HSBC Ultra Short Duration Fund

Ultra Short Duration Fund – An open ended ultra-short term debt scheme investing in instruments such that the Macaulay Duration of the portfolio is between 3 months to 6 months. Please refer Page no. 9 of the SID for explanation on Macaulay duration. Relatively low interest rate risk and moderate credit risk.
(L&T Ultra Short Term Fund has merged into HSBC Ultra Short Duration Fund)

Invest online

Investment Objective

To provide liquidity and generate reasonable returns with low volatility through investment in a portfolio comprising of debt & money market instruments. However, there is no assurance that the investment objective of the scheme will be achieved.

Our philosophy

• We deploy a balanced approach to credit and risk management
• Transparency in investment methodology
• Active investment opportunity supported by proprietary credit research

Our process

Proprietary research drives security selection:

• Balanced approach for security selection to achieve optimal risk adjusted returns
• Balanced approach in managing risk – well managed issuer concentration
• Benefits from global investment network and research sharing platform

Why HSBC Ultra Short Duration Fund?

• HUSDF invests up to 100% in debt and money market instruments with overall portfolio Macaulay duration in the range of 3 to 6 months
• The Fund would largely maintain high credit quality portfolio of securities with investment predominantly in securities that have high short term credit quality rating
• The security selection would be driven by investment team's view on credit spreads, liquidity and the risk reward assessment of each security
• The scheme would largely maintain high credit quality portfolio basis in-depth credit evaluation which includes financial position of the issuer, external credit ratings opinions, operational metrics, past track record as well as future prospects of the issuer

Scheme name and Type of scheme HSBC Ultra Short Duration Fund (An open ended ultra-short term debt scheme investing in instruments such that the Macaulay Duration of the portfolio is between 3 months to 6 months. (Please refer Page No. 15 for explanation on Macaulay’s duration). Relatively Low interest rate risk and moderate credit risk.) This product is suitable for investors who are seeking*: Income over short term with low volatility Investment in debt & money market instruments such that the Macaulay Duration of the portfolio is between 3 months- 6 months.^ As per AMFI tier 1 Benchmark Index: NIFTY Ultra Short Duration Debt Index A-I

*Scheme Risk-o-meter

Benchmark Risk-o-meter (as applicable)

* Investors should consult their financial advisers if in doubt about whether the product is suitable for them. Note on Risk-o-meters: The risk-o-meter is as per the product labelling of the Scheme available as on the date of this communication/disclosure Any change in risk-o-meter shall be communicated by way of Notice cum Addendum and by way of an e-mail or SMS to unitholders of that particular scheme.

Visit this link and check the latest Riskometer / Product Labels in the “Performance - Equity Hybrid Debt Global Funds” document of the latest month. Past performance may or may not be sustained in the future and is not indicative of future results.

Potential Risk Class (‘PRC’) matrix indicates the maximum interest rate risk (measured by Macaulay Duration of the scheme) and maximum credit risk (measured by Credit Risk Value of the scheme) the fund manager can take in the scheme. PRC matrix classification is done in accordance with and subject to the methodology/guidelines prescribed by SEBI to help investors take informed decision based on the maximum interest rate risk and maximum credit risk the fund manager can take in the scheme, as depicted in the PRC matrix.

Investors are requested to note that as per SEBI (Mutual Funds) Regulations, 1996 and guidelines issued thereunder, HSBC AMC, its employees and/or empaneled distributors/agents are forbidden from guaranteeing/promising/assuring/predicting any returns or future performances of the schemes of HSBC Mutual Fund. Hence please do not rely upon any such statements/commitments. If you come across any such practices, please register a complaint via email at investor.line@mutualfunds.hsbc.co.in.

This document/content is intended only for distribution in Indian jurisdiction. Neither this document nor the units of HSBC Mutual Fund have been registered under Securities law/Regulations in any foreign jurisdiction. The distribution of this document in certain jurisdictions may be unlawful or restricted or totally prohibited and accordingly, persons who come into possession of this document are required to inform themselves about, and to observe, any such restrictions. If any person chooses to access this document from a jurisdiction other than India, then such person do so at his/her own risk and HSBC and its group companies will not be liable for any breach of local law or regulation that such person commits as a result of doing so.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

Understanding Bond Funds (Debt) at HSBC Mutual Fund India