Important information: The Fund invests primarily in Brazilian equities. The Fund is subject to the concentration and emerging market risks of investing in a single emerging market. The Fund s investments may involve substantial market, currency, volatility, 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. HSBC Global Investment Funds Brazil Equity March 2018 Fund objective and strategy The Fund seeks long-term capital growth mainly through a diversified portfolio of investments in equity and equity equivalent securities of companies listed on a major stock exchange or other regulated market of Brazil, as well as companies which carry out a preponderant part of their business activities in Brazil. Whilst there are no capitalisation restrictions, it is anticipated that the Fund will seek to invest across a range of market capitalisations. The Fund invests primarily in Brazilian equities. The Fund may use financial derivative instruments to a limited extent for investment purpose. Product features The Fund offers investors access to the potentially exciting long-term investment opportunities in Brazil The Fund is not concerned with short-term returns or momentum themes. Instead, it looks to identify companies that offer compelling valuations and that have solid and sustainable long-term prospects The Fund invests in a range of capitalisations The investment is driven by a core belief that valuations are ultimately driven by company returns Price Indexed Performance (%) YTD 3 mths 6 mths 1 yr 3 yrs 5 yrs Since Inception Fund () 1 13.2 18.1 13.4 15.4 20.1-26.2 97.8 Reference Performance Benchmark 2 12.6 17.9 15.1 21.1 43.0 1.5 254.4 250 200 150 100 50 0-100 Jun 14 Jun 15 Jun 16 Jun 17 Jun 18Feb Fund () 1 Reference Performance Benchmark 2 Source: Morningstar, Inc. as at 28 February 2018. Bid to Bid price with dividend reinvested, in US Dollar. Portfolio composition Sector allocation % Financials 26.8 Materials 16.6 Energy 12.3 Consumer discretionary 10.2 Information technology 7.1 Consumer staples 7.0 Industrials 6.0 Utilities 5.5 Telecommunication services 4.1 Cash 4.5 Percentage may not total 100 due to rounding. 150 100 50 0-50 Percent Change Calendar year performance (%) Fund () 1 Reference Performance Benchmark 2 2013-19.3-14.5 2014-19.9-12.0 2015-45.8-40.0 2016 57.2 65.2 2017 19.2 23.1 Fund details Launch date Fund size Base currency Bid price Fund manager Investment adviser Minimum investment 22 December 2004 1 June 2011 31 August 2004 USD447.31 million USD USD22.349 HKD5.674 USD24.188 Lee Ray HSBC Global Asset Management (UK) Limited USD1,000 / HKD10,000 Initial charge 5.25% Management fee 1.75% per annum Switching charge 1% Dealing ISIN code Bloomberg ticker Financial Y/E Dividend policy / ADHKD Daily LU0196696701 LU0531971322 LU0196696453 HSBBRAD LX HSBRZAD LX HSBBRAZ LX 31 March Annually, if any Portfolio characteristics Annualised volatility (3-year) 34.36% Sharpe ratio (3-year) 0.32 Download the offering documents from https://services.assetmanagement.hsbc.com.hk/ site/media/pdf/documents/amhk_hgif.pdf Please refer to the offering document for details of other fees. Source: HSBC Investment Funds (Hong Kong) Limited as at 28 February 2018. 1. 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. 2. Reference Performance Benchmark: MSCI Brazil 10/40 Net. 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 Issued by HSBC Global Asset Management (Hong Kong) Limited
Top 10 holdings % Petrobras Petroleo Bras Energy 9.8 Banco Bradesco S.A. Financials 9.1 Vale Sa Materials 8.8 Itausa-Investimentos Itau-Pr Financials 6.2 B3 Sa-Brasil Bolsa Balcao Information technology 4.3 Gerdau S.A. Materials 4.3 Telefonica Brasil S.A. Telecommunication services 4.1 Bb Seguridade Participacoes Financials 3.9 Kroton Educacional Sa Consumer discretionary 3.8 Suzano Papel E Celulo Materials 3.6 Source: MSCI, the MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an as is basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the MSCI Parties ) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages. (www.msci.com) 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 Issued by HSBC Global Asset Management (Hong Kong) Limited
PRODUCT KEY FACTS HSBC Global Investment Funds Brazil Equity July 2017 2017 7 This statement provides you with key information about the HSBC Global Investment Funds Brazil Equity This statement is part of the offering document You should not invest in this product based on this statement alone Quick facts Fund manager Investment adviser Custodian Dealing frequency Base currency (reference currency) Ongoing charges over a year HSBC Investment Funds (Luxembourg) S.A. HSBC Global Asset Management (UK) Limited (Internal delegation ) HSBC Bank Plc, Luxembourg Branch Daily on every dealing day / USD / / AC 2.13%^ / AD 2.15%^ / ADHKD 2.14%^ Dividend policy No dividends will be declared or paid; AC / ADHKD Declared annually on a discretionary basis, and if declared, will be paid annually / AD / ADHKD Financial year end 31 March / 3 31 Minimum investment AC/AD US$1,000 (initial and subsequent); ADHKD HK$10,000 (initial and subsequent) / AC/AD 1,000 ADHKD 10,000 ^ The figure is based on ongoing expenses chargeable to the class expressed as a percentage of the class s average net asset value for the year ended 31 March 2017. This figure may vary from year to year. 2017 3 31 What is this product? This is a sub-fund (the Fund ) of an umbrella fund constituted in the form of a mutual fund. It is domiciled in Luxembourg and its home regulator is Commission de Surveillance du Secteur Financier. Commission de Surveillance du Secteur Financier What are the investment objectives and strategy? Investment Objectives and Strategy The Fund seeks long term capital growth by investing primarily in a well-diversified portfolio of investments in equity and equity equivalent securities of companies which have their registered office in, and with an official listing on a major stock exchange or other Regulated Market of Brazil, as well as those companies which carry out a preponderant part of their business activities in Brazil. There are no capitalisation restrictions, and it is anticipated that the Fund will seek to invest across a range of capitalisations. The Fund may use financial derivative instruments to a limited extent for investment purpose.
