MENA Wholesale Presentation - HSBC

August 2009
MENA Wholesale Presentation
Dubai structure on Shaikh Zayed Road
Building in Dubai, Shaikh Zayed Road
For investment professionals only
Emirates Tower, Dubai
HSBC Group
HSBC Global Asset Management
Alternative Investment Capabilities
Why HSBC Global Asset Management?
Appendix – Internal slides
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٢
٣
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15713 – HSB1304e
Contents
HSBC Group
١
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HSBC group
1865
The Hong Kong Shanghai Banking Corporation
335,000
employees
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HSBC group
100m
$2,527bn
customers
Assets(1)
2009
Offices in 86 Countries and Territories Worldwide
(1) As at 31 December 2008
Aa2
335,000
employees
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HSBC group
100m
AA$2,527bn
customers
Assets(1)
2009
Listedinon
Hong
New York,
Paris
Offices
86London,
Countries
andKong,
Territories
Worldwide
& Bermuda Stock Exchanges
(1) As at 31 December 2008
Vancouver
Calgary
Saskatoon
Winnipeg
Seattle
Chicago
Ottawa
Prospect Heights
Sioux Falls
Buffalo
Kansas City
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International network
Brussels
Luxembourg
Leeds
Manchester
Birmingham
Edinburgh
Isle of Man Belfast
Dublin
Cardiff
Moscow
Stockholm
Amsterdam
Dusseldorf
Frankfurt
Warsaw
Prague
Bratislava
Almaty
London
Québec
Channel Islands
Montreal
St John’s
Paris
Zurich
Geneva
Portland
Toronto
Fredericton
Milan Budapest
Lugano
Yerevan
Tigard
Boston
Dalian
Monaco
Istanbul
Glastonbury
San Francisco
Seoul
Ankara
Barcelona
New York City
Athens
Beijing
Salinas
Baghdad
Las Vegas
Izmir
Daejeon
Rome
Tehran
Bridgewater
Tianjin
Madrid
Washington
Beverly Hills
Adana
Valletta
Chandigarh
Daegu
Lewisville
Kuwait
Philadelphia
Chesapeake
Quingdao
Los Angeles
Valencia
Beirut
Tokyo
Doha
Dallas
Nicosia
New Castle
City
Chengdu
Inchon
Atlanta
Algiers
Osaka
Abu Dhabi
Suzhou
Virginia Beach
Alexandria
Tel Aviv
Dubai Ahmedabad Chongqing
San Diego
Houston
Tripoli
Shanghai
Pusan
Bermuda
Cairo
Karachi
Tijuana
Amman
Torréon
New Delhi DhakaWuhanXiamen
Brandon
Jacksonville
Muscat
Ramallah
Veracruz
Hyderabad Guangzhou
Taipei
Monterrey
Riyadh
Miami
Nassau
Shenzhen
Mumbai
Guadalajara
Macau
Dammam
Cayman Islands
Hong Kong
Cook Islands
Manama
Pune
Mexico City
Tortola (British Virgin Islands)
Kolkota
Mérida
Hanoi
Cancún
Bangalore
Chittagong
Jeddah
Puebla
Salalah
Ho Chi
Manila
Mysore
Tegucigalpa
Visakhapatnam
Muttrah
Acapulco
Minh
Trivandrum
Caracas
Chennai Bangkok
Cebu City
San Salvador
City
Malé
Panama City
Kota Kinabalu
Managua
Penang
(Maldives)
Labuan
Colón
Bogotá
San José
Medan
Colombo
Bandar Seri Begawan
Kuala Lumpur
Kuching
Manaus
Belem
Singapore
Jakarta
Fortaleza
Surabaya
Recife
Bandung
Semarang
Salvador
Brasilia
Campo Grande
Belo Horizonte
Port Louis (Mauritius)
Salta
Rio de Janeiro
Riberão
São Paolo
Tucumán
Preto
Johannesburg
Curitiba
Resistencia
Santa
Posadas
Corrientes
Fé
Porto Alegre
Cape Town
San Juan
Perth
Adelaide
Córdoba
Punta del Este
Mendoza
Montevideo
Melbourne
Santiago
Pergamino
Paraná
Buenos Aires
Neuquén
La Plata
Mar La Plata
Bahía Blanca
For illustrative purposes only. As at 8 August 2008.
