HSBC Asset Management has announced the launch of the HSBC Global Sustainable Multi-Asset Fund.
The Fund aims to provide potential income through investment in a diversified portfolio of global assets that form part of the sustainable investment strategies. The Fund is also part of HSBC Asset Management’s stepped-up effort in shaping the market for sustainable investing through the development of new products and solutions, and by continuing to embed ESG across its investment approach.
Jimmy Choong, Associate Director, Hong Kong Multi Asset & Wealth, HSBC Asset Management, is the fund manager. In a press conference held last week, Choong said he believes that ESG factors will only become more important in the coming years.
“As sustainable investment continues to thrive globally, it is expected that global ESG assets will reach US$53 trillion in 2025,” Choong said. “Coupled with an increasing awareness of the benefits of ESG investing, we have seen a strong appetite amongst investors in Asia who have shifted their focus to investing in sustainable assets amidst the pandemic worries. The launch of this Fund will give investors access to a globally diversified portfolio of sustainable assets while diversifying risks through investments in various markets and asset classes.”
The Fund is available to retail investors in Hong Kong. Its base currency is USD; share classes are also available in other currencies including HKD, RMB, CAD, EUR, AUD, and GBP. The initial offering period will end on 21 January 2022 and the Fund will begin trading on the same day.
HSBC Asset Management’s engagement in responsible investment has achieved promising results, as 90% of its assets under management (AUM) has incorporated ESG considerations. As of 31 October 2021, HSBC has recorded a 60% year on year growth in AUM managed under sustainable investing strategies. In 2021, 17 funds with responsible investment or sustainability focus were launched globally.
Choong said that HSBC is committed to giving regular updates on its environmental, social and governance (ESG) performance and incorporating it in investment decisions.
“As we face a nearly irreversible climate change, governments have agreed to make significant steps to transit to a low-carbon world,” Choong said. “Corporates have to ensure that their business models are operating in a sustainable way to adapt to this mega trend for their financial performance. We believe the intersection of sustainability and income potential is a space with considerable opportunities.”
