HSBC Funds Prospectus

HSBC Mutual Funds and
HSBC Pooled Funds

Simplified Prospectus
June 27, 2023
HSBC Mutual Funds
Cash and Money Market Funds1 HSBC World Selection® Diversified Funds2
HSBC Canadian Money Market Fund HSBC World Selection Diversified Conservative Fund
HSBC U.S. Dollar Money Market Fund HSBC World Selection Diversified Moderate Conservative Fund
Income Funds1 HSBC World Selection Diversified Balanced Fund
HSBC Mortgage Fund HSBC World Selection Diversified Growth Fund
HSBC Canadian Short/Mid Bond Fund HSBC World Selection Diversified Aggressive Growth Fund
HSBC Canadian Bond Fund HSBC Wealth CompassTM Funds2
HSBC Global Corporate Bond Fund HSBC Wealth Compass Conservative Fund
HSBC Emerging Markets Debt Fund HSBC Wealth Compass Moderate Conservative Fund
Balanced Funds HSBC Wealth Compass Balanced Fund
HSBC Monthly Income Fund3 HSBC Wealth Compass Growth Fund
HSBC U.S. Dollar Monthly Income Fund3 HSBC Wealth Compass Aggressive Growth Fund
HSBC Canadian Balanced Fund1
Domestic Equity Funds1
HSBC Pooled Funds
HSBC Dividend Fund HSBC Canadian Money Market Pooled Fund
HSBC Equity Fund HSBC Mortgage Pooled Fund
HSBC Small Cap Growth Fund HSBC Canadian Bond Pooled Fund
Foreign Equity Funds1 HSBC Global High Yield Bond Pooled Fund
HSBC Global Equity Fund HSBC Global Inflation Linked Bond Pooled Fund
HSBC Global Equity Volatility Focused Fund HSBC Emerging Markets Debt Pooled Fund
HSBC U.S. Equity Fund HSBC Canadian Dividend Pooled Fund
HSBC European Fund HSBC Canadian Equity Pooled Fund
HSBC AsiaPacific Fund HSBC Canadian Small Cap Equity Pooled Fund
HSBC Chinese Equity Fund HSBC U.S. Equity Pooled Fund
HSBC Indian Equity Fund HSBC International Equity Pooled Fund
HSBC Emerging Markets Fund HSBC Emerging Markets Pooled Fund
HSBC Emerging Markets Fund II (formerly the HSBC BRIC HSBC Global Real Estate Equity Pooled Fund
Equity Fund)
Index Funds1
HSBC U.S. Equity Index Fund
HSBC International Equity Index Fund
HSBC Emerging Markets Equity Index Fund
1
Offers Investor Series, D Series, Premium Series, Manager Series and Institutional Series units
2
Offers Investor Series, D Series, Manager Series and Institutional Series units
3
Offers Investor Series, Investor T Series, D Series, DT Series, Premium Series, Premium T Series, Manager Series and
Institutional Series units
No securities regulatory authority has expressed an opinion about the units described in this Simplified
Prospectus, and it is an offence to claim otherwise. The Funds and the units of the Funds offered under this
Simplified Prospectus are not registered with the United States Securities and Exchange Commission and if
sold in the United States, they are sold only in reliance on exemptions from registration under U.S. laws.
® World Selection is a registered trademark of HSBC Group Management Services Limited.
HSBC Wealth CompassTM is a trademark of HSBC Group Management Services Limited.
Table of Contents
Introduction and key terms . . . . . . . . . . . . . . . . . . . . . 3 Derivatives transactions . . . . . . . . . . . . . . . . . . . . . . . . . . 57

General information about mutual funds and Short selling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57
the Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Investment risk classification and methodology . . . . . . . . 57
Responsibility for administration of the Funds . . . . . . . . . 4 Fund-specific information:
Manager . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 HSBC Mutual Funds
Portfolio advisors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 HSBC Canadian Money Market Fund . . . . . . . . . . . . . . . . 59
Brokerage arrangements . . . . . . . . . . . . . . . . . . . . . . . . . . 9 HSBC U.S. Dollar Money Market Fund . . . . . . . . . . . . . . . 60
Remuneration of our directors, officers and trustee, and Income funds
the IRC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
HSBC Mortgage Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Material contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
HSBC Canadian Short/Mid Bond Fund . . . . . . . . . . . . . . . 63
Legal and administrative proceedings . . . . . . . . . . . . . . . 16
HSBC Canadian Bond Fund . . . . . . . . . . . . . . . . . . . . . . . 65
Designated website . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
HSBC Global Corporate Bond Fund . . . . . . . . . . . . . . . . . 67
How we value portfolio securities . . . . . . . . . . . . . . . . . . . 16
HSBC Emerging Markets Debt Fund. . . . . . . . . . . . . . . . . 69
Information about the HSBC Mortgage Fund . . . . . . . . . . 18
Balanced funds
How we calculate the net asset value of the
HSBC Monthly Income Fund . . . . . . . . . . . . . . . . . . . . . . . 71
Funds’ units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
HSBC U.S. Dollar Monthly Income Fund . . . . . . . . . . . . . 73
Purchases, switches and redemptions . . . . . . . . . . . . . . . 22
HSBC Canadian Balanced Fund . . . . . . . . . . . . . . . . . . . . 76
Optional services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Domestic equity funds
Fees and expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
HSBC Dividend Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78
Fees and expenses paid by the Funds. . . . . . . . . . . . . . . . 30
HSBC Equity Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80
Fees and expenses paid directly by you . . . . . . . . . . . . . . 33
HSBC Small Cap Growth Fund . . . . . . . . . . . . . . . . . . . . . 81
Impact of sales charges. . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Dealer compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Foreign equity funds
Income tax considerations . . . . . . . . . . . . . . . . . . . . . . . . 35 HSBC Global Equity Fund . . . . . . . . . . . . . . . . . . . . . . . . . 82
Income tax considerations for the Funds . . . . . . . . . . . . . 35 HSBC Global Equity Volatility Focused Fund . . . . . . . . . . 84
Income tax considerations for investors . . . . . . . . . . . . . . 36 HSBC U.S. Equity Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . 86
What are your legal rights? . . . . . . . . . . . . . . . . . . . . . . . . 38 HSBC European Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88
Information regarding transactions with members of the HSBC AsiaPacific Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . 90
HSBC Group or other related parties . . . . . . . . . . . . . . . . . 38 HSBC Chinese Equity Fund . . . . . . . . . . . . . . . . . . . . . . . . 92
Exemptions and approvals . . . . . . . . . . . . . . . . . . . . . . . . 39 HSBC Indian Equity Fund . . . . . . . . . . . . . . . . . . . . . . . . . 94
Certificates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 HSBC Emerging Markets Fund . . . . . . . . . . . . . . . . . . . . . 96
Certificate of the Funds and the manager of the Funds . . 42 HSBC Emerging Markets Fund II (formerly the HSBC
Certificate of the principal distributor of the BRIC Equity Fund) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98
Mutual Funds. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 Index funds
Specific information about each of the Funds HSBC U.S. Equity Index Fund . . . . . . . . . . . . . . . . . . . . . . 100
described in this document . . . . . . . . . . . . . . . . . . . . . 44 HSBC International Equity Index Fund . . . . . . . . . . . . . . . 102
What is a mutual fund and what are the risks of HSBC Emerging Markets Equity Index Fund . . . . . . . . . . 104
investing in a mutual fund? . . . . . . . . . . . . . . . . . . . . . . . . 44 HSBC World Selection Diversified Funds
Investment restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 HSBC World Selection Diversified Conservative Fund . . . 106
Your rights as an investor in the Funds and description HSBC World Selection Diversified Moderate
of units of the Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 Conservative Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 108
Name, formation and history of the Funds . . . . . . . . . . . . 53 HSBC World Selection Diversified Balanced Fund . . . . . . 110
Selection of underlying funds for the HSBC World HSBC World Selection Diversified Growth Fund . . . . . . . 112
Selection Diversified Funds and the HSBC Wealth
HSBC World Selection Diversified Aggressive
Compass Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56
Growth Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 114
Performance information for certain Pooled Funds . . . . . 56
HSBC Wealth Compass Funds
Securities lending transactions, repurchase transactions
HSBC Wealth Compass Conservative Fund . . . . . . . . . . . 116
and reverse repurchase transactions . . . . . . . . . . . . . . . . 56
HSBC Wealth Compass Moderate Conservative Fund . . . 118
1
HSBC Wealth Compass Balanced Fund . . . . . . . . . . . . . . 120
HSBC Wealth Compass Growth Fund . . . . . . . . . . . . . . . 121
HSBC Wealth Compass Aggressive Growth Fund . . . . . . 123
HSBC Pooled Funds
HSBC Canadian Money Market Pooled Fund . . . . . . . . . . 124
HSBC Mortgage Pooled Fund . . . . . . . . . . . . . . . . . . . . . . 126
HSBC Canadian Bond Pooled Fund . . . . . . . . . . . . . . . . . 127
HSBC Global High Yield Bond Pooled Fund . . . . . . . . . . . 129
HSBC Global Inflation Linked Bond Pooled Fund . . . . . . . 131
HSBC Emerging Markets Debt Pooled Fund . . . . . . . . . . 133
HSBC Canadian Dividend Pooled Fund. . . . . . . . . . . . . . . 135
HSBC Canadian Equity Pooled Fund . . . . . . . . . . . . . . . . . 137
HSBC Canadian Small Cap Equity Pooled Fund . . . . . . . . 138
HSBC U.S. Equity Pooled Fund . . . . . . . . . . . . . . . . . . . . . 140
HSBC International Equity Pooled Fund . . . . . . . . . . . . . . 142
HSBC Emerging Markets Pooled Fund . . . . . . . . . . . . . . . 144
HSBC Global Real Estate Equity Pooled Fund . . . . . . . . . . 146
How to reach us . . . . . . . . . . . . . . . . . . . . . . . . back cover
2
Introduction and key terms
T
HIS SIMPLIFIED PROSPECTUS contains selected important information to help you
make an informed investment decision and to help you understand your rights as an
investor. In this document we use the following key terms:
♦ you and your refer to you the investor
♦ Fund or Funds refers to one or more of the HSBC Mutual Funds or HSBC Pooled Funds
offered under this Simplified Prospectus
♦ Mutual Fund or Mutual Funds refers to one or more of the HSBC Mutual Funds, including the
HSBC World Selection Diversified Funds and HSBC Wealth Compass Funds
♦ Pooled Fund or Pooled Funds refers to one or more of the HSBC Pooled Funds
♦ we, us and our refer to HSBC Global Asset Management (Canada) Limited, the manager,
trustee and primary investment advisor of the Funds
♦ HSBC Investment Funds or Principal Distributor refers to HSBC Investment Funds
(Canada) Inc., our wholly owned subsidiary who is principally responsible for marketing and
distributing units of the Mutual Funds
♦ representative refers to the dealer(s) or advisor(s) authorized to sell units of the Funds, includ
ing us and the Principal Distributor
♦ HSBC World Selection® Diversified Funds refers to the HSBC World Selection Diversified Con
servative Fund, HSBC World Selection Diversified Moderate Conservative Fund, HSBC
World Selection Diversified Balanced Fund, HSBC World Selection Diversified Growth Fund
and HSBC World Selection Diversified Aggressive Growth Fund
♦ HSBC Wealth Compass™ Funds refers to the HSBC Wealth Compass Conservative Fund,
HSBC Wealth Compass Moderate Conservative Fund, HSBC Wealth Compass Balanced
Fund, HSBC Wealth Compass Growth Fund and HSBC Wealth Compass Aggressive
Growth Fund
This document is divided into two parts. The first part, mance filed after the most recently filed annual
from page 4 to page 43, contains general information Management Report of Fund Performance
applicable to all of the Funds. The second part, from These documents are incorporated by reference into
page 44 to page 147, contains specific information this document, which means that they legally form
about each of the Funds offered under this Simpli part of this document just as if they were printed as
fied Prospectus. part of this document. You can get a copy of these
You can find more information about each Fund in the documents, at your request, and at no cost, by calling
following documents: us toll-free at 1-888-390-3333, or from your dealer.
♦ the most recently filed Fund Facts document These documents are available on the mutual fund’s
♦ the most recently filed annual financial statements designated website at assetmanagement.hsbc.ca, or
♦ any interim financial report filed after the most by contacting HSBC Global Asset Management
recently filed annual financial statements (Canada) Limited at asset.management@hsbc.ca.
♦ the most recently filed annual Management Report These documents and other information about the
of Fund Performance Funds are available at sedar.com.
♦ any interim Management Report of Fund Perfor
3
General information about mutual funds
and the Funds
Responsibility for administration of Name and municipality of residence Positions and offices with the manager
the Funds James Huggan Chief Investment Officer
Vancouver, BC, Canada
Manager
Scott Lampard Director
We are the manager of the Mutual Funds pursuant to the Toronto, ON, Canada
Master Declaration of Trust for the HSBC Mutual Funds
made on December 17, 2001, as amended from time to Shikhar Mehra Chief Financial Officer
time, and we are the manager of the Pooled Funds pursuant Burlington, ON, Canada
to the Trust Indenture for the HSBC Pooled Funds made on Matteo Pardi Director
December 2, 1987, as amended from time to time. We can Paris, France
be reached at our head office at 3rd Floor,
885 West Georgia Street, Vancouver, British Columbia, Lindi Porter Chief Compliance Officer
V6C 3E8; toll-free at 1-888-390-3333; by email at North Vancouver, BC, Canada
asset.management@hsbc.ca; or you can visit our desig
Linda Seymour Director and Chair
nated website at assetmanagement.hsbc.ca. Mississauga, ON, Canada
As the manager, we are responsible for running the overall
business of the Funds. In addition to our responsibilities as Lorenzo Tomei Director
the primary investment advisor for the Funds, as described Woodbridge, ON, Canada
below, we are responsible for providing accounting and
administration services to the Funds, such as valuation and Fund of fund arrangements
investor recordkeeping services, and promoting sales of the
units of the Funds. The Funds may invest in other funds (referred to as Sub-
Funds), which may be managed by us, an affiliate or a third-
The Master Declaration of Trust for the Mutual Funds and party fund manager. We will not vote the securities of any
the Trust Indenture for the Pooled Funds allow us, as man Sub-Fund if it is managed by us or any of our affiliates. We
ager, to assign our rights, duties and obligations under the may, at our discretion, arrange for the securities of such
Master Declaration of Trust and Trust Indenture. If we Sub-Funds to be voted by the investors of the Funds hold
assign our rights, duties or obligations as manager of the ing the securities of the Sub-Funds.
Funds to someone other than one of our affiliates, we need
the approval of investors. Portfolio advisors
On November 29, 2022, HSBC Overseas Holdings (UK) Lim We act as the primary investment advisor for the Funds by
ited, a wholly owned subsidiary of HSBC Holdings plc, establishing their investment policies, providing investment
entered into an agreement to sell its banking business in analysis and making investment decisions. As investment
Canada, HSBC Bank Canada, to Royal Bank of Canada (the advisor, we may hire sub-advisors including certain of our
“Transaction”). affiliates, to provide investment analysis or recommenda
tions for certain Funds or segments of certain Funds. We
We are a wholly owned subsidiary of HSBC Bank Canada continue to manage and oversee their performance.
and the Transaction, if completed, will result in an indirect We and our affiliates use a team approach to making invest
change of control of us, the manager, trustee and primary ment decisions. On a regular basis, our Canadian invest
investment advisor for each of the Funds. The Transaction is ment team communicates with other HSBC Asset Manage
expected to complete in the first quarter of 2024, subject to ment offices globally to obtain and share global views on
receipt of regulatory and governmental approvals. capital markets and economic analysis. Our Canadian
investment team considers these global views when making
its investment decisions related to the asset allocation and
Directors and executive officers of HSBC portfolio construction of the Funds it manages.
Global Asset Management (Canada) Limited The following is a list of our key portfolio management and
The names, municipalities of residence and positions/offices investment professionals, their titles and their roles in the
currently held by our directors and executive officers are investment decision-making process:
listed below.
Role in investment decision-
Name Title making process
Name and municipality of residence Positions and offices with the manager
James Huggan Chief Chief Investment Officer responsible
Brian Bealle Chief Operating Officer
Investment Officer for asset allocation in multi-asset
North Vancouver, BC, Canada
portfolios, and ensuring the
Marc Cevey Director, Chief Executive Officer and consistent implementation of macro
Oakville, ON, Canada Ultimate Designated Person views in both the domestic fixed
income and equity processes
Kim Hallwood Director
North Vancouver, BC, Canada Andrew Sage Head of Fixed Income Leader of Canadian Fixed Income
team responsible for actively driving
Raza Hasan Director the process and implementation for
Oakville, ON, Canada all Canadian Fixed Income portfolios
4
and the Funds (continued)
Role in investment decision- Pursuant to a sub-advisory agreement with us, each sub-
Name Title making process advisor will have the discretion to purchase and sell portfo
lio securities for the Fund or segment of the Fund they man
Zayem Lakhani Head of Leader of the Canadian Equity team age. Sub-advisors will also operate within each Fund’s
Canadian Equities responsible for portfolio investment objectives, restrictions and policies, and any
construction, research process and other constraints we may impose.
fundamental company analysis We or sub-advisors acting on our behalf will have the dis
across Canadian equity mandates cretion to allocate assets between sub-advisors within a
given Fund.
Richard E. Wong Senior Portfolio Portfolio manager on the Canadian We may hire or replace sub-advisors at any time. A sub-
Manager, Fixed Income team responsible for advisory agreement may be terminated by us or the sub-
Fixed Income managing the fixed income advisor upon 60 days’ notice to the other party, or any other
portfolios in collaboration with the period agreed upon by the parties in writing.
Head of Fixed Income, focusing on As the primary investment advisor, we remain responsible
credit research, trading and liquidity for the investment advice that any sub-advisor provides. We
will monitor and assess the performance of sub-advisors on
Carol Lum Portfolio Portfolio manager on the Canadian an ongoing basis. Where we delegate our discretionary
Manager, Equities Equity team responsible for authority to a sub-advisor, we will be responsible for any
conducting fundamental equity loss that arises out of the failure of the sub-advisor:
research with a focus on the i. to exercise the powers and discharge the duties of its
Materials and Consumer sectors office honestly, in good faith and in the best interests of us
or you; or
Edwin Fung Portfolio Portfolio manager on the multi-asset
Manager, Multi-Asset team responsible for implementing
ii. to exercise the degree of care, diligence and skill that a
reasonably prudent person would exercise in the circum
the asset allocation for the World stances.
Selection program and other multi-
asset solutions Where we delegate responsibilities to a sub-advisor whose
head office is located outside of Canada, it may be difficult
Will Cheng Portfolio Portfolio manager on the multi-asset to enforce any legal rights against the sub-advisor because
Manager, Multi-Asset team responsible for implementing
the sub-advisor is resident outside of Canada and all or sub
stantially all of its assets may be situated outside of Canada.
the asset allocation for the World
Selection program and other multi- The following is a list of the sub-advisors and the individuals
asset solutions that are principally responsible for the investment decisions
made on behalf of certain of the Funds as of the date of this
Oliver Bailey Portfolio Portfolio manager on the Canadian Simplified Prospectus. If you would like a list of current sub-
Manager, Equities Equity team responsible for advisors, you can call 1-888-390-3333, or email us at
analyzing equity investments with a
asset.management@hsbc.ca.
focus on the energy, forestry and
industrial sectors Federated Investment Counseling
Pittsburgh, Pennsylvania USA
Bruce Chen Portfolio Manager, Portfolio manager on the Canadian
Fixed Income Fixed Income team responsible for HSBC U.S. Dollar Monthly Income Fund
managing Canadian bond portfolios
with a focus on interest rates
Ignacio Torrillo Portfolio Manager, Portfolio manager on the Canadian
Daniel Peris Senior Vice President, Lead portfolio manager and
Fixed Income Fixed Income team responsible for
Senior Portfolio decision-maker for the strategy,
money market liquidity trading and
Manager, Head of responsible for strategy
fundamental credit research of
Strategic Value development and managing the
Canadian bond issuers
Dividend Team investment process, portfolio
Danny Hung Portfolio Portfolio manager on the Canadian management and research
Manager, Equities Equity team responsible for
Deborah Senior Vice President, Portfolio manager responsible for
analyzing equity investments with a
D. Bickerstaff Portfolio Manager managing the investment process,
focus on the financial and real
portfolio management and research,
estate sectors
and decision-maker on all
portfolio transactions
Michael R. Tucker Senior Vice President, Portfolio manager responsible for

Sub-advisors Senior managing the investment process,
As the primary investment advisor for all Funds, we are Portfolio Manager portfolio management and research,
responsible for providing investment advice and portfolio and decision-maker on all
management services to the Funds. We may hire sub- portfolio transactions
advisors, including sub-advisors that are affiliated with us,
Jared S. Hoff Vice President, Senior Portfolio manager responsible for
to provide investment advice and portfolio management
Portfolio Manager managing the investment process,
services to the Funds. Our selection of external sub-advisors
portfolio management and research,
for a particular Fund or segment thereof is based primarily and decision-maker on all
on the research conducted and recommendations provided portfolio transactions
by our Wealth Portfolio Management business unit.
5
HSBC Bank USA, N.A. HSBC Global Asset Management (Hong

New York City, New York USA Kong) Limited
HSBC U.S. Equity Pooled Fund Hong Kong SAR of the People's Republic of China
HSBC AsiaPacific Fund
Name Title making process Role in investment decision-
Brett Mitstifer Regional Head of Lead portfolio manager and
Investment decision-maker for the US Core Vandana Luthra Portfolio Manager, Lead portfolio manager responsible
Management and Equity Portfolio and Chief Equities, Asia Pacific for strategy, research, portfolio
Chief Investment Officer responsible for construction and implementation
Investment Officer fundamental equity research
covering the Information Stanley Chen Associate Director, Co-portfolio manager supports the
Technology sector Senior Investment lead portfolio manager, and may
Analyst, Equities, implement portfolio construction
Jacques Cormier Senior Portfolio manager responsible for Asia Pacific decisions as a back-up to the lead
Portfolio Manager fundamental equity research
covering the Consumer Derek Koon Senior Investment Co-portfolio manager supports the
Discretionary and Consumer Analyst, Equities, lead portfolio manager, and may
Staples sectors Asia Pacific implement portfolio construction
decisions as a back-up to the lead
Aurora Hahn Senior Portfolio manager responsible for
Portfolio Manager fundamental equity research HSBC Chinese Equity Fund
covering the Information
Technology sector Role in investment decision-
HSBC Global Asset Management (France) Caroline Maurer Head of China and Lead portfolio manager responsible
Specialized for strategy, research, portfolio
Paris, France Asia Equities construction and implementation
HSBC European Fund
Role in investment decision- HSBC Global Asset Management (Singa
Name Title making process pore) Limited
Samir Essafri Portfolio Manager, Lead manager responsible for Singapore, Republic of Singapore
European Equities company research, portfolio
construction and implementation
HSBC Indian Equity Fund
François Chacun Portfolio Manager, Back-up portfolio manager Role in investment decision-
European Equities Name Title making process
HSBC Global Corporate Bond Fund Sanjiv Duggal Head of Asia Dividend Leader of Asia Dividend and
and Thematic Equities Thematic Equities team and lead
Role in investment decision- portfolio manager responsible for
Name Title making process strategy, research, portfolio
construction and implementation
Jean Olivier Neyrat Portfolio Manager, Regional portfolio manager
European responsible for the EUR exposure Nilang Mehta Investment Director, Co-portfolio manager supports the
Fixed Income and joint decision-maker for Asian Equities lead portfolio manager, and may
the Fund implement portfolio construction
decisions as a back-up to the lead
HSBC Global High Yield Bond Pooled Fund
Sophie Sentilhes Portfolio Manager, Regional portfolio manager

European responsible for the EUR exposure
Fixed Income and joint decision-maker for
the Fund
Philippe Igigabel Portfolio Manager, Back-up regional portfolio manager

European for EUR exposure of the Fund
Fixed Income
Aline Thiel Portfolio Manager, Back-up regional portfolio manager

