Manager review
Elina Fung and Alex Kwan have been managing the HSBC fund since November 2013, according to FE Analytics.
Fung joined HSBC Global in 2007 and is an investment director of equities. Kwan joined the firm in 2008 and is an associate director of equities.
Elizabeth Soon has been managing the PineBridge fund since September 2008. Soon is a managing director and portfolio manager of Southeast Asia equities. Apart from the small-cap fund, Soon also manages the PineBridge India Equity Fund.
Fees
The HSBC fund has a higher initial charge at 5.25% compared to the 5% levied by the PineBridge fund.
The total expense ratio (TER) of the HSBC fund was 1.85% for the year ended March 2014. The TER for the PineBridge fund was 2.13% for the year ended December 2014.
Conclusion
Although one may just quickly choose the PineBridge fund due to a better cumulative performance and standard deviation, both funds can address different needs of investors, said Sim.
“The HSBC fund may appeal to an investor seeking a more small-cap and aggressive approach,” said Sim, adding the fund may also appeal to investors due to its longer track record.
“The PineBridge has proven to have a more consistent performance in recent years in both returns and volatility and would suit investors placing this high on their list.”
The PineBridge fund, being a comparatively smaller fund in terms of AUM, may appeal to investors who believe this could offer more flexibility in managing the portfolio. However, some investors might like to see whether the performance is sustainable.
“Some investors may rather adopt a wait-and-watch approach and gauge if such a good recent track record could continue as the fund gathers more AUM,” Sim concluded.