What are the Key Risks? Investments involve risks. Please refer to the offering document for details including the risk factors. Investment risk The Fund is an investment fund. There is no guarantee of the repayment of principal. The Fund s investment portfolio may fall in value due to any of the key risk factors below and therefore your investment in the Fund may suffer losses. Equity risk The Fund s investment in equity securities is subject to general market risks, whose value may fluctuate due to various factors, such as changes in investment sentiment, political and economic conditions and issuer-specific factors. ( ) Concentration risk The Fund s investments are concentrated in Brazil. The value of the Fund may be more volatile than that of a fund having a more diverse portfolio of investments. The value of the Fund may be more susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory event affecting the Brazil market. Emerging market risk Investing in emerging market like Brazil involves a greater risk of loss than investing in more developed markets due to, among other factors, greater political, tax, economic, foreign exchange, liquidity, settlement, custodial, market volatility (such as interest rate and price volatility), legal and regulatory risks. Risk associated with small-capitalisation / mid-capitalisation companies The shares of small-capitalisation/ mid-capitalisation companies may have lower liquidity and their prices are generally more volatile, especially during adverse economic developments, than those of larger capitalisation companies in general. Derivative instrument risk Risks associated with financial derivative instruments include counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-thecounter transaction risk. The leverage element/component of a financial derivative instrument can result in a loss significantly greater than the amount invested in the financial derivative instrument by the Fund. Exposure to financial derivatives instruments may lead to a high risk of significant loss by the Fund. / /
How has the Fund performed? Past performance information is not indicative of future performance. Investors may not get back the full amount invested. The computation basis of the performance is based on the calendar year end, NAV-to-NAV, with dividend reinvested. These figures show by how much the share class increased or decreased in value during the calendar year being shown. Performance data has been calculated in USD including ongoing charges and excluding subscription fee and redemption fee you might have to pay. The Fund has formally adopted MSCI Brazil 10/40 Net as the reference performance benchmark of the Fund with effect from 2016. The reference performance benchmark is shown for comparison purposes only and the Fund may not be managed to the reference performance benchmark. 2016 10/40 MSCI Brazil 10/40 Net Fund launch date: 31/08/2004 31/08/2004 launch date: 22/12/2004 AD 22/12/2004 is a share class open for investment by Hong Kong retail investors and denominated in the Fund s reference currency. AD
Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the Fund. Fees What you pay Subscription fee Up to 5.25% of the offer price* 5.25%* Switching fee Up to 1% of the offer price* 1%* Redemption fee Nil* * Ongoing fees payable by the Fund The following expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Fees Management fee 1.75% Custodian fee Administrative fee 0.40% # Performance fee Annual rate (as a % of the Net Asset Value of the Fund) % Not applicable, included in Administrative fee Not applicable Other fees You may have to pay other fees and charges when dealing in the Fund. * You may need to bear additional costs under certain situations in order to mitigate any adverse impacts to the Fund caused by the transactions. Please refer to the offering document for further details. # The fees and charges may be increased up to maximum level as specified in the offering document by giving at least one month s prior notice to investor. 1 Additional information You generally buy and redeem shares at the Fund s next-determined subscription price and redemption price with reference to the Net Asset Value (NAV) after the intermediaries receive your request in good order on or before 4:00pm (HK Time), being the Fund s dealing cut-off time. 4 Intermediaries who sell the Fund may impose earlier cut-off times for receiving instructions for subscriptions, redemptions or switching. Investors should pay attention to the arrangements of the intermediary concerned. Investors may obtain the past performance information of other share classes offered to Hong Kong investors at www.assetmanagement.hsbc.com/hk (the website has not been reviewed by the SFC). www.assetmanagement.hsbc.com/hk Investors may obtain information on the intermediaries online at www.assetmanagement.hsbc.com/hk (the website has not been reviewed by the SFC). www.assetmanagement.hsbc.com/hk The net asset value of the Fund is calculated and the price of the Fund is published on each dealing day. The Fund prices are available online at www.assetmanagement.hsbc.com/hk www.assetmanagement.hsbc.com/hk Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness. Issued by HSBC Global Asset Management (Hong Kong) Limited