European for EUR exposure of the Fund
Fixed Income
6
HSBC Global Asset Management (UK) Limited HSBC U.S. Equity Index Fund
London, UK HSBC International Equity Index Fund
HSBC Emerging Markets Fund HSBC Emerging Markets Equity Index Fund
HSBC Emerging Markets Fund II (formerly the HSBC Role in investment decision-
BRIC Equity Fund) Name Title making process
HSBC Emerging Markets Pooled Fund Joseph Molloy Head of Index and Leader of Index and Systematic
Systematic Equity Equity Portfolio Management team
Role in investment decision- Portfolio Management that employs a team-based
Name Title making process approach where all investment
decisions are made by the team as
Stephanie Wu Head of Emerging Team head, responsible for the
a whole
Markets and Core strategy and ultimate decision
Asia Equities maker within the investment team. Ed Gurung Portfolio Manager Member of the Index and
Responsible for research with a Systematic Equity Portfolio
focus on the Asia region, macro, Management team
and thematic
investment megatrends Patricia Keogh Portfolio Manager Member of the Index and
Systematic Equity Portfolio
Ed Conroy Portfolio Manager Portfolio manager responsible for Management team
the Asia and Latin America regions,
macro and the climate change Nelson Gu Portfolio Manager Member of the Index and
investment megatrends Systematic Equity Portfolio
Management team
Helen King Portfolio Manager Portfolio manager responsible for
Russia, macro and thematic Oz Vechi Portfolio Manager Member of the Index and
investment megatrends Systematic Equity Portfolio
Management team
Nicholas Dowell Portfolio Manager Portfolio manager responsible for
digital transformation Kinson Leung Portfolio Manager Member of the Index and
Aravindsai Analyst Research analyst with a specific Management team
Ramakrishnan focus on the digital transformation
investment megatrend Terry Wood Portfolio Manager Member of the Index and
HSBC Emerging Markets Debt Fund Management team
Role in investment decision- Aleksandr Brilkov Portfolio Manager Member of the Index and
Name Title making process Systematic Equity Portfolio
Management team
Luther Bryan Carter Head of Emerging Sets the stage for the top-down
Markets Debt (macro) view for the overall portfolio Yiqian Zhu Portfolio Manager Member of the Index and
and oversees the bottom-up Systematic Equity Portfolio
decision making made by the Management team
Co-portfolio managers
Isabella Wong Portfolio Manager Member of the Index and
HSBC Global Equity Fund Systematic Equity Portfolio
HSBC Global Equity Volatility Focused Fund Management team
Role in investment decision- Ralph Warrell Investment Analyst Member of the Index and
Name Title making process Systematic Equity Portfolio
Management team
Ioannis Kampouris Lead Quantitative Member of the Quantitative Equity
Research Analyst Research team, responsible for HSBC Global Inflation Linked Bond Pooled Fund
strategy and research for
quantitative equity portfolios Role in investment decision-
Oz Vechi Portfolio Manager Member of the Index and
Systematic Equity Portfolio Julien Renoncourt Head of Inflation & Lead portfolio manager and
Management team that employs a Global Bonds strategist for the Inflation
team-based approach where all Linked strategy
investment decisions are made by
Richard Balfour Portfolio Manager, Back-up portfolio manager for the
the team as a whole; lead portfolio
Fixed Income, Global Inflation Linked strategy and global
manager for day to day
& UK bond team member
implementation of the strategy
7
HSBC Global Real Estate Equity Pooled Fund HSBC Global High Yield Bond Pooled Fund
Role in investment decision- Role in investment decision-
Name Title making process Name Title making process
Nick Leming Head, Listed Team head, responsible for the Mary Bowers Senior Portfolio Lead portfolio manager responsible
Real Estate strategy and ultimate decision Manager, High Yield for the USD exposure and overall
maker within the investment team, portfolio, and ultimate decision-
and co- portfolio manager for maker for the Fund
the Fund
Julio Obeso Portfolio Manager, Regional portfolio manager
Tom Carlton Senior Lead portfolio manager for the Fund Emerging Markets responsible for the EMD exposure
Portfolio Manager Green Bond Portfolio and joint decision-maker for
Manager, Fixed the Fund
Guy Sheppard Global Research analyst with a specific Income - EMD
Property Analyst focus on forecasting global property
market returns
HSBC International Equity Pooled Fund HSBC U.S. Dollar Monthly Income Fund
Role in investment decision- Role in investment decision-
Name Title making process Name Title making process
Darryl Lucas Head of Long- Team head, responsible for the Jerry X. Samet Senior Portfolio Lead portfolio manager and final
Term Equities strategy and ultimate decision Manager, decision-maker for the Fund
maker within the investment team Fixed Income
Viral Desai Portfolio Manager, US fixed income portfolio manager,

HSBC Global Asset Management (USA) Inc. Fixed Income and joint decision-maker for
the Fund
New York City, New York USA
HSBC Emerging Markets Debt Fund
Los Angeles Capital Management LLC
Role in investment decision- Los Angeles, California USA
HSBC U.S. Equity Fund
Scott P. Davis Portfolio Manager, Co-portfolio manager responsible
Emerging Markets for emerging markets debt hard Role in investment decision-
Debt, External currency exposure and joint Name Title making process
Corporates decision-maker for the Fund
& Sovereigns Thomas D. Stevens Chairman Member of the Investment
Committee that oversees the
Jaymeson P. Kumm Portfolio Manager, Co-portfolio manager responsible investment process and technology
Emerging Markets for emerging markets debt hard used in equity portfolio construction
Debt, External currency exposure and joint and management
Corporates decision-maker for the Fund
& Sovereigns Hal W. Reynolds Chief Chair of the Investment Committee
Investment Officer that oversees the investment
Hugo Novaro Senior Portfolio Co-portfolio manager responsible process and technology used in
Manager, Emerging for emerging markets local currency equity portfolio construction
Markets Debt, exposure and joint decision-maker and management
Local Markets for the Fund
Daniel E. Allen Chief Executive Member of the Investment
HSBC Global Corporate Bond Fund Officer & President Committee that oversees the
investment process and technology
Role in investment decision- used in equity portfolio construction
Name Title making process and management
Jerry X. Samet Senior Portfolio Lead portfolio manager responsible Laina Draeger Senior Portfolio Day-to-day portfolio manager
Manager, for the USD exposure and overall Manager, Director of responsible for portfolio
Fixed Income portfolio, and ultimate decision- Global Equities & implementation. Member of the
maker for the Fund Responsible Investing Investment Committee that
oversees the investment process
and technology used in equity
portfolio construction and
management
8
Mawer Investment Management Ltd. two types of goods and services for which we may direct
Calgary, Alberta Canada brokerage commissions to certain dealers: 1) research
goods and services that assist us in our investment
HSBC Small Cap Growth Fund decision-making and 2) order execution goods and services
HSBC Canadian Small Cap Equity Pooled Fund that includes the actual execution of the order itself and
goods and services to the extent that it is directly related to
order execution. Research goods and services may be pro
vided to us in the form of investment data, written reports,
Jeff Mo Portfolio Manager Member of the portfolio computer-generated reports or databases, telephone con
management team of the Mawer tacts and in-person meetings with security analysts.
sleeve of the Funds with full Examples may include general economic, industry or issuer
investment decision- reports or investment recommendations; research data
making authority
compilations; compilations of securities prices, earnings,
Samir Taghiyev Portfolio Manager Member of the portfolio dividends and similar data; computerized databases; trading
management team of the Mawer analysis; and services of economic reports or other consul
sleeve of the Funds with full tants. Order execution goods and services may include
investment entry, handling or facilitation of an order be provided in the
decision-making authority nature of order management systems, algorithmic trading
software and market data.
Triasima Portfolio Management Inc. In certain cases, such goods and services may contain ele
Montreal, Quebec Canada ments that qualify as research goods and services and/or
order execution goods and services, and other elements
HSBC Small Cap Growth Fund that do not qualify as either of such permitted goods and
HSBC Canadian Small Cap Equity Pooled Fund services. These types of goods and services are considered
to be “mixed use”. Examples of the type of mixed-use
goods and services that we may receive are portions of
software applications or data analysis that are not directly
André R. Chabot Chief Co-portfolio manager of the related to order execution or investment decision-making. If
Investment Officer Triasima sleeve of the Funds, and the portfolio advisors or sub-advisors obtain mixed-use
oversees the management of all goods and services, we will only use brokerage commis
investment strategies at Triasima sions to pay for the qualified goods and services that are
Scott Collins Portfolio Manager Co-portfolio manager of the
directly related to our research, investment decision-making
and Deputy CIO Triasima sleeve of the Funds, and and order execution processes. All our brokerage arrange
takes part in the development of ments are in compliance with applicable laws.
Triasima’s macroeconomic views We are required to make a good faith determination that the
Simon Turner Associate Co-portfolio manager of the
Funds receive reasonable benefit for the brokerage commis
Portfolio Manager Triasima sleeve of the Funds, sions paid by taking into account both the value of the
participates in fundamental analysis goods and services received and the amount of the broker
of global securities, and performs age commissions paid. We may use research goods and
fundamental research on small and services and order execution goods and services to benefit
mid-sized Canadian companies the Funds and our clients, other than those whose trades
generated the brokerage commission. However, we have
Brokerage arrangements policies and procedures in place to make a good faith deter
We, including any sub-advisors appointed for the Funds, mination that over a reasonable period of time, all clients,
have the discretion to select any dealers that we reasonably including the Funds, receive fair and reasonable benefit in
expect can obtain the best price (including all transaction return for the commission generated.
costs) and execution for the Funds. We will consider the Since the date of the last Simplified Prospectus prepared for
factors that we deem relevant in selecting a broker and the Funds, we received the following order execution goods
assessing the best overall terms available for any transac and services and research goods and services from dealers
tion, which include the breadth of the market of the secu or third parties in connection with the execution of broker
rity, the price of the security, the financial condition and age transactions on behalf of the Funds: general economic,
execution capability of the dealer, and the total transaction industry and issuer reports and investment recommenda
costs. This process does not differ where the dealer is an tions, research data compilations, research analysis and
affiliated entity. reports concerning securities and portfolio strategies and
We may consider dealers who, in addition to providing statistical, compilations of securities prices, earnings, divi
order execution services, also provide goods and services dends and similar data, computerized databases, services of
(or arrange for a third party to provide the goods and ser economic and other consultants, post-trade matching, elec
vices), but only if we believe that such services can be tronic communication of allocation instructions and other
obtained in a manner and to an extent consistent with our messages related to the trade among broker-dealers/
obligation to obtain best net price and execution. There are custodians/institutions, and settlement instruction routing.
9
We, or one of our sub-advisors, may direct the brokerage Registrar

business of the Funds to an affiliated entity, including HSBC
International Financial Data Services (Canada) Limited, acts
Securities (Canada) Inc., HSBC Bank Canada, HSBC Bank
as registrar of the Funds from its office located in Toronto,
plc, HSBC Securities (USA) Inc., HSBC Securities Brokers Ontario, and is independent from us.
(Asia) Limited, Hongkong and Shanghai Banking Corpora
tion Limited and HSBC Broking Services (Asia) Limited. In
all cases, such transactions are made on terms and condi Other service providers
tions comparable to those offered by unrelated brokers or CIBC Mellon Global Securities Services Company (“CIBC
dealers. See the section called “Information regarding trans Mellon”) provides certain accounting services on our behalf
actions with members of the HSBC Group or other in respect of the Funds and is independent from us. These
related parties”. services include calculating the net asset value of the units
Where brokerage transactions involving client brokerage of the Funds and assisting us with the preparation of finan
commissions of the Funds have been or might be directed cial data contained in investor reports. CIBC Mellon is paid a
to a dealer in return for providing any goods or services by fee for its services. This fee is paid either by the Funds or us.
the dealer or a third party other than order execution, the The head office of CIBC Mellon is located in
names of such dealers or third parties will be provided upon Toronto, Ontario.
request by calling 1-888-390-3333, by writing to HSBC Institutional Shareholder Services Inc. (“ISS”) provides ser
Global Asset Management (Canada) Limited at 3rd Floor, vices in respect of proxy voting by the Funds and is inde
885 West Georgia Street, Vancouver, British Columbia, V6C pendent from us. See the section below called “Policies and
3E8, or by email at asset.management@hsbc.ca. procedures – Proxy voting guidelines” for details. We pay ISS
a fee for its services. The head office of ISS is located in
Rockville, Maryland, USA.
Principal Distributor
HSBC Investment Funds (Canada) Inc. is the principal dis Independent Review Committee
tributor of the Mutual Funds and our wholly owned subsid
The mandate of the Independent Review Committee (“IRC”)
iary. Its head office is located at 3rd Floor,
is to provide decisions or recommendations to us on con
885 West Georgia Street, Vancouver, British Columbia, flict of interest matters that we refer to the IRC for review,
V6C 3G1. and to undertake all other related responsibilities and per
The Principal Distributor offers units of the Mutual Funds to form all other related actions as set forth in National Instru
the public on a continuous basis pursuant to a distribution ment 81-107 (“NI 81-107”). The IRC will not provide its deci
agreement between us and the Principal Distributor. We sions or recommendations unless it has determined, after
pay the Principal Distributor a fee for its services from the reasonable inquiry, that the action achieves a fair and rea
management fee that we receive. The distribution agree sonable result for the Funds.
ment may be terminated by us or the Principal Distributor The IRC is composed of the following members:
upon 60 days’ written notice to the other party, or such
shorter notice as the other party may accept as sufficient. Name Role
Lisa Pankratz Chair

Trustee Louise Tymocko Member
We act as trustee of the Funds. Our head office is located in
Vancouver, British Columbia. Sharon Morrisroe Member
Since the date of the most recently filed Simplified Prospec

tus, there have been no changes in composition to the IRC.
Custodian
Each IRC member is “independent” within the meaning of
CIBC Mellon Trust Company is the custodian for the Funds NI 81-107.
and is independent from us. The head office of CIBC Mellon
Trust Company is located in Toronto, Ontario. The IRC will, annually, review and assess the adequacy and
effectiveness of:
The custodian is responsible for the safekeeping of the
♦ our policies and procedures relating to conflict of inter
Funds’ securities and other investments. CIBC Mellon Trust
est matters in respect of the Funds;
Company may appoint sub-custodians in each country in
which the Funds trade portfolio securities. ♦ standing instructions it has given us; and
The Funds’ investments may also be held at the Canadian ♦ our compliance with any conditions imposed by it in
Depository for Securities Limited, which is located in a decision.
Toronto, Ontario. In addition, the IRC will, annually, review and assess the
independence, compensation effectiveness and contribution
of its members. The IRC will provide us with a report of the
Auditor results of such assessment.
KPMG LLP, Chartered Professional Accountants, acts as NI 81-107 requires us to have policies and procedures relat
auditor of the Funds, from its office located in Vancouver, ing to the conflicts of interest matters. The IRC prepares, at
British Columbia. KPMG LLP is independent of us. least annually, a report of its activities for unitholders and
10
makes such reports available on the Fund’s designated ♦ on a quarterly basis, reviewing and approving recom
website at assetmanagement.hsbc.ca, or at the unitholder’s mendations from and services provided by our Wealth
request and at no cost, by contacting us at Portfolio Management business unit; and
asset.management@hsbc.ca.
♦ ensuring compliance with both regulatory and legal mat
ters relating to the Funds.
Fund governance In addition, we have established a forum for senior manage
Two principal factors have a direct impact on our fund gov ment to discuss risk management issues in relation to the
ernance structure: Funds. The forum is held on a bi-monthly basis (or more
♦ As the manager of the Funds, we are under a statutory frequently if needed). This forum is comprised of represen
duty to act honestly, in good faith and in the best inter tatives from the manager, operations, legal, compliance,
ests of all of the Funds, and to exercise the degree of risk and product development, each of whom has relevant
care, diligence and skill that a reasonably prudent per subject matter expertise. The purpose of these meetings
son would exercise in the same circumstances. is to:
♦ As an indirect subsidiary of HSBC Holdings plc, one of ♦ oversee the development and maintenance of a risk
the world’s largest financial service providers, our com framework that effectively monitors the risk activities of
pliance with applicable laws and our actions towards HSBC Global Asset Management (Canada) Limited;
our customers can have an impact on not only us, but
♦ ensure that we have adequate risk management sys
on HSBC Holdings plc and other member companies.
We comply with HSBC Asset Management’s global tems and procedures to identify, manage and mitigate
compliance policies and procedures and provide financial and non-financial risks; and
monthly reports to HSBC Holdings plc. ♦ report significant risk issues to the Board of Directors
Our Board of Directors is responsible for overseeing our and other relevant parties. The types of risks to be man
compliance with the above-mentioned statutory duty owed aged include but are not limited to operational,
to the Funds. Our Board of Directors meets regularly to dis counterparty, regulatory, reputational, liquidity, invest
cuss HSBC Global Asset Management (Canada) Limited’s ment and fiduciary.
business including issues related to the Funds. This forum is also responsible for the oversight of policies
Various committees and forums have been established to and procedures related to liquidity risk management (LRM).
assist the Board of Directors with overseeing compliance LRM is part of each Fund’s broader risk management pro
with our statutory duty owed to the Funds. These commit cess. Our LRM framework includes documented internal
tees and forums are comprised of individuals who are direc policies pertaining to the measurement, monitoring, mitiga
tors, officers or employees of HSBC Global Asset Manage tion and reporting of liquidity risks within the Funds.
ment (Canada) Limited or one of our affiliates. Each of these
committees and forums meet at least quarterly and their For each of our committees and forums, we have estab
collective duties include, but are not limited to: lished appropriate policies, procedures, practices and guide
lines to ensure proper management of the Funds including
♦ reviewing and approving each Fund’s Investment Policy the policies and procedures relating to conflicts of interest
and Guidelines, and assessing and approving any sug
as required by NI 81-107. Included among these policies are
gested amendments;
a Code of Conduct policy and Personal Account Dealing
♦ on a quarterly basis, assessing the performance of the policy and procedure designed to prevent potential per
investment advisors for each Fund; ceived or actual conflicts between the interests of us and
♦ at least annually, assessing the investment risk of our employees, and the interest of the Funds. We also have
each Fund; a marketing and sales practices policy that complies with NI
♦ at least annually, assessing the reasonableness and allo 81-105 Mutual Fund Sales Practices (“NI 81-105”) and poli
cation of operational fees paid by the Funds; cies related to the valuation of portfolio securities for the
♦ at least annually, assessing the actions of service provid Funds, the use of derivative instruments by the Funds and
ers in relation to the administration of a Fund; the allocation of trades on behalf of the Funds.
11
Affiliated entities
Certain companies that provide services to the Funds, or to us in relation to the Funds, are our affiliates. The relationships
among these companies are described below.
HSBC Holdings plc
HSBC Global Asset HSBC Global Asset HSBC Global Asset

Management (USA) HSBC Bank USA, Management Management
HSBC Bank Canada Inc. N.A. (France) (UK) Limited
Sub-advisor Sub-advisor Sub-advisor Sub-advisor
HSBC Global Asset

