The Exchange Fund recorded an investment income of $27.3 billion in the first half of the year, the Monetary Authority announced today.

The fee payable to the fiscal reserves amounted to $22.2 billion, while fee payments on placements by Government funds and statutory bodies amounted to $6.9 billion.

The accumulated surplus decreased $36.2 billion.

The fund’s total assets grew $85.4 billion to $4.1007 trillion in the same period.

Monetary Authority Chief Executive Norman Chan said: "Looking ahead, the global investment environment will become even more complex and challenging in the second half of the year.

"As trade conflicts between the US and China continue to escalate, trade tensions between the US and other countries are also intensifying. It is hard to predict what will happen next.

“If the trade wars continue to heat up, the global economy and financial markets will be taking a hit.”