Brisbane
Sydney
Auckland
Wellington
Christchurch
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Structure
HSBC
Group
Personal
Financial
Services
Global
Banking
and Markets
Private
Banking
Active, Fundamental
Investing with conviction to produce outstanding and consistent
performance over the long term
Cash Management
Offering a wide range of
funds matching investment horizon, regulation and currency constraints
Multi-Management
Selecting the world’s leading managers, irrespective of asset class, geographical
focus and management style
Active, Quantitative
Delivering robust performance in a risk-adjusted environment
Commercial
Banking
Overview of
HSBC Global Asset Management
٢
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HSBC Global Asset Management
Assets Under Management – US$390 billion
By Investment Specialist
By Client
Private Clients
4%
HSBC Global Asset
Management
56%
Wholesale
32%
By Capability*
Structured &
Guaranteed
21%
Cash/Money
Market
28%
Halbis
33%
Alternative
2%
Other inc.
Property
9%
Multimanager
4%
SINOPIA
7%
Assets as at 31 June 2009
Multimanager
4%
Fixed Income
16%
Institutional
64%
Equity
12%
Balanced
8%
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A truly global presence
Sweden
Canada
UK
USA
Jersey
Luxembourg
France
Spain
Mexico
El Salvador
Costa Rica
Panama
Columbia
HSBC Global Asset Management
Bermuda
Brazil
Germany
Poland2
Czech Republic2
China2
Switzerland
Italy
Hong Kong
Turkey
Japan
India
Malta
UAE
Saudi Arabia
Taiwan
Singapore
Halbis
SINOPIA
Argentina
Multimanager
Global Liquidity1
(1) Liquidity manufacturing capabilities are also present in HSBC Global Asset Management offices in many locations over and above the ones shown here
(2) Local presence in Poland from March 2007; HSBC Global Asset Management has a co-operation agreement with HSBC in Prague in the Czech Republic for the development
of the asset management business
(3) Joint venture between HSBC Global Asset Management and Shanxi Trust and Investment Corporation Limited
Broad
Product
Range
Multispecialist
in 30
countries &
territories2
c 2,200
employees2
Sound
Investment
Solutions
Leader in
EM Asset
Mgmt
$390bn
AUM1
Individual
&
Institutional
(1) HSBC Global Asset Management as at 31 June 2009. Including Halbis, Liquidity, Multimanager and SINOPIA
(2) HSBC Global Asset Management (UK) as at 31 January 2009.
Multispecialist
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What does HSBC Global Asset Management offer?
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Capabilities
Emerging
Markets
Equity
Distinct
Asset
Management
Capabilities
Alternatives
Socially
Responsible
Investment
Fixed
Income
Climate
Change
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Expertise
HSBC
Amanah
Emerging
Markets
(Shariah
compliant
investments)
Recognised
Expertise
Alternatives
Socially
Responsible
Investment
Fund of
Hedge Funds
Climate
Change
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HSBC Global Asset Management Middle East & Africa
Investment Capabilities
٣
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Structure
HSBC
Group
Personal
Financial
Services
Private
Banking
Global
Banking
and Markets
Active, Fundamental
Investing with conviction to produce outstanding and consistent
performance over the long term
Cash Management
Offering a wide range of
funds matching investment horizon, regulation and currency constraints
Multi-Management
Selecting the world’s leading managers, irrespective of asset class, geographical
focus and management style
Active, Quantitative
Delivering robust performance in a risk-adjusted environment
Commercial
Banking
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Halbis Capital Management
Active, fundamental investment capabilities
` Established in 2005
` US$140.6 billion under management
` Approximately 200 investment
professionals
` Investment teams in Hong Kong, London,
New York, Paris, Sao Paulo and Singapore
Assets under management as at 30 June 2009
Investment Philosophy
` Markets are inefficient and can be
exploited through active,
fundamental management
` Focused on delivering sustainable
value-added performance
– Small empowered investment
teams
– Decentralized decision-making
structure
