View movement Asset class View Developed Market (DM) Underweight. US Underweight US Underweight USD IG Neutral

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1 IM Investment Monthly May 2017 This document contains the views of HSBC Global Asset Management and is distributed by HSBC Investment Funds (Canada) Inc., HSBC Private Wealth Services (Canada) Inc., and the HSBC InvestDirect division within HSBC Securities (Canada) Inc., each of which are subsidiaries of HSBC Bank Canada. This document is provided for information purposes only, does not contain investment recommendations and is not intended to provide investment advice. Fed set to unwind its balance sheet Key takeaways We remain neutral on global equities and corporate bonds, and underweight in developed market government bonds. We also continue to be overweight in local currency emerging market government bonds Global equities rose for a sixth-straight month in April, with significant gains occurring after Emmanuel Macron obtained the largest share of the vote in the first round of the French presidential elections The latest Federal Open Market Committee (FOMC) minutes stated that reducing the size of the US Federal Reserve's (Fed) balance sheet "would likely be appropriate later this year" At its April meeting, European Central Bank (ECB) President Mario Draghi noted that the recovery was "increasingly solid" and that risks to the economic outlook had "further diminished" Chinese data in March remained upbeat, with Q1 GDP expanding 6.9% yoy, boosted by improving exports and strong activity in the property sector Emerging market assets continue to benefit from diminishing concerns over Trump policy, with the market also responding to generally positive global economic news Fed expects to begin winding down balance sheet later in 2017 The global economy continues to be in the midst of a synchronised cyclical growth upswing, while underlying inflation remains weak in most developed market economies. This should allow global monetary policy to remain expansionary, supporting growth prospects. The strong performance of global equities year to date reflects this backdrop. Given the current risk premia on offer, with valuations in line with historical averages, we remain neutral on global equities. However, we also acknowledge the market is not priced to absorb negative shocks that could be triggered by political uncertainty or a deterioration in cyclical conditions. In the US, there are questions over the likelihood of significant fiscal stimulus. Premature tightening of monetary policy is also a risk, especially as the Fed has recently signalled it will begin normalising its balance sheet later in Alongside a likely further reduction in ECB asset purchases in 2018, this signals we are past peak money. German, UK and Japanese government bond valuations remain extreme, and we maintain our underweight positioning. However, the pricing of US Treasuries continues to imply a strong diversification case for holding them as insurance against a worsening global growth picture, should this happen. For emerging markets, we remain overweight in local currency government debt given that most countries offer high prospective returns. Equities Government bonds Corporate bonds and other Asset class View Global View movement Asset class View Developed Market (DM) View movement Asset class View Global investment grade (IG) View movement US US USD IG UK UK Euro and sterling IG Eurozone Eurozone Global high yield Japan Japan Gold Emerging markets (EM) EM (local currency) Other commodities Asia ex Japan Real estate CEE & Latam

2 Long-term asset class positioning (>12 months) Basis of views and definitions of Long-term asset class positioning tables Views are based on regional HSBC Global Asset Management Asset Allocation meetings held throughout April 2017, HSBC Global Asset Management s long-term expected return forecasts that were generated as at 31 March 2017, our portfolio optimisation process and actual portfolio positions. Icons: View on this asset class has been upgraded No View on this asset class has been downgraded, overweight and neutral classifications are the high-level asset allocation tilts applied in diversified, typically multi-asset portfolios, which reflect a combination of our long-term valuation signals, our shorter-term cyclical views and actual positioning in portfolios. The views are expressed with reference to global portfolios. However, individual portfolio positions may vary according to mandate, benchmark, risk profile and the availability and riskiness of individual asset classes in different regions. implies that, within the context of a well-diversified typically multi-asset