VANCOUVER, Dec. 13, 2012 /CNW/ - HSBC Global Asset Management (Canada) Limited announced today that it intends to merge several funds within the HSBC Pooled Fund range. It is proposed that the HSBC MultiAlpha Canadian Bond Pooled Fund will merge into the HSBC Canadian Bond Pooled Fund, and that the HSBC MultiAlpha Canadian Small Cap Equity Pooled Fund will merge into the HSBC Canadian Small Cap Equity Pooled Fund.
The funds that are proposed to merge have the same investment objectives, are substantially similar in their mandates, and share the same investment advisor or sub-advisor as the continuing funds. The mergers are intended to be implemented on a tax-deferred basis.
The anticipated effective date for the proposed mergers is on or about June 14, 2013, subject to the review and approval of the Independent Review Committee (IRC) of the HSBC Pooled Funds. If approved by the IRC, the mergers will qualify for applicable statutory exemptions, and therefore will not require unitholder and regulatory approval.
The proposed merger has potential to benefit unitholders by creating larger pools of assets. This may reduce the administrative and regulatory costs of operating each fund as a separate mutual fund, and may also enhance the portfolio management efficiency of these consolidated funds. This proposed merger of funds will have no impact on the other funds in the HSBC Mutual Fund or HSBC Pooled Fund families.
Units of the HSBC MultiAlpha Canadian Bond Pooled Fund and HSBC MultiAlpha Canadian Small Cap Equity Pooled Fund are only available to investors through discretionary accounts managed by HSBC Global Asset Management (Canada) Limited, or an affiliate of HSBC Global Asset Management (Canada) Limited. Up to the end of the last day before the effective date of the mergers, units of the HSBC MultiAlpha Canadian Bond Pooled Fund and HSBC MultiAlpha Canadian Small Cap Equity Pooled Fund will continue to be available for purchase for these accounts, and clients who hold units of the Funds in their accounts will be permitted to redeem their units by contacting their relationship manager at HSBC.
Notes to Editors:
- HSBC Bank Canada, a subsidiary of HSBC Holdings plc, is the leading international bank in Canada. With around 6,900 offices in over 80 countries and territories and assets of US$2,721bn at 30 September 2012, the HSBC Group is one of the world's largest banking and financial services organizations.
- HSBC Global Asset Management (Canada) Limited is a wholly owned subsidiary of, but separate entity from, HSBC Bank Canada and provides its services in all provinces of Canada except Prince Edward Island, and also provides its services in the Northwest Territories. HSBC Investment Funds (Canada) Inc. is a direct subsidiary of HSBC Global Asset Management (Canada) Limited and an indirect subsidiary of HSBC Bank Canada, and provides its services in all provinces of Canada except Prince Edward Island.
- HSBC Global Asset Management, the core investment business of the HSBC Group, manages assets totaling US$416bn and is a leader in emerging markets funds, with more than US$144bn of assets managed in global, regional and country specific emerging markets strategies across a range of asset classes. HSBC Global Asset Management has a worldwide client base of private clients, intermediaries; corporates and institutions invested in both segregated accounts and pooled funds. HSBC Global Asset Management fulfills its purpose of connecting these customers with investment opportunities through an international network of offices in approximately 30 countries, delivering global capabilities with local market insight. (All figures as at 30 September 2012.)
- HSBC Global Asset Management (Canada) Limited is the manager and primary investment advisor of the HSBC Pooled Funds, a family of public mutual funds. HSBC Investment Funds (Canada) Inc. is the principal distributor of the HSBC Pooled Funds. These mutual funds are sold only to investors as part of a discretionary investment management service. As primary investment advisor, HSBC Global Asset Management (Canada) Limited may hire sub-advisors for the HSBC Pooled Funds, including sub-advisors that are affiliated to HSBC Global Asset Management (Canada) Limited. HSBC Global Asset Management (Canada) Limited may hire or replace a sub-advisor at any time. Commissions, trailing commissions, management fees, investment management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed or covered by the Canada Deposit Insurance Corporation, HSBC Bank Canada, or any other deposit insurer. Their values change frequently and past performance may not be repeated. The unit value of money market funds may not remain constant.
SOURCE: HSBC Global Asset Management (Canada) Limited
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