New Listing

HSBC AM lists $12bn global aggregate bond ETF

The asset manager’s latest mutual fund share class creation

Lauren Gibbons


HSBC Asset Management has launched four ETF shares classes of its $12bn global aggregate bond ETF.

The HSBC Global Aggregate Bond UCITS ETF will offer hedged and non-hedged exposure in US dollar, sterling, euro and Swiss francs with total expense ratios (TERs) of 0.10%.

The US dollar and sterling exposures will list on 24 May on the London Stock Exchange, while the remaining share classes will list on the Borsa Italiana and SIX Swiss Exchange in June.

It takes the group’s assets under management (AUM) to over $50bn and creates the third largest fixed income ETF in Europe.

The ETF tracks the Bloomberg Global Aggregate Bond index and comprises of various fixed-rate bonds from both developed and emerging market issuers, such as treasury, government-related, corporate, and securitised bonds.

These bonds include those issued by governments, government-related entities, supranational bodies, and companies in developed and emerging markets.

Additionally, the ETF will invest in asset-backed securities, mortgage-backed securities, and covered bonds.

Olga De Tapia (pictured), global head of ETFs and indexing sales at HSBC AM, said: “As our fund platform goes from strength to strength, we are making our flagship funds more accessible than ever.

“Listing ETF share classes of our Global Aggregate Index fund will open up one of the largest fixed income funds in Europe to a broader range of investors that require diversified fixed income exposure within their overall asset allocation.”

HSBC AM became the first ETF issuer to create listed and unlisted share classes in Ireland after it converted four global bond index funds to ETFs in April last year.

Marco Montanari, global head of ETF and indexing capability at HSBC AM, has said the firm is considering equity ETF share classes alongside its fixed income range.

Earlier this month, HSBC AM expanded its sustainable fixed income range with the launch of a sustainable development bank bonds ETF this month.

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