portfolio, and relative to relevant internal or external benchmarks, HSBC Global Asset Management has (or would have) a positive tilt towards the asset class. implies that, within the context of a well-diversified typically multi-asset portfolio, and relative to relevant internal or external benchmarks, HSBC Global Asset Management has (or would have) a negative tilt towards the asset class. implies that, within the context of a well-diversified typically multi-asset portfolio, and relative to relevant internal or external benchmarks, HSBC Global Asset Management has (or would have) neither a particularly negative or positive tilt towards the asset class. For global investment-grade corporate bonds, the underweight, overweight and neutral categories for the asset class at the aggregate level are also based on high-level asset allocation considerations applied in diversified, typically multi-asset portfolios. However, US dollar investment-grade corporate bonds and euro and sterling investment-grade corporate bonds are determined relative to the global investmentgrade corporate bond universe. The asset class positioning table shows the view of the asset class in general and may not be reflective of the asset class positioning and strategy of HSBC World Selection Portfolios and HSBC World Selection Diversified Funds. Equities Asset class View Movement Rationale Global Positive factors: Global economic growth momentum remains solid, driving global equity markets to deliver positive returns over the long term. Overall, support from accommodative monetary policy and an increased willingness for looser fiscal policy will, in the medium and longer term, likely outweigh any headwinds from more modest Chinese growth, tighter US monetary policy and political uncertainty in many regions. Risks to consider: The recent compression of implied equity premia limits the ability of the market to absorb bad news. Episodic volatility may be triggered by concerns surrounding Chinese growth, uncertainty around US economic policy and/or a potentially more rapid than expected Fed tightening cycle, coupled with political risks. A notable and persistent deterioration of the global economic outlook could also dampen our view. Canada Positive factors: In light of the rebound in risk assets and the Canadian equity market's solid performance, valuations in the domestic equity market are less attractive than a year ago. While moderate but sustainable macro indicators (driven by improving global economic growth and easy monetary policy) should enable commodity prices to sustain recent gains and earnings growth to resume, this largely appears to be reflected in the market. That said, domestic equity valuations are reasonable and show potential for positive absolute and favourable relative-return opportunities over the medium term. Thus, a neutral position in Canadian equities appears to be appropriate at this time. Risks to consider: Disappointing global growth, less accommodative monetary policy, geopolitical concerns and a resumption in commodity price weakness would put pressure on domestic employment trends and corporate profits, resulting in compressed earnings estimates and higher risk premiums. May 2017 Investment Monthly 2

3 Asset class View Movement Rationale UK Rationale for underweight views: The prospective reward to bearing equity risk in the UK is relatively low, in our view. The UK economy could slow amid inflationary pressures. Positive factors: The UK economy may continue to be resilient, and further sterling weakness would likely prove supportive given a relative dependence on foreign earnings. Eurozone Rationale for overweight views: We favour eurozone equities due to their higher implied risk premia and scope for better earnings news given the region s earlier point in the activity cycle. Furthermore, the monetary backdrop remains supportive, with ultra-low interest rates likely to persist until the end of the decade. Risks to consider: According to recent polls, the upcoming Italian elections should see the eurosceptic five-star movement perform well. Also, the outcome of Brexit negotiations is highly uncertain. We think Brexit-related trade disruptions and/or slower UK GDP growth will likely hit eurozone exports. ECB monetary policy may also be less accommodative than expected. Japan Rationale for overweight views: Relative valuations and risk premia are attractive, in our view, and the Bank of Japan s (BoJ) extremely loose monetary policy and the government s recent fiscal stimulus package may boost earnings. Large corporate cash reserves provide Japanese firms with the scope to boost dividends or engage in stock repurchases. Earnings momentum is showing