
Illustrative allocation for balanced HNW client profile.
Life Insurance 35%
Equities 25%
Fixed Income 20%
Cash / MPF 12%
Alternatives 8%
HIBOR 1-Month Rate · Trend
Down 28 basis points since January 2026, supporting premium financing.
Monthly Returns Comparison
HSI vs Gold vs S&P 500 — last 6 months.
Fund Performance
MPF Funds: Asia Pacific Leads with +9.3% YTD
Mainland-exposed funds are outperforming global peers as capital rotates into undervalued Asian equities.
Fund Performance
MPF & Investment Fund Returns
Fund · Scheme
Type
1M
3M
YTD
1Y
3Y Ann.
🏆 AIA MPF – China Equity Fund
China Equity
+4.8%
+11.2%
+12.4%
+31.6%
+9.2%
🏆 Manulife MPF – HK & China Equity
HK & China Eq.
+3.9%
+9.8%
+10.7%
+28.4%
+7.8%
🏆 HSBC SuperTrust Plus – HK & China Eq.
HK & China Eq.
+3.6%
+9.1%
+10.2%
+27.9%
+7.4%
🏆 Sun Life Rainbow – China Equity
China Equity
+4.1%
+10.4%
+11.6%
+26.8%
+6.9%
🌏 HSBC SuperTrust Plus – Asia Pacific Eq.
Asia Pacific Eq.
+2.8%
+7.4%
+9.3%
+18.4%
+5.6%
🌏 AIA MPF – Asian Equity Fund
Asia Pacific Eq.
+2.6%
+6.9%
+8.8%
+17.2%
+5.1%
🥇 Manulife MPF – Gold & Commodity Fund
Commodity
+1.4%
+8.2%
+13.2%
+22.1%
+14.6%
🇺🇸 HSBC SuperTrust Plus – North American Eq.
US Equity
−1.8%
−2.4%
−1.9%
+16.4%
+10.2%
🇺🇸 AIA MPF – American Fund
US Equity
−2.1%
−2.8%
−2.4%
+14.8%
+9.6%
🏦 Manulife MPF – HKD Bond Fund
Bond
+0.4%
+1.2%
+2.8%
+4.1%
+1.3%
💵 HSBC SuperTrust Plus – MPF Conservative
Money Market
+0.09%
+0.38%
+1.1%
+4.6%
+3.9%
Source: MPF Ratings · Data as of 28 Feb 2026 · NAV-to-NAV basis, net of charges · Past performance is not indicative of future returns
+22.1%
HSI Year-to-Date Return
HSI remains one of the best-performing major indices globally YTD despite a volatile week, driven by mainland inflows and China's 4.5–5% GDP target for 2026.
28.96
VIX Fear Index
Elevated above 28 on Iran war uncertainty and oil price spike to $119/bbl — historically this level signals near-term volatility but medium-term buying opportunity.
−38 bps
HIBOR Drop Since Jan
1M HIBOR at 3.80%, down from 4.18% in January. The declining rate environment continues to make premium financing strategies increasingly attractive.
Gold
Best Asset YTD
+42.6% · All-time high $5,098
HK
Best Equity Market
+22.1% YTD
4.16%
US 10Y Treasury
+7 bps this week
19 Mar
Next FOMC Decision
Hold expected · Oil risk watch
Global Pulse · Week 10, 2026
AI Agents, Trade Wars & A Nervous World
From Silicon Valley's software disruption to Washington's tariff escalation and OPEC's unravelling unity — five forces shaping global capital markets this week, with analysis for Hong Kong advisors.
5
Critical Themes
↑ Markets on Edge
BTC$84,210−3.2% WoW
WTI Oil$68.40−2.15%
Gold$2,921+1.44%
Nasdaq17,490−1.24%
VIX22.4Elevated
US 10Y4.31%−3 bps
ETH$3,480+2.1%
USD/CNH7.234+0.21%
This Week's Global Pulse
Five Themes Every Advisor Must Know
Curated macro intelligence with direct implications for HK client portfolios — AI disruption, geopolitical risk, commodity shifts, crypto positioning, and central bank signals.
