HSBC Fund Management (Malta) Ltd has launched a new Investment Fund, the HSBC Property Investment Fund.
This new investment opportunity will be a Fund of Funds and will initially be investing in six to 10 other sub-funds. The fund’s exposure will consist, in the main, of direct investments in property and property-related assets such as property financing companies, property holding companies and other similar investments.
The fund will not be constrained by any particular sector, region or currency and will be initially targeting the UK and continental Europe (including central and Eastern Europe) along with other regions such as the Pacific Basin. The fund will have an exposure to direct property situated outside Malta and property-related assets will provide an even more balanced portfolio to investors.
The HSBC Property Investment Fund will be managed locally by HSBC Fund Management (Malta) Ltd, which currently has around Lm300 million in assets under management. In this role, the local manager will be supported by, and will receive advice from, HSBC Specialist Fund Management Ltd, which is HSBC Group’s centre of reference in the UK, responsible for the review of third party property funds on behalf of HSBC Group worldwide.
HSBC Fund Management (Malta) Ltd chairman Shaun Wallis said: “In a low growth, low inflation economic scenario, an investment in property may be an attractive opportunity for investors, and a diversification from local investments such as equities and bonds. HSBC’s global connections enables us to bring this interesting product to Malta.”
HSBC Fund Management (Malta) Ltd managing director Charles Azzopardi added that the HSBC Property Investment Fund will benefit from attractive terms of entry, with a low initial fee of 2.5 per cent compared to that charged by other similar funds that range between four to five per cent. Early bird investors are also being offered a one per cent discount, so that the initial fee charged will be only 1.5 per cent if the investment is made by 15 December.
The fund is in the form of a professional investor fund and is denominated in MTL with a currency of expression in euro, requiring a minimum investment of Lm7,000 or equivalent. Investors can choose to place their funds in either an accumulating class or, if they require regular income, into an income class of shares, with dividends being paid as at end of March and September. More information on the fund offered by HSBC can be found on HSBC’s website www.hsbc.com.mt, by calling Customer Service on 2380-2380 or by visiting one of the branches in Malta and Gozo.
Past Performance is not necessarily a guide to future performance and the value of the investment including the currency in which it is denominated can go down as well as up. Income payments may vary and are not guaranteed. Investments should be based upon the full details contained in the prospectus, which is available on request from all branches of HSBC Bank Malta plc. There is no guarantee that the value of the fund’s investments will be reflected in the actual property value. Real estate property is inherently subjective as regards values or is a matter of the valuer’s opinion. Furthermore, investment in the real estate market is, by its nature, relatively illiquid and there is no guarantee that the fund will be able to meet redemption requests on each dealing day. The HSBC Property Investment Fund is licensed by the MFSA as a Professional Investor Fund and may only be promoted to experienced investors. Therefore the protection normally arising as a result of MFSA’s investment and borrowing restrictions and other requirements applicable to retail schemes do not apply to the fund. HSBC Fund Management (Malta) Ltd is licensed by the MFSA. Approved and issued by HSBC Fund Management (Malta) Ltd.