Important information:
• The Fund is subject to the concentration and emerging market risks arising from exposures to investments in a single emerging market.
• The Fund is subject to the credit risk of the issuers of the equity linked instruments held by the Fund. When the issuer of an investment defaults, the Fund may suffer a loss amounting to the value of such investment. The Fund may have up to 30% of its assets invested in equity linked instruments linked to China A-shares.
• There are risks and uncertainties associated with China’s tax rules and practices. In particular, in relation to the realised and unrealised capital gains the Fund gains from its investments in equity linked instruments linked to China A-shares, the Fund currently elects to or causes the issuer of the equity linked instruments to withhold 10% of such gains as tax provisions. Such provisions may be more than or less than the Fund’s actual tax liabilities and investors may be advantaged or disadvantaged depending upon the final outcome of how such gains will be taxed and when they subscribed and/or redeemed the units of the Fund.
• Investing in the Fund may involve substantial market, currency, volatility, liquidity, credit/counterparty, regulatory and political risks. Investors may suffer substantial loss of their investments in the Fund.
• Unit trusts are NOT equivalent to time deposits. Investors should not invest in the Fund solely based on the information provided in this document and should read the offering document of the Fund for details. This document does not constitute an offering document.
Fund objective
The Fund seeks long-term capital growth by mainly investing in a portfolio of equities issued by companies located in the mainland China (“China”) or deriving a preponderant part of their income and/or assets from China, and instruments linked to such investments. The Fund will be actively managed, aiming to achieve the investment objective without reference to market index weightings.
The Fund has terminated the appointment of investment sub-adviser, and has changed the fund name and investment policy on 13 January 2014.
† Morningstar, Inc. All Rights Reserved. Morningstar RatingTM as of 30 September 2014.
# The performance of a Class may be affected by many factors such as, where applicable, exchange rate fluctuation, currency hedging costs and interest rate differentiation between different currencies. Therefore, different Classes may have different performance, and the performance of a Class cannot be used to represent the performance of another Class. Investment involves risk. Past performance is not indicative of future performance. Please refer to the offering document for further details including the risk factors. The document has not been reviewed by the Securities and Futures Commission. www.assetmanagement.hsbc.com/hk 60 80 100 120 140 160 180 200 220 240 260 -40 -20 0 20 40 60 80 100 120 140 160
Price Indexed Percent Change
Sep 10 Jun 11 Jun 12 Jun 13 Jun 14 Jun Sep
HSBC China Growth Fund (Class AC)
Source: Morningstar, Inc. as at 30 September 2014. Bid to Bid price with dividend reinvested, in US Dollar.
Portfolio composition
Performance (%) YTD 3 mths 6 mths 1 yr 3 yrs 5 yrs Since Inception Fund (Class AC-USD)# 7.0 4.6 10.1 16.5 31.9 14.6 -4.7
Calendar year performance %
2009 98.0 2010 11.7 2011 -28.2 2012 16.3 2013 3.7 Fund details Launch date Class AC-USD Class AC-HKD 28 June 2007 1 June 2011
Fund size USD261.63 million
Base currency USD
Bid price
Class AC-USD USD9.029
Class AC-HKD HKD9.160
Fund manager Michael Chiu
Investment adviser HSBC Global Asset Management (Hong Kong) Limited
Minimum investment USD1,000 / HKD10,000
Initial charge 5.25%
Management fee 1.5% per annum
Switching charge 1%
Dealing Daily
ISIN code
Class AC-USD KYG4642D1189
Class AC-HKD KYG4642D3086
Bloomberg ticker
Class AC-USD HSBCMAC KY
Class AC-HKD HSBCMAH KY
Financial Y/E 31 July
Dividend policy No distribution
Portfolio characteristics
Annualised volatility (3-year) 17.93%
Sharpe ratio (3-year) 0.60
Please refer to the offering document for details of other fees. Source: HSBC Investment Funds (Hong Kong) Limited as at 30 September 2014. Sector allocation % Financials 38.2 Energy 11.8 Information technology 11.8 Industrials 11.5 Materials 7.4 Unit trusts 6.1 Utilities 4.8 Consumer discretionary 3.1 Telecommunication services 2.3
Cash & others 3.0
Percentage may not total 100 due to rounding.