signs of picking up. Risks to consider: Domestic economic fundamentals are relatively sluggish, with an absence of momentum in personal consumption, despite tight labour market conditions. Emerging markets Rationale for overweight views: We believe emerging market equities remain attractive for Western-based investors (US dollar, pound sterling or euro based) given our expectation of longer-term currency appreciation. However, we continue to be selective, focusing on countries with strong underlying macro fundamentals and positive price momentum. Risks to consider: Aggregate emerging market equity valuations no longer look anomalously cheap. There could be some near-term volatility as worries persist around the uncertain path for future Fed tightening, the potential for increased trade protectionism, economic transition in China and the robustness of the global economy as a whole. Geopolitical uncertainty also poses risks. Asia ex Japan Rationale for overweight views: Higher nominal growth supports earnings prospects amid a better global growth/trade outlook, resilient Chinese activity and gradualism in global central bank policy action. Return on equity is bottoming out. Sound domestic dynamics, structural reforms and shareholder-friendly policies are a positive for some markets. Risks to consider: Risks include US President Donald Trump introducing protectionist policies and a more aggressive Fed hiking cycle and rising US/global yields, which would put pressure on Asian foreign ex and compounding capital outflows. Other risks include global/regional political events, commodity-price volatility, and renewed concerns about China s growth and financial risks. Central and Eastern Europe & Latin America Positive factors: We anticipate positive growth differentials with developed markets to be maintained and that Brazil s status as a relatively closed economy offers some insulation from a potential increase in global protectionism. Other countries, such as Poland, have low levels of US-dollar-denominated debt, and, along with Russia, offer attractive risk premia. Risks to consider: Geopolitical tensions are also high and unpredictable, and domestic political and macroeconomic fundamentals remain poor in many countries, such as Brazil. Government bonds Asset class View Movement Rationale Developed Markets (DM) Rationale for underweight views: Prospective returns still look low relative to competing asset classes. In a bond-unfriendly environment (stronger global activity, the prospect of fiscal easing), global bond yields could move higher still. Positive factors to consider: Government bonds still provide diversification benefits and reduce volatility within multi-asset portfolios. Meanwhile, secular stagnation forces are powerful (ageing populations, low productivity and investment) and the global pool of safety assets is limited. Therefore, the normalisation of bond yields could take several years. May 2017 Investment Monthly 3

4 Asset class View Movement Rationale Canada Rationale for underweight views: After longer-term Canadian and global government bond yields spiked in the weeks immediately following the US election, most government bond markets have traded in a narrow range in Fixed income investors continue to weigh the implications of a Trump presidency on the US fiscal and monetary policy outlook and what might be the impact on economic growth, inflation and yields. The Government of Canada 10- year yield, considered to be a proxy for the overall government bond market, initially jumped from ~1.15% prior to the US election to a mid-december 2016 high of ~1.85%. It has since traded thus far in 2017 with a relatively tight 30 basis point range (~ %). Following the broader move higher in global bond yields in late 2016, current valuations in government bonds are more attractive than they were prior to the US election. That said, yield are currently at the low-end of their recent trading range and our medium-term outlook continues to expect yields levels to move higher. Thus we have maintained our underweight view on Canadian government bonds. We feel shorter-term yield levels offer better near-term value, while longerterm yields offer less compelling value with near-zero real yields across most of the Canadian yield curve. We are therefore more neutral on the shorter-term yield segment, but maintain a preference for a modest underweight on longer-term yields and a preference for corporate bonds. Positive factors: If Canadian growth disappoints, more accommodative monetary policy may prove supportive for this asset class. Periods of risk aversion and flight to liquidity may also prove to be supportive for this asset class. In addition, government