HSBC Asset Management launches a new Asia Paris aligned ETF on the London Stock Exchange
Olga de Tapia, Global Head of ETF & Indexing Sales, HSBC AM
HSBC MSCI AC ASIA PACIFIC EX JAPAN CLIMATE PARIS ALIGNED UCITS ETF
Investment Objective:
The Fund aims to track as closely as possible the returns of the MSCI AC Asia Pacific ex Japan Climate Paris Aligned Index.
Investment Policy:
The Fund will invest in or gain exposure to shares of companies which make up the Index.
The Index is a subset of the MSCI AC Asia Pacific ex-Japan Index (Parent Index) and made up of shares of large and mid-sized companies (as measured by the market value of their shares) from certain developed and emerging market countries in the Asia Pacific region (excluding Japan), as defined by the Index Provider.
The Fund has sustainable investment as its objective and the Index has been designated as a reference benchmark under Article 9 of SFDR.
The Index is designed to support investors seeking to reduce their exposure to transition and physical climate risks, and who wish to pursue opportunities arising from the transition to a lower-carbon economy while aligning with the Paris Agreement requirements. It excludes shares of companies with exposure to controversial weapons, ESG controversies, tobacco, environmental harm, thermal coal mining, oil and gas, and power generation.
The Index incorporates the task force on Climate-related Financial Disclosures recommendations and is designed to exceed the minimum standards of the EU Paris-Aligned Benchmark.
The Fund is passively managed and aims to invest in the shares of the companies in generally the same proportion as in the Index. There may be circumstances when it is not possible or practical for the Fund to invest in all constituents of the Index. If the Fund cannot invest directly in the companies that constitute the Index, it may gain exposure by using other investments such as depositary receipts, funds or derivatives.
The Fund may invest in China A-shares either directly (through the Shanghai-Hong Kong Stock Connect and/or Shenzhen-Hong Kong Stock Connect) or indirectly through China A-shares Access Products (CAAP) or through funds, including other HSBC funds. The Fund may invest up to 10% of its assets in other funds.
The Fund may invest up to 35% of its assets in securities from a single issuer during exceptional market conditions.
The Fund may invest up to 10% of its assets in total return swaps and contracts for difference. However, this is not expected to exceed 5%.
The Fund may also invest in derivatives for efficient portfolio management purposes (such as to manage risk and costs, or to generate additional capital or income) and for investment purposes.
– The Fund may enter into securities lending transactions for up to 30% of its assets. However, this is not expected to exceed 25%.
– The reference currency of the Fund is USD. The reference currency of this share class is USD.
– Income is reinvested.
– Authorised Participants only may deal in the Fund’s shares directly with the UCITS.
– The Fund’s shares are listed on one or more stock exchange(s).
– You may sell your investment on most working days.
– Recommendation: this Fund may not be appropriate for investors who plan to withdraw their money within a period of 5 years.
Name : HSBC MSCI AC ASIA PACIFIC EX JAPAN CLIMATE PARIS ALIGNED UCITS ETF
ISIN : IIE000XFORJ80
Sedol : BNLXVK5
Total Expense Ratio : 0.25%
Currency : GBP
Index: MSCI AC Asia Pacific ex Japan Climate Paris Aligned Index
Name : HSBC MSCI AC ASIA PACIFIC EX JAPAN CLIMATE PARIS ALIGNED UCITS ETF
ISIN : IE000XFORJ80
Sedol : BNLXVH2
Total Expense Ratio : 0.25%
Currency : USD
Index : MSCI AC Asia Pacific ex Japan Climate Paris Aligned Index
Source: ETFWorld.co.uk
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