Mutual funds are a type of pooled investment vehicle. Shareholders of a mutual fund invest their money by purchasing shares of the fund. The money that they pay for the shares is pooled together and invested in a portfolio of securities, such as stocks, bonds, or money market instruments. Mutual funds are professionally managed and operated by money managers, who maintain the portfolio in accordance with the fund's investments objectives as stated in the prospectus.
Mutual funds, money market funds, and Exchange Traded Funds are sold by prospectus. Please consider the investment objectives, risks, charges and expenses carefully before investing. The prospectus, which contains this and other information, can be obtained by calling your HSBC Securities (USA) Inc. Financial Professional or call 866.586.4722 or collect 847.876.1574. Read it carefully before you invest.
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.
Popular investment disciplines which can involve mutual funds include:
Explore our other exclusive asset allocation solutions.
The suite of HSBC Funds4 includes domestic money market funds and domestic and international equity and debt funds5. The HSBC Emerging Markets Debt Fund, HSBC Frontier Markets Fund and the HSBC Total Return Fund all provide access to some of the world's fastest growing markets through the lens of HSBC's deep global knowledge and experience.
A Financial Professional6 from HSBC Securities can also help you choose from a broad selection of third-party mutual funds. Each of these funds is thoroughly screened and regularly reviewed by the HSBC Global Funds Approvals & Research team7 - a global team of research analysts dedicated to helping enhance our clients' portfolios by identifying third party money managers that show sustainable competitive advantages within their asset class.
Mutual funds offer a convenient avenue for entering financial markets and can also become integral parts of a broader investment strategy. To fully understand your personal investment objectives and help determine which funds may be suited for your needs, an HSBC Securities Financial Professional7 will take the time to conduct a thorough financial review.
To schedule your review, or to receive information on funds offered through HSBC Securities:
Investment and certain insurance products, including annuities, are offered by HSBC Securities (USA) Inc. (HSI), member NYSE/FINRA/SIPC. In California, HSI conducts insurance business as HSBC Securities Insurance Services. License #: OE67746. HSI is an affiliate of HSBC Bank USA, N.A. Whole life, universal life, term life, and other types of insurance are provided by unaffiliated third parties and offered through HSBC Insurance Agency (USA) Inc., a wholly owned subsidiary of HSBC Bank USA, National Association. Products and services may vary by state and are not available in all states. California license #: OD36843.
|ARE NOT A BANK DEPOSIT OR OBLIGATION OF THE BANK OR ANY OF ITS AFFILIATES
||ARE NOT FDIC INSURED
||ARE NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY
||ARE NOT GUARANTEED BY THE BANK OR ANY OF ITS AFFILIATES
||MAY LOSE VALUE
All decisions regarding the tax implications of your investment(s) should be made in connection with your independent tax advisor.
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1 Asset allocation is a method of diversification that positions assets among major investment categories. This tool may be used in an effort to manage risk and enhance returns. However, it does not guarantee a profit or protect against a loss. It also cannot eliminate the risk of fluctuating prices and uncertain returns.
2 Dollar Cost Averaging is a plan of investing which allows you to take advantage of market fluctuations, but it does not assure a profit or protect against a loss in declining markets.
3 Target date funds invest in other funds, so performance can vary significantly based on the investment restrictions of the target date fund. A target date fund may have losses and does not guarantee that sufficient assets will be available for retirement or any specific return.
4 HSBC Global Asset Management (USA) Inc. serves as the investment adviser to the HSBC Funds. Foreside Distribution Services, L.P., member FINRA, is the distributor of the HSBC Funds and is not affiliated with the Advisor. HSBC Global Asset Management (UK) Limited serves as investment subadviser to the HSBC Frontier Markets Fund. HSBC Global Asset Management (Hong Kong) Limited serves as subadviser to the HSBC RMB Fixed Income Fund. HSBC Securities (USA) Inc., member NYSE, FINRA, SIPC is a sub-distributor of the HSBC Funds. Affiliates of HSBC Global Asset Management (USA) Inc. receive fees for providing various services to the funds.
5 International investing involves a greater degree of risk and increased volatility that is heightened when investing in emerging or frontier markets. Foreign securities can be subject to greater risks than U.S. investments, including currency fluctuations, less liquid trading markets, greater price volatility, political and economic instability, less publicly available information, and changes in tax or currency laws or monetary policy. The risks of investing in emerging-market countries are greater than the risks generally associated with foreign investments. Frontier market countries generally have smaller economies and even less developed capital markets or legal and political systems than traditional emerging market countries. As a result, the risks of investing in emerging market countries are magnified in frontier market countries. Fixed income investments are subject to credit and interest-rate risk. Credit risk refers to the ability of an issuer to make timely payments of interest and principal. Interest-rate risk refers to fluctuations in the value of a fixed-income security resulting from changes in the general level of interest rates. In a declining interest-rate environment, the portfolio may generate less income. In a rising interest-rate environment, bond prices fall.
6 Financial Professional refers to Premier Wealth Advisors (PWA), Premier Relationship Advisors (PRA) and Financial Advisors (FA). PWA/PRAs primarily focus on a full suite of Premier products and services while FAs primarily focus on a full suite of Advance products and services. Both offer bank products through HSBC Bank (USA) N.A., investments and certain insurance products, including annuities, through HSBC Securities (USA) Inc. and traditional insurance products through HSBC Insurance Agency (USA) Inc.
7 HSBC Global Funds Approvals & Research team is a research and asset management capability utilized by certain HSBC companies in various regions around the world. In the U.S. the company offering these capabilities is HSBC Global Asset Management (USA) Inc.
United States persons (including U.S. citizens and residents) are subject to U.S. taxation on their worldwide income and may be subject to tax and other filing obligations with respect to their U.S. and non–U.S. accounts – including, for example, Form TD F 90–22.1 (Report of Foreign Bank and Financial Accounts ("FBAR")). U.S. persons should consult a tax adviser for more information.
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