Hong Kong Exchange Fund investment income of 2005 hit 38.1 billion HK dollars despite unfavorable factors of the markets, said the chief executive of the Monetary Authority Thursday.

Joseph Yam said the Exchange Fund outperformed the benchmark by 0.2 percent through the adoption of prudent investment strategies, though the energy prices were rising and the performance of the U. S. equity and bond markets was volatile.

He warned that the investment environment in 2006 would be challenging.

However, he said, "Working under the guidance of the Exchange Fund Advisory Committee and its investment sub-committee, the Monetary Authority will continue to exercise vigilance in this difficult environment and to manage the Exchange Fund prudently."

Source: Xinhua