Management HSBC Global Asset HSBC Global Asset
HSBC Securities Management (Singapore) Management (Hong
(Canada) Limited
(Canada) Inc. Limited Kong) Limited
Trustee, Manager
Distributor
and Investment Sub-advisor Sub-advisor
Advisor
HSBC Investment
Funds (Canada) Inc.
Principal Distributor
of the Mutual Funds
HSBC Global Asset Management (Canada) Limited and The Manager has obtained exemptive reliefs from this
HSBC Securities (Canada) Inc. are separate corporate enti restriction. Please refer to the section called “Exemptions
ties and are wholly owned subsidiaries of HSBC Bank and Approvals” for more details.
Canada. HSBC Investment Funds (Canada) Inc. is a wholly
owned subsidiary of HSBC Global Asset Management
(Canada) Limited. All of the above companies are indirect Policies and procedures
wholly owned subsidiaries of HSBC Holdings plc.
The amount of fees paid by the Funds to the affiliated enti Short selling policies and risk management
ties listed above is contained in the audited financial state
ments of the Funds. The Funds may engage in short selling in compliance with
NI 81-102. For more information about how the Funds
engage in these types of transactions, please see the sec
Dealer manager disclosure tion in the second part of the Simplified Prospectus for the
The amount of fees paid by the Funds to the affiliated enti Funds called “Short selling”.
ties listed above is contained in the audited financial state We will, prior to engaging in any short sale transactions, put
ments of the Funds. in place written policies and procedures that set out the
A mutual fund is a dealer-managed mutual fund if a dealer, objectives and goals for short selling and risk management
or a principal shareholder of a dealer, owns more than 10% procedures applicable to short selling. In our risk manage
of the voting rights of the portfolio advisor of the mutual ment meetings, we are responsible for setting and review
fund. The Funds are dealer-managed mutual funds because ing the policies and procedures relating to short selling by
more than 10% of the Manager is owned by affiliates that the Funds and such policies and procedures will be
are specified dealers. reviewed annually. The decision to effect any particular
Pursuant to the provisions prescribed by National Instru short sale or any trading limits or other controls will be
ment 81-102 (“NI 81-102”), the Funds shall not knowingly reviewed and monitored as part of our ongoing compliance
make an investment in securities of an issuer where a part procedures and risk control measures. Risk measurement
ner, director, officer or employee of the Manager or its affili procedures or simulations generally are not used to test the
ates or associates is a partner, director or officer of the portfolios of the Funds under stress conditions.
issuer of the securities. In addition, the Funds shall not
knowingly make an investment in securities of an issuer
during, or for 60 calendar days after, the period in which the Short-term trading
Manager and its associates or affiliates acts as an under Short-term trading can increase administrative costs to all
writer in the distribution of the securities of such issuer. investors and can negatively impact the overall performance
12
of a Fund as the Fund may be forced to hold additional cash ♦ the price that the derivative guarantees for the asset and
or to sell portfolio holdings to pay redemption proceeds, the date it must be used by, and
thereby incurring additional trading costs. We have policies ♦ if the derivative was bought or sold on an exchange, the
and procedures to detect and deter short-term trading. We name of that exchange.
have a system that monitors trading activity and flags any
trades where you switch or sell units of a Mutual Fund
within 30 calendar days of the date the units were pur Securities lending and
chased. Flagged trades are reviewed regularly. At our dis repurchase transactions
cretion, we may charge a short-term trading fee or issue a
warning letter when we detect that short-term trading has The Funds may enter into securities lending transactions
occurred. This fee is retained by the applicable Mutual and repurchase transactions. For more information about
Fund. We retain the right to reject your request to switch or how the Funds engage in these types of transactions,
purchase units of the Mutual Funds if you are, in our opin please see the section in the second part of the Simplified
ion, engaging in short-term trading. See “How to buy, sell Prospectus for the Funds called “Securities lending transac
and switch units of the Funds” for more details. tions, repurchase transactions and reverse repurchase transac
tions”. The Funds may enter into these transactions only as
permitted by the Canadian securities regulatory authorities
Derivatives as described in NI 81-102.
The investment advisor of the Funds may invest in or use
We will manage the risks associated with securities lending,
derivative instruments for hedging or non-hedging pur
repurchase and reverse repurchase transactions in part by
poses, provided that such investment or uses are consistent
with the Funds’ investment objectives and investment requiring the Funds’ agent to, if an agent is appointed, or
restrictions, comply with NI 81-102 or are otherwise permit that we will directly:
ted by Canadian securities regulatory authorities. Deriva ♦ enter into such transactions with reputable and well
tives may be used to help reduce the risks associated with established Canadian and foreign brokers, dealers and
certain investments, including currency value fluctuations, institutions (“counterparties”);
stock market risks and interest rate changes. The Funds ♦ maintain internal controls, procedures and records,
may also use derivatives, rather than direct investments, to including a list of approved counterparties based on
reduce transaction costs, achieve greater liquidity, create generally accepted diversification standards;
effective exposure to global financial markets or increase
speed and flexibility in making portfolio changes. Deriva ♦ each business day, determine the market value of both
tives will not be used to introduce incremental leverage in the securities loaned by a Fund under a securities lend
the portfolio. ing transaction or sold by a Fund under a repurchase
The investment advisor may use derivatives to meet the transaction or purchased by a Fund under a reverse
Funds’ objectives, including, but not limited to, forward repurchase transaction, and if the cash and/or collateral
contracts for foreign currency hedging, futures contracts to is less than 102% of the market value of the loaned or
replicate underlying Fund portfolios and covered call sold securities, on the next day the counterparty will be
options for income purposes. Our senior management is required to provide additional cash or collateral to the
responsible for reviewing policies and procedures governing Fund to cover the shortfall; and
the use of derivatives at least annually. Regular risk man ♦ ensure that the collateral to be delivered to a Fund is one
agement reviews are conducted, and any issues that arise or more of cash, qualified securities or securities imme
as a result of these reviews are reported to senior manage diately convertible into, or exchangeable for, securities
ment on a bi-monthly basis, and to the Board of Directors. of the same issuer, class or type, and same term, if
The monitoring of derivatives is performed independently applicable, as the securities being loaned by the Fund.
from the trading functions. We also monitor the credit risk
of the counterparties used. Counterparty limits are approved Before the Funds enter into securities lending or repurchase
by senior management. Given our current controls, stress transactions, we will establish written policies and proce
testing is not considered necessary. However, if derivative dures regarding the objectives and goals for these transac
use becomes more extensive within the Funds we will con tions, and the risk management procedures applicable to
sider putting more stringent procedures in place. the Funds’ entering into these transactions.
The Funds’ use of derivative investments is monitored by For securities lending and repurchase transactions we will
the Funds’ portfolio managers and us to ensure that they enter into an agreement with the custodian or sub-
are used in compliance with applicable securities laws, or custodian of the Funds that will act as agent for the Funds
any exemptions granted therefrom. in administering these transactions to document their obli
If these restrictions are not complied with, it must be gations and responsibilities. The agent may retain, as a fee,
reported to our compliance department. Records of all a percentage of the revenues resulting from securities lend
derivatives in which the Funds have either a direct or indi ing, repurchase or reverse repurchase transactions, as set
rect interest are maintained, showing: out in the agreement between us and the agent, and in
accordance with policies and guidelines we have adopted.
♦ the asset on which the derivative is based,
The securities lending transactions of a Fund may be termi
♦ the number of underlying assets on which the derivative
is based, nated by the Fund at any time. Repurchase agreements or
13
reverse repurchase agreements of the Funds will have a all proxies for which we have authority to vote, and to
maximum term of 30 days. We or the agent may use risk administer the proxy voting process. We have adopted the
measurement procedures or simulations to test the portfolio HSBC Asset Management Global Voting Guidelines (“HSBC
under stress conditions. Voting Guidelines”), which address a wide variety of indi
A member of our senior management will be responsible for vidual topics, including but not limited to board’s role and
establishing and reviewing our risk management policies leadership, board composition and independence, executive
and procedures and the terms of related agreements. We remuneration, disclosure and audit, capital issues and
and the agent, if applicable, will review these at least annu shareholder rights and shareholder resolutions which have
ally to ensure that the securities lending and repurchase been increasingly used to address concerns related to envi
transactions are being properly managed in conformity with ronment, social and governance (“ESG”) factors. In cases
Canadian securities laws and our agreements with where an affiliated sub-advisor retains the right to vote the
each agent. Funds’ proxies, we will ensure the affiliated sub-advisor
adopts the HSBC Voting Guidelines and reviews their poli
cies and procedures for consistency with our Proxy Voting
Reverse repurchase transactions Policy on an annual basis. We and our affiliated sub-
The Funds may enter into reverse repurchase transactions. advisors will generally vote the Funds’ proxies in accor
For more information about how the Funds engage in these dance with the HSBC Voting Guidelines; however, there
types of transactions, please see the section in the second may be circumstances where we believe that it is in the
part of the Simplified Prospectus for the Funds called “Secu best interests of the Funds to vote differently than the man
rities lending transactions, repurchase transactions and reverse ner contemplated by the HSBC Voting Guidelines or to
repurchase transactions”. The Funds may enter into these refrain from voting. The ultimate decision as to the manner
transactions only as permitted by the Canadian securities in which the Funds’ proxies will be voted rests with us. We
regulatory authorities as described in NI 81-102. may amend the Proxy Voting Policy or the HSBC Voting
Guidelines at any time and without notice to you.
We may use reverse repurchase transactions to meet the
Funds’ investment objectives. Policies and procedures gov At least once a year, certain of our officers and employees
erning the use of reverse repurchase transactions are meet to discuss proxy matters and administer the Proxy
reviewed at least annually by senior management. Monitor Voting Policy. These proxy voting meetings may take place
ing of reverse repurchase transactions is performed by more frequently as needed to resolve any proxy voting
teams independent of the investment and trading functions. issues that may arise. Pursuant to our Proxy Voting Policy,
Credit risk of the counterparties used is also independently in those circumstances where the investment advisor deter
monitored. Any issues or exceptions that arise are reported mines that it may be appropriate to vote contrary to the
to senior management in a timely manner. HSBC Voting Guidelines, the matter will be reviewed by the
members of this meeting to arrive at a decision regarding
We monitor the Funds’ use of reverse repurchase transac how the proxy will be voted. In making a decision in such
tions to ensure they are used in compliance with applicable circumstances, information and recommendations from
securities laws, or any exemptions granted therefrom. ISS, internal or external research, the management of the
As of the date of this Simplified Prospectus, only the HSBC subject company and shareholder groups may be consid
Canadian Money Market Fund, HSBC U.S. Dollar Money ered. This meeting also reviews the reasoning submitted by
Market Fund and HSBC Canadian Money Market Pooled our affiliated sub-advisors for decisions made to deviate
Fund are expected to carry out reverse repurchase transac from the HSBC Voting Guidelines, in the best interests of
tions. the applicable Fund.
If a material conflict of interest is determined to exist, we
Proxy voting guidelines will direct that the proxy be voted according to ISS’s recom
mendation. In the event ISS is unable to make a recommen
We are the primary investment advisor of the Funds. In this dation on a proxy vote and where no material conflict of
role, we have a duty to exercise the voting rights attribut interest is determined to exist, the matter will be referred to
able to securities held by the Funds solely in the best inter the proxy voting meeting to make the determination. In cir
ests of the Funds. cumstances where a material conflict of interest is deter
We have adopted policies and procedures (the “Proxy Vot mined to exist, with the absence of ISS’s recommendation,
ing Policy”) with respect to the voting of the Funds’ proxies. subject to the recommendation of the Independent Review
Our Proxy Voting Policy sets out the voting procedures to Committee of the Funds, the matter will be referred to our
be followed in voting on routine and non-routine matters, senior management to make a decision or, if deemed nec
and contains policies and procedures to ensure that when essary, an independent consultant or outside counsel to
real or perceived conflicts of interest arise between our resolve the material conflict of interest and ensure that the
interests and the interests of our clients, those issues are proxy is voted in the best interests of the Funds.
properly addressed and resolved. We cannot guarantee the ability to exercise the voting rights
We have retained Institutional Shareholder Services Inc. attributable to securities of foreign issuers. In many coun
(abbreviated above as “ISS”), a leading, independent firm tries, proxy voting can be complicated and onerous, and
with expertise in global proxy voting and corporate gover there may be instances when we cannot exercise such vot
nance issues, to provide in-depth research and analysis on ing rights.
14
Some Funds primarily invest a majority of their assets in

units of other mutual funds (“Sub-Funds”). Sub-Funds typi
cally do not submit matters to investors for vote, unless Material contracts
they are required to do so in the event of certain fundamen The contracts that are material to the Funds are described
tal changes in respect of their operation or administration. below:
In the event that a Sub-Fund submits a matter to its inves
tors for vote, we will consider the matter on a case-by-case Companies
basis and vote any securities of the Sub-Fund held by the Contract involved and date Description
Funds in accordance with what we believe is in the best Master Declaration of HSBC Global Asset Establishes the Mutual Funds. We
interest of the relevant Funds. Trust for the Management act as manager and trustee of the
We will not vote the securities of any Sub-Funds if the Sub- Mutual Funds (Canada) Limited Mutual Funds under the Master
Fund is managed by us or any of our affiliates. We may, at Declaration of Trust. We may
our discretion, arrange for the securities of such Sub-Funds December 17, 2001, amend the Master Declaration of
as amended from Trust from time to time.
to be voted by the unitholders of the Funds holding the
time to time
securities of the Sub-Funds. We may terminate the trust on
The Funds’ proxy voting record for the most recent period which a Mutual Fund is held by
ended June 30 of each year is available after August 31 of giving to you notice of termination
that year and may be viewed on our designated website at at least 60 days before the date on
which the trust is to be terminated.
assetmanagement.hsbc.ca. You may request a copy of our
We receive fees for our services as
Proxy Voting Policy and each affiliated sub-advisor’s proxy manager and trustee of the Mutual
voting policy, as applicable, at no cost by calling Funds as set out in the
1-888-390-3333 or by writing to us at 3rd Floor, Simplified Prospectus.
885 West Georgia Street, Vancouver, BC, V6C 3E8.
Trust Indenture for the HSBC Global Asset Establishes the Pooled Funds. We
Pooled Funds Management agree to act as manager and trustee
Remuneration of our directors, officers (Canada) Limited of the Pooled Funds. We may
and trustee, and the IRC amend the Trust Indenture from
The management functions of each Fund are carried out by December 2, 1987, as time to time.
amended from time
our employees. No management functions are carried out
to time We may terminate the trust on
by employees of the Funds. For the year ended Decem which a Pooled Fund is held. The
ber 31, 2022, $137,228, including tax and expenses, was date of termination of a Pooled Fund
paid to members of the IRC of the Funds. For the period shall be not more than 90 days after
ended December 31, 2022, members of the IRC received providing notice to the trustee of the
the following amounts, excluding tax and expenses, in com proposed termination.
pensation: Lisa Pankratz (Chair) — $52,000; Louise
Distribution HSBC Global Asset HSBC Investment Funds
Tymocko — $39,000; Sharon Morrisroe — $39,000. The Agreement for the Management (Canada) Inc. agrees to act as a
members of the IRC are also reimbursed for their expenses, Mutual Funds (Canada) Limited and distributor of units of the Mutual
which are typically nominal and associated with travel and HSBC Investment Funds.
the administration of meetings. Funds (Canada) Inc.
Either party may terminate this
During the period ended December 31, 2022, no fees were
December 14, 2010, agreement at any time by giving not
paid for the services we provide as trustee of the Funds. as amended from less than 60 days’ written notice to
time to time the other party or such shorter
notice as the other party may accept
as sufficient.
We pay HSBC Investment Funds

(Canada) Inc. a fee for the services
provided pursuant to
this agreement.
15
Companies dealer agreements, acted in good faith in a manner which

Contract involved and date Description we believed to be in the best interests of the Funds and did
not profit in any way in this matter. We along with the Brit
Mortgage HSBC Bank Canada HSBC Bank Canada is empowered
ish Columbia Securities Commission further agreed that the
Sale Agreement and HSBC Global to make, hold, buy, sell and
Asset Management administer mortgages. As manager
required redemptions may have caused financial harm to
(Canada) Limited and trustee, we are empowered to certain impacted unitholders and, as a result of the activity,
invest the assets of the HSBC we failed to deal fairly with the affected unitholders and
December 1, 1992, as Mortgage Fund in insured or therefore contravened section 14 of the Securities Rules
amended from time to uninsured mortgages or hypothecs (British Columbia). Under the terms of the settlement agree
time or other such investments. As ment, we paid a total of $1,050,000 to the British Columbia
investment advisor, we provide Securities Commission and the impacted unitholders.
management and counselling
related to the selection and On July 22, 2020, a statement of claim relating to a pro
purchase of mortgages for the posed class action was filed in the Supreme Court of British
portfolio of the HSBC Mortgage Columbia against the manager of the Funds and Principal
Fund. Distributor. The amount of damages claimed is not speci
fied. The proposed class is all persons who hold or held
This agreement shall remain in force
units in the HSBC Equity Fund or one of the HSBC World
as long as any amount is
outstanding on any one or more
Selection Diversified Funds during January 1, 2005, to the
mortgages; it shall terminate conclusion of the trial. The claim alleges that the class suf
automatically (i) at the expiry of a fered losses as a result of HSBC’s investment strategy and
continuous period of twelve months the management fees charged. The claim alleges that fees
after any and all sold mortgages were charged for active management of the Funds, while
have been paid in full by the alleging that HSBC employed a “closet indexing strategy”
mortgagors thereunder, or (ii) if the
and the risks associated with this closet indexing strategy
parties do not enter into a purchase
agreement within 12 months of its
were not disclosed to investors. The certification hearing
execution. took place in June 2021, and the court reserved judgement
at that time. On August 2, 2022, the court issued an order
The HSBC Mortgage Fund pays a refusing to certify the class action against HSBC but
fee to HSBC Bank Canada for allowed the plaintiffs to provide new evidence to show
administering the mortgages. “some basis in fact” that HSBC had engaged in the “closet
Custodian Agreement CIBC Mellon Trust CIBC Mellon Trust Company agrees
indexing strategy” as alleged. In October 2022, the plaintiffs
Company and HSBC to act as custodian of the portfolio submitted an amended claim against HSBC.
Global Asset securities in respect of the Funds.
Management CIBC Mellon Trust Company may Class Actions
(Canada) Limited appoint a sub-custodian or hold From time to time, the Fund may receive class action
portfolio securities of any of the
notices in relation to the securities held by the Funds. Any
June 29, 2021 Funds outside Canada.
decisions to participate in these class actions by commenc
HSBC may terminate this ing litigation as a claimant or joining an existing action pre
agreement by giving written notice judgment is at our discretion. Where there is a distribution
not less than 90 days prior to the of proceeds arising as a result of a class action settlement,
intended termination date. the proceeds are considered the Funds’ assets and will be
paid to the Fund. Post-settlement proceeds will not be paid
We pay CIBC Mellon Trust directly to the Funds’ unitholders.
Company a fee for the custodial
services provided pursuant to
this agreement. Designated website
A mutual fund is required to post certain regulatory disclo
sure documents on a designated website. The designated
You may inspect copies of these contracts at our head website of the mutual funds this document pertains to can
office during our normal business hours. be found at the following location:
assetmanagement.hsbc.ca.
Legal and administrative proceedings
On April 22, 2021, we reached a settlement agreement with How we value portfolio securities
our principal regulator, the British Columbia Securities Com The portfolio securities of each Fund are valued after
mission, to compensate clients of certain third-party dealers 1:00 p.m. Pacific Time on each valuation day by us or our
of HSBC Mutual Funds. We ended relationships with certain authorized agents. The value of the portfolio securities and
third-party dealers between 2014 and 2016, which required other assets of each Fund is determined by applying the
their clients to redeem their units of HSBC Mutual Funds. In
the settlement agreement, we along with the British Colum following rules:
bia Securities Commission agreed that we initiated its ◆ Cash on hand or on deposit, bills, notes, accounts
actions in accordance with the terms and conditions of the receivable, prepaid expenses, cash dividends, and inter
16
est declared or accrued and not yet received, are gener means of a representation, undertaking or agreement by
ally valued at their full amount. If it is determined that the Fund or its predecessor in title, or by law, are valued
any of these assets are not worth the full amount, a fair based upon reported quotations in common use on that
value will be assigned to them. valuation day, unless the quoted value, in our opinion,
◆ Securities listed on a public securities exchange or mar was not reflective of the realizable value of the security.
ket are valued at their last sale price reported before the In such circumstances, the security would be valued at
valuation time on that valuation day. If no sale is our best estimate of the security’s realizable value.
reported to have taken place before the valuation time ◆ Precious metals (certificates or bullion) and other com
on that valuation day, they are valued at the average of modities are valued at their fair value, generally based
the last bid and ask prices reported before that time on on prevailing market prices as reported on exchanges or
that valuation day, or the last bid price or ask price (for other markets.
long and short securities respectively), or the last pub ◆ Long positions in clearing corporation options, options
lished sale price, whichever in our opinion more accu on futures, over-the-counter options, debt-like securities
rately reflects their fair value. and listed warrants are valued at their current mar
◆ Securities that are interlisted or traded on more than one ket value.
public securities exchange or market are valued at their ◆ The premium received on a covered clearing corporation
last sale price or the average of the last bid and ask option, option on futures or over-the-counter option writ
prices, or the last bid price or the last published sale ten by a Fund is reflected as a deferred credit, so long as
price, whichever in our opinion more accurately reflects the Fund’s obligation under the written option remains
their fair value, as the case may be, reported before the outstanding. The deferred credit is valued at an amount
valuation time on the exchange or market that we equal to the current market value of an option that
believe is the principal exchange or market for would have the effect of closing the option position. Any
those securities. difference resulting from revaluation is treated as an
◆ Unlisted, illiquid or delisted securities of the Funds unrealized gain or loss on investment and the deferred
traded on an over-the-counter market are valued at the credit is deducted in calculating the unit price. A Fund’s
last price reported before the valuation time on that valu portfolio securities that are the subject of a written clear
ation day. If no sale is reported to have taken place ing corporation option or over-the-counter option con
before the valuation time on that valuation day, they are tinue to be valued at their fair value, as we determine.
valued at the average of the last bid and ask prices ◆ Securities quoted in foreign currencies are translated to
reported before that time on that valuation day, or the Canadian dollars to reflect the rate of exchange existing
last bid price or the last published price, whichever in on that valuation day, with the exception of the HSBC
our opinion more accurately reflects their fair value. U.S. Dollar Money Market Fund, HSBC Global Corporate
◆ Securities and other assets for which market quotations Bond Fund, HSBC U.S. Dollar Monthly Income Fund and
are not readily available are valued at their fair value, as HSBC Global Equity Volatility Focused Fund where secu
we determine. rities quoted in foreign currencies are translated to U.S.
◆ Mutual fund units held by the Funds will be valued dollars to reflect the rate of exchange existing on that
based on the end-of-day net asset value per unit of the valuation day.
respective fund on each valuation day. ◆ Foreign currency derivative contracts are valued at their
◆ Fixed income securities listed on a public securities current market value on that valuation day with any dif
exchange, except for money market securities held by ference resulting from revaluation being treated as an
the HSBC Canadian Money Market Fund, HSBC unrealized gain or loss on investment.
U.S. Dollar Money Market Fund and HSBC Canadian ◆ The value of a futures contract, forward contract or
Money Market Pooled Fund will be valued at either their swap will be the gain or loss that would be realized if, on
last sale price before the valuation time on that valuation the valuation date, the position in the futures contract,
day or, if no sale is reported to have taken place before forward contract or swap, as the case may be, were to
the valuation time on that valuation day, the average of be closed out unless daily limits are in effect, in which
the last bid and ask price before that time on that valua case, fair value will be determined based on the current
tion day will be used. Money market securities held by market value of the underlying interest.
the HSBC Canadian Money Market Fund, HSBC
◆ If an investment cannot be valued under the foregoing
U.S. Dollar Money Market Fund and HSBC Canadian
rules or under any other valuation rules required under
Money Market Pooled Fund are valued at their amor
applicable securities laws, or if any of the foregoing rules
tized cost, which approximates fair value due to their
are at any time considered by us to be inappropriate
remaining short term to maturity.
under the circumstances, then we will use a valuation
◆ Non-exchange-traded fixed income securities of the that we consider to be fair and reasonable (the “fair
Funds are valued at their fair value based on prices sup value”) in the interests of investors in the Fund. This
plied by established pricing vendors, market participants would typically involve reviewing current press releases
or pricing models as determined before the valuation concerning the security, discussing an appropriate valu
time on that valuation day. ation with other portfolio managers, analysts or the
◆ Securities, the resale of which are restricted or limited by Investment Funds Institute of Canada, and consulting
17
other industry sources to set an appropriate fair value. If amount that produces at least the yield prevailing for the
at any time the fair value rules conflict with the valuation sale of comparable mortgages by major mortgage lenders
rules required under applicable securities laws, the valu under similar conditions.
ation rules required under applicable securities laws will
When the Mortgage Fund or any other Fund acquires mort
be followed.
gages from a mortgage lender that is associated with us or
In the past three years, we have not exercised discretion to the Fund, such as HSBC Bank Canada, it can use any of the
deviate from the valuation practices stated in this Simplified following three methods for valuing the mortgage
Prospectus. upon acquisition:
Information about the HSBC 1. Lender’s rate method – The mortgage is acquired at a
Mortgage Fund principal amount that produces a yield equal to the
interest rate for similar mortgages offered by the lend
The HSBC Mortgage Fund (the “Mortgage Fund”) is subject ing institution at the time the Fund acquires the mort
to National Policy Statement No. 29 of the Canadian Securi
gage.
ties Administrators because more than 10% of its portfolio
is invested in mortgages. National Policy Statement No. 29 2. Forward commitment rate method – The mortgage is
sets out certain investment restrictions and disclosure acquired at a principal amount that produces a yield
requirements that apply to any mutual fund that invests equal to the interest rate for similar mortgages offered
more than 10% of its portfolio in mortgages. This disclosure by the lending institution on the date of commitment.
about the Mortgage Fund and other Funds that invest in The commitment date cannot be more than 120 days
mortgages is set out below. before the date the Fund acquires the mortgage.
3. Modified lender’s rate method – The mortgage is
Purchase of mortgages acquired at a principal amount that produces a maxi
The Mortgage Fund’s fundamental investment objective is mum yield of 0.25% below the interest rate for similar
to earn as high a level of income as possible that is consis mortgages offered by the lending institution at the time
tent with the Mortgage Fund’s eligible investments while the Fund acquires the mortgage, provided that the
aiming to protect invested capital by investing primarily in lending institution must agree to repurchase the mort
residential first mortgages on property in Canada and other gage from the Fund when it benefits the Fund, and we
debt obligations. The investment advisor for the Mortgage consider that this agreement justifies the difference in
Fund may purchase mortgages for the Fund from HSBC the yield.
Bank Canada and other recognized Canadian financial insti
Each of these valuation methods produces a different mort
tutions.
gage yield:
During the year ended December 31, 2022, all mortgages
purchased by the Mortgage Fund were purchased from ◆ The “forward commitment rate method” will result in a
HSBC Bank Canada. higher yield than the “lender’s rate method” when inter
est rates are declining, a lower yield when interest rates
We are a wholly owned subsidiary of HSBC Bank Canada.
Mortgages purchased from HSBC Bank Canada are pur are rising and a similar yield when interest rates stay
chased on behalf of the Mortgage Fund in accordance with the same.
the terms of a Mortgage Sale and Administration Agree ◆ The “modified lender’s rate method” will result in a
ment. Under this Agreement: lower yield than the “forward commitment rate method”
◆ HSBC Bank Canada has agreed to repurchase any mort when interest rates are stable or declining and when
gage we purchased from it if the mortgage is in default interest rates are increasing, the yield could be higher,
in respect of the payment of principal and interest lower or equivalent, depending on the extent of
beyond 90 days of the due date, or if the mortgage fails the increase.
to meet the criteria for a mortgage in which the Mort HSBC Bank Canada is related to us. The Mortgage Fund
gage Fund may invest established by National Policy uses the “modified lender’s rate method” when purchasing
Statement No. 29 or by the Mortgage Fund’s internal
statement of policies. mortgages from or selling mortgages to HSBC Bank
Canada. The price upon purchase by HSBC Bank Canada
◆ The Mortgage Fund has agreed not to sell any mortgage will be that amount that will produce a yield equal to the
purchased from HSBC Bank Canada to any other person interest rate at which HSBC Bank Canada is making com
without giving HSBC Bank Canada the first right to pur
mitments to loan on the security of comparable mortgages
chase the mortgage within 30 days of receipt of written
notice from the Mortgage Fund of its intention to sell. at the time.
◆ HSBC Bank Canada has agreed to administer the mort
gages acquired from it. How we determine the net asset value of
mortgages held by the Mortgage Fund
Rules for determining the price of acquiring We use the following principles to determine the net asset
and selling a mortgage value of mortgages in the Fund’s portfolio:
When the Mortgage Fund or any other Fund acquires a ◆ For conventional mortgages, we determine a value that
mortgage from a mortgage lender that is not associated produces a yield either: equal to the yield of conven
with us or the Fund, the mortgage is acquired at a principal tional mortgages sold by major lending institutions, if
18
this is known on the valuation day; or a maximum of Mortgages by type of loan

0.25% below the interest rate for comparable mortgages
on the valuation day. Number of Principal Market Value
◆ For mortgages guaranteed under the National Housing Type Mortgages (000s) (000s)
Act (Canada), we use market value. CMHC insured - -
Conventional uninsured 6,549 1,930,265 1,843,392
Liquidity of the Mortgage Fund Total 6,549 1,930,265 1,843,392
The Mortgage Fund will not invest in mortgages if the liquid
assets of the Fund would be reduced to less than the
amount shown in the following table: Mortgages by type of property
Net assets of the Fund Number of Principal Market Value Amortized
(market value) Minimum liquid assets Type Mortgages (000s) (000s) Cost (000s)
$1,000,000 or less $100,000 Single-family dwelling 6,549 1,930,265 1,843,392 $ 1,909,535

or condominium
$1,000,000 $100,000 + 10% on next $1,000,000
Multi-unit dwelling up to - - -
$2,000,000 $200,000 + 9% on next $3,000,000 8 units
Multi-unit dwelling - - -
$5,000,000 $470,000 + 8% on next $5,000,000 more than 8 units
$10,000,000 $870,000 + 7% on next $10,000,000 Total 6,549 1,930,265 1,843,392 $1,909,535
$20,000,000 $1,570,000 + 6% on next $10,000,000
$30,000,000 or over $2,170,000 + 5% on excess Mortgages by year of maturity