🤖 Artificial Intelligence
The $285 Billion Software Reckoning — AI Agents Are Here
Anthropic's Claude Cowork triggered a historic repricing of enterprise software stocks as investors grasped the implications of AI agents that can autonomously read files, draft documents, and automate entire workflows — without human input. Microsoft immediately embedded the same architecture into its M365 Copilot suite, signalling this is not a trend but a structural shift. For HK advisors, wealth-tech platforms, robo-advisory, and back-office SaaS vendors are directly in the crosshairs. Portfolios with legacy enterprise software exposure warrant immediate review.
⚔️ Geopolitics · Trade
US Tariff Escalation Rattles Supply Chains — China Retaliates
Washington's blanket 25% tariff on Chinese goods, and secondary levies on Canada and Mexico, have injected fresh uncertainty into global trade flows. Beijing responded with targeted agricultural and rare-earth restrictions. Asian markets are caught in the crossfire — but HK-listed manufacturing exporters face asymmetric risk.
₿ Crypto
Bitcoin Pulls Back to $84K — But Institutional Demand Holds
After peaking near $97K in late February, BTC has retraced on macro risk-off sentiment. However, ETF net inflows remained positive for the 12th consecutive week. ETH ETF products attracted $800M in inflows — suggesting institutional crypto allocations are maturing beyond speculation.
🛢️ Energy · Commodities
OPEC+ Cracks: UAE & Iraq Resist Saudi-Led Cuts
A fractious Vienna meeting saw Saudi Arabia push through Q3 supply cuts over growing opposition. WTI settled at $68.40 — well below the fiscal break-even for most Gulf states. The cartel's weakening cohesion opens the door to a price war. Energy sector allocation in client portfolios deserves a second look.
🏦 Macro · Fed
Fed Removes "Patience" — Bond Markets Hear a Hawkish Signal
The March FOMC held rates at 4.25–4.50% but the removal of "patience" from the statement sent the 10-year yield up 12bps intraday. With US CPI still sticky at 3.1%, rate cuts are being pushed to Q4 at the earliest — keeping USD strong and HK mortgage rates elevated.
Portfolio Implications · 組合影響
What These Events Mean for Your Clients
AI Disruption
SaaS Risk
▼ Review tech ETF exposure
Trade War
Supply Chain
▼ HK exporters under pressure
BTC Pullback
Buy Zone?
● ETF flows still positive
OPEC+ Cracks
Oil Bears
▼ Energy underweight justified
Fed Signal
USD Strong
● HIBOR stays elevated near-term
FM Weekly · Editor's View · 編輯觀點
Volatility Is the Feature, Not the Bug
In a world where AI agents are repricing software, tariffs are reshaping trade, and central banks are running out of room, uncertainty has become permanent. For long-term wealth advisors, this is exactly the environment where disciplined allocation — anchored by life insurance, gold, and diversified Asian equities — demonstrates its full value.
FM Weekly · Intelligence Desk
Key Numbers This Week
$285B
SaaS Market Cap Erased
The single-week software selloff triggered by AI agent launches — the largest sectoral repricing since the 2022 rate shock. Enterprise software is being fundamentally re-priced.
25%
US Tariff Rate on China
The blanket tariff rate imposed in Q1 2026 on Chinese goods — with secondary tariffs on Canada and Mexico at 25%. Asia Pacific supply chains are restructuring in real time.
$800M
ETH ETF Weekly Inflows
Ethereum ETF products attracted record weekly inflows, mirroring early Bitcoin ETF momentum. Institutional crypto allocation is broadening beyond BTC for the first time at scale.
$68.40
WTI Crude / bbl
Below most OPEC+ break-evens
3.1%
US CPI · Feb 2026
Sticky — rate cuts pushed to Q4
$84K
Bitcoin Price
−12% from Feb peak of $97K
19 Mar
Next FOMC Decision
Hold expected · Watch statement
FM Weekly · Advisory Perspective
"When technology disrupts software stocks, tariffs disrupt supply chains, and energy markets fracture — clients don't need predictions. They need portfolios built to absorb uncertainty. Life insurance, gold, and Asian equity diversification remain the core pillars."
