World Selection

• The World Selection Fund of Funds contains a diverse range of investments that have been optimally blended to achieve the maximum possible return.
• The range has been designed to leverage the Bank’s global reach and presence in order to diversify your investments.
• The World Selection funds invest in traditional investment products like bonds and equities as well as in more complex ones like commodities indexes.
• Many of the investment tools chosen by World Selection are not easily accessible by individual investors.
• The World Selection funds are managed by the world's top managers whose exclusive objective is to carefully monitor your investments, identify global investment opportunities and make appropriate investment decisions on your behalf.
• The World Selection funds allow you to capitalise on the HSBC Group’s immense know-how. The investment tools employed and rigorous analysis method used to select those tools, coupled with strict supervision of our managers mean that you can rest assured about how your money is being managed. Enjoy all these benefits by just making a single investment in World Selection portfolios.
• World Selection funds are available in Euro, USD or GBP.

World Selection management in 5 steps…

1. Our strategic asset allocation allows your World Selection portfolio to be constructed with a focus on having the right types of investments for the long term. Accordingly we also use tactical asset allocation to take advantage of short-term market movements by altering our weighting within the types of investments we hold.
2. Taking advantage of our global team of expert managers, we identify, pick and invest in Fund of Funds managed worldwide by managers we consider to be the best in their field, regardless of whether or not they belong to the HSBC Group.
3. We then combine the above with the aim of achieving an optimal blend of attributes.
4. Our dedicated global teams work together to monitor the portfolio round-the-clock. The managers that we invest with are tasked with proactively managing the underlying investments and to make adjustments to their portfolios as they see fit using their specialist knowledge and experience. They can make changes to realign their portfolios in order to ensure that the investments they hold reflect the correct investment approach. They will also ensure that the investments managed by them are structured in such a way as to reflect their long term views and perspectives on the areas within financial markets in which they specialise.
5. Risk management is monitored daily. Teams responsible for managing risk use specialist computer systems and applications to standardise and monitor portfolio risk before making any investment decisions, taking also into account both investors' risk profiles and regulatory constraints.

The World Selection range is exposed to the risks associated with each of the various asset classes.

Capital

Your capital is not guaranteed

Equities

Market fluctuations can affect the performance of a fund, both upwards and downwards.

Interest rates

The price of fixed rate bonds and other fixed income securities varies inversely with fluctuations in interest rates. Thus, when interest rates rise, the value of these securities falls, leading to a fall in the net asset value of the fund.

Credit risk

Credit risk is the risk that the issuer’s financial situation deteriorates, the worst case being default by the issuer. Such deterioration may lead to a fall in the value of the issuer’s securities and therefore to a reduction in the net asset value of the fund.

Emerging markets

Investments made in emerging markets involve a greater risk than those in developed countries.

Property, Hedge Fund, Commodities, Private Equity

Investments in these asset classes may be subject to higher volatility and/or be less liquid than traditional investments

The best long-term investment solution matching your investment profile.

• Whatever your risk appetite, is, as long as you have a 5 to 8 years investment horizon (without there being any specific time commitment in this respect), you are certain to find an World Selection fund that suits you.
• Through diversification we aim to maximise the return on your investment, balanced against the amount of risk you are prepared to take.
• HSBC’s team of investment professionals work at our worldwide office network to cover markets round-the-clock. Our experts can make changes and realign portfolios in order to ensure that the investments held reflect their investment approach.
• One of our HSBC representatives will be pleased to discuss and present the fund that suits your profile best.

Risk Level*

Press here to view: The Asset Class Allocation of the World Selection funds

Source: HSBC Global Asset Management

* The Risk and Reward rating includes 7 levels from low to very high. The rating is based on price volatility over the last five years, and is an indicator of absolute risk. If the fund does not have historical performance of five years, the rating is calculated either based on a benchmark or based on the volatility of the target strategy. This rating is provided for illustrative purposes and the rating is not guaranteed to remain unchanged and the categorisation may shift over time. This rating is calculated under normal market conditions.
Note: A low level of risk does not imply that the fund does not bear any risk.