The term “liquid assets” means: Number of Average Principal Market Value
◆ cash or deposits with a Canadian chartered bank or a Year of Maturity Mortgages Interest Rate (000s) (000s)
trust company registered under the laws of a Canadian 2023 1,853 2.92% 484,576 $ 478,679
province that can be cashed or sold before maturity; 2024 1,819 2.74% 496,455 $ 476,356
◆ debt securities at market value that are issued or guar
2025 2,038 2.46% 667,267 $ 624,867
anteed by the Government of Canada or any Canadian
provincial government; and 2026 114 2.74% 35,566 $ 32,772
◆ money market instruments with a term to maturity of 2027 725 3.60% 246,401 $ 230,719
less than one year from the date of issue. Total 6,549 2.89% 1,930,265 $1,843,392
If the total amount required to effect redemptions in the
Mortgage Fund at the close of business on any valuation
day should exceed the liquid assets held by the Mortgage Mortgages by geographic location
Fund, HSBC Bank Canada shall, two business days follow
ing receipt of written notice from the Mortgage Fund, pur Number of Principal Market Value
chase or find a purchaser for enough of the mortgages held Province Mortgages (000s) (000s)
by the Mortgage Fund that would be required to cover the
British Columbia BC 2,985 900,077 861,329
shortfall. The price of mortgages sold will be the amount
that produces a yield equal to the interest rate at which Alberta AB 409 88,973 85,110
HSBC Bank Canada is making commitments to loan on the Saskatchewan SK 63 15,103 14,337
security of comparable mortgages at the time. HSBC Bank
Canada may, instead of purchasing or finding a purchaser Manitoba MB 75 13,760 13,183
for the mortgages, temporarily lend the Mortgage Fund the Ontario ON 2,518 810,000 771,565
money to effect the redemptions, but the loan may not Quebec QC 409 84,454 80,751
exceed 10% of the net asset value of the Mortgage Fund.
HSBC Bank Canada shall be entitled to receive from the New Brunswick NB 27 5,978 5,769
Mortgage Fund interest on the loan at a rate at least as Newfoundland NF 22 5,190 4,935
favourable to the Mortgage Fund as the rates generally
Nova Scotia NS 41 6,730 6,415
charged by HSBC Bank Canada on comparable loans to
other persons who are not affiliated with HSBC Total 6,549 1,930,265 1,843,392
Bank Canada.
Mortgage Fund portfolio analysis

An analysis of the Mortgage Fund’s mortgage portfolio as
at December 31, 2022, is as follows:
19
Mortgages by contractual interest rates Number of Principal Market Value Amortized