bonds continue to offer a diversification element, important in a volatile environment. US Rationale for underweight views: The US labour market is at (or close to) full employment so we believe underlying inflationary pressures are likely to build, especially if fiscal stimulus materialises. In addition, prospective returns still look low relative to competing asset classes. Positive factors to consider: We think there is a strong diversification case for owning Treasuries as insurance in case of a worsening global growth picture or the re-emergence of deflationary pressures. Investors also seem to be pricing a significant level of US stimulus. UK Rationale for underweight views: Prospective UK gilt returns remain very low. Although the UK economy could slow, any support in this respect may be offset by inflationary pressures. Positive factors to consider: Amid downside risks to growth, UK monetary policy is likely to stay highly accommodative for a longer period. Eurozone Rationale for underweight views: Similarly, core European bonds are overvalued, in our view. A key risk is the likelihood of further tapering of the ECB asset purchase programme after December Positive factors to consider: The asset purchase programme may provide near-term support. Meanwhile, core inflationary pressures and long-term inflation expectations in the region remain subdued, which should keep accommodative monetary policy in place for an extended period of time. Japan Rationale for underweight views: Japanese government bonds are overvalued, in our view, and the BoJ s commitment to peg 10-year yields close to zero could be re-evaluated. Positive factors to consider: We believe the Yield Curve Control framework should limit volatility and reduce the risk of higher yields in the near term. Meanwhile, BoJ Governor Haruhiko Kuroda has indicated that cutting policy rates could play a central role in future policy decisions. Emerging markets (EM) Rationale for overweight views: The yield available on emerging market sovereign bonds makes them attractive relative to developed market government debt, in our view. Furthermore, our estimate of the sustainable return on emerging market currencies reinforces our choice to hold this position unhedged. Risks to consider: Spreads in the emerging market debt universe are at risk of widening as US policy tightens. May 2017 Investment Monthly 4

5 Corporate bonds Asset class View Movement Rationale Global investment grade (IG) Positive factors: The prevailing macro environment remains supportive for credits. Macro momentum is improving and implied recession probabilities are near zero the default outlook appears benign to us. Risks to consider: Valuations do not appear anomalously cheap, and we retain a neutral positioning, particularly given the risk of tighter than expected US monetary policy. USD investment grade Positive factors: We think US investment grade debt looks attractive relative to European credit. Carefully selected US credit may outperform. Risks to consider: Lower relative valuations for US-dollar-denominated credit is offset in the nearer term by the risk of a more aggressive pace of Fed tightening. The US credit cycle is more mature than that in Europe, which remains nascent. EUR and GBP investment grade Positive factors: The ECB s corporate bond-buying programme remains supportive. Meanwhile, in the eurozone, the latest survey data suggests a gradual improvement in credit conditions, and default rates remain low. Valuations are still around neutral levels. Risks to consider: UK credits are vulnerable given that the Bank of England corporate bond buying programme is nearing completion amid downside risks to the UK economic outlook. Global highyield Positive factors: Corporate fundamentals are improving following a pickup in the global activity cycle. Defaults remain comparatively low and we think they are likely to be contained to commodity-related sectors. Risks to consider: Further credit spread compression leaves a thin margin of safety. We are neutral with a negative bias. Other Asset class View Movement Rationale Gold Positive factors: We believe Fed hikes are likely to remain historically gradual, limiting the opportunity cost of holding the non-yield-generating asset. Rising inflationary pressures could boost hedging demand, and high political risks/uncertainty could also be supportive. Risks to consider: A stronger than expected Fed hiking cycle may push the US dollar higher. Other commodities Positive factors: With oil demand growth remaining robust, there is scope for the market to continue to rebalance, particularly following OPEC s November output cut deal. Risks to consider: Oil markets could remain