Guided by the investment objectives of the Exchange Fund, the HKMA regularly reviews the portfolio structure and target asset mix of the Exchange Fund taking into account the risks the Exchange Fund can afford to take, the liquidity it requires and the targeted long-term investment return. In addition, the HKMA actively manages the Exchange Fund’s assets. Most of the Exchange Fund’s assets are directly managed by the HKMA while the remaining assets are managed by external fund managers appointed by the HKMA.