Interest Rates Mortgages (000s) (000s) Cost (000s)
Number of Principal Market Value Amortized
2.32% 4 $ 2,137 $ 1,988 $ 2,086
Interest Rates Mortgages (000s) (000s) Cost (000s)
2.33% 1 $ 913 $ 845 $ 866
1.11% 2 $ 927 $ 817 $ 895
2.34% 14 $ 4,398 $ 4,207 $ 4,401
1.54% 1 $ 649 $ 639 $ 648
2.35% 5 $ 1,949 $ 1,844 $ 1,928
1.59% 9 $ 3,738 $ 3,704 $ 3,735
2.36% 2 $ 1,048 $ 974 $ 999
1.64% 49 $ 12,641 $ 12,563 $ 12,631
2.37% 3 $ 1,193 $ 1,104 $ 1,144
1.69% 25 $ 9,853 $ 9,519 $ 9,731
2.38% 1 $ 660 $ 611 $ 627
1.74% 162 $ 42,016 $ 41,062 $ 41,825
2.39% 159 $ 50,844 $ 48,013 $ 50,472
1.75% 1 $ 216 $ 209 $ 215
2.40% 3 $ 824 $ 764 $ 784
1.78% 1 $ 123 $ 111 $ 122
2.41% 4 $ 1,199 $ 1,115 $ 1,143
1.79% 38 $ 13,286 $ 12,520 $ 12,917
2.42% 5 $ 2,177 $ 2,033 $ 2,098
1.84% 77 $ 24,468 $ 22,996 $ 23,690
2.43% 3 $ 996 $ 926 $ 949
1.88% 3 $ 1,239 $ 1,223 $ 1,227
2.44% 331 $ 93,685 $ 87,988 $ 94,804
1.89% 154 $ 36,751 $ 34,822 $ 36,174
2.45% 6 $ 2,401 $ 2,261 $ 2,369
1.92% 1 $ 512 $ 474 $ 490
2.46% 6 $ 2,821 $ 2,625 $ 2,737
1.94% 41 $ 15,730 $ 14,675 $ 15,407
2.47% 3 $ 955 $ 889 $ 912
1.95% 2 $ 310 $ 288 $ 302
2.48% 4 $ 1,514 $ 1,406 $ 1,442
1.96% 6 $ 1,165 $ 1,119 $ 1,157
2.49% 211 $ 79,921 $ 75,315 $ 80,155
1.97% 1 $ 165 $ 150 $ 164
2.50% 13 $ 4,418 $ 4,085 $ 4,139
1.98% 3 $ 746 $ 693 $ 731
2.51% 6 $ 2,947 $ 2,732 $ 2,763
1.99% 60 $ 17,102 $ 16,385 $ 16,918
2.52% 1 $ 898 $ 832 $ 854
2.00% 1 $ 165 $ 158 $ 165
2.53% 5 $ 1,525 $ 1,415 $ 1,448
2.02% 1 $ 405 $ 379 $ 405
2.54% 94 $ 31,510 $ 29,768 $ 31,589
2.04% 68 $ 27,503 $ 25,520 $ 27,428
2.55% 10 $ 4,725 $ 4,407 $ 4,544
2.05% 1 $ 113 $ 104 $ 113
2.56% 3 $ 846 $ 786 $ 792
2.09% 26 $ 12,135 $ 11,256 $ 12,152
2.57% 5 $ 1,078 $ 1,000 $ 1,002
2.10% 1 $ 454 $ 453 $ 455
2.58% 8 $ 2,069 $ 1,927 $ 1,960
2.11% 1 $ 73 $ 70 $ 73
2.59% 272 $ 80,653 $ 76,526 $ 80,483
2.14% 21 $ 8,119 $ 7,599 $ 7,992
2.60% 7 $ 2,097 $ 1,955 $ 1,985
2.15% 2 $ 977 $ 939 $ 975
2.61% 9 $ 3,346 $ 3,115 $ 3,193
2.16% 2 $ 603 $ 556 $ 561
2.62% 4 $ 966 $ 896 $ 904
2.17% 1 $ 54 $ 50 $ 51
2.63% 5 $ 1,103 $ 1,026 $ 1,037
2.19% 58 $ 19,829 $ 18,537 $ 18,735
2.64% 131 $ 41,830 $ 39,761 $ 41,511
2.20% 2 $ 1,026 $ 952 $ 1,019
2.65% 7 $ 1,955 $ 1,824 $ 1,855
2.21% 3 $ 1,047 $ 967 $ 975
2.66% 1 $ 163 $ 153 $ 157
2.22% 4 $ 966 $ 890 $ 897
2.67% 1 $ 104 $ 98 $ 100
2.23% 1 $ 1,307 $ 1,202 $ 1,212
2.68% 5 $ 1,184 $ 1,104 $ 1,125
2.24% 39 $ 15,806 $ 14,786 $ 15,583
2.69% 475 $ 129,768 $ 123,483 $ 129,355
2.25% 1 $ 141 $ 129 $ 131
2.70% 4 $ 941 $ 886 $ 914
2.26% 6 $ 2,496 $ 2,301 $ 2,322
2.71% 1 $ 416 $ 393 $ 397
2.27% 1 $ 783 $ 729 $ 736
2.72% 7 $ 2,020 $ 1,901 $ 1,981
2.28% 1 $ 410 $ 380 $ 383
2.73% 2 $ 408 $ 384 $ 397
2.29% 384 $ 129,486 $ 121,080 $ 127,119
2.74% 117 $ 44,217 $ 41,473 $ 42,702
2.30% 2 $ 867 $ 855 $ 863
2.75% 7 $ 2,788 $ 2,645 $ 2,770
2.31% 5 $ 2,151 $ 1,995 $ 2,049
20
Number of Principal Market Value Amortized Number of Principal Market Value Amortized
Interest Rates Mortgages (000s) (000s) Cost (000s) Interest Rates Mortgages (000s) (000s) Cost (000s)
2.76% 4 $ 1,372 $ 1,287 $ 1,321 3.59% 53 $ 9,730 $ 9,528 $ 9,781
2.78% 5 $ 990 $ 956 $ 966 3.64% 100 $ 27,177 $ 26,021 $ 26,479
2.79% 382 $ 98,998 $ 94,141 $ 98,011 3.69% 9 $ 2,057 $ 2,007 $ 2,061
2.80% 1 $ 603 $ 568 $ 601 3.74% 31 $ 7,119 $ 6,912 $ 7,109
2.81% 1 $ 518 $ 477 $ 480 3.75% 2 $ 412 $ 409 $ 414
2.82% 3 $ 1,585 $ 1,491 $ 1,546 3.78% 1 $ 312 $ 294 $ 300
2.83% 3 $ 793 $ 752 $ 792 3.79% 11 $ 2,712 $ 2,643 $ 2,685
2.84% 447 $ 129,915 $ 124,447 $ 129,407 3.83% 1 $ 118 $ 117 $ 118
2.85% 2 $ 321 $ 295 $ 299 3.84% 14 $ 4,980 $ 4,846 $ 4,901
2.86% 2 $ 521 $ 490 $ 506 3.89% 48 $ 12,636 $ 12,027 $ 12,148
2.87% 3 $ 583 $ 549 $ 561 3.94% 7 $ 1,437 $ 1,408 $ 1,417
2.88% 2 $ 725 $ 682 $ 707 3.96% 1 $ 82 $ 80 $ 84
2.89% 122 $ 39,879 $ 37,629 $ 38,740 3.97% 1 $ 102 $ 99 $ 104
2.91% 1 $ 57 $ 56 $ 57 3.99% 6 $ 2,033 $ 1,955 $ 1,980
2.92% 4 $ 1,045 $ 979 $ 1,008 4.00% 1 $ 907 $ 889 $ 936
2.94% 357 $ 102,335 $ 96,822 $ 99,064 4.04% 1 $ 696 $ 666 $ 670
2.96% 1 $ 174 $ 164 $ 174 4.09% 20 $ 4,335 $ 4,156 $ 4,201
2.97% 8 $ 1,498 $ 1,438 $ 1,483 4.13% 1 $ 1,186 $ 1,137 $ 1,151
2.98% 2 $ 257 $ 245 $ 253 4.14% 3 $ 787 $ 768 $ 775
2.99% 195 $ 58,104 $ 57,358 $ 57,950 4.19% 1 $ 99 $ 95 $ 97
3.00% 3 $ 366 $ 353 $ 372 4.20% 1 $ 96 $ 95 $ 99
3.04% 41 $ 18,704 $ 17,420 $ 17,685 4.24% 2 $ 518 $ 504 $ 509
3.05% 1 $ 81 $ 77 $ 81 4.29% 2 $ 306 $ 303 $ 309
3.09% 185 $ 54,359 $ 53,502 $ 54,361 4.34% 24 $ 7,120 $ 6,888 $ 6,974
3.10% 1 $ 496 $ 472 $ 498 4.35% 2 $ 76 $ 76 $ 77
3.11% 1 $ 353 $ 335 $ 355 4.39% 7 $ 2,688 $ 2,608 $ 2,642
3.14% 32 $ 7,778 $ 7,722 $ 7,779 4.40% 1 $ 59 $ 59 $ 60
3.16% 1 $ 329 $ 312 $ 330 4.44% 1 $ 58 $ 57 $ 57
3.17% 2 $ 294 $ 279 $ 295 4.49% 2 $ 232 $ 232 $ 232
3.19% 308 $ 86,571 $ 84,660 $ 85,786 4.54% 1 $ 327 $ 319 $ 323
3.21% 1 $ 227 $ 216 $ 224 4.59% 8 $ 1,364 $ 1,338 $ 1,349
3.22% 1 $ 730 $ 676 $ 689 4.64% 3 $ 1,052 $ 1,030 $ 1,037
3.24% 62 $ 17,564 $ 17,267 $ 17,574 4.74% 2 $ 404 $ 398 $ 405
3.28% 1 $ 264 $ 253 $ 255 4.75% 2 $ 395 $ 388 $ 392
3.29% 116 $ 28,505 $ 28,019 $ 28,371 4.79% 9 $ 2,038 $ 2,004 $ 2,026
3.30% 3 $ 1,603 $ 1,578 $ 1,611 4.84% 1 $ 55 $ 55 $ 55
3.34% 186 $ 41,355 $ 40,481 $ 41,288 4.89% 2 $ 427 $ 424 $ 424
3.35% 1 $ 354 $ 329 $ 332 4.99% 8 $ 1,789 $ 1,771 $ 1,789
3.39% 81 $ 25,847 $ 25,386 $ 25,926 5.09% 11 $ 3,618 $ 3,598 $ 3,653
3.44% 165 $ 34,389 $ 33,810 $ 34,474 5.14% 80 $ 18,195 $ 18,163 $ 18,109
3.46% 1 $ 185 $ 182 $ 185 5.19% 1 $ 1,210 $ 1,208 $ 1,230
3.49% 29 $ 7,971 $ 7,855 $ 8,017 5.26% 1 $ 205 $ 205 $ 204
3.54% 38 $ 9,966 $ 9,810 $ 10,065 5.29% 1 $ 450 $ 452 $ 451
3.55% 1 $ 170 $ 166 $ 174 5.44% 22 $ 6,127 $ 6,189 $ 6,171
21
Number of Principal Market Value Amortized When you submit a request to purchase, switch or redeem
Interest Rates Mortgages (000s) (000s) Cost (000s) units of a Fund, the amount you pay or receive for each unit
5.49% 1 $ 1,387 $ 1,389 $ 1,389
will depend on when we receive your request.
5.54% 1 $ 61 $ 61 $ 61
Generally, trades must be received by us before 1:00 p.m.
Pacific Time on a valuation day to receive the Fund’s unit
5.59% 1 $ 51 $ 50 $ 50 value for that day. If we receive trade requests after
5.79% 1 $ 143 $ 146 $ 148 1:00 p.m. Pacific Time on a valuation day, those requests
Total 6,549 $1,930,265 $1,843,392 $1,909,535
will be processed using the Fund’s unit value on the next
valuation day.
Your representative will have their own time requirements
How we calculate the net asset value of for receiving a trade request in order to meet our cut-off
the Funds’ units time. Please consult with them for information about their
We, or our authorized agents, calculate a separate net asset cut-off times for processing orders.
value for each series of unit for the Mutual Funds and each
unit for the Pooled Funds at the end of each valuation day. Minimum investment requirements
A valuation day is any day that the Toronto Stock Exchange You must meet the minimum investment requirements for
is open for business or such other day as we may determine the initial investment, subsequent investment and ongoing
from time to time. balance to be eligible to purchase or continue to hold units
The net asset value and net asset value per unit of each of the Funds.
Fund is available on request at no cost by calling Mutual Funds
1-888-390-3333, and on our designated website
at assetmanagement.hsbc.ca. The following table sets out the minimum initial investment,
minimum subsequent investment and minimum balance
Mutual Funds requirement for each series of the Mutual Funds:
For the Mutual Funds, the net asset value per unit of each Minimum Minimum
series is calculated by taking the proportionate share of the initial subsequent Minimum
net assets of the Mutual Fund allocated to the series of unit Series of Mutual Funds investment investment* balance
as determined on the previous valuation day, and adding or Investor Series $ 500 $50 $ 500
subtracting, as appropriate, the series’ proportionate share
Investor T Series $ 500 $50 $ 500
of net income, net realized capital gains (losses), common
expenses, direct expenses for the series, and the unrealized D Series $ 500 $50 $ 500
change in value of the Mutual Fund’s investment portfolio DT Series $ 500 $50 $ 500
since the previous valuation day of the series. This amount Premium Series $100,000 $50 $100,000
is then divided by the number of units outstanding of the Premium T Series $100,000 $50 $100,000
series of unit on that valuation day to produce the daily net
asset value for units of the series. Manager Series $ 500 $50 $ 500
Institutional Series** -
Pooled Funds * Minimum investment requirements may differ under the regular
For the Pooled Funds, the Pooled Fund’s net asset value per investment plan, monthly withdrawal plan or the mutual fund allo
unit is the market value of all the Pooled Fund’s assets at cation service offered by the Principal Distributor. See the section
the time the valuation is made, less its liabilities, divided by called “Optional services” for more details.
the total number of units outstanding at the time. ** As determined by the agreement you enter into with your repre
sentative.
Money Market Funds The minimum investment requirements are per Mutual
For the HSBC Canadian Money Market Fund, HSBC Fund held in one account, and cannot be spread across
U.S. Dollar Money Market Fund and HSBC Canadian Money multiple Funds in the same account or across multiple
Market Pooled Fund, we aim to maintain a constant net accounts. We may change the minimum initial investment,
asset value per unit of each series. However, there is no minimum balance requirement or other conditions for the
guarantee that the net asset value per unit of each series of
these Funds will not go up and down in value. We achieve Premium Series and Premium T Series from time to time
this by crediting the net investment income of these Funds, without prior notice to you. The minimum balance is the
if any, to investors on each valuation day and then distribut market value of your units at any time. If you are investing
ing these amounts at the end of each month. We automati in the HSBC U.S. Dollar Money Market Fund, HSBC Global
cally reinvest distributions from these Funds in additional Corporate Bond Fund, HSBC U.S. Dollar Monthly Income
units of the applicable Fund unless investors tell their repre Fund, HSBC Global Equity Volatility Focused Fund or using
sentative in advance that they want to receive distributions the U.S. dollar purchase service, the minimum investment
in cash. amounts and all fees are in U.S. dollars. For more informa
tion on the U.S. dollar purchase service, see the section
Purchases, switches and redemptions called “Optional services – U.S. dollar purchase service”.
General information You must meet the minimum investment amount and main
Before you can request a transaction to buy units of a Fund, tain the minimum balance amount to purchase and con
you must first open an account with your representative. tinue to hold a particular series. If you are no longer eligible
22
to hold a particular series, we reserve the right to switch There is no sales charge or redemption charge associated
your units into another series of the same Mutual Fund. We with the Mutual Funds.
have implemented an Automatic Switch Program for the
Mutual Funds (other than the HSBC World Selection Diver Mutual Fund Series offered
sified Funds and the HSBC Wealth Compass Funds) that HSBC Canadian Money Market Fund Investor, D, Premium, Manager*
may apply to you if you meet or cease to meet the mini and Institutional
mum investment requirements from time to time. For more
information regarding the program, see the section called HSBC U.S. Dollar Money Market Fund Investor, D, Premium, Manager*
“Purchases, switches and redemptions – Switches – Auto and Institutional
matic Switch Program”. HSBC Mortgage Fund Investor, D, Premium, Manager*
If you invested in the Manager Series of a Mutual Fund and and Institutional
are no longer eligible to hold Manager Series units, we
HSBC Canadian Short/Mid Bond Fund Investor, D, Premium, Manager*
reserve the right to change your Manager Series units into and Institutional
another series of the same Mutual Fund.
HSBC Canadian Bond Fund Investor, D, Premium, Manager*
Pooled Funds
and Institutional
The Pooled Funds are only available as part of the HSBC
World Selection Portfolio service, the HSBC Private Invest HSBC Global Corporate Bond Fund Investor, D, Premium, Manager*
ment Counsel service or for institutional clients. If you leave and Institutional
these services, you will not be able to transfer your units of HSBC Emerging Markets Debt Fund Investor, D, Premium, Manager*
the Pooled Funds to another dealer. and Institutional
For the HSBC World Selection Portfolio service, you must
HSBC Monthly Income Fund Investor, Investor T, D, DT, Premium,
enter into an agreement with HSBC Investment Funds and Premium T, Manager*
make and maintain a minimum initial investment of and Institutional
$50,000, or any other amount determined by HSBC Invest
ment Funds. HSBC U.S. Dollar Monthly Investor, Investor T, D, DT, Premium,
Income Fund Premium T, Manager*
For the HSBC Private Investment Counsel service, you must and Institutional
enter into an agreement with HSBC Private Investment
Counsel (Canada) Inc. and make a minimum initial invest HSBC Canadian Balanced Fund Investor, D, Premium, Manager*
ment as set out in its agreement, or any other amount and Institutional
determined by HSBC Private Investment Counsel HSBC Dividend Fund Investor, D, Premium, Manager*
(Canada) Inc. and Institutional
Institutional clients must enter into an agreement with us
HSBC Equity Fund Investor, D, Premium, Manager*
and make a minimum initial investment as set out in and Institutional
the agreement.
Your agreement with your representative will have other HSBC Small Cap Growth Fund Investor, D, Premium, Manager*
and Institutional
applicable terms and conditions. Please discuss the specif
ics with them. HSBC Global Equity Fund Investor, D, Premium, Manager*
and Institutional
Available series of units
HSBC Global Equity Volatility Investor, D, Premium, Manager*
Mutual Funds Focused Fund and Institutional
Each Mutual Fund is permitted to have an unlimited number
HSBC U.S. Equity Fund Investor, D, Premium, Manager*
of series of units and may issue an unlimited number of
and Institutional
units of each series. Although the money that you and other
investors pay to purchase units is tracked on a series-by HSBC European Fund Investor, D, Premium, Manager*
series basis in the Mutual Fund’s administration records, and Institutional
the assets of all series of the Mutual Fund are combined
HSBC AsiaPacific Fund Investor, D, Premium, Manager*
into a single pool to create one portfolio for investment pur and Institutional
poses.
Refer to the table below to see which series of units each of HSBC Chinese Equity Fund Investor, D, Premium, Manager*
and Institutional
the Mutual Funds currently offers. Please refer to the series
descriptions that follow for the series that are eligible to be HSBC Indian Equity Fund Investor, D, Premium, Manager*
purchased or held in an account with an order execution and Institutional
only (OEO) dealer or any other dealer that does not make a
suitability determination as the payment of trailing commis HSBC Emerging Markets Fund Investor, D, Premium, Manager*
and Institutional
sions to these dealers is prohibited by securities regulation.
23
Mutual Fund Series offered Units of the HSBC Emerging Markets Fund II (for
merly the HSBC BRIC Equity Fund) are no longer avail
HSBC Emerging Markets Fund II Investor, D, Premium, Manager able for purchase, including units purchased through
(formerly the HSBC BRIC Equity and Institutional a regular investment plan, the mutual fund allocation
Fund)** service or the U.S. dollar purchase service. However,
HSBC U.S. Equity Index Fund Investor, D, Premium, Manager* for existing investors who have chosen to have their
and Institutional distributions reinvested, they will continue to be rein
vested.
HSBC International Equity Index Fund Investor, D, Premium, Manager*
Investor Series
and Institutional
The Investor Series of the Mutual Funds (excluding HSBC
HSBC Emerging Markets Equity Investor, D, Premium, Manager* Wealth Compass Funds) is for all investors and is available:
Index Fund and Institutional
1. through the Principal Distributor:
HSBC World Selection Diversified Investor, D, Manager* (a) at any branch of HSBC Bank Canada, or
Conservative Fund and Institutional
(b) by calling TeleFund at 1-800-830-8888
HSBC World Selection Diversified Investor, D, Manager* 2. through other authorized representatives.
Moderate Conservative Fund and Institutional
The Investor Series of the HSBC Wealth Compass Funds is
HSBC World Selection Diversified Investor, D, Manager* for all investors and is available:
Balanced Fund and Institutional 1. through the Principal Distributor only after opening an
HSBC World Selection Diversified Investor, D, Manager* account online through the HSBC Wealth Compass
Growth Fund and Institutional portal, and trades can be placed:
(a) online through the HSBC Wealth Compass
HSBC World Selection Diversified Investor, D, Manager*
portal, or
Aggressive Growth Fund and Institutional
(b) by calling an HSBC Wealth Compass advisor
HSBC Wealth Compass Investor, D, Manager and Institutional at 1-877-801-4722
Conservative Fund
2. through other representatives authorized to distribute
HSBC Wealth Compass Moderate Investor, D, Manager and Institutional the HSBC Wealth Compass Funds.
Conservative Fund Investor Series units of the Mutual Funds are not available
HSBC Wealth Compass Investor, D, Manager and Institutional
to investors who hold these units in an account with an
Balanced Fund OEO dealer or any other dealer that does not make a suit
ability determination.
HSBC Wealth Compass Growth Fund Investor, D, Manager and Institutional
Investor T Series
HSBC Wealth Compass Aggressive Investor, D, Manager and Institutional The Investor T Series of the HSBC Monthly Income Fund
Growth Fund and HSBC U.S. Dollar Monthly Income Fund is for investors
*
Manager Series units of the Mutual Funds, excluding the HSBC seeking consistent monthly distributions. See the section
Wealth Compass Funds, are not available for purchase by new called “Distribution policy” in the description of these Funds
investors. See the section called “How to buy, sell and switch units for more details.
of the Funds” for more details.
**
The Fund is closed to all purchases by investors. See the section The Investor T Series is available:
called “How to buy, sell and switch units of the Funds” for 1. through the Principal Distributor:
more details.
(a) at any branch of HSBC Bank Canada, or
Pooled Funds
(b) by calling TeleFund at 1-800-830-8888
The Pooled Funds do not offer different series of units.
2. through other authorized representatives.
There is no sales charge or redemption charge associated
Investor T Series units of the Mutual Funds are not available
with the Pooled Funds.
to investors who hold these units in an account with an
OEO dealer or any other dealer that does not make a suit
How to buy, sell and switch units of ability determination.
the Funds D Series
You must meet the minimum initial and subsequent invest
The D Series is for investors with an account with an OEO
ment amounts, minimum balance requirement and any
dealer or a dealer that does not make a suitability determi
other eligibility requirements applicable for the Pooled
nation, including discount brokers.
Funds and each series of the Mutual Funds. See the section
called “Minimum investment requirements” for more details. We do not pay a trailer fee on this series and so the man
agement fee for the D Series is lower.
Your choice of series of units to buy affects the fees and
expenses you will pay, and may affect the compensation DT Series
we pay to your representative. See the sections called “Fees The DT Series of the HSBC Monthly Income Fund and
and expenses” and “Dealer compensation” for more informa HSBC U.S. Dollar Monthly Income Fund is for investors with
tion. an account with an OEO dealer or a dealer that does not
24
make a suitability determination, including discount brokers, The Manager Series is available through authorized repre
and who are seeking consistent monthly distributions. See sentatives, which may include the Principal Distributor.
the section called “Distribution policy” in the description of The Manager Series units of the Mutual Funds, excluding
these Funds for more details. the HSBC Wealth Compass Funds, are not available for pur
We do not pay a trailer fee on this series and so the man chase by new investors. Existing unitholders who hold Man
agement fee for the DT Series is lower. ager Series units of a Mutual Fund will continue to be able
Premium Series to invest in the Manager Series of the same Fund.
The Premium Series of the Mutual Funds is for investors Institutional Series
investing a minimum amount as determined by us from The Institutional Series of the Mutual Funds is for individual
time to time. See the section called “Minimum investment or institutional investors investing a minimum amount
requirements” for more details. We reserve the right to and/or who have entered into an agreement with their rep
restrict the availability of the Premium Series. resentative permitting them to purchase the Institutional
The management fee for the Premium Series is lower than Series. Other conditions that we determine from time to
the fee for the Investor Series because we pay a lower time may also apply.
trailer fee on this series. Pooled Funds
The Premium Series is available: Pooled Funds are for investors who have signed up for the
1. through the Principal Distributor: HSBC World Selection Portfolio service or the HSBC Private
(a) at any branch of HSBC Bank Canada, or Investment Counsel service. They are also available to insti
tutional clients who have entered into an agreement with
(b) by calling TeleFund at 1-800-830-8888 their representative permitting them to purchase the Pooled
2. through other authorized representatives. Funds, and/or who meet certain other conditions that we
Premium Series units of the Mutual Funds are not available may determine from time to time. Pooled Funds cannot be
to investors who hold these units in an account with an transferred out of HSBC World Selection Portfolio or HSBC
OEO dealer or any other dealer that does not make a suit Private Investment Counsel to another dealer.
Premium T Series
Purchases
When you purchase units of a Fund, the number of units
The Premium T Series of the HSBC Monthly Income Fund
that you receive is based on the net asset value per unit on
and HSBC U.S. Dollar Monthly Income Fund is for investors
the valuation day that we process your request. In order to
investing a minimum amount as determined by us from
fully invest the money you send us, we take the amount you
time to time who are seeking consistent monthly distribu
are investing divided by the net asset value per unit of that
tions. See the section called “Minimum investment require
series, and issue the appropriate number of units (including
ments” and the section called “Distribution policy” in the
partial units of a Fund if necessary). For example, if you
description of these Funds for more details. We reserve the
right to restrict the availability of the Premium T Series. invest $500 and units of the Fund you are investing in have
a net asset value of $11.75 each, you will receive 42.553
The management fee for the Premium T Series is lower than units of the Fund.
the fee for the Investor T Series because we pay a lower
trailer fee on this series. Units are not transferable or assignable but may be
redeemed by you. When you buy units of a Fund, we do not
The Premium T Series is available: issue you a certificate representing these units. However,
1. through the Principal Distributor: your representative will send you a confirmation of
(a) at any branch of HSBC Bank Canada, or your purchase.
(b) by calling TeleFund at 1-800-830-8888 We have the right to refuse any request to buy units
of the Funds within one business day of receiving
2. through other authorized representatives. your request. If your request is refused, we will return your
Premium T Series units of the Mutual Funds are not avail money to you in full.
able to investors who hold these units in an account with an If the payment for your units is returned for any reason after
OEO dealer or any other dealer that does not make a suit
the units have been issued to you, we will immediately
redeem all of the units that you bought. We will use the pro
Manager Series ceeds from the redemption to pay for the units based on the
The Manager Series of the Mutual Funds is generally for unit value at which you bought them. If the units are worth
investors who are enrolled in a dealer-sponsored “fee-for more than when you bought them, the applicable Fund or
service” or “wrap” program and who are subject to an Funds will keep the difference. If the units are worth less
annual asset-based fee rather than commissions on each than when you bought them, we may collect the difference
transaction. The Manager Series may also be for any other on behalf of the Fund, plus any costs and interest, from you
investors for whom we do not incur distribution costs, typi or your representative, who may then collect it from you.
cally because the investor pays their representative a ser Your representative may make provisions in its arrange
vice fee directly. ments with you that will require you to compensate them
We do not pay a trailer fee on this series and so the man for any losses they suffer in connection with a failed settle
agement fee for the Manager Series is lower. ment of a purchase of units of the Funds caused by you.
25
If your agreement gives your representative discretionary For tax purposes, switching your investment among differ
authority, they will buy a Fund or Funds on your behalf that ent Funds is treated the same as selling your units of a Fund
are consistent with your investment objectives and risk pro and will result in a capital gain or loss. Switching between
file. different series of the same Mutual Fund will not result in a
capital gain or loss. Please refer to the section called
Redemptions “Income tax considerations for investors” for more details.
When you redeem units of a Fund, the money you receive You can only switch between Funds purchased in the same
will be based on the net asset value per unit on the valua currency. You cannot switch units purchased in Canadian
tion day your request is processed, less any applicable dollars into units purchased in U.S. dollars and vice versa.
charges. We will send you the proceeds as soon as pos
sible, and no later than two business days after the valua You may only switch your investment among different
tion day on which your units were sold. series of the same Mutual Fund or from one Mutual Fund to
the same series of another Mutual Fund, unless otherwise
A Fund may pay the amount owing to you, for units of the
approved by us. The minimum investment requirements
Fund redeemed by you, with securities held by the Fund. If
we do this, the securities you receive will be equal in value and any other eligibility requirements applicable to the
to the money that you would have received on the appli series of Mutual Fund that you are switching to still apply.
cable redemption date. See the section called “Minimum investment requirements”
for more details.
If your agreement gives your representative discretionary
authority, they may sell your investment in a Fund or Funds If you hold units of the HSBC Wealth Compass Funds
and use the proceeds to invest in other securities. Such through the Principal Distributor you may only switch units
investments will be consistent with your investment objec of your HSBC Wealth Compass Funds into units of other
tives and risk profile. HSBC Wealth Compass Funds, or units of the HSBC Cana
Under extraordinary circumstances, we reserve the right to dian Money Market Fund, as permitted by your investor
suspend the sale of units of a Fund or to delay payment of profile that you completed with the Principal Distributor.
the proceeds from the sale of any units. These circum A short-term trading fee may apply if you switch your
stances include: Mutual Fund units within 30 days of the date you purchased
◆ when normal trading has been suspended on an those units. See the section called “Short-term trading” for
exchange on which more than 50% of the value of a more details.
Fund’s underlying investments is traded, and those Your representative may apply a switch fee when you
securities are not traded on any other exchange that rep switch your Mutual Fund units. See the section called “Fees
resents a reasonably practical alternative; or and expenses – Fees and expenses paid directly by you –
◆ when we determine that the buying and selling of units Switch fees” for more details.
is not reasonably practical (with the consent of the appli If your agreement gives your representative discretionary
cable securities regulators). authority, they may switch your investment from one Fund
Your representative may make provisions in its arrange to another Fund on your behalf. Such investments will be
ments with you that will require you to compensate them consistent with your investment objectives and risk toler
for any losses they suffer in connection with a failed settle ance.
ment of a redemption of units of the Funds caused by you.
A short-term trading fee may apply if you sell your Mutual Automatic Switch Program
Fund units within 30 days of the date you purchased those The Automatic Switch Program applies to Mutual Funds
units. See the section called “Short-term trading” for that offer both the Investor or Investor T Series and Pre
more details. mium or Premium T Series. It does not apply to the HSBC
World Selection Diversified Funds or the HSBC Wealth
Mandatory redemption Compass Funds. Under this program, we may automatically
We reserve the right to require any investor of a Fund to switch your units between Investor Series and Premium
redeem such investor’s entire holding or a portion of units Series, or between Investor T Series and Premium T Series,
of the Fund at our sole discretion, including without limita depending on the market value of your units on the last
tion where an investor is or becomes a U.S. citizen or resi business day of every month.
dent of the United States or a resident of another foreign
country, if we conclude that their participation has the Specifically, if:
potential to cause adverse regulatory or tax consequences ◆ you invested in the Investor Series or Investor T Series of
for the Fund or other investors of the Fund. a Mutual Fund (other than the HSBC World Selection
Diversified Funds and the HSBC Wealth Compass
Switches Funds) in a single account and you meet the minimum
When you switch units of a Fund, we redeem units from the investment amount to qualify for the Premium Series or
Fund that you are switching out of and use the proceeds to Premium T Series (as applicable) of the same Mutual
buy units of the Fund you are switching into. The number of Fund as a result of additional purchases, distribution
units that are bought and sold is based on the net asset reinvestments or because your investments increased in
value per unit of the Fund on the valuation day the request value, we will automatically switch your units to the Pre
is processed, less any applicable charges. mium Series or Premium T Series (as applicable), which
26
have a lower management fee, without giving you or sale to buy other units of the Funds. See the section
advance notice and without delivering a Fund called “Fees and expenses – Fees and expenses paid directly
Facts document; by you – Short-term trading fees.”
◆ the value of your Premium Series or Premium T Series If you do not pay the short-term trading fee in full immedi
units of a Mutual Fund in a single account falls below ately after it is due, you are deemed to pledge units of any
the minimum balance requirement because you Fund you may own as security for the outstanding fee and
redeemed or switched out units, we may switch your hereby give us a power of attorney, including the right to
units to the Investor Series or Investor T Series (as appli execute and deliver all necessary documents, in order to
cable), which have a higher management fee, without collect this fee by redeeming such other units of any Funds
giving you advance notice and without delivering a Fund that you may own without notice to you, and you shall be
Facts document. However, if the value of your holdings responsible for any tax consequences or other related costs.
falls below the minimum balance requirement due solely We may in our sole discretion decide which units are to be
to market movement, we will not automatically switch redeemed and any such redemptions may be made without
prior notice to you in such manner as we may decide is
you to the Investor Series or Investor T Series (as appli
advisable. You must also pay all costs and expenses (includ
cable) and you will remain invested in the Premium
ing legal fees) plus reasonable administration charges
Series or Premium T Series (as applicable).
incurred for the collection of all or any of your indebtedness.
See the section called “Purchases, switches and redemptions We retain the right to reject your request to switch or pur
– Minimum investment requirements – Mutual Funds” for chase units of the Funds if you are, in our opinion, engaging
additional information regarding the minimum investment in short-term trading. If we reject your request, we will
requirements for the Premium Series and the Premium T return the original amount of money we have received from
Series. The management fees applicable to each series for you in full.
each of the Mutual Funds, including the Investor Series,
Investor T Series, Premium Series and Premium T Series, Restrictions on sales and offers to
are set out below under the heading “Fees and expenses –
Fees and expenses paid by the Funds – Management Fees”.
U.S. persons
Units of the Funds may not be offered or sold to any “U.S.
Short-term trading person” except as permitted by us and except as permitted
by U.S. law from time to time, including as permitted under
Mutual funds are typically considered long-term invest exemptions from fund registration requirements. For these
ments, so we discourage investors from switching or selling purposes, the term “U.S. person” means the following:
units frequently. Short-term trading can increase adminis
1. An individual (including a U.S. Citizen or Green Card
trative costs to all investors and can negatively impact the
Holder) who is a resident of the U.S. under any
overall performance of a Fund because the Fund may be
U.S. Law.
forced to hold additional cash or to sell portfolio holdings to
pay redemption proceeds, thereby incurring additional trad 2. An individual who is a U.S. Citizen or Green Card
ing costs. Holder who has not formally renounced their U.S. citi
zenship (including a person with dual or multiple
We reserve the right to charge a short-term trading fee of nationality) even though they may reside outside of
up to 2% of the value of the units of a Mutual Fund if you the US.
switch or sell your units of the Funds within 30 calendar
days of the date you purchased those units, with the excep 3. A corporation, partnership, limited liability company,
collective investment vehicle, investment company,
tion of:
pooled account, or other business, investment, or
◆ the HSBC Canadian Money Market Fund; legal entity:
◆ the HSBC U.S. Dollar Money Market Fund; (a) Created or organized under U.S. Law; and
◆ the Pooled Funds; (b) Created (regardless of domicile of formation or
◆ transactions in the HSBC World Selection Portfolio ser organization) principally for passive investment
vice or in other discretionary accounts with autho (for example, an investment company, fund or
rized dealers; similar entity excluding employee benefit or pen
sion plans); and
◆ transactions in regular investment plans and monthly
withdrawal plans; (c) Owned directly or indirectly by one or more U.S.
persons who hold, directly or indirectly, in aggre
◆ redemptions of units acquired or received through the gate a 10% or greater beneficial interest, provided
reinvestment of distributions; and that any such U.S. person is not defined as a
◆ automatic switches made under the Automatic Switch Qualified Eligible Person under U.S. Commodity
Program, and other switches not initiated by you. Futures Trading Commission Regulation 4.7(a);
For the purposes of determining whether the fee applies, (d) Where a U.S. person is the general partner, man
we will consider the units that were held the longest to be aging member, managing director or other posi
the securities that are redeemed first. This fee is retained by tion with authority to direct the entity's activities;
the applicable Fund. We will charge you a short-term trad (e) Where the entity was formed by or for a U.S. per
ing fee whether or not you use the proceeds of your switch son principally for the purpose of investing in
27
securities not registered with the SEC unless such If, subsequent to an investor’s investment in the Funds, the
entity is comprised of Accredited Investors, as investor becomes a U.S. person, the investor (i) may be
defined in Regulation D, 17 CFR 230.501(a), and restricted from making any additional investments in the
no such Accredited Investors are individuals or Funds and (ii) as soon as practicable may have its units
natural persons; or compulsorily redeemed by the Funds (subject to the require
(f) Where more than 50% of its voting ownership ments of applicable law).
interests or non-voting ownership interests are We may, from time to time, waive or modify the
directly or indirectly owned by U.S. persons; above restrictions.
(g) That is an agency or branch of a non-US entity
located in the US; or Optional services
(h) That has its principal place of business in the US. Regular investment plans
4. A trust created or organized under U.S. Law; or where, If you open an account with the Principal Distributor, a
regardless of domicile of formation or organization: regular investment plan is available for Investor Series,
Investor T Series, Premium Series and Premium T Series
(a) Any settler, founder, trustee, or other person units of the Mutual Funds. This optional plan is for investors
responsible in whole or in part for investment who want to make regular investments. The minimum regu
decisions for the trust is a U.S. person; lar investment is $25 for Investor Series, Investor T Series,
(b) the administration of the trust or its formation Premium Series and Premium T Series units of the Mutual
documents are subject to the supervision of one Funds. However, you will still be required to make the mini
or more U.S. courts; or mum initial investment applicable to the Investor Series,
(c) The income of which is subject to U.S. income tax Investor T Series, Premium Series and Premium T Series
regardless of source. units before your regular investment plan can begin. Invest
ments under the regular investment plan may be made
5. An estate of a deceased person who was a resident of
weekly, bi-weekly, semi-monthly, monthly or quarterly.
the U.S. at the time of death or the income of which is
When you sign up for the regular investment plan, units of
subject to U.S. income tax regardless of source; or the Investor Series, Investor T Series, Premium Series, or
where, regardless of the deceased person’s residence Premium T Series you have chosen will be purchased on the
while alive, an executor or administrator having sole or first valuation day after we receive your money.
shared investment discretion is a U.S. person or the
estate is governed by U.S. Law There is no fee for participating in the regular investment
plan. You can start or end your participation in the plan at
6. An employee benefits or pension plan that is estab any time without charge by telling the Principal Distributor
lished and administered in accordance with U.S. Law; in writing, or for the HSBC Wealth Compass Funds by call
or established for employees of a legal entity that is a ing an HSBC Wealth Compass advisor at 1-877-801-4722,
U.S. person or has its principal place of business in or any other method of communication that may be
the US. accepted by the Principal Distributor from time to time. Your
7. A discretionary or non-discretionary or similar account instructions must be received at least five business days
(including a joint account) where one or more benefi before the date of the next regular investment.
cial owners is a U.S. person or held for the benefit of You will not receive the most recently filed Fund Facts
one or more U.S. persons; or the discretionary or simi document in connection with a subsequent purchase of
lar account is held by a dealer or fiduciary organized in units of a Mutual Fund made pursuant to a regular invest
the US. ment plan unless you specifically request to receive the
For the purpose of the above definition: document. However, you can obtain a copy of the most
“Green Card Holder” means an individual who is a U.S. per recently filed Fund Facts document for a Fund at your
manent resident (even if they do not actually reside in request, and at no cost, by calling 1-888-390-3333 or by
the U.S.); contacting the Principal Distributor. Fund Facts documents
may also be found on our designated website at
“U.S.” means the United States of America (including the assetmanagement.hsbc.ca and on the SEDAR website at
States and the District of Columbia), its territories, posses sedar.com. You may not have a statutory right to withdraw
sions and all other areas subject to its jurisdiction; from a purchase of units of a Fund made pursuant to a
“U.S. Citizen” means an individual born in the U.S. or an regular investment plan. However, you will continue to have
individual whose parent is a U.S. citizen or a former alien all other statutory rights under securities law, including a
who has been naturalized as a U.S. Citizen. misrepresentation right (see the section called “What are
“U.S. Law” means the laws of the U.S., its territories, pos your legal rights?”). As stated above, you have the right to
sessions and all other areas subject to its jurisdiction. terminate your participation in a regular investment plan at
U.S. Law shall additionally include all applicable rules and any time.
regulations, as supplemented and amended from time to
time, as promulgated by any U.S. regulatory authority, Monthly withdrawal plans
including, but not limited to, the Securities and Exchange If you have an account with the Principal Distributor and
Commission and the Commodity Futures Trading Commis you want to make regular withdrawals from a Mutual Fund
sion. in your account, you can set up a monthly withdrawal plan.
28
You must have at least $10,000 invested in Investor Series ◆ HSBC European Fund
or Investor T Series units of a Mutual Fund, or $110,000 ◆ HSBC AsiaPacific Fund
invested in Premium Series or Premium T Series units of a
Mutual Fund in your account before setting up a monthly ◆ HSBC Chinese Equity Fund
withdrawal plan. The minimum regular withdrawal is $50 ◆ HSBC Indian Equity Fund
per Mutual Fund, and withdrawals are made from your ◆ HSBC Emerging Markets Fund
Investor Series, Investor T Series, Premium Series or Pre
◆ HSBC U.S. Equity Index Fund
mium T Series units of the applicable Mutual Fund on any
day of each month. Also, to continue to hold Premium ◆ HSBC International Equity Index Fund
Series or Premium T Series units of a Mutual Fund, you ◆ HSBC Emerging Markets Equity Index Fund
must maintain the minimum balance applicable to the Pre If you choose to use the U.S. dollar purchase service,
mium Series or Premium T Series units, even if you have a Mutual Fund units will be purchased in U.S. dollars and you
monthly withdrawal plan. If the amount of your withdrawals will receive U.S. dollars when you sell units from your
over time are higher than the growth of your investments account. Units purchased under the U.S. dollar purchase
and any income they are earning, you will eventually have service can only be switched between funds or units avail
no money invested in the Mutual Funds. able for purchase in U.S. dollars. See the section called
There is no fee for participating in the monthly withdrawal “Switches”. If you hold units in U.S. dollars, cash distribu
plan. You can end your participation in the plan at any time tions will also be received in U.S. dollars.
by telling the Principal Distributor in writing, or for the HSBC When purchasing, redeeming or switching units of a Mutual
Wealth Compass Funds by calling an HSBC Wealth Com Fund using the U.S. dollar purchase service, the U.S. dollar
pass advisor at 1-877-801-4722, or any other method of unit price is calculated by converting the Canadian dollar
communication that may be accepted by the Principal Dis unit price to U.S. dollars using the exchange rate at the
tributor from time to time, which must be received at least close of business on the valuation date.
five business days before the date of the next regular with
drawal. The U.S. dollar purchase service is not a hedge against cur
rency fluctuations between the Canadian dollar and the U.S.
Automatic reinvestment of distributions dollar nor does it protect against losses caused by changes
in the exchange rate between the two currencies.
Unless otherwise instructed by you, we will automatically
reinvest your Funds’ distributions to purchase additional You should be aware that short-term variability in exchange-
units of the same series of a Mutual Fund or additional units rate movements can have a significant impact on your
of the same Pooled Fund. You pay no sales charge when investment returns and you may find your returns expressed
these units are bought. in U.S. dollars more volatile when the U.S. dollar purchase
service is used. Mutual Fund returns expressed in U.S. dol
If you would prefer to receive your Funds’ distributions in lars reflect the return of the Mutual Fund as well as the
cash and you provide your representative with instructions effect of exchange-rate movements between the U.S. dollar
in writing or any other accepted method of communication, and the Canadian dollar. Because currencies change in
we will electronically deposit the amount of your monthly value against each other, it is possible that an unfavourable
distributions into your bank account with HSBC Bank movement in the exchange rate may reduce, or even elimi
Canada or with another financial institution. Cash distribu nate, any increase in the value of an investment made in a
tions are not available for units held through the World different currency. For example, if you purchase units of a
Selection Portfolio service. Mutual Fund using the U.S. dollar purchase service and
Given the nature of Investor T Series, DT Series and Pre then the Canadian dollar weakens against the U.S. dollar,
mium T Series units, we recommend that you request cash the returns of that Mutual Fund expressed in U.S. dollars
distributions if you hold your units in a non-registered plan. will be lower than the equivalent Canadian dollar returns.
U.S. dollar purchase service Mutual fund allocation service

