HSBC to drop Open Global multi-manager brand

HSBC to drop Open Global multi-manager brand

HSBC Global Asset Management is to wind down its three-strong Open Global multi-manager range as it concentrates on its risk-focused offerings.

The fund house will merge its £507m Open Global Distribution fund into the £514m World Selection Income Portfolio in February 2017.

Meanwhile the assets of the £228m HSBC Open Global Return fund are to be shifted into the £2.1bn HSBC World Selection Balanced Portfolio product.

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This comes alongside a move to rename the HSBC Open Global Property fund, the only other portfolio in the range, as HSBC Global Property this month.

A spokesman for the firm said the changes reflected a growing onus on its World Selection and Global Strategy ranges, as advisers increasingly looked for risk-labelled offerings in the multi-asset and multi-manager space.

“HSBC Global Asset Management is focused on delivering market-leading multi-asset solutions within the UK intermediary industry,” he said. “Currently we offer three solutions: World Selection, Global Strategy and Open [Global]. More and more we are seeing UK intermediaries align portfolios to goal-based planning. Therefore, World Selection and Global Strategy portfolios are designed to meet clients’ risk objectives.”

The company has three risk-rated funds in its Global Strategy range and six in its World Selection suite. While the Open Global funds are unfettered, the other two ranges make significant use of in-house funds. The Global Strategy range invests principally in passive products, as well as using some direct holdings.