HSBC AM lists the HSBC Global Funds ICAV – Global Aggregate Bond ESG UCITS ETFF on the LSE

HSBC Global Funds ICAV – Global Aggregate Bond ESG UCITS ETF

The Fund tracks as closely as possible the performance of the Bloomberg MSCI Global Aggregate SRI Carbon ESG-Weighted Select Index, while minimising the tracking error between the Fund’s performance and that of the Index, while promoting environmental, social and governance (ESG) characteristics within the meaning of Article 8 of SFDR.

The Index measures the performance of global investment grade debt from twenty-eight local currency markets, across three groups of bonds: government bonds, credit and securitised.

The Index removes securities of the credit bucket based on sustainability exclusionary criteria and then applies a screen using MSCI ESG ratings.

The Index seeks to achieve a reduction in carbon emissions and an improvement of the MSCI ESG rating against that of the Bloomberg Global Aggregate Index.

The Fund will invest in government, government-related entities and supranational bonds (developed and emerging Markets); corporate investment grade bonds, corporate emerging market bonds, asset backed securities, mortgage-backed securities, commercial mortgage-backed securities and covered bonds all of which are Index constituents.

The Fund is passively managed and will utilise an investment technique called optimisation. The Fund will not invest more than 10% in other funds.