The U.S. dollar purchase service is offered solely as a con If you open an account with the Principal Distributor, you
venience for investors holding U.S. dollars who wish to may participate in the mutual fund allocation service for
invest in certain of our Mutual Funds in U.S. dollars (as Investor Series, Investor T Series, Premium Series, Premium
listed below). We reserve the right to restrict through whom T Series, and Manager Series units, which provides you
and for which Mutual Funds the service is available. Contact with a steady, disciplined way of diversifying your invest
your representative to confirm whether this service is avail ments. Based on your investment goals and risk profile, the
able to you. Principal Distributor’s mutual fund representative will help
If available through your dealer, Investor Series, D Series you choose how much to transfer and which Mutual Funds
and Premium Series units of the following Mutual Funds to invest in. The minimum regular transfer amount is $25
may be available for purchase using the U.S. dollar pur from units of one Mutual Fund to units of other Mutual
chase service: Fund(s). Transfers may be made weekly, bi-weekly, semi
monthly, monthly or quarterly. At regular intervals, the Prin
◆ HSBC Global Equity Fund
cipal Distributor will then transfer your investments from
◆ HSBC U.S. Equity Fund
29
one Mutual Fund in your account, called the foundation The following types of registered plans are available to
Mutual Fund, to one or more other Mutual Funds in your investors purchasing units of the Funds through the World
account. For Premium Series and Premium T Series units, Selection Portfolio service:
you are still required to meet the minimum investment
requirements for the foundation Mutual Fund and other ◆ RRSP
Mutual Funds under the mutual fund allocation service. ◆ RRIF
There is no fee for participating in the mutual fund alloca ◆ TFSA
tion service. You can end your participation in the service at You will not be charged any fees by HSBC Investment
any time by telling the Principal Distributor in writing, or for
Funds to set up or to maintain a registered plan for the
the HSBC Wealth Compass Funds by calling an HSBC
Wealth Compass advisor at 1-877-801-4722, or any other World Selection Portfolio service.
method of communication that may be accepted by the Please consult with your representative for the types of reg
Principal Distributor from time to time. Your instructions istered plans available through them and ask them about
must be received at least five business days before the date any administration fees that they may charge to set up their
of the next regular transfer. registered plans.
You may not want to purchase Investor T Series or Premium
Registered plans T Series units if you hold your units in a registered plan.
The following types of registered plans are offered for inves
tors purchasing Investor Series or Premium Series units of For information on how investments in the Funds by regis
the Mutual Funds through the Principal Distributor: tered plans are treated for Canadian income tax purposes.
◆ Registered Retirement Savings Plan (“RRSP”) See the section called “Income tax considerations for inves
tors”.
◆ Registered Retirement Income Fund (“RRIF”)
◆ Registered Education Savings (Family) Plan (“RESP”) Fees and expenses
◆ Tax-Free Savings Account (“TFSA”) The following table explains the fees and expenses that you
The Principal Distributor may charge an administration fee will pay when you invest in the Funds. Some of these fees
for each registered plan established with them. See the sec and expenses are paid directly by you and some are paid by
tion called “Fees and expenses” below for more information. the Funds. Investors should be aware that to the extent fees
A registered plan set up though the Principal Distributor and expenses are not offset by investment income and net
cannot hold Investor T Series or Premium T Series units of realized gains, the payment of fees and expenses by the
the Mutual Funds. Funds will reduce the value of your investment in the Funds.
Fees and expenses paid by the Funds1

Management Each Mutual Fund pays a management fee, plus applicable taxes3, to us for our services as manager and trustee of the
fees2 Mutual Funds. The management fee for each series of units of each Mutual Fund is set out below, except for the Institutional
Series of the Mutual Funds where an investment management fee, plus applicable taxes3, is paid directly by you to your
representative, not by the Mutual Fund. See the section called “Fees and expenses paid directly by you”.
The Pooled Funds do not pay management fees; instead, an investment management fee, plus applicable taxes3, is paid
directly by you to your representative. See the section called “Fees and expenses paid directly by you”.
As manager of the Mutual Funds, we manage the overall business and affairs of the Mutual Funds and administer or arrange
for the administration of the day-to-day operations of the Mutual Funds. In this role, we provide or arrange to provide
management and administrative services for the Mutual Funds, including:
◆ investment management, including portfolio security selection and investment, negotiation and use of derivative
instruments, execution of portfolio transactions including selection of market, dealer, broker or counterparty, negotiation
of brokerage commissions and appointment of investment advisors;
◆ determination of Mutual Fund investment programs, restrictions and policies and statistical and research services related
to the Mutual Fund portfolios;
◆ investment management oversight;
◆ proxy voting in respect of Mutual Fund portfolio securities;
◆ all administrative and other services and facilities required by the Mutual Funds in relation to their investors, including the
preparation and holding of Mutual Fund meetings, the determination of net income and net capital gains of the Mutual
Funds to facilitate distributions and other services for the provision of information to investors;
◆ office accommodation, facilities and personnel, telephone and other communication services, office supplies, banking,
and internal accounting and audit services;
◆ co-ordination and supervision of Mutual Fund service providers; and
◆ approval of Mutual Fund expenses and monitoring of Mutual Fund agreements.
The costs of providing certain of these services are regarded as operating expenses of the Mutual Funds and are paid by the
Mutual Funds in addition to the management fee paid by the Mutual Funds to us. For further information, see below under
“Operating expenses”. The remaining expenses relating to management services provided by us to the Mutual Funds are paid
by us from the management fee we receive from the Mutual Funds.
30
Fees and expenses paid by the Funds1 (continued)

In some cases, we may waive our right to receive a portion of the management fees payable by a Mutual Fund. For example,
we may waive certain fees payable by a new Mutual Fund until it has accumulated sufficient assets to fully implement its
investment strategies, but we are not obligated to do so. The amount of any fees waived is at our discretion and notice will
not be provided to investors if any fees are waived.
We may effectively reduce the management fees to a Mutual Fund in respect of certain investors. To effect the reduction, the
Mutual Fund will make a special distribution to those investors (a “management fee distribution”) equal to the amount of the
reduction. Management fee distributions are paid to the relevant investors monthly and are paid, generally, first out of the net
income and net realized capital gains of the Mutual Fund, and thereafter, out of capital. Management fee distributions are
reinvested in additional units.
Where the availability and amount of the reduction is negotiated between the investor, or their representative, and us, the
reduction will generally be based on such factors as the total size of investment, our overall relationship with the investor and
the total package of services provided to the investor by us and our affiliates. In certain circumstances, we may also pay
management fee distributions according to a fixed schedule that we may change at our discretion.
The decision to reduce and/or terminate the management fee distribution and determine who is an eligible investor, is made
at our discretion. Such eligibility requirements are subject to change at any time at our discretion without notice to investors
or their representative.
Management fee distributions are generally included when calculating your income for income tax purposes, as described in
“Tax implications to non-registered plan investors”.
If a decision is taken to charge new or increased management fees to the Mutual Funds, investors will be provided with
written notice at least 60 days before the Mutual Funds start paying management fees and at least 60 days before any
increase to these fees becomes effective.
Investor D Series / Manager Premium
Series / DT Series4 Series Series /
Investor T Premium T
Series4 Series4
HSBC Canadian Money Market Fund 0.85% 0.35% 0.35% 0.35%

5
HSBC U.S. Dollar Money Market Fund 1.00% 0.40% 0.40% 0.40%
HSBC Mortgage Fund 1.35% 0.85% 0.675% 0.85%
HSBC Canadian Short/Mid Bond Fund 1.00% 0.50% 0.50% 0.75%
HSBC Canadian Bond Fund1 1.00% 0.50% 0.50% 0.75%
HSBC Global Corporate Bond Fund5 1.50% 1.00% 0.75% 1.20%
HSBC Emerging Markets Debt Fund 1.50% 1.00% 0.75% 1.20%
HSBC Monthly Income Fund1,4 1.25% 0.75% 0.625% 0.75%
HSBC U.S. Dollar Monthly Income Fund4,5 1.55% 1.05% 0.775% 1.25%
1
HSBC Canadian Balanced Fund 1.75% 0.90% 0.75% 1.25%
HSBC Dividend Fund1 1.75% 0.90% 0.75% 1.25%
HSBC Equity Fund 1.75% 0.90% 0.75% 1.25%
HSBC Small Cap Growth Fund 2.00% 1.00% 1.00% 1.50%
HSBC Global Equity Fund 1.25% 0.75% 0.625% 0.95%

5
HSBC Global Equity Volatility Focused Fund 1.70% 0.85% 0.85% 1.25%
HSBC U.S. Equity Fund 2.00% 1.00% 1.00% 1.50%
HSBC European Fund 2.00% 1.00% 1.00% 1.50%
HSBC AsiaPacific Fund 2.00% 1.00% 1.00% 1.50%
HSBC Chinese Equity Fund 2.25% 1.25% 1.125% 1.75%
31

Investor D Series / Manager Premium
Series / DT Series4 Series Series /
Investor T Premium T
Series4 Series4
HSBC Indian Equity Fund 2.25% 1.25% 1.125% 1.75%
HSBC Emerging Markets Fund 2.25% 1.25% 1.125% 1.75%
HSBC Emerging Markets Fund II (formerly the HSBC BRIC Equity 2.25% 1.25% 1.125% 1.75%
Fund)
HSBC U.S. Equity Index Fund 1.00% 0.50% 0.50% 0.75%
HSBC International Equity Index Fund 1.00% 0.50% 0.50% 0.75%
HSBC Emerging Markets Equity Index Fund 1.00% 0.50% 0.50% 0.75%
HSBC World Selection Diversified Conservative Fund1 1.40% 0.70% 0.50% —

1
HSBC World Selection Diversified Moderate Conservative Fund 1.40% 0.70% 0.50% —
HSBC World Selection Diversified Balanced Fund1 1.55% 0.80% 0.75% —
HSBC World Selection Diversified Growth Fund1 1.75% 0.90% 1.00% —

1
HSBC World Selection Diversified Aggressive Growth Fund 1.75% 0.90% 1.00% —
HSBC Wealth Compass Conservative Fund1 0.50% 0.25% 0.25% —
HSBC Wealth Compass Moderate Conservative Fund1 0.50% 0.25% 0.25% —

1
HSBC Wealth Compass Balanced Fund 0.55% 0.30% 0.30% —
HSBC Wealth Compass Growth Fund1 0.60% 0.35% 0.35% —

1
HSBC Wealth Compass Aggressive Growth Fund 0.60% 0.35% 0.35% —
Operating The Funds are responsible for all costs and expenses related to their operation and administration, which include:
expenses ◆ fees payable to provincial securities commissions in connection with the operation of the Funds;
◆ Independent Review Committee (“IRC”) compensation and expenses;
◆ audit and legal fees;
◆ brokerage fees on transactions for the Funds’ portfolios;
◆ costs of entering into forward agreements and other derivatives transactions;
◆ costs for the preparation, production and distribution of financial and other reports, including semi-annual and annual
reports, statements, communications to investors and other regularly required documents;
◆ costs for the preparation, production and distribution of this Simplified Prospectus, the Fund Facts document and other
regulatory documents;
◆ expenditures related to technology required to operate the Funds;
◆ custody, investor servicing, registrar, accounting/trustee fees and bank charges;
◆ costs of compliance with applicable securities legislation in connection with the operation of the Funds; and
◆ applicable taxes.3
Common operating expenses of a Mutual Fund will be allocated among each series on a pro rata basis relative to the net
asset value of the series. Where an operating expense is specifically attributable to a particular series, the expense will be
charged to that series. However, if the assets attributable to a particular series are insufficient to pay an expense, the expense
will be charged to the remaining series of the Mutual Fund. Please refer to the section called “Multiple series unit risk”.
These costs and expenses are paid either directly by the Funds or by us, as manager of the Funds. We are reimbursed by the
Funds for all reasonable operation and administration costs and expenses paid by us.
We may absorb certain operating expenses of the Funds from time to time at our discretion. However, we are under no
obligation to do so.
The HSBC Mortgage Fund is charged an annual mortgage administration fee (the “Mortgage Administration Fee”) payable to
HSBC Bank Canada for the administration of the mortgages purchased by the HSBC Mortgage Fund. The Mortgage
Administration Fee is equal to 0.10% of the value of the mortgages purchased by the HSBC Mortgage Fund from HSBC Bank
32

Canada. The Mortgage Administration Fee will be allocated among each series of the HSBC Mortgage Fund on a pro rata
basis relative to the net asset value of the series. The Mortgage Administration Fee will be paid either directly by the HSBC
Mortgage Fund or by us, as manager of the HSBC Mortgage Fund. We are reimbursed by the HSBC Mortgage Fund for any
portion of the Mortgage Administration Fee paid by us.
As noted above, the operating expenses of the Funds include the compensation and expenses payable to members of the
IRC. The fees and expenses payable in connection with the IRC, and charged to the Funds, include compensation paid to
members of the IRC in the form of an annual retainer for each member, a separate annual retainer for the Chair, travel
expenses, insurance premiums and fees associated with their continuing education, and other costs and expenses
reasonably associated with the IRC.
If the fee or expense is imposed by a person or company at arm’s length to the investment fund or the Fund is a no-load fund,
then we will provide investors with at least 60 days’ prior written notice if:
◆ the basis of calculation of a fee or expense charged to a Fund or directly to investors by a Fund or us in connection with
the holding of units of the Fund is changed in a way that could result in an increase in charges to the Fund or to investors;
or
◆ we introduce a fee or expense to be charged to a Fund or directly to investors by a Fund or us in connection with the
holding of units of the Fund, if it could result in an increase in charges to the Fund or to investors.
However, we will not provide you with this prior written notice if we have obtained investor approval for the proposed new or
changed fee or expense.
Fees and expenses paid directly by you

Investment You do not pay an embedded management fee on your investment in the Institutional Series of the Mutual Funds and in the
management Pooled Funds. Instead, investment management fees, plus applicable taxes, are paid by you to your representative for the
fees discretionary management of your portfolio. These fees are based on the amount you have invested in the Institutional Series
of the Mutual Funds and in the Pooled Funds and are negotiated between you and your representative. Investment
management fees for the Institutional Series of the Mutual Funds will not exceed the management fee for the Investor Series
of the same Mutual Fund. Investment management fees for the Pooled Funds will not exceed 2% per annum. If you invest
through a representative other than us, we will receive a fee from them as compensation for the management services we
provide to the Institutional Series of the Mutual Funds and the Pooled Funds. We may, in certain circumstances and at our
discretion, waive or lower the fees we charge investors.
Sales charges There are no sales charges payable when you purchase units of the Funds.
Redemption There are no redemption fees payable in connection with the redemption of units of the Funds. On behalf of the Fund, we
fees may charge a short-term trading fee in certain circumstances. See the section called “Short-term trading”.
Switch fees Except as noted below under “Short-term trading fees”, no fees are payable to us when you switch units of one series of a
Mutual Fund for units of the same series of another Mutual Fund or between different series of the same Mutual Fund.
However, you may have to pay your representative a switch fee of up to 2% of the value of the units you purchase when you
switch units between different Mutual Funds, or if you switch units between different series of the same Mutual Fund, with
the exception of the HSBC World Selection Diversified Funds. This fee is negotiated between you and your representative and
is paid directly by you to them. See the sections called “Switches” and “Short-term trading”.
Short-term We reserve the right to charge a short-term trading fee of up to 2% of the value of the units of a Mutual Fund if you switch or
trading fees sell your units within 30 days of the date you purchased those units, with the exception of:
◆ the HSBC Canadian Money Market Fund;
◆ the HSBC U.S. Dollar Money Market Fund;
◆ the Pooled Funds;
◆ transactions in the HSBC World Selection Portfolio service or in other discretionary accounts with authorized dealers;
◆ transactions in regular investment plans and monthly withdrawal plans;
◆ redemptions of units acquired or received through the reinvestment of distributions; and
◆ automatic switches made under the Automatic Switch Program, and other switches not initiated by you.
For the purposes of determining whether the fee applies, we will consider the units that were held the longest to be the
securities that are redeemed first. This fee is retained by the applicable Mutual Fund. See the section called “Short-term
trading”.
Registered tax The Principal Distributor may charge you $15, plus applicable taxes3, per year to cover the annual administration costs for
plan fees each registered account established with them. RESP and TFSA accounts are excluded from this fee.
This will be charged each year in two instalments (at the middle of the year and end of year), with each payment in the
amount of $7.50 plus applicable taxes3. The Principal Distributor collects these payments by redeeming sufficient units of the
Fund in your registered plan.
A fee of $50, plus applicable taxes3, is charged by the Principal Distributor if you transfer your registered account to another
financial institution. RESP accounts are excluded from this fee.
The Principal Distributor collects these fees and expenses from you by subtracting the amount of the fee or expense from the
total proceeds from the redemption of your units. These fees are charged for each registered plan, not for each Fund.
33
Fees and expenses paid directly by you (continued)