oversupplied, especially if US production remains resilient and/or OPEC cuts aren t extended. Industrial metals remain exposed to the pace of China s economic rebalancing and global growth. Real Estate Positive factors: Based on our dividend growth assumptions and current yields, which offer a premium of around 1.3 percentage points above the dividend yield from wider equities, we believe real estate equities are priced to deliver reasonably attractive long-run returns compared to developed market government bonds. In the long run, rents are positively related to wider economic growth and offer a partial inflation hedge. Risks to consider: Over the last six months or so, real estate equity performance has lagged general equities, largely on the expectation of higher US interest rates. We believe the market has focused too heavily on real estate equities as a bond proxy but rising rates could continue to have a negative impact in the short term. The UK's decision to leave the European Union has reduced rental growth prospects, especially in central London, and increased uncertainty around future occupier demand. May 2017 Investment Monthly 5

6 Fed set to unwind its balance sheet Global equities rose again in April; oil prices retreated on US output concerns; Treasuries gained Global equities rose for a sixth-straight month in April, with significant gains occurring after Emmanuel Macron obtained the largest share of the vote in the first round of the French presidential elections. The MSCI AC World Index finished 1.1% higher over the month. In the US, the S&P 500 Index gained 0.9%, with support also coming from a positive Q1 earnings season that saw technology shares outperform. The MSCI Emerging Markets Index rose more sharply (+2.2%), although China s Shanghai Stock Ex Composite Index declined (-2.1%), weighed by concerns about a possible tightening of credit conditions. Meanwhile, oil prices retreated amid concerns of rising US production and gasoline inventories, offsetting speculation that OPEC may agree to extend output cuts into the second half of the year. Finally, 10-year US Treasuries rose (yields fell) on the back of high global geopolitical tensions as investors continued to assess the prospects of US fiscal stimulus. Eurozone equivalents also rose, with French bonds seeing a particularly large rally after the first round presidential election result (all data above as of close of 28 April in local currency, price return, month-to-date terms). Disappointing March US nonfarm payrolls offset by dip in unemployment rate; Fed signals balance sheet normalisation US data releases in April point to further growth momentum, albeit at a slower pace than seen so far this year. Perhaps most dramatically, March s nonfarm payrolls release saw the largest disappointment since May 2016 at an increase of 98,000 against expectations of 180,000. However, this miss was somewhat offset by unemployment falling to a new cyclical low of 4.5% from 4.7%. Interestingly, April consumer sentiment measures remain at or close to post-crisis highs, although retail sales are yet to reflect this. Attesting to confidence in the strength of the economy, the FOMC minutes from the March meeting stated that there were extensive discussions around reducing the size of the central bank s balance sheet and that a in policy would likely be appropriate later this year. ECB acknowledges robust eurozone cyclical conditions although policy tightening remains a distant prospect In the eurozone, activity data continues to point to an acceleration in GDP growth versus Q4 s 0.4% qoq outturn, supported by a tightening labour market and positive global demand conditions, boosting the export sector. The region s strong economic backdrop was acknowledged at the April meeting of the European Central Bank (ECB), where ECB President Mario Draghi noted that the recovery was increasingly solid and that risks to the economic outlook had further diminished, albeit remaining tilted to the downside. At the same time, however, Draghi stated that underlying inflation lacked a convincing upward trend, signalling the need for a very substantial degree of monetary accommodation, with no need to discuss exiting the Bank s asset purchase programme at present. Chinese Q1 GDP accelerates amid positive export momentum; Bank of Japan remains on hold as inflation remains weak Chinese data in March remained upbeat, with Q1 GDP gaining 6.9% yoy compared to 6.7% for 2016 as a whole. The industrial sector has been boosted by improving exports and strong activity in the property sector. However, the economy remains fairly dependent on strong credit growth to maintain current levels of expansion. Consequently, the