Top 10 holdings %
Tencent Holdings Software & computer services 9.6
China Construction Bank Banks 8.4
Industrial and Commercial Bank of China Banks 7.9 iShares FTSE A50 China Index Equity investment instruments 5.1
CNOOC Oil & gas producers 3.8
China Life Insurance Insurance 3.2
Petrochina Oil & gas producers 3.1 China Petroleum and Chemical Oil & gas producers 2.5 China Oilfield Services Oil & gas producers 2.4 Shenzhen International Holdings Industrial transportation 2.4
October 2014
Disclaimer
This document and its contents are not intended to constitute an offer for sale, prospectus, invitation to subscribe for or purchase or otherwise acquire any of the instruments referred to herein. Please note that Units in the Fund which is recognized by Monetary Authority of Singapore (the “MAS”) for restricted offer in Singapore, which is the subject of this document, are not allowed to be offered to the retail public in Singapore.
No document or material in connection with the offer or sale of the Units may be circulated or distributed, nor may the Units be offered or sold, whether directly or indirectly, to persons in Singapore other than (i) an institutional investor pursuant to Section 304 of the Securities and Futures Act (“SFA”) in accordance with the conditions specified in that section, (ii) a relevant person pursuant to Section 305(1) of the SFA in accordance with the conditions specified in that section, (iii) any person pursuant to Section 305(2) in accordance with the conditions in accordance with the conditions specified in that section, or (iv) otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA.
The offer, holding and subsequent transfer of units are subject to restrictions and conditions under the SFA. Units subscribed to or purchased by any such permitted persons in Singapore shall not be transferred except as permitted by Section 305A of the SFA.
This document is prepared for general information purposes only and the opinions expressed are subject to change without notice. The opinions expressed herein should not be considered to be a recommendation by HSBC Global Asset Management (Singapore) Limited to any reader of this material to buy or sell securities, commodities, currencies or other investments referred to herein. It is published for information only and does not have any regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this document. This document does not constitute an offering document. Investors should not invest in the Fund solely based on the information provided in this document and should read the offering document of the Fund for details. Investors may wish to seek advice from a financial adviser before purchasing units in the fund. In the event that the investor chooses not to seek advice from a financial adviser, he should consider whether the fund in question is suitable for him.
Investment involves risk. The past performance of any fund and the manager and any economic and market trends/forecasts are not necessarily indicative of the future or likely performance of the fund. The value of investments and units may go down as well as up, and the investor may not get back the original sum invested. Investors and potential investors should read the Singapore Information Memorandum (including the risk warnings) which is available upon request, before investing. The Singapore Information Memorandum is available upon request from HSBC Global Asset Management (Singapore) Limited and our authorized distributors. Changes in rates of currency exchange may affect significantly the value of the investment.
HSBC Holdings plc, its subsidiaries and other associated companies which are its subsidiaries, and including without limitation Global Asset Management (Singapore) Limited (collectively, the “HSBC Group”), affiliates and clients of the HSBC Group, and directors and/or staff of any of the foregoing may, at any time, have a position in the markets referred to herein, and may buy or sell securities, currencies, or any other financial instruments in such markets.
HSBC Global Asset Management (Singapore) Limited has based this document on information obtained from sources it believes to be reliable but which it has not independently verified. Care has been taken to ensure the accuracy and completeness of this presentation but HSBC Global Asset Management (Singapore) Limited and HSBC Group accept no responsibility or liability for any errors or omissions contained therein.
HSBC Global Asset Management (Singapore) Limited is a Capital Market Services Licence Holder for Fund Management. HSBC Global Asset Management (Singapore) Limited is also an Exempt Financial Adviser and has been granted specific exemption under Regulation 36 of the Financial Advisers Regulation from complying with Sections 25 to 29, 32, 34 and 36 of the Financial Advisers Act.
HSBC Global Asset Management (Singapore) Limited 21 Collyer Quay #06-01 HSBC Building Singapore 049320 Telephone: (65) 6658 2900 Facsimile: (65) 6225 4324 Website: www.assetmanagement.hsbc.com/sg Company Registration No. 198602036R
Issued by HSBC Global Asset Management (Singapore) Limited Company Registration No.: 198602036R