If you have a registered plan with another representative, please consult with them for any registered tax plan fees.
1
The Funds may invest in units of other mutual funds and exchange-traded funds including funds managed by us or our affiliates. You should
note that in addition to the fees and expenses paid by the Funds, these other funds have their own operating expenses to pay. The Funds will
effectively bear the operating expenses of the other funds in proportion to their holdings in the other funds. However, the Funds will not
invest in units of other funds if the Funds would be required to pay any management fees in respect of such investments that to a reasonable
person would duplicate a fee payable to us by the Funds for the same service. In addition, the Funds will not make investments in other
funds if the Funds would be required to pay any sales or redemption fees in respect of such investments that a reasonable person would find
to duplicate a fee payable by investors of the Funds. Further, the Funds will not invest in units of funds managed by us or our affiliates if any
sales or redemption fees are payable in respect of such investments.
2
Calculated as an annual percentage of the Fund’s average daily net asset value.
3
Goods and Services Tax, Harmonized Sales Tax, Quebec Sales Tax or similar value-added or sales tax. These taxes are not included in the
fees disclosed.
4
Investor T Series, DT Series and Premium T Series units are only available for the HSBC Monthly Income Fund and HSBC U.S. Dollar Monthly
Income Fund.
5
Some fees, expenses or charges payable in relation to the HSBC U.S. Dollar Money Market Fund, HSBC Global Corporate Bond Fund, HSBC
U.S. Dollar Monthly Income Fund, HSBC Global Equity Volatility Focused Fund or units purchased under the U.S. dollar purchase service
may be in U.S. dollars. For information on the U.S. dollar purchase service, see the section called “Optional services – U.S. dollar purchase ser
vice”.
Impact of sales charges Funds are listed below. These trailer fees are paid by us out
of the management fee we receive from the Mutual Funds.
You pay no sales charges or commissions when you buy or
redeem units of the Funds. Maximum trailer fee
Investor Series & Premium Series &
Dealer compensation Investor T Series* Premium T Series*
We pay the Principal Distributor a fee in connection with the HSBC Canadian Money
sale of units of the Mutual Funds, as set between us and Market Fund 0.25% 0.15%
the Principal Distributor from time to time. This fee is paid HSBC U.S. Dollar Money
by us out of the management fee we receive from the Market Fund 0.25% 0.15%
Mutual Funds. HSBC Mortgage Fund 0.50% 0.25%
We pay trailer fees to other dealers who sell units of the HSBC Canadian Short/Mid
Mutual Funds and make a suitability determination in con Bond Fund 0.50% 0.25%
nection with their client’s purchase of the units of the HSBC Canadian Bond Fund 0.50% 0.25%
Mutual Funds. The maximum trailer fees, and how they are HSBC Global Corporate
calculated, for the different Mutual Funds are listed in the Bond Fund 0.50% 0.25%
section below. HSBC Emerging Markets
Debt Fund 0.50% 0.25%
Trailer fees HSBC Monthly Income Fund* 0.50% 0.25%
If you purchase Investor Series, Investor T Series, Premium HSBC U.S. Dollar Monthly
Income Fund* 0.50% 0.25%
Series or Premium T Series units of the Mutual Funds
through a representative other than us or the Principal Dis HSBC Canadian Balanced Fund 0.85% 0.50%
tributor, we pay trailer fees to your representative for provid- HSBC Dividend Fund 0.85% 0.50%
ing you with ongoing service and advice. The trailer fees are HSBC Equity Fund 0.85% 0.50%
generally calculated as a percentage of net asset value each HSBC Small Cap Growth Fund 1.00% 0.75%
day for the number of Investor Series, Investor T Series, Pre- HSBC Global Equity Fund 0.50% 0.25%
mium Series or Premium T Series units of the Mutual Funds
HSBC Global Equity Volatility
that you hold. Focused Fund 0.85% 0.40%
No trailer fees are payable with regard to D Series, DT HSBC U.S. Equity Fund 1.00% 0.75%
Series, Manager Series or Institutional Series units of the HSBC European Fund 1.00% 0.75%
Mutual Funds or units of the Pooled Funds. HSBC AsiaPacific Fund 1.00% 0.75%
The maximum trailer fees we may pay your representative HSBC Chinese Equity Fund 1.00% 0.75%
(other than the Principal Distributor) for the different Mutual HSBC Indian Equity Fund 1.00% 0.75%
HSBC Emerging Markets Fund 1.00% 0.75%
HSBC Emerging Markets Fund II
(formerly the HSBC BRIC
34
Maximum trailer fee cable if you are an individual resident in Canada (other than
Investor Series & Premium Series & a trust) dealing with the Funds at arm’s length in which your
Investor T Series* Premium T Series* units in the Funds are being held as capital property or
Equity Fund) 1.00% 0.75% through a registered plan. It is based on current provisions
HSBC U.S. Equity Index Fund 0.50% 0.25%
of the Income Tax Act (Canada) (the “Tax Act”) and the
regulations made under the Tax Act (the “Regulations”),
HSBC International Equity
Index Fund 0.50% 0.25% proposals to amend the Tax Act and the Regulations pub
licly announced prior to the date hereof and the published
HSBC Emerging Markets Equity
Index Fund 0.50% 0.25% administrative practices and assessing policies of the
HSBC World Selection Diversified
Canada Revenue Agency, all as publicly available on the
Conservative Fund 0.70% — date hereof.
HSBC World Selection Diversified We encourage you to consult with a qualified tax
Moderate Conservative Fund 0.70% — advisor before investing as each individual’s tax situa
HSBC World Selection Diversified tion is different.
Balanced Fund 0.75% —
HSBC World Selection Diversified Income tax considerations for the Funds
Growth Fund 0.85% —
The Funds are subject to federal income tax on their net
HSBC World Selection Diversified income and net taxable capital gains, less the portion paid
Aggressive Growth Fund 0.85% —
or payable to investors. Generally, each Fund distributes
HSBC Wealth Compass
Conservative Fund 0.25% —
enough net income and net realized capital gains to inves
tors each year so that it does not have to pay income tax. In
HSBC Wealth Compass
Moderate Conservative Fund 0.25% — certain circumstances, losses realized by the Funds may be
suspended or restricted, and therefore will be unavailable to
HSBC Wealth Compass
Balanced Fund 0.25% — shelter capital gains or income. A Fund may be deemed to
HSBC Wealth Compass
earn income on investments in certain types of non-
Growth Fund 0.25% — Canadian investment fund entities.
HSBC Wealth Compass All of a Fund’s deductible expenses, including, for the
Aggressive Growth Fund 0.25% — Mutual Funds, expenses common to all the series and
* Investor T Series and Premium T Series units are only available for expenses specific to a particular series of Mutual Fund
the HSBC Monthly Income Fund and HSBC U.S. Dollar Monthly (including management fees and other expenses), will be
Income Fund. taken into account in determining the income or loss of the
Fund as a whole.
Other forms of dealer support
Generally, gains and losses from derivatives (other than cer
We pay for marketing materials such as reports and com
tain derivatives used for hedging purposes) and from short
mentaries on the markets, the Funds and the services we
offer investors. We may also share with dealers up to 50% sales are treated as ordinary income and losses rather than
of their costs in marketing the Funds, such as advertising capital gains and capital losses.
the availability of the Funds through their financial advisors. In connection with investments in real return bonds and
We may also pay a portion of the costs of a dealer hosting a inflation linked bonds that are considered as “indexed debt
seminar to inform you about the Funds or about the overall obligations” under the Tax Act, any Fund holding these
benefits of investing in mutual funds. investments will be required to include in (or entitled to
We may also pay up to 10% of the costs of dealers holding deduct from) its income for each taxation year an amount in
educational seminars or conferences for their financial advi respect of an increase or decrease in the principal of the
sors. We arrange seminars for financial advisors where we investment based on a change in the inflation rate as calcu
inform them about new developments in the Funds, our lated in accordance with the regulations. The amount of any
products and services, and mutual fund industry matters.
We invite dealers to send their financial advisors to our such increase or decrease in the income of the Fund will
seminars and we do not decide who attends. The financial also be added to or deducted from the adjusted cost base
advisors must pay their own travel, accommodation and of the investment.
personal expenses associated with attending our seminars. This summary assumes that each of the Funds will qualify
as a mutual fund trust under the Tax Act effective at all
Equity Interests material times. We expect that the Funds will so qualify
HSBC Bank Canada owns directly or indirectly 100% of although there is no guarantee that this expectation will be
HSBC Global Asset Management (Canada) Limited, the met. Where a Fund does not qualify as a mutual fund trust
Principal Distributor and HSBC InvestDirect, a division of (a "non-MFT Fund") under the Tax Act throughout a taxation
HSBC Securities (Canada) Inc., each of which distribute the year, the following additional rules apply:
Mutual Funds.
◆ The non-MFT Fund will not be eligible for capital gains
Income tax considerations refunds under the Tax Act,
The summary below is general in nature and describes only ◆ The non-MFT Fund may be liable for alternative mini
the principal Canadian federal income tax implications appli mum tax under the Tax Act, and
35
◆ A non-MFT Fund may be considered to be a "financial Fund, the offshore investment fund property rules described
institution" under certain mark-to-market taxation rules above would not apply with respect to the Fund’s invest
in the Tax Act when more than 50% of the units of the ment in the foreign corporation.
non-MFT Fund are held by a “financial institution” as
defined under the Tax Act. As a result, the non-MFT Income tax considerations for investors
Fund will be required to recognize income for each taxa Tax implications to non-registered
tion year during which it is a financial institution on the
full amount of any gains and losses accruing on the plan investors
portfolio assets that it holds (“mark-to-market income”). As an investor, when calculating your income for income
The entire amount of gains on portfolio assets will be tax purposes you must include the amount (computed in
included in income as mark-to-market income; rather Canadian dollars) of the net income (including any “mark
than 50% as in the case of capital gains. Any mark-to to-market” income of a non-MFT Fund, described
market income will be included in amounts to be distrib above) and the taxable portion of the net realized capital
uted to investors. The mark-to-market taxation rules will gains that is paid or payable to you in the year by a Fund
continue to apply to the non-MFT Fund until the earlier (including by way of management fee distributions, if any),
of (i) such time that the non-MFT Fund qualifies as a whether such amount has been paid in cash or automati
mutual fund trust under the Tax Act, or (ii) such time cally reinvested in additional units. You may subsequently
when 50% or less of the units of the non-MFT Fund are be taxed on undistributed income, realized capital gains,
held by financial institutions. If that occurs, the taxation accrued but unrealized capital gains in a Fund at the time
year of the non-MFT Fund will be deemed to end imme units were purchased that have been included in the price
diately before such time and the net income of the non- of the units, when such income and capital gains are distrib
MFT Fund, including any mark-to-market income, will be uted to you. This may occur when you purchase units
distributed to Investors. A new taxation year for the non- towards the end of the year in December, when certain
MFT Fund will then begin and for that and subsequent Funds may make their largest and only distribution for the
taxation years, for so long as not more than 50% of the year. Management fees paid by Institutional Series investors
units of the non-MFT Fund are held by financial institu with respect to the management of the Funds will not be
tions or the non-MFT Fund qualifies as a mutual fund deductible for tax purposes by those investors.
trust, the non-MFT Fund will not be subject to these Provided appropriate designations are made by the Funds,
mark-to-market rules. the amount, if any, of foreign source income, net taxable
capital gains and taxable dividends from taxable Canadian
Offshore Investment Fund Property corporations (which may or may not be eligible for the
The Tax Act contains rules that may require a Fund to enhanced gross-up and dividend tax credit) earned by the
include in its income in each taxation year an imputed Funds that are allocated to you (including such amounts
return in respect of “offshore investment fund property” automatically invested in additional units) will effectively
held by the Fund. The offshore investment fund property retain their character for tax purposes and be treated as
rules may apply to a Fund in respect of a holding of prop foreign source income, taxable capital gains and taxable
erty that is a share of the capital stock of, an interest in, or a dividends (eligible or ineligible for the enhanced gross-up
debt of, a non-resident entity or a right or option to acquire and dividend tax credit) earned directly by you. Foreign
such property. In general terms, the offshore investment source income received by the Funds will generally be net
fund property rules will not apply to a Fund if none of the of any taxes withheld in the foreign jurisdictions. The
main reasons for the Fund acquiring such property is to foreign taxes so withheld will be included in the determina
reduce the taxes that would be payable by the Fund if it tion of the Funds’ income. To the extent that the Funds so
directly held the assets that are indirectly held through its designate, you will, for the purposes of computing foreign
holding of the offshore investment fund property. tax credits, be entitled to treat your proportionate share of
such taxes withheld as foreign taxes paid directly by you.
Foreign Accrual Property Income For taxation years of a non-MFT Fund where it is a financial
institution under the Tax Act, distributions of mark-to
If a foreign corporation in which a Fund owns shares is or is
market income from that Fund would be treated as ordinary
deemed to be a “controlled foreign affiliate” of the Fund for
income to the investor, the entire amount of which must be
the purposes of the Tax Act and earns income that is
included in income; and no amount will be treated as a
“foreign accrual property income” (“FAPI”), the proportion
capital gain, only 50% of which would be included
ate amount of FAPI earned by such foreign corporation
in income.
must be included in computing the Fund’s income for Cana
dian income tax purposes whether or not the Fund actually If the distributions (including management fee distribu
receives a distribution of income earned by the foreign cor tions) you receive from your investment in a Fund are more
poration. To the extent that a particular foreign corporation than your share of the net income and net realized capital
is or is deemed to be a controlled foreign affiliate of the gains of the Fund, those excess distributions will be a return
of capital and will not be taxable but will reduce the
adjusted cost base (“ACB”) of your units. If the ACB of your
units becomes less than zero, the negative amount will be
deemed to be a capital gain realized by you from the dispo
36
sition of the units and the ACB will be increased by the Equity Volatility Focused Fund, or units of Mutual Funds
amount of such gain. Distributions on units of Investor T purchased under the U.S. dollar purchase service, you will
Series, Premium T Series and DT Series are expected to need to calculate your gains or losses based on the Cana
include a return of capital. dian dollar value of your units when they were purchased
Distributions reinvested in additional units will affect the and when they were sold. Consequently, you may realize a
ACB of your units in the Fund, which is used to determine foreign exchange gain or loss for tax purposes as a result of
whether you have realized a capital gain or loss on the sale a change in the value of the U.S. dollar during the period
or switch of units between Funds. you held the units.
We will provide you with information regarding distributions Here is an example for calculating your ACB for units or
you receive from the Funds. You will need to keep your own series denominated in U.S. dollars:
records regarding the cost of your investment in each of the
Funds and of any return of capital received so that you can ◆ Suppose you own 1,000 units of a series of a Fund for
accurately calculate any gain or loss on units of a Fund you which you paid US$10 each (US$10,000). Suppose the
have sold or switched to another Fund. You should consult CDN$/US$ exchange rate at the time you purchased
your tax advisor regarding the tax implications of receiving your units was 1.30. That is CDN$13,000.
a return of capital on your units. ◆ Now suppose you bought another 100 units of the same
When you sell or redeem units of a Fund or switch units of series of a Fund at US$12 each (US$1,200). Suppose the
one Fund to another Fund, you will realize a capital gain if CDN$/US$ exchange rate at the time you purchased
the proceeds of disposition are more than the aggregate of these units was 1.20. That is CDN$1,440.
the ACB of the units and any costs of disposition. You will ◆ You have spent CDN$14,440 for 1,100 units of a Fund.
realize a capital loss if the proceeds of disposition are less
than the aggregate of the ACB of the units and any costs of ◆ Your new ACB in Canadian dollars is CDN$14,440
disposition. Generally, one-half of a capital gain is included divided by 1,100 units or CDN$13.13 per unit.
in computing income as a taxable capital gain and one-half Any distributions reinvested, or a return of capital, will be
of a capital loss is an allowable capital loss that may be factored into the calculation of the ACB. The example above
used to offset your taxable capital gains, subject to the rules is for illustrative purposes only and does not capture all
under the Tax Act. transactions that may occur. Exchange rates are hypotheti
The aggregate ACB of your units of a Fund at any point in cal.
time is calculated as:
We will provide you with a tax information slip to report the
◆ the total amount you have paid for your units of the sale or redemption of your units in Canadian dollars. In addi
Fund, plus tion, although U.S.-dollar-denominated mutual funds will
◆ any distributions you have received in the form of addi distribute income in U.S. dollars, it must be reported in
tional units of the Fund, minus Canadian dollars for Canadian tax purposes. As a result,
◆ any return of capital received from the Fund, minus distributions paid to you will be reported in Canadian dollars
◆ the ACB of any units of the Fund you have sold or for income tax purposes.
switched to another Fund in the past. For each of the cases above, changes in the value of the
Your ACB per unit of a Fund is determined as the aggregate Canadian dollar relative to the U.S. dollar may affect your
ACB of your units of the Fund divided by the number of income tax payable. You may want to consult your tax advi
units of the Fund that you own. sor.
Switching units of a series of a Fund into units of a different You should keep your own detailed records of the
series of the same Fund will not result in a disposition for costs of your investments so that any gains or losses
tax purposes and will not result in a capital gain or capital generated when you switch or sell your units can be
loss. Capital gains and Canadian dividends may give rise to accurately calculated.
liability for alternative minimum tax under the Tax Act.
Capital gains and losses must be computed in Canadian Tax implications to registered
dollars. As a consequence, investors of any Fund denomi plan investors
nated in U.S. dollars (such as the HSBC U.S. Dollar Money
Market Fund, HSBC Global Corporate Bond Fund, HSBC Units of the Funds are, or expected to be, qualified invest
U.S. Dollar Monthly Income Fund and HSBC Global Equity ments under the Tax Act for trusts governed by registered
Volatility Focused Fund or units purchased under the U.S. retirement savings plans, registered retirement income
dollar purchase service) may realize capital gains or losses funds, deferred profit-sharing plans, registered education
for tax purposes resulting from the change in value of the savings plans, registered disability savings plans, tax-free
U.S. dollar versus the Canadian dollar during the period you savings accounts and first home savings account (collec
held the units. tively referred to as “registered plans”). Units of the Funds
are expected to continue to be qualified investments for
For mutual fund units or series registered plans at all material times in the future.
denominated in U.S. dollars Where the annuitant of a registered retirement savings plan
When you sell or redeem units of the HSBC U.S. Dollar (“RRSP”) or registered retirement income fund (“RRIF”), the
Money Market Fund, HSBC Global Corporate Bond Fund, holder of a tax-free savings account (“TFSA”) or registered
HSBC U.S. Dollar Monthly Income Fund, HSBC Global disability savings plan (“RDSP”) or first home savings
37
account (“FHSA”), or the subscriber of a registered educa important that you are aware of the foreign tax conse
tion savings plan (“RESP”), along with other non-arm’s quences, including foreign tax reporting and filing require
length persons, holds 10% or more of the value of a Fund, ments, that may be associated with being an owner of units
the units held may constitute a prohibited investment under of the Funds held in or outside of a Canadian registered
the Tax Act, unless the units are “excluded property” under plan. Failure to comply with any such requirements can
the Tax Act for that RRSP, RRIF, TFSA, RDSP, FHSA or result in significant penalties.
RESP, as the case may be. Annuitants of RRSPs and RRIFs,
holders of TFSAs, RDSPs and FHSAs, and subscribers of What are your legal rights?
RESPs should consult with their own tax advisors as to Securities legislation in some provinces and territories gives
whether units of the Funds may be prohibited investments you the right to withdraw from an agreement to buy units of
in their particular circumstances. the Funds within two business days of receiving this Simpli
If you hold units of a Fund in a registered plan, you gener fied Prospectus or the Fund Facts document, or to cancel
ally will not have to pay income taxes when the registered your purchase within 48 hours of receiving confirmation of
plan receives income and capital gain distributions from the your order. This may not apply to you if you purchase the
Fund, if the units are switched from one Fund to another or Funds through a discretionary service or if you acquire units
if the units are sold. Income and capital gain distributions under our Automatic Switch Program or pursuant to a regu
and capital gains and losses realized from switching or sell lar investment plan.
ing Fund units are not taxable if they remain inside a regis Securities legislation in some provinces and territories also
tered plan. Generally, you will pay income tax on the full allows you to cancel an agreement to buy units of a Fund
amount of your withdrawals at your marginal tax rate when and get your money back, or to make a claim for damages,
you withdraw money from the registered plan except for if this Simplified Prospectus, the Fund Facts document or
withdrawals from TFSAs (withdrawals from RESPs, RDSPs the financial statements for the Fund misrepresent facts
and FHSAs are subject to special rules). about the Fund. These rights must usually be exercised
within certain time limits.
Other considerations For more information, refer to the securities legislation of
Portfolio turnover rate can have an effect on the income tax your province or territory or consult your lawyer.
you pay. A high portfolio turnover rate means the invest
ment advisor frequently buys and sells a Fund’s underlying Information regarding transactions with
investments. Because capital gains or losses are generated members of the HSBC Group or other
when an investment is sold, an increased level of buying related parties
and selling could lead to increased capital gains distribu In the course of providing services to you, there will be situ
tions for investors in a Fund. ations where a conflict arises between our interests and
yours. We believe it is important that you are fully informed
Tax information reporting regarding these conflicts. Canadian securities laws require
Pursuant to Canadian legislation implementing the U.S. For us to take reasonable steps to identify and respond to exist
eign Account Tax Compliance Act (“FATCA”) and the related ing and potential material conflicts of interest, and in certain
Intergovernmental Agreement (“IGA”) entered into between circumstances, to provide you with certain information
Canada and the U.S., the Funds and/or HSBC Investment regarding these conflicts and also to obtain your prior con
Funds (Canada) Inc. and/or other registered dealers may be sent before we engage in certain types of transactions. The
required to report to the Canada Revenue Agency (“CRA”) following section contains important information regarding
certain information relating to accounts held by investors certain of the conflicts of interest that we have identified.
who are U.S. residents or U.S. citizens. Under the IGA, Please read it carefully.
Canada and the U.S. have agreed to exchange reportable
account information on an annual basis. Furthermore, pur Transactions or arrangements with
suant to Canadian legislation implementing the OECD Com certain related parties
mon Reporting Standard, the Funds and/or HSBC Invest We are a direct subsidiary of HSBC Bank Canada (“HSBC
ment Funds (Canada) Inc. and/or other registered dealers Bank”), a Schedule II chartered Canadian bank. We and
may be required to report to the CRA certain information HSBC Bank are members of a group of related companies
relating to accounts held by tax residents of countries out known as the HSBC Group, whose ultimate parent entity is
side Canada and the U.S. and this information is exchanged HSBC Holdings plc, headquartered in London, UK. All mem
by the CRA with the relevant jurisdiction(s) with which bers of HSBC Group are separate entities from each other
Canada has an exchange agreement. with information barriers and robust compliance systems.
In the course of providing services and financial products to
Tax information for citizens and you, we may, from time to time, enter into transactions or
residents of countries outside of Canada arrangements with a person or company that is related or
If you are also a citizen or resident of a country other than connected to us (“HSBC Group Member(s)”). Specifically,
Canada, we strongly advise you to contact your tax advisor these transactions or arrangements can include:
before investing in the Funds, including within a Canadian ◆ purchasing or selling securities from or to an HSBC
registered plan, and on a regular basis thereafter. It is Group Member,
38
◆ purchasing or selling (or recommending) securities that In addition, we have obtained exemptive relief from certain
are managed, underwritten or issued by an HSBC Group securities regulators and obtained the approval of the IRC
Member. For example, in our role as portfolio manager by way of standing instructions to permit the Funds to pur
of discretionary managed accounts, we may, in certain chase, on a private placement basis, equity securities of a
circumstances, purchase securities offered in a distribu reporting issuer during a distribution of such securities, or
tion in respect of which a member of the HSBC Group during the period of 60 days after a distribution of such
acts as an underwriter, or securities, which is underwritten by one of our associates or
◆ accepting services from an HSBC Group Member. For affiliates, subject to certain conditions.
example, we may allocate brokerage business to a We have also obtained exemptive relief from certain securi
related person provided that such transactions are made ties regulators to allow the Funds to purchase equity securi
on terms and conditions comparable to those offered by ties of public issuers in certain countries and regions out
unrelated brokers and dealers. side of Canada during the period of distribution of the
Our membership in the HSBC Group, together with the securities and for the 60-day period following the period of
transactions and arrangements we make with other HSBC distribution pursuant to a prospectus or similar public offer
Group Members, will give rise to conflicts of interest, and ing document, or by means of a private placement, notwith
we have adopted policies and procedures to identify and standing that a related underwriter participates in offering
the securities of such issuer. Any such purchase will be con
respond to these conflicts. We will only enter into these
sistent with the investment objective of the particular Fund.
transactions or arrangements where they are permitted
Further, we have obtained approval from the IRC of the
under applicable securities laws, and where we believe they
Funds, by way of standing instructions, to permit the pur
are in the best interests of the applicable clients, including
chase of these equity securities, and such purchase will
the HSBC Mutual Funds and HSBC Pooled Funds, in the
only be carried out if it is in compliance with certain
applicable circumstances.
other conditions.
The information disclosed in this section may change from
time to time. In specie transactions
We have received exemptive relief from certain securities
Exemptions and approvals regulators to permit in specie transactions in respect of the
General purchase and redemption of units of a Fund by an account
The Funds are subject to certain requirements set out in managed by us or one of our affiliates. This exemption per
securities legislation, including NI 81-102. These require mits each of the Funds to receive portfolio securities from,
ments are designed in part to ensure that the Funds’ under or deliver portfolio securities to, a managed account that is
lying investments are adequately diversified, that investors managed by us or one of our affiliates in respect of a pur
can withdraw their money relatively easily and that the chase or redemption of units of a Fund, provided that,
Funds are properly administered. Except as described among other things, (i) the IRC has approved the transac
below, the Funds are managed in accordance with tion, and (ii) written client consent has been received from
these requirements. the client of the account managed by us or one of our affili
ates prior to engaging in the in specie transaction. With
Related-party underwriting respect to in specie transactions relating to the purchase of
units of a Fund by a managed account (a) the Fund must at
We have obtained the approval of the IRC of the Funds by the time of payment be permitted to purchase the securi
way of standing instructions to permit the Funds to pur ties, (b) the securities must be acceptable to the Fund’s
chase securities in circumstances that would otherwise be investment advisor and be consistent with the Fund’s
prohibited by section 4.1(1) of NI 81-102. In accordance investment objectives, and (c) the value of the securities
with the standing instructions of the IRC, each of the Funds sold to the Fund must be at least equal to the issue price of
may invest in securities of a reporting issuer during a distri the units of the Fund for which they are payment, valued as
bution of such securities, or during the period of 60 days if the securities were portfolio assets of the Fund. With
after a distribution of such securities, which is underwritten respect to in specie transactions relating to the redemption
by one of our associates or affiliates provided that, among of units of a Fund by a managed account, the value of the
other things, the Fund does not place the order to purchase securities must be at least equal to the amount at which
during the distribution period with our associate or affiliate those securities were valued in calculating the net asset
that is acting as underwriter and the distribution of securi value per unit of the Fund used to establish the redemp
ties of a reporting issuer is made by a prospectus or under tion price.
an exemption from the prospectus requirement. If the
investment is made during the 60 days after the distribution Relief from certain concentration limits
period, then the investment must be made on an exchange
Under relief granted by certain securities regulators, the
on which the securities of the reporting issuer is listed and
HSBC Emerging Markets Debt Fund, HSBC Global Inflation
traded. We must provide particulars of each trade that is
Linked Bond Pooled Fund and the HSBC Emerging Markets
made in reliance upon the standing instructions in a report
Debt Pooled Fund are permitted to invest up to 20% of each
to the IRC no less than annually. Fund’s net assets in fixed income securities of any one
issuer that are issued or guaranteed by supranational agen
39
cies or governments (other than the Government of Canada, The exemptions described in 1 and 2 above are subject to
a province of Canada or the United States of America, the condition that the Fund will not (i) purchase a debt-like
where investment is unrestricted) and are rated “AA” by security that has an option component or an option, or
Standard & Poor’s, or have an equivalent rating by one or (ii) purchase or write an option to cover any positions under
more other approved credit rating organizations, and up to section 2.8(1)(b), (c), (d), (e) and (f) of NI 81-102, if immedi
35% of each Fund’s net assets in fixed income securities of ately after the purchase or writing of such option, more than
any one issuer that are issued or guaranteed by suprana 10% of the net assets of the Fund, taken at market value at
tional agencies or governments (other than the Government the time of the transaction, would be in the form of (1) pur
of Canada, a province of Canada or the United States of chased debt-like securities that have an option component
America, where investment is unrestricted) and are rated or purchased options, in each case, held by the Fund for
“AAA” by Standard & Poor’s, or have an equivalent rating purposes other than hedging, or (2) options used to cover
by one or more other approved credit rating organizations. any positions under section 2.8(1)(b), (c), (d), (e) and (f) of NI
81-102.
Cover for certain
derivatives transactions Relief for cleared swaps transactions
On behalf of the Funds we have obtained an exemption for
A Fund may rely on certain exemptions from NI 81-102
the Funds from the counterparty credit rating requirement,
granted to us by certain securities regulators to engage in the counterparty exposure threshold and the custodial
the following derivatives transactions on certain conditions: requirements set out in NI 81-102 in order to permit the
1. To use as cover when the Fund has a long position in a Funds to clear certain swaps, such as interest rate and
debt-like security that has a component that is a long credit default swaps, entered into with futures commission
position in a forward contract, or in a standardized merchants (each an “FCM”) that are subject to U.S. or Euro
future or forward contract: pean clearing requirements and to deposit cash and other
(a) cash cover in an amount that, together with mar assets directly with the FCM, and indirectly with a clearing
gin on account for the specified derivative and the corporation, as margin for such swaps. In the case of FCMs
market value of the specified derivative, is not less in Canada, the FCM must be a member of the Canadian
than, on a daily mark-to-market basis, the underly Investor Protection Fund and the amount of margin depos
ing market exposure of the specified derivative, ited, when aggregated with the other amount of margin
already held by the FCM, must not exceed 10% of the net
(b) a right or obligation to sell an equivalent quantity asset value of the Fund at the time of the deposit. In the
of the underlying interest of the future or forward case of an FCM outside of Canada, the FCM must be a
contract and cash cover that, together with mar member of a clearing corporation and subject to a regula
gin on account for the position, is not less than tory audit, the FCM must have a net worth (determined
the amount, if any, by which the price of the from audited financial statements or other publicly available
future or forward contract exceeds the strike price financial information) in excess of $50 million and the
of the right or obligation to sell the underlying amount of margin deposited, when aggregated with the
interest, or other amount of margin already held by the FCM, must not
(c) a combination of the positions referred to in para exceed 10% of the net asset value of the Fund at the time of
graphs 1(a) and 1(b) immediately above that is the deposit.
sufficient, without recourse to other assets of the
Fund, to enable the Fund to acquire the underly Relief granted to the HSBC
ing interest of the future or forward contract. Mortgage Fund
2. To use as cover, when the Fund has a right to receive We have received an exemption from the requirements set
payments under a swap: out in sections 4.2 and 2.3(1)(b) and (c) of NI 81-102 to per
(a) cash cover, in an amount that, together with mar mit the HSBC Mortgage Fund to purchase and sell mort
gin on account for the swap and the market value gages from and to HSBC Bank Canada, HSBC Mortgage
of the swap, is not less than, on a daily mark-to Corporation (Canada) and other affiliates of us, provided
market basis, the underlying market exposure of that:
the swap, i. the HSBC Mortgage Fund complies with National
(b) a right or obligation to enter into a swap on an Policy Statement 29 – Mutual Funds Investing in Mort
equivalent quantity and with an equivalent term gages (“NPS 29”), except for the restrictions in para
and cash cover that, together with margin on graph III (2.1)(i);
account for the position, is not less than the ii. the HSBC Mortgage Fund does not invest in a mort
aggregate amount, if any, of the obligations of the gage on a property in which a “Non-Exempt Entity”
Fund under the swap, less the obligations of the (defined below) has an interest as mortgagor;
Fund under such offsetting swap, or iii. the HSBC Mortgage Fund’s fundamental investment
(c) a combination of the positions referred to in para objectives permit the Fund to invest in mortgages in
graphs 2(a) and 2(b) immediately above that is accordance with NPS 29;
sufficient, without recourse to other assets of the iv. the purchase or sale is consistent with, or is necessary
Fund, to enable the Fund to satisfy its obligations to meet, the investment objectives of the HSBC Mort
under the swap. gage Fund;
40
v. the IRC of the HSBC Mortgage Fund has approved the they are listed on a stock exchange in the United King
transaction in accordance with subsection 5.2(2) of NI dom and not on a stock exchange in Canada or the
81-107; United States, would otherwise qualify as “index partici
vi. we, as manager of the HSBC Mortgage Fund, comply pation units” (an IPU) as defined in NI 81-102 (such as
with section 5.1 of NI 81-107; an ETF referred to as a UK IPU); and
vii. we, as manager of the HSBC Mortgage Fund, and the ◆ invest up to 10% of its net assets in investment funds
IRC of the Fund comply with section 5.4 of NI 81-107 authorized as Undertakings for Collective Investment in
for any standing instructions the IRC receives in con Transferable Securities (UCITS) under the UCITS Regula
nection with the transactions; and tion by, and subject to the supervision of, a national
competent authority in the United Kingdom, the Repub
viii. the HSBC Mortgage Fund keeps the written records lic of Ireland or Luxembourg (a Foreign Fund), even
required by paragraph 6.1(2)(g) of NI 81-107. though the Foreign Fund is not subject to NI 81-102 and
For the purposes of the exemption, the term “Non-Exempt is not a reporting issuer in a Canadian jurisdiction.
Entities” means: The terms of the relief provide among other conditions that
i. any senior officer, director or trustee of the HSBC 1) none of the UK IPUs are “synthetic ETFs”, meaning that
Mortgage Fund; they will not principally rely on an investment strategy that
ii. any senior officer, director or trustee of the HSBC makes use of swaps or other derivatives to gain an indirect
Mortgage Fund’s management company (currently us); financial exposure to the return of an index; and 2) the
acquisition of the securities purchased must be consistent
iii. any senior officer, director or trustee of any distribution
with the fundamental investment objectives of the Fund.
company of the HSBC Mortgage Fund that is an affili
ate of its management company;
Temporary relief in relation to the
iv. any person or company who is a substantial security
holder of the HSBC Mortgage Fund;
trailing commissions ban
The British Columbia Securities Commission has issued BC
v. any person or company who is a substantial security Instrument 81-525, which provides temporary exemptive
holder of the HSBC Mortgage Fund’s management relief from the amendment to NI 81-105, effective June
company (currently us); 2022, that prohibits the payment of trailing commissions by
vi. any person or company who is a substantial security fund organizations to dealers who do not make a suitability
holder of any distribution company of the HSBC Mort determination (“Trailer Ban”), such as order-execution-only
gage Fund that is an affiliate of its management com (“OEO”) dealers. This temporary exemptive relief permits
pany; and the facilitation of dealer rebates of trailing commissions to
vii. any associate or affiliate of the persons or institutions clients holding certain mutual funds in OEO dealer
mentioned in paragraphs (i), (v) and (vi) above that is accounts, in order to achieve a smooth transition towards
resident in, or organized, established, formed or other compliance with the Trailer Ban.
wise existing under the laws of Canada, except an
associate or affiliate that has an interest in a mortgage Changes to fundamental
on a single-family dwelling for less than $75,000. investment objectives
The fundamental investment objectives for each Fund are
Sales communications set out in this Simplified Prospectus. We can only change
We have received exemptive relief from section 15.3(c) and these fundamental objectives with approval of the investors
15.3(f) of NI 81-102 to permit the FundGrade A+ Awards, of the respective Fund. If we want to make a change to the
FundGrade Ratings, Lipper Fund Awards and Lipper Leader fundamental investment objectives, we will give investors at
Ratings to be referenced in sales communications relating least 21 days’ written notice of a meeting to vote on the
to a Fund, subject to certain conditions. change. A change is acceptable if a majority of the votes
cast at a meeting of investors held to consider the change
Relief to invest in UK IPUs and UCITS are voted in favour of the change. Please refer to the section
We have received exemptive relief from certain securities below called “Your rights as an investor in the Funds and
regulators to permit the Funds to: description of units of the Funds” for more information.
◆ invest in securities of any mutual fund that is an
exchange-traded fund (an ETF) that, but for the fact that
41
Certificates
Certificate of the Funds and the manager of the Funds

