HSBC Emerging Markets Local Debt Fund tweaks benchmark index

By Toni Weeks

San Diego, Dec. 26 - The HSBC Emerging Markets Local Debt Fund will change its benchmark index to the JPMorgan Government Bond Index - Emerging Markets Global Diversified, according to a 497 filing with the Securities and Exchange Commission.

The fund currently utilizes a 50/50 blend of that index and the JPMorgan Emerging Local Markets Index Plus.

New York-based HSBC Global Asset Management (USA) Inc., the fund's investment adviser, said in the filing that the benchmark change is consistent with the fund's investment strategies and will promote ease of comparison of the fund's performance to that of similar mutual funds.

The fund now expects to maintain an average portfolio duration that normally varies within three years of the benchmark index, which was 4.7 years as of Nov. 30. The previous target duration was about 2.36 years, plus or minus two years, as of Dec. 31, 2011.

The fund will retain its principal investment objective of seeking maximum total return comprised of capital appreciation and income. Under normal circumstances, it invests at least 80% of its net assets, plus borrowings for investment purposes, in debt instruments issued by foreign governments, government agencies or corporations and denominated in local currencies of countries with emerging securities markets. The fund may also invest in instruments denominated in U.S. dollars.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.