HSBC Mutual Fund launches HSBC Floating Rate Fund (HFRF)
HSBC Mutual Fund has launched the HSBC Floating Rate Fund (HFRF). The Initial Public Offer (IPO), open between 1 November to 8 November 2004 is priced at Rs10 per unit during the time of the IPO.
The HFRF is an open-ended income scheme that will seek to generate reasonable returns with commensurate risk, from a portfolio comprised of floating rate debt instruments and fixed rate debt instruments, swapped for floating rate returns. The scheme may also invest in debt and money market instruments. The HFRF is available both in long term and short term plans. The HFRF Short Term Plan (HFRF-ST) will generally be invested in instruments with shorter residual maturities and is suitable for investors with a short-term investment horizon. The long term plan (HFRF-LT) would normally invest in instruments with longer maturity and is suitable for investors with a long-term investment horizon.
HSBC Mutual Fund launched its initial set of products in November 2002. The fund currently manages assets in excess of Rs 6,014 crores at 29 October 2004 for over 100,000 investors. HSBC Mutual Fund is one of the fastest growing mutual funds.
Mr. Sanjay Prakash, chief executive officer of HSBC Asset Management in India said; “The launch of the HSBC Floating Rate Fund gives us an opportunity to further compliment our existing award winning product range. We are confident that investors will look favourably at this product, given the high performance track record that we have established.”