HSBC Global Asset Management has launched a new fund for retail investors in Hong Kong, seeking to capitalize on investment opportunities from three mega trends, namely ageing population, technological innovation and societal changes.
The HSBC Evolving Asia Equity Fund will invest in a portfolio of 20 to 40 stocks to track various changing themes. Though Asia-focused, the fund covers a wide range of global markets and sectors for diversification.
With Covid-19 acting as a trend accelerator, HSBC Global Asset Management believes that the three trends will give rise to several investment themes which will change over time. For example, the company is positive on the healthcare sector as the current low healthcare spending in Asia indicates room for growth. Also, the growing middle class in the region is driving the demand for branded goods, services and experiences with digital platforms and financial solutions facilitating consumption.
Sanjiv Duggal, head of Asian equities at HSBC Global Asset Management and the lead fund manager, says: “The dynamic multi-thematic approach of the fund is designed to help investors access a world of promising opportunities. Based on the three mega trends, we have initially selected 24 fast-growing companies across exciting and interconnected themes including mobility and connectivity, healthcare and wellness innovation, digital solutions and financial access, lifestyle, and aspirational consumption. These themes also align to our responsible investment approach as they contribute positively to a sustainable future.”
The fund will be available for subscription at HSBC branches and HSBC personal internet banking from December 7. The fund offers share classes in USD and HKD with the former as base currency. The investment threshold is US$1,000 or HK$10,000.