– Speed of action
– High conviction investing
– Compensation tied to investment
results
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HSBC Liquidity
Global liquidity solutions
` Established in 1990
Investment Philosophy
` US$98.7 billion under management
` 50 investment professionals worldwide
` Investment teams in 4 locations – New
York, Paris, Hong Kong, Canada and
Bermuda
` Full range of investment strategies
– AAA-rated
– Enhanced yield and short duration
– Multiple currencies
` Among the largest US dollar offshore
money market fund ranges*
Assets under management as at 31 March 2009
* Source: Institutional Money Market Funds Association
` Preservation of capital, competitive
yield, and liquidity
` Active risk management
` Extensive credit research
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HSBC Multimanager
Global multi-manager research and
strategies
` Established in 1999
` US$60 billion assets under advice and
management
` Over 50 investment professionals,
employed globally
` Investment teams in 10 locations around
the world, including Hong Kong, London,
New York, Paris, Tokyo, Taiwan and Sao
Paulo
` Single and multi-asset strategies in
developed and emerging equity, fixed
income and real estate
Assets under advice and management as at 31 December 2008
Investment Philosophy
` Dedicated to delivering
performance by finding best-inclass active managers
` High quality research and analysis
allied with good judgement is key
to long-term performance
` Focus on qualitative research to
generate alpha
` Organized into specialist asset
class teams, empowered to make
decisions at the point of greatest
insight
` Compensation tied to investment
results
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SINOPIA Asset Management
Active, quantitative and structured
strategies
` Established in 1989
` US$24.6 billion under management
` Approximately 100 investment
professionals
` Investment teams in Hong Kong, London,
New York and Paris
` Active quantitative and structured
investment capabilities
Assets under management as at 31 June 2009
Investment Philosophy
` Strategies based on key financial
theories and proprietary analysis
and models
` Major emphasis on innovation and
research
` Strong risk management
` Aim of delivering consistent outperformance
` Low trading costs
` Risk-controlled environment
` Global flagship fund range
` Range of investment styles and
geographies
` Over 50 funds, registered in over 30
countries
` Supported by the Global Funds
Centre
– Easy to access information on all HSBC
Global Funds
– Information all in one place
– Breakdown of portfolio holdings in all
our funds
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HSBC Global Investment Funds
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HSBC Amanah
` Shariah compliant products and services
` Capacity to customise product and service solutions tailored to client
specific goals and objectives
` Expertise in Islamic structures which complements the technical expertise of
specialist and regional teams
HSBC Amanah Investment Products
Liquidity
` Shariah compliant cash
management products
` Islamic liquidity management
techniques structured
through commodity based
Murabaha transaction
` Short-term maturities
comparable to conventional
money market products
Structured and Alternative
` Alternative investment
solutions tailored to
enhance returns
` Investor choice
– Real Estate
– Capital Protected
Equity
` Global coverage and
primary research
capabilities
` Long only actively
managed mandates
` Passively managed
trackers
` Multi-manger funds
` Discretionary asset
allocation
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HSBC Amanah
Assets under management
Equity
34.0%
Real estate
52.0%
Money market
13.6%
Capital protected
0.4%
As of December 2008, HSBC managed approximately
US$3.5 billion of Islamic investments
Source: HSBC Amanah, December 2008
Why HSBC Global Asset Management?
٤
Client-focused
Investment
Capabilities
Long
History of
Managing
Institutional
Accounts
Globally
Recognised
Leader in
Emerging
Markets Asset
Mgmt
Broad,
Highly
Diversified
Range of
Products
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Why HSBC Global Asset Management?
