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HSBC GAM readies HY fund in Singapore

Separately, Morgan Stanley said it has brought an emerging market equities product to Asia.

The HSBC GIF Asia High Yield Bond product was registered earlier this week, Monetary Authority of Singapore (MAS) records show.

The product is in recognition-pending process, according to MAS records. Once approved, it will be available to retail investors in Singapore.

The Luxembourg-domiciled fund was launched in November last year in Europe and currently is available in France, the UK, Italy and Luxembourg, according to FE Fundinfo.

“The product aims to provide long term total return by investing in a portfolio of Asian high yield bonds,” according to its prospectus.

“Investment in onshore Chinese fixed income securities include, but are not limited to onshore fixed income securities denominated in RMB, issued within the People’s Republic of China and traded on the China Interbank Bond Market,” the prospectus added.

A spokeswoman for HSBC Global Asset Management told FSA that the fund has a strategy similar to the firm’s Hong Kong-domiciled Asian High Yield Bond Fund, which was launched in May 2011 (chart below).

The two funds are managed by Alfred Mui, she added, but declined to provide more details.

HSBC Gam has 76 Securities and Futures Commission-authorised funds in Hong Kong and in Singapore, 52 funds for accredited investors and 49 for retail investors, according to FE Fundinfo.

The HSBC Asian High Yield Bond Fund vs the peer category average

Source: FE Fundinfo. In US dollars, three-year cumulative return. The fund uses a combined benchmark that is not available in the FE Fundinfo database.


Morgan Stanley IM

Separately, Morgan Stanley Investment Management announced on Wednesday that the Luxembourg-domiciled Developing Opportunity Fund, an emerging market equities product, has been launched in Asia.

A spokeswoman for the firm told FSA that the product is for professional investors in Hong Kong and accredited investors in Singapore.

“The fund is a high-conviction, concentrated portfolio that seeks to invest in undervalued, high quality companies located or operating in developing market countries,” according to a firm statement.

“The team’s bottom-up stock selection focuses on companies with sustainable competitive advantages and long-term growth that creates value,” the statement added.

Led by Kristian Heugh, the global opportunity team invests across company size, sectors and geographies.

Heugh also manages the Morgan Stanley Global Opportunity Fund, which won FSA Awards in Singapore and Hong Kong this year.


Part of the Mark Allen Group.