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HSBC Surpasses $15bn in Emerging Markets Debt Investments
30 May 2013
New York, NY - HSBC Global Asset Management has continued to experience strong investor appetite for its New York based Emerging Markets Debt (EMD) investment strategies during the first four months of 2013, according to new data released today. A sustained global upswing in demand for EMD from institutional and high net-worth investors prompted HSBC's emerging markets debt assets in April 2013 to exceed $15 billion for the first time.
While much of the interest has come from investors in Europe and Asia, HSBC has also been seeing increasing U.S. appetite for emerging markets debt, particularly in respect of its Total Return Strategy.
In March 2012, HSBC Global Asset Management introduced a U.S. registered mutual fund that provides American investors with access to its total return strategy. The HSBC Total Return Fund1 invests primarily in fixed income issues economically linked to emerging market countries. This Fund has attracted more than $500m through April 2013, despite only having been available in the U.S. for just over a year.
Deborah Hazell, CEO, HSBC Global Asset Management (USA) Inc., said: "Fixed income yields in many developed countries remain at historically low levels. Given the challenging economic backdrop and credit downgrades in many developed markets, more investors are looking elsewhere for return potential and increasing their allocation to Emerging Markets Debt."
She continued: "A total return strategy provides a dynamic way for investors to access the broad spectrum of opportunities available in Emerging Markets fixed income."
HSBC Global Asset Management, the core investment management business of the HSBC Group, manages assets totalling $428bn and is a leader in emerging markets funds, with more than $153bn of assets managed in global, regional and country specific emerging markets strategies across a range of asset classes as at March 30th, 2013.
Notes to editors:
1 The HSBC Total Return Fund ("the Fund") is U.S. registered and may be offered to all U.S. investors with the appropriate risk tolerance. The Fund trades in Class A (HTRAX), Class I (HTRIX) and Class S (HTRSX) shares. The inception date of the Fund was March 29, 2012.
HSBC Global Asset Management
HSBC Global Asset Management, the core investment management business of the HSBC Group, manages assets totalling US$428bn and is a leader in emerging markets funds, with more than US$153bn of assets managed in global, regional and country specific emerging markets strategies across a range of asset classes. HSBC Global Asset Management has a worldwide client base of private clients, intermediaries; corporates and institutions invested in both segregated accounts and pooled funds. HSBC Global Asset Management fulfils its purpose of connecting these customers with investment opportunities through an international network of offices in approximately 30 countries, delivering global capabilities with local market insight. (All figures as at March 31, 2013). For more information see www.global.assetmanagement.hsbc.com
HSBC Bank USA, National Association, with total assets of $183.9bn as of 31 March 2013 (US GAAP), serves 3 million customers through retail banking and wealth management, commercial banking, private banking, asset management, and global banking and markets segments. It operates more than 250 bank branches throughout the United States. There are over 165 in New York State as well as branches in: California; Connecticut; Delaware; Washington, D.C.; Florida; Maryland; New Jersey; Pennsylvania; Oregon; Virginia; and Washington State. HSBC Bank USA, N.A. is the principal subsidiary of HSBC USA Inc., an indirect, wholly-owned subsidiary of HSBC North America Holdings Inc. HSBC Bank USA, N.A. is a member of the FDIC.
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