Client
HSBC Global Asset
Management
Objectives
9
9
9
9
9
Relative performance
Absolute performance
Investment horizon
Risk exposure
Liquidity
Analysis and assessment of each
investment objective and constraint
Close and unbiased work with its
specialist businesses
+
Constraints
9
9
9
9
Legal environment
Accounting environment
Technical constraints
Investment universe
Proposition of the most appropriate
investment solution
Client services
Client solution
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Client-focused investment capabilities
Research and expertise
of specialist businesses
Equity
`
`
`
`
`
`
Asia
BRIC
Emerging Markets
Latin America
UK and Europe
Local
-
`
`
`
`
`
`
Global
Emerging markets
North America
Europe
Japan
Asia ex-Japan
`
`
`
`
`
Global
Emerging markets
Index
Enhanced index
Thematic
– Climate change
` Long/Short
Source: HSBC Global Asset Management
Fixed
Income
Multi-Asset
& Balanced
Money
Market
Structured
& Guaranteed
`
`
`
`
`
` Global
` Regional
` Local
-
-
-
-
` AAA-rated liquidity
` Multiple currencies
` Global
` Emerging
markets
` Global
` Regional
-
-
`
`
`
`
`
-
-
` Active guaranteed
` Protected
` Structured
Asia
Emerging markets
UK and Europe
Global
Local
Global
Emerging markets
Inflation linked
Index
Enhanced index
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Highlighted investment capabilities
` A longstanding presence in emerging markets
– HSBC’s roots were formed in China and India in the 19th century
` Approximately US$52 billion in emerging markets worldwide*
` Over 180 dedicated emerging markets investment professionals working
together from 16 key locations
` Highly rated local, regional, and global products accessible through separate
accounts and commingled vehicles
` Assets split roughly 50/50 between emerging markets equities and fixed
income/liquidity
*Assets under management as at 31 December 2008
Source: HSBC Global Asset Management
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A Leading Emerging Markets asset manager
Multi Country Strategies
Single Country Strategies
Asia ex Japan Equity
Asia ex Japan Equity Hedged
Asia ex Japan Equity High Dividend
Asia ex Japan Equity Smaller Companies
BRIC Markets Equity
Emerging Europe Equity
GEM Equity
Emerging Wealth
New Frontiers
Brazil Equity
Chinese Equity
Hong Kong Equity
Indian Equity
Korean Equity
Russia Equity
Singapore Equity
Thai Equity
Turkish Convergence
Fixed Income Strategies
Freestyle Strategies
Brazil Bond
GEM Bond
GEM Local Debt
New World Income
Inflation Linked Bonds
Asia Freestyle
BRIC Freestyle
GEM Equity Freestyle
Latin American Freestyle
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Emerging Markets Cross Border Strategies
` HSBC wins Euromoney Award for Excellence in 2009
` HSBC Amanah – Best Islamic Fund Manager for 2009
` Best Saudi Equity Fund Lipper 2009 Award for HSBC Amanah Saudi Equity Fund 10 years
` Best Islamic Equity Fund Lipper 2009 Award for Amanah Global Equity Index Fund 3 years
` HSBC – Best Sukuk House and Best Takaful House for 2009
` HSBC Amanah – Best Islamic Fund Manager for 2008
` Emerging Markets Manager of the Year at the European Pension Awards 2008
` Professional Pensions Fund of Hedge Fund manager of the year 2007 and 2008
` Best GCC Equity Fund (HSBC Amanah GCC Equity Fund) 2007
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Awards
Dan Rudd
Head of MENA Wholesale
E-mail: [email protected]
Mobile: 00 971 501 895 883
Yasmin Khalifa
Regional Sales Manager, External
Email: [email protected]
Mobile: 00 971 504 570 361
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MENA team
Stuart Cameron
Regional Sales Manager, Group
Distribution
Email: [email protected]
Mobile: 00 971 566 032 085
Appendix – Internal slides
Wardley
Australia
HSBC
acquires
M K Wong
Canada
James Republic
Capel
USA
Inv.
Mgmt
UK
HSBC Asset
Management
1973
1980
1992 1994
HSBC
acquires
CSIT
Taiwan
India Integration
office
of Bital’s
created
Asset
Mgmt unit
Mexico
1998
2000
Bamerindus
Brazil
Banco
Roberts/Maxima
Argentina
Halbis
acquires
Atlantic
Advisors LLC
and other
fixed income
teams
Halbis
2001
2002
Asset
Management
Services
Marinvest
Midland
USA
Montagu
James
Capel
UK
Integration
of
Bermuda
Asset
Mgmt
SINOPIA
Wardley
Inv.
