HSBC Brazil Fund
Our philosophy
We believe that there is a well-established relationship between profitability and valuation, and that excess market volatility often leads to mispricing of stocks.
Why HSBC Brazil Fund?
- Strategic and tactical equity allocation
- A concentrated and diversified portfolio of our highest conviction investment ideas
- Stock selection driven by proprietary fundamental research, integrating Environment, Social, Governance (ESG) analysis
- Global investment platform interconnected with shared investment philosophy: global perspective and local insights
- Proprietary research and decision support tools assist portfolio construction
Our process
- Each investment strategy is tailored to capture the essence of its investment opportunity.
- This focus naturally defines an investment process that is differentiated by design. Transparency in the investment process and disciplined implementation support investment governance.
- With a differentiated investment approach, HSBC strategies can be complementary and provide diversification within an equity allocation.
Key Risks
- Exchange rate risk: Investing in assets denominated in a currency other than that of the investor’s own currency perspective exposes the value of the investment to exchange rate fluctuations
- Emerging market risk: Emerging economies typically exhibit higher levels of investment risk. Markets are not always well regulated or efficient and investments can be affected by reduced liquidity
- Derivative risk: The value of derivative contracts is dependent upon the performance of an underlying asset. A small movement in the value of the underlying can cause a large movement in the value of the derivative. Unlike exchange traded derivatives, over-the-counter (OTC) derivatives have credit risk associated with the counterparty or institution facilitating the trade
- Operational risk: The main risks are related to systems and process failures. Investment processes are overseen by independent risk functions which are subject to independent audit and supervised by regulators
HSBC Brazil Equity Fund
Investors understand that their principal
will be at Very High Risk
Fund of Funds (Overseas) - An Open-Ended Fund of Funds Scheme investing in HSBC Global Investments Fund - (HGIF) Brazil Equity Fund.
This product is suitable for investors who are seeking##:
- To create wealth over long term
- Invests in equity and equity related securities through feeder route in Brazilian markets
##Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
Please note that the above risk-o-meter is as per the product labelling of the scheme available as on the date of this communication/ disclosure. As per SEBI circular dated October 5, 2020 on product labelling (as amended from time to time), risk-o-meter will be calculated on a monthly basis based on the risk value of the scheme portfolio based on the methodology specified by SEBI in the above stated circular. The AMC shall disclose the risk-o-meter along with portfolio disclosure for all their schemes on their respective website and on AMFI website within 10 days from the close of each month. 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.
Benchmark: MSCI Brazil 10/40 Index TRI