HSBC Emerging Markets Fund
Why equity funds?
All of us aspire for enough wealth to be able to finance at least some of our dreams. Giving our family the very best, educating our children, indulging in a hobby - things that can make our lives more rewarding. One of the best chances of doing so is by investing wisely and regularly today. When one is investing for the long-term, one has to look at generating a return that is greater than inflation. For example, if you get a return of 10 per cent from your investment and inflation is 8 per cent then the real return you have made is 2 per cent. Studies show that equity and equity linked instruments tend to outperform all other forms of investments in the long run. Hence you should look at investing some portion of your money in equity markets with an aim to meet future goals comfortably.
Presenting the HSBC Emerging Markets Fund (HEMF)
HSBC Emerging Markets Fund (HEMF) is an open-ended scheme seeking to provide long-term capital appreciation. The scheme will invest in units/securities issued by overseas mutual funds or unit trusts which will primarily be in equity and equity related instruments of emerging economies like Brazil, China, Russia, India, etc. The fund may also invest a limited proportion in domestic debt money market instruments and units of domestic mutual funds.
This product is suitable for investors who are seeking*:
- To create wealth over long term
- Investment in equity and equity related securities of Emerging economies
- High risk (BROWN)
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
Note: Risk may be represented as:
|Name of the scheme||HSBC Emerging Markets Fund|
|Type of scheme||An open-ended Scheme|
|Investment objective||To provide long-term capital appreciation by investing in India and in the emerging markets, in equity and equity related instruments, share classes and units/securities issued by overseas mutual funds or unit trusts. The fund may also invest a limited proportion in domestic debt and money market instruments.|
|Options||Dividend (Payout/Reinvestment) and Growth|
|Date of allotment||17 March 2008|
|Minimum application amount||Rs 10,000|
|Minimum additional investment||Rs 1,000 and multiples of Rs 1 thereafter|
|Load structure (Including SIP/STP where applicable)||Entry Load
1% - if redeemed/switched out$ within 1 year from date of investment; otherwise Nil.
Nil - Effective from March 01, 2013 for prospective investments
$ No load in case of switches between equity schemes of HSBC Mutual Fund.
|Systematic investment plan||Monthly/Quarterly plan
Monthly - a minimum of 12 post-dated cheques of Rs 1,000 each (6 in case application is through non-ECS locations)
Quarterly - a minimum of 4 post-dated cheques of Rs 3,000 each
|Transparency||NAV will be determined on every business day. NAV of the scheme/option(s) shall be made available at all Investor Service Centres of the AMC. The AMC shall have the NAV published in two daily newspapers and updated on the AMC's website www.assetmanagement.hsbc.com/in and AMFI Website www.amfiindia.com|
|Mode of holding||Single, Joint or Anyone or Survivor|
|Liquidity||Daily redemption available at Repurchase NAV subject to entry/exit load, if any.|
|Asset allocation||80 - 100 per cent Units/securities issued by overseas mutual funds or unit trusts of emerging markets***
0 - 20 per cent Domestic Debt, Money Market instruments (including CBLO and reverse repo) and units of domestic mutual funds.
*** Currently HSBC GEM Equity Fund is envisaged to be used for investing in the emerging markets however; HEMF could use any other global fund of HSBC Group to invest in emerging markets.
|Fund manager||Piyush Harlalka|