Services
Hong Kong
Wardley
Japan
CCF
France
HSBC
Trinkaus
Capital Mgmt
collaboration
2003
2004
2005
2006
HSBC
Investments
2008
HSBC
Global Asset
Management
Integration of
Turkey
China
Joint
venture
Saudi joint
venture
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HSBC Global Asset Management’s history of strategic
global growth
PFS
Private
Bank
Internal
CMB
IWM
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MENA distribution
Private
Banks IFAs
External
Third
Life/
parties Takaful
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Our Assets under Distribution
Private Client
3.86%
External
17.42%
US$372bn
Wholesale
31.85%
GPB
7.39%
US$118.6bn
PFS
55.77%
CMB
19.42%
Institutional
64.29%
Source: HSBC Global Asset Management, December 2008
The HSBC Global Investment Fund (‘GIF’) range is a Luxembourg domiciled SICAV and is regulated by the CSSF. The HSBC MultiAlpha funds are sub-funds
of the HSBC International Select Fund, a Luxembourg domiciled SICAV regulated by the CSSF. The HSBC Amanah Funds SICAV is a Luxembourg domiciled
SICAV and is regulated by the CSSF.
The funds mentioned in this document may not be registered for sale or available in all jurisdictions. For available funds please contact your local HSBC
office. The HSBC Funds ranges mentioned in this document cannot be sold by anyone in any jurisdiction in which such offer or solicitation is not lawful or in
which the person making such an offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such offer or solicitation.
All applications are made on the basis of the current Funds Prospectus, simplified prospectus and most recent annual and semi-annual reports. These can be
obtained on request and free of charge from HSBC Global Asset Management (UK) Limited or the local distributors.
The securities representing interests in the Funds range have not been and will not be registered under the US Securities Act of 1933 and will not be offered
for sale or sold in the United States of America, its territories or possessions and all areas subject to its jurisdiction, or United States person, except in a
transaction which does not violate the Securities Law of the United States of America.
As with any investment where the underlying investments are stocks and shares, the price of shares in HSBC Funds and any income from it can go down as
well as up, is not guaranteed, and you may not get back the amount of your original investment. Where overseas investments are held, the rate of exchange
may cause the value of such investments to go down as well as up. Where a sub-fund invests predominately in one geographical area, any decline in
economic conditions may affect prices and the value of underlying investments. Investments in emerging markets are by their nature higher risk and
potentially more volatile than those inherent in established markets. You should view this investment as medium to long term, and should plan to keep it for
at least five years.
HSBC Global Asset Management (UK) Limited provides information to professional advisers and their clients on the investment products and services of
members of the HSBC Group. The material contained in this document is for information only and does not constitute investment advice or a
recommendation to any reader of this material to buy or sell investments.
The products outlined in this document are provided by HSBC Global Asset Management (UK) Limited, 8 Canada Square, Canary Wharf, London, E14 5HQ,
UK. Authorised and regulated by the Financial Services Authority and registered as number 122335. © Copyright. HSBC Global Asset Management 2009. All
Rights Reserved.
These products are marketed in a sub-distributing capacity on a principal – to – principal basis by the HSBC Global Asset Management MENA, a unit that is
part of HSBC Bank Middle East Limited, PO Box 66, Dubai, UAE, which is incorporated and regulated by the Jersey Financial Services Commission. Services
are subject to the Bank’s terms and conditions. HSBC Bank Middle East Limited is a member of the HSBC Group.
The information provided has not been prepared taking into account the particular investment objectives, financial situation and needs of any particular
investor. As a result, investors using this information should assess whether it is appropriate in the light of their own individual circumstances before acting
on it. The information in this document is derived from sources believed to be reliable, but which have not been independently verified. However, HSBC Bank
Middle East Limited makes no guarantee of its accuracy and completeness and is not responsible for errors of transmission of factual or analytical data, nor
shall HSBC Bank Middle East Limited be liable for damages arising out of any person’s reliance upon this information. All charts and graphs are from
publicly available sources or proprietary data. The opinions in this document constitute the present judgment of the issuer, which is subject to change
without notice.
This document is neither an offer to sell, purchase or subscribe for any investment nor a solicitation of such an offer. This document is intended for the use of
institutional and professional customers and is not intended for the use of private customers. This document is intended to be distributed in its entirety. No
consideration has been given to the particular investment objectives, financial situation or particular needs of any recipient. Any transaction will be subject to
HSBC Bank’s Terms of Business.
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Important information