People s Bank of China (PBoC) has allowed interbank rates to increase to help contain leverage risks and offset downward pressure on the yuan as the Fed tightens policy. Japanese growth momentum remains positive, supported by robust growth in exports as the global economy continues along a solid footing, as well as supportive fiscal and monetary policy. However, despite improving activity data, inflationary pressures remain extremely subdued amid sluggish wage growth. Consequently, at its April meeting, the BoJ maintained its quantitative easing policy, reiterating that it will continue expanding the monetary base until underlying inflation exceeds 2% and stays above this target in a stable manner. Emerging market assets continue to benefit from diminishing concerns over Trump policy For emerging market equities, investors continue to shrug off concerns over a hard-trump policy agenda and are responding to generally positive global economic news. Aggregate emerging market equity valuations no longer look anomalously cheap, but risk premia are still attractive in selective markets such as Korea, Russia, Poland and Turkey. Many emerging markets also benefit from undervalued currencies poised for medium-term appreciation. Emerging market local-currency debt has not rallied as strongly as equities this year, and we think prospective returns continue to look attractive against competing asset classes (less so for Malaysia, Thailand and Hungary). In terms of economic developments during the month, Brazilian data releases were broadly better than expected, with retail sales and the composite PMI showing improvement. Amid declining inflationary pressures, the Central Bank of Brazil cut the Selic rate by 100 bps to 11.25%. Lower interest rates should help see the economy expand in 2017 for the first time since Recent Mexican data releases show resilient consumption, likely supported by remittances from the US and strong job creation. Less positively, despite having raised rates by 350 bps since December 2015, the Bank of Mexico s March meeting minutes indicate the hiking cycle is unlikely to be complete given high inflationary pressures. Elsewhere, the Reserve Bank of India surprised markets at its April meeting in the form of an increase in the reverse repo rate by 25 bps to 6.0%, effectively narrowing the policy rate corridor. The bank reiterated its neutral policy stance and commitment to bringing headline CPI inflation closer to 4.0% on a durable basis. Current valuation of global equities in line with very long-run historical average Global equities have performed well in 2017, with the equity risk premia on offer having compressed over the year. For now, however, equities are not meaningfully overvalued and we maintain our neutral positioning, with a relative preference for Japan, Europe and some emerging markets. For credits, spreads have compressed substantially over the past 12 months, leaving a thin margin of safety. But the prevailing macro environment remains supportive and the default outlook appears benign to us. Therefore, we remain neutral overall, albeit with a negative bias for the riskier high-yield category. We remain underweight in developed market government bonds. Thematically, we expect global bond yields to move higher still amid stronger global activity and the prospect of fiscal easing. However, we believe Treasuries have the scope to rally should bad news on growth or deflation materialise. In our view, the investment case for local currency emerging market debt also still looks compelling, especially given that most emerging market currencies continue to look undervalued, with prospective returns pointing to appreciation over the medium term. We are overweight in this category. May 2017 Investment Monthly 6

7 Market data Equity indices MTD 3M YTD High Low Close World MSCI AC World Index (USD) North America US Dow Jones Industrial Average 20, ,169 17, US S&P 500 Index 2, ,401 1, US NASDAQ Composite Index 6, ,101 4, Canada S&P/TSX Composite Index 15, ,943 13, Europe MSCI AC Europe (USD) Euro STOXX 50 Index 3, ,593 2, UK FTSE 100 Index 7,204 (1.6) ,447 5, Germany DAX Index* 12, ,486 9, France CAC-40 Index 5, ,297 3, Spain IBEX 35 Index 10, ,829 7, Asia Pacific MSCI AC Asia Pacific ex Japan (USD) Japan Nikkei-225 Stock Average 19, (1.4) ,668 14, Australian Stock Ex 200 5, ,957 5, Hong Kong Hang Seng Index 24, ,774 19, Shanghai Stock Ex Composite Index 3,155 (2.1) (0.1) ,301 2, Hang Seng China Enterprises Index 10,220 (0.5) ,698 8, Taiwan TAIEX Index 9, ,977 8, Korea KOSPI Index 2, ,230 1, India SENSEX 30 Index 29, ,184 25, Indonesia Jakarta Stock Price Index 5, ,727 4, Malaysia Kuala Lumpur Composite Index 1, ,782 1, Philippines Stock Ex PSE Index 7, ,118 6, Singapore FTSE Straits Times Index 3, ,208 2, Thailand SET Index 1,566 (0.6) (1.5) ,601 1, Latam Argentina Merval Index 21, ,315 12, Brazil Bovespa Index* 65, (1.0) ,488 48, Chile IPSA Index 4, ,905 3, Colombia COLCAP Index 1, (0.1) ,419 1, Mexico Index 49, ,147 43, EEMEA Russia MICEX Index 2, (11.0) 2.4 (9.7) 2,294 1, South Africa JSE Index 53, ,704 48, Turkey ISE 100 Index* 94, ,330 70, *Indices expressed as total returns. All others are price returns. Fwd P/E (X) Equity Indices Total return 3-month YTD 3-year 5-year Global equities US equities Europe equities (2.5) 35.1 Asia Pacific ex Japan equities Japan equities Latam equities (12.8) (24.1) Emerging Markets equities All total returns quoted in US dollar terms. Data sourced from MSCI AC World Total Return Index, MSCI USA Total Return Index, MSCI AC Europe Total Return Index, MSCI AC Asia Pacific ex Japan Total Return Index, MSCI Japan Total Return Index, MSCI Emerging Markets Latin America Total Return Index and MSCI Emerging Markets Total Return Index. Sources: Bloomberg and HSBC Global Asset Management. Data as at close of business 28 April Past performance is not an indication of future returns. May 2017 Investment Monthly 7

8 Market data (cont d) Bond indices Total return MTD 3-month YTD Close BarCap GlobalAgg (Hedged in USD) JPM EMBI Global BarCap US Corporate Index (USD) 2, BarCap Euro Corporate Index (Eur) BarCap Global High Yield (USD) Markit iboxx Asia ex-japan Bond Index (USD) Markit iboxx Asia ex-japan High-Yield Bond Index (USD) Total return includes income from dividends and interest as well as appreciation or depreciation in the price of an asset over the given period Bonds End of last month 3-months ago Sources: Bloomberg and HSBC Global Asset Management. Data as at close of business 28 April Past performance is not an indication of future returns. May 2017 Investment Monthly 8 ago Year end 2016 Close US Treasury yields (%) 3-Month Year Year Year Year Developed market 10-year bond yields (%) Japan (0.08) 0.04 UK Germany France Italy Spain Currencies (vs USD) End of last month 3-months ago ago Year end 2016 High Low Latest Developed markets EUR/USD GBP/USD CHF/USD CAD JPY AUD NZD Asia HKD CNY INR MYR KRW 1,138 1,118 1,171 1,138 1,206 1,212 1,090 TWD Latam BRL COP 2,943 2,874 2,933 2,876 3,002 3,208 2,822 MXN EEMEA RUB ZAR TRY Commodities MTD 3-month YTD High Low Latest Gold 1, ,375 1,121 Brent Oil 51.7 (2.1) (6.8) 7.5 (9.0) WTI Crude Oil 49.3 (2.5) (7.2) 7.2 (8.2) R/J CRB Futures Index 182 (2.2) (6.1) (0.8) (5.6) LME Copper 5,736 (1.7) (2.8) ,204 4,484

9 Important information This document has been prepared by HSBC Global Asset Management Limited (AMG) and is distributed by HSBC Investment Funds (Canada) Inc. (HIFC), HSBC Private Wealth Services (Canada) Inc. (HPWS), and the HSBC InvestDirect division within HSBC Securities (Canada) Inc. (HIDC) ( we refers to AMG, HIFC, HPWS, and HIDC collectively). The contents of this document may not be reproduced or further distributed to any person or entity, whether in whole or in part, for any purpose or otherwise, without the prior written permission of AMG. All non-authorised reproduction or use of this document will be the responsibility of the user and may lead to legal proceedings. The material contained in this document is for general information purposes only and does not constitute advice or a recommendation to buy or sell investments. This document may contain forward-looking statements which provide current expectations or forecasts of future events. 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The Private Investment Management service is a discretionary portfolio management service offered by HPWS. Under this discretionary service, assets of participating clients will be invested by HPWS or its delegated portfolio manager in securities, including but not limited to, stocks, bonds, pooled funds, mutual funds and derivatives. The value of an investment in or purchased as part of the Private Investment Management service may frequently and past performance may not be repeated. Important Information about HSBC InvestDirect (HIDC) HIDC is a division of HSBC Securities (Canada) Inc., a direct subsidiary of, but separate entity from, HSBC Bank Canada. HIDC is an order execution only service. HIDC will not conduct suitability assessments of client account holdings or of the orders submitted by clients or from anyone authorized to trade on the client s behalf. Clients have the sole responsibility for their investment decisions and securities transactions. Copyright HSBC Global Asset Management Limited All rights reserved. Expiry: July 31, 2017 DK A, H , HD170509, P May 2017 Investment Monthly 9