June 27, 2023
This Simplified Prospectus and the documents incorporated by reference into the Simplified Prospectus constitute
full, true and plain disclosure of all material facts relating to the securities offered by the Simplified Prospectus, as
required by the securities legislation of each of the provinces and territories of Canada, and do not contain any
misrepresentations.
HSBC Canadian Money Market Fund HSBC World Selection Diversified Conservative Fund
HSBC U.S. Dollar Money Market Fund HSBC World Selection Diversified Moderate Conservative Fund
HSBC Mortgage Fund HSBC World Selection Diversified Balanced Fund
HSBC Canadian Short/Mid Bond Fund HSBC World Selection Diversified Growth Fund
HSBC Canadian Bond Fund HSBC World Selection Diversified Aggressive Growth Fund
HSBC Global Corporate Bond Fund HSBC Wealth Compass Conservative Fund
HSBC Emerging Markets Debt Fund HSBC Wealth Compass Moderate Conservative Fund
HSBC Monthly Income Fund HSBC Wealth Compass Balanced Fund
HSBC U.S. Dollar Monthly Income Fund HSBC Wealth Compass Growth Fund
HSBC Canadian Balanced Fund HSBC Wealth Compass Aggressive Growth Fund
HSBC Dividend Fund HSBC Canadian Money Market Pooled Fund
HSBC Equity Fund HSBC Mortgage Pooled Fund
HSBC Small Cap Growth Fund HSBC Canadian Bond Pooled Fund
HSBC Global Equity Fund HSBC Global High Yield Bond Pooled Fund
HSBC Global Equity Volatility Focused Fund HSBC Global Inflation Linked Bond Pooled Fund
HSBC U.S. Equity Fund HSBC Emerging Markets Debt Pooled Fund
HSBC European Fund HSBC Canadian Dividend Pooled Fund
HSBC AsiaPacific Fund HSBC Canadian Equity Pooled Fund
HSBC Chinese Equity Fund HSBC Canadian Small Cap Equity Pooled Fund
HSBC Indian Equity Fund HSBC U.S. Equity Pooled Fund
HSBC Emerging Markets Fund HSBC International Equity Pooled Fund
HSBC Emerging Markets Fund II (formerly the HSBC BRIC HSBC Emerging Markets Pooled Fund
Equity Fund) HSBC Global Real Estate Equity Pooled Fund
HSBC Global Asset Management (Canada) Limited, on behalf of the Funds and in its capacity as manager, trustee
and promoter of the Funds.
(signed) (signed)
Marc Cevey Shikhar Mehra

Chief Executive Officer Chief Financial Officer
On behalf of the Board of Directors of HSBC Global Asset Management (Canada) Limited, on behalf of the Funds
and in its capacity as manager, trustee and promoter of the Funds.
(signed) (signed)
Lorenzo Tomei Raza Hasan

Director Director
42
Certificates (continued)
Certificate of the principal distributor of the Mutual Funds

June 27, 2023
To the best of our knowledge, information and belief, this Simplified Prospectus and the documents incorporated
by reference into the Simplified Prospectus constitute full, true and plain disclosure of all material facts relating to
the securities offered by the Simplified Prospectus, as required by the securities legislation of each of the prov
inces and territories of Canada, and do not contain any misrepresentations.
HSBC Investment Funds (Canada) Inc., in its capacity as principal distributor of the Mutual Funds.
(signed)
George Katsiris
Chief Operating Officer
43
Specific information about each of the
Funds described in this document
T
HIS PART of the Simplified Prospectus gives you detailed information about each of
our Funds. It explains the features of each Fund, such as its investment objectives
and strategies. Some information is common to all Funds and we have provided this
information below, rather than repeat it in each Fund description.
What is a mutual fund and what are the to buy or sell units of the Pooled Funds from time to time as
risks of investing in a mutual fund? necessary to ensure that your portfolio continues to reflect
your goals.
What is a mutual fund?
Currently the Pooled Funds are only available as part of the
A mutual fund is a pool of money that is professionally man HSBC Private Investment Counsel service or the HSBC
aged on behalf of a group of investors with similar invest World Selection® Portfolio service, and to institutional cli
ment objectives; the Mutual Funds and the Pooled Funds ents under an investment management agreement. They
are mutual funds. The investors then share in any gains or cannot be transferred to another dealer. Further information
losses generated by the mutual fund. When you invest in a regarding the HSBC World Selection Portfolio service can
mutual fund you do so by buying units of the mutual fund. be obtained by visiting a branch of HSBC Bank Canada or at
The mutual fund’s investment advisor then uses the money hsbc.ca/world-selection.
invested to buy a variety of securities and other investments
depending on the investment objectives of the mutual fund. What is discretionary management?
These can include stocks, bonds, foreign currencies, deriva Typically, discretionary management involves you giving an
tives, income trust units, short-term fixed income securities, investment professional the discretion to manage your port
exchange-traded funds or other mutual funds. When you folio in a manner that reflects your investment objectives.
buy units of a mutual fund you are indirectly buying these
The first step in the discretionary management process is to
underlying investments, and the value of your investment is
meet with your investment professional. You will complete
determined by the performance of these underlying invest
a comprehensive questionnaire to determine your invest
ments. Generally, you can at any time switch between ment objectives and risk profile. Your investment profes
mutual funds or sell your units back to the mutual fund in sional will then select an asset mix for your portfolio that
order to take your money out of a mutual fund. When you reflects your needs. Once you have reviewed and agreed to
sell your units back to the mutual fund, the value of your the recommended asset mix, your personalized portfolio
investment may have increased or decreased. is constructed.
How are the Pooled Funds different On a regular basis, an investment professional will review
your portfolio and buy or sell assets as necessary to ensure
from typical mutual funds?
it continues to reflect your objectives. This process allows
Although the Pooled Funds are mutual funds, an investment
you to benefit from our extensive investment capabilities
in the Pooled Funds is different from an investment in typi
while receiving the personalized service designed to make
cal mutual funds. The Pooled Funds are, generally, only you feel confident about your investments.
available to investors as part of a discretionary management
service or portfolio investment service provided by an What are the risks of investing in
authorized representative. Before investing in the Pooled
mutual funds?
Funds, your representative will work with you to determine
As with any investment, there are risks associated with
your overall investment goals and then propose a portfolio
investing in mutual funds. The value of a mutual fund’s
mandate to help you meet your goals. You will enter into an
underlying investments changes from day to day, which in
agreement under which you authorize your representative
turn affects the value of the mutual fund. Some of the fac
to decide which Pooled Fund(s) to invest your money in on
tors that can affect the value of a mutual fund’s underlying
your behalf. Each portfolio mandate contains a Pooled Fund
investments include:
or combination of Pooled Funds and other Funds tailored to
your particular investor profile. Once you are invested in the ◆ changes in interest rates;
Pooled Fund(s), your representative will exercise discretion ◆ current economic conditions;
44
Funds described in this document (continued)
◆ events in financial markets; allocation strategies in an attempt to add value to the Fund
◆ fluctuating currency values; and and to provide more stable returns by taking advantage of
current and expected future market conditions. This is done
◆ news about individual companies that the mutual fund by actively adjusting the Fund’s exposure to the different
has invested in. asset classes by increasing or decreasing its weight to a
The value of a mutual fund’s units can go up or down over particular asset class or asset classes, while remaining
time as a result of the changing value of the underlying within an acceptable range. Asset allocation risk is the risk
investments and the value of your investment in a mutual that one or more of the asset classes for which the Fund’s
fund may be more or less when you sell it than when you exposure was tactically increased may underperform rela
purchased it. tive to other asset classes; or conversely, that one or more
of the asset classes for which the Fund’s exposure was tac
Unlike Guaranteed Investment Certificates, also known as
tically decreased may outperform relative to other
GICs, or money you have deposited in a bank account, asset classes.
mutual fund units are not covered by the Canada Deposit
Insurance Corporation or any other government deposit
insurer or financial institution. None of your investment in a Bail-in debt risk
Fund is guaranteed. Financial institutions in some countries, including Canada,
are subject to laws that give the relevant governmental
Under exceptional circumstances, we may suspend your
authority broad powers to control and manage the risks to
right to sell your units of a Fund. See the section called
the financial system if financial institutions start to face diffi
“Purchases, switches and redemptions” for more details.
culties or fail.
Below we explain the specific risks that can apply to the This means that if the relevant governmental authority
Funds. Not all risks apply to each Fund. The risks, and the thinks that the stability and effective functioning of the
extent of the risks, that an individual Fund is exposed to will financial system is threatened by a financial institution that
depend on that Fund’s strategies and underlying invest is no longer viable, or that may have difficulty continuing to
ments. The section called “What are the risks of investing in operate, the governmental authority will have certain pow
the Fund?” for each Fund will tell you which risks are the ers to intervene, which may include the power to cancel all
principal risks that apply to that Fund. or a part of the principal amount of, or interest on, certain
bonds issued by the financial institution, change the terms
of such bonds or convert such bonds into shares or similar
How risk is related to return
instruments.
Generally, there is a strong relationship between the
Also, some debt instruments issued by financial institutions
amount of risk associated with a particular investment and
have a threshold that triggers conversion of the debt instru
that investment’s long-term potential to increase in value.
ment into shares or similar instruments, typically based on
Investments that have a lower risk also tend to have lower the financial institution’s capital ratio. So if the financial
returns because factors that can affect the value of the institution’s capital ratio falls below a certain point, the debt
investment, the risks, are well known or are well controlled instruments will automatically convert in order to increase
and have already been worked into the price of the invest the financial institution’s capital ratio.
ment. On the other hand, investments that could have If a Fund holds “bail-in debt” as part of its investment strat
potentially higher returns when conditions are favourable egy and a conversion occurs, it is highly likely that the value
also risk generating high losses if conditions become of the shares that it receives upon the conversion of the
unfavourable. This is because the factors affecting the value bonds will be worth much less than what the Fund paid for
of such investments are less certain or difficult to control. the bonds, and the Fund may lose all of its investment. Fur
ther, it is difficult to predict when a governmental authority
Asset allocation risk may decide to exercise this power or to predict if a financial
institution’s capital ratio will fall below the relevant thresh
Funds that invest across different asset classes, such as old, which means a Fund may not be able to dispose of
domestic fixed income, foreign fixed income, Canadian such bonds before a conversion occurs.
equities and/or foreign equities, will assign a strategic
weight to each of the asset classes that is consistent with
the intended investment objective and risk profile of the
Concentration risk
Fund. This is called “asset allocation”. In certain cases, the Concentration risk is the risk associated with investments
Fund’s investment advisor may also utilize tactical asset that are concentrated in a particular issuer, group of issuers
or sector, or in a single country or region of the world. Con
45
centration of investments allows a Fund to focus on the Cyber security risk

potential of a particular issuer, sector or region. However,
Cyber security risk is the risk of loss and liability to an orga
concentration also means that the value of the Fund tends
nization resulting from a failure or breach of the information
to be more volatile than the value of a more diversified Fund
technology systems used by or on behalf of the organization
because the Fund’s value is affected more by the perfor
and its service providers, including incidents resulting in
mance of that particular issuer, group of issuers, sector,
unauthorized access, use or disclosure of sensitive, regu
country or region.
lated or protected data. The use of the Internet and informa
tion technology systems by us, the Funds and their service
Credit risk providers may expose us and the Funds to potential loss or
When you invest in fixed income securities, such as bonds, liability arising from cyber security incidents.
you are making a loan to the company or the government Cyber incidents can result from deliberate attacks or unin
issuing the security. Credit risk is the risk that they may not tentional events, and may arise from internal sources (e.g.,
be able to pay back this loan when it comes due. Fixed employees, contractors, service providers, suppliers and
income securities are also rated by organizations such as operational risks) or external sources (e.g., nation states,
Standard & Poor’s. If a security’s rating is downgraded terrorists, hacktivists, competitors and acts of nature). Cyber
because the rating organization feels the issuer may not be incidents include, but are not limited to, unauthorized
able to pay investors back, the value of the investment may access to information systems and data (e.g., through hack
fall. ing, malicious software or phishing) for purposes of misap
propriating or corrupting data or causing operational disrup
Currency risk tion. Cyber incidents also may be caused in a manner that
Funds that hold investments in foreign securities are subject does not require unauthorized access, such as causing
to currency risk as they may be required to pay for these denial-of-service attacks on websites (e.g., efforts to make
securities using foreign currency and receive foreign cur network services unavailable to intended users).
rency when they sell them. Certain funds may also purchase A cyber incident that affects us, the Funds or our or the
foreign currencies as investments. Currency risk applies to Funds’ service providers (including, but not limited to a
any Fund that has foreign investments in its portfolio, to the Fund’s portfolio advisors, transfer agent, custodian and sub-
extent that this exposure is not directly hedged by foreign custodians) might cause disruptions and adversely affect
exchange contracts. their respective business operations (e.g., interference with
Changes in the currency exchange rates between Canada the Funds’ ability to calculate their net asset value and
and the country where a Fund holds an investment affect impediments to trading, to investor transactions with the
the Canadian dollar value of that investment because it Funds and to the Funds’ processing of transactions, includ
must be bought and sold with a foreign currency. When the ing redeeming units), cause disclosure or modification of
value of the Canadian dollar falls in relation to foreign cur sensitive or confidential client or competitive information
rencies, the Canadian dollar value of foreign securities will and might also result in violations of applicable law. Each of
rise because selling them will bring investors a higher these might result in potentially significant financial losses
amount in Canadian dollars. Conversely, when the value of and liabilities, regulatory fines and penalties, sanctions,
the Canadian dollar rises, the Canadian dollar value of reputational harm, and reimbursement and other compen
foreign securities falls because their sale would earn fewer sation costs to us or the Funds. In addition, substantial
Canadian dollars. costs might be incurred to investigate, remediate and pre
Additional information for U.S. dollar denomi vent cyber incidents.
nated units We and the Funds have established business continuity
Capital gains and losses for U.S. dollar denominated units plans and risk management systems to minimize the risk of
need to be reported in Canadian dollars. Additionally, U.S. a security breach and/or cyber incidents. However, there are
dollar denominated units distribute income in U.S. dollars, inherent limitations to these plans and systems, including
but it must be reported in Canadian dollars for income tax the possibility that certain risks have not been identified.
purposes. Consequently, changes in the value of the Cana Additionally, while we have vendor oversight policies and
dian dollar relative to the U.S. dollar may affect income tax procedures in place we cannot control the cyber security
payable. Additional information describing tax reporting for plans and systems of third-party service providers whose
mutual fund units or series denominated in U.S. dollars can operations may affect the Funds or their investors. As a
be found in the Income tax considerations for investors sec result, the Funds and their investors could be nega
tion of this prospectus. tively affected.
46
Derivative risk ESG scoring data and may be subject to certain operational
and data quality risks associated with reliance on third party
A derivative is usually a contract between two parties to buy
service providers and data sources. ESG data provided by
or sell an asset at a future date. The value of the contract is
third parties may not always be reliable, consistent or avail
derived from the market price or value of the underlying
able and this may impact a fund’s ability to accurately
asset, such as currency or stocks, or an economic indicator, assess sustainability risks and effectively promote environ
such as stock market indices or interest rates. Derivatives mental and social characteristics.
may be used for hedging and non-hedging purposes.
To hedge is to reduce the risk of an existing investment by
Foreign market risk
fixing some or all aspects of the price of that investment at
Investing in foreign markets can present additional risk
some point in the future. Hedging through the use of deriva
because foreign countries often have different accounting
tives may help reduce the risks associated with other invest
and financial reporting standards, political and legal sys
ments, including currency value fluctuations, stock market
tems, securities and stock exchange practices, and cultures
risks and interest rate changes. However, there can be no
and customs from those in Canada. Investments in a
assurance that a Fund’s hedging strategies will be effective.
foreign market may also be subject to exchange control
Hedging against changes in currencies, stock markets or requirements, imposition of various taxes, withholding taxes
interest rates does not necessarily eliminate all fluctuations prior to payment of dividends or other distributions, and
in the price of portfolio securities or prevent losses if the expropriation of assets. The ability of a Fund to make distri
price of those securities declines. Hedging may also reduce butions to investors assumes the continuing free exchange
the opportunity for gain if the value in the Fund’s reporting of the currencies in which the Fund is invested. As a result,
currency of the hedged currency or stock market should rise the value of securities that are issued by a company in a
or if the hedged interest rate should fall. It may not be pos foreign market may be lower, as they may be less liquid and
sible for a Fund to protect its investments against generally more volatile than those issued by similar companies in
anticipated changes in currencies, stock markets or interest North America. In general, investments in more developed
rates through the use of derivatives. markets, such as the U.S. and Western Europe, have lower
The use of derivatives for hedging or non-hedging purposes foreign market risk, while investments in emerging markets,
is subject to risks, including: such as Southeast Asia or Latin America, have higher
foreign market risk.
◆ the other party to a derivative contract may not meet
its obligations;
Fund of funds risk
◆ a Fund may not be able to buy or sell a derivative to
Certain of the Funds invest directly in, or obtain exposure to,
make a profit or cover a loss; and
other mutual funds as part of their investment strategy.
◆ derivatives traded on foreign markets may be less liquid These Funds will be subject to the risks of the underlying
than derivatives traded on North American markets. funds. In addition, if a Fund holds units of an underlying
Derivatives will be used in a way that is consistent with fund, and the underlying fund suspends redemptions, the
each Fund’s investment objectives and as permitted by the Fund will be unable to value part of its portfolio and may be
Canadian securities regulatory authorities. unable to redeem units in the underlying fund. These Funds
may have more than 10% of their net assets invested in an
underlying fund or they may own more than 10% of the
Environmental, social and governance units of an underlying fund at any time. Therefore, if the
(ESG) risk Funds redeem a large number of units of the underlying
Certain funds may consider environmental, social and gov funds, it may cause the underlying fund to have to change
ernance (ESG) factors in their investment approach, which the composition of its portfolio significantly or sell its invest
may limit the types and number of investment opportunities ments at unfavourable prices, which could impact the over
available. Investment returns for funds that consider ESG all performance of the underlying fund, and consequently
the Funds’ remaining investment, if any, in the underly
factors in their investment approach may also differ from
ing fund.
traditional asset class indices. If ESG related investing meth
odologies are applied within a fund, these methodologies
may not reflect the ESG values of any particular investor Income trust risk
and may not eliminate the possibility of the fund having Income trusts commonly hold debt or equity securities in, or
exposure to companies that exhibit negative ESG character are entitled to receive royalties from, an underlying active
istics. Also, these funds may rely on third parties to provide business. Income trusts generally fall into four sectors: busi
47
ness trusts, utility trusts, resource trusts and real estate applicable index being replicated. Even if the index is per
investment trusts. Income trusts face similar risks to those forming poorly, the index fund would continue to invest in
set out in the “Security risk” section on page 49. the securities of the index. That means the index fund will
Investments in income trusts have varying degrees of risk, not be able to reduce risk by diversifying its investments
depending on the sector and the underlying assets. Such into securities listed on other indices. As a result, the perfor
investments are also subject to general risks associated mance of an index fund may differ significantly from the
with business cycles, commodity prices, interest rates and performance of an actively managed exchange-traded fund
other economic factors. or mutual fund.
Returns on income trusts are neither fixed nor guaranteed. The risks described above will also impact a Fund that pri
marily invests in index funds or index-tracking exchange-
Income trusts and other securities that are expected to dis
traded funds.
tribute income are more volatile than fixed income securi
ties. The value of income trust units may decline signifi
cantly if they are unable to meet their distribution targets. Indexed debt obligation risk
To the extent that claims against an income trust are not The Funds may invest in real return bonds and inflation-
satisfied by the trust, investors in the income trust (includ linked bonds that are “indexed debt obligations” under the
ing a mutual fund that invests in the income trust) could be Income Tax Act (Canada) (“Tax Act”). As a result, the Funds
held responsible for such obligations. Some, but not all, are required by the Tax Act to include a notional amount in
jurisdictions in Canada have enacted legislation to protect its income for a taxation year, calculated by reference to an
investors from some of this liability. increase in the inflation rate on the principal of the invest
ment, notwithstanding that the Funds will not receive this
Index risk amount in the year. Because the Funds must distribute all of
its net income to its investors each year for income tax pur
While an index fund aims to track the return of an index as
poses, any amount deemed to be received by the Funds in
closely as possible, no financial instrument enables the
respect of a fluctuation in the inflation rate on the principal
return of an index to be reproduced exactly. A number of
amounts of the real return bonds and inflation-linked bonds
factors may cause this, including:
will also be taken into account in determining the amount of
◆ Fees that may include transaction costs, operating taxable distributions to investors of that Fund.
expenses, custody costs and taxes as a result of
changes in the investments of the index fund and
re-weightings of the index, corporate actions, currency
Interest rate risk
fluctuations, cash flows into and out of the index fund Funds that invest in debt instruments – including, but not
from dividends/reinvestments and any other costs and limited to, bonds, mortgages and debentures – are subject
expenses that are not taken into account in the calcula to interest rate risk. Debt instruments earn a fixed rate of
tion of the index. interest, which is paid to investors on a regular basis, often
semi-annually or annually. When interest rates rise, existing
◆ Internal investment restrictions or other market or regu investments in debt instruments become less valuable
latory driven trading restrictions that apply to the index because new debt instruments will pay the current, higher
fund but not the index. See the section called “Invest rate of interest. Therefore, as interest rates rise the price
ment restrictions” for more information around inter that investors are willing to pay for the existing investments
nal restrictions. in debt instruments will fall. Conversely, if interest rates fall,
◆ In the event of the temporary suspension or interruption the value of existing investments in debt instruments with a
of trading in the investments comprising an index, or of higher rate of interest will rise. Longer-term debt instru
market disruptions, rebalancing the index fund’s invest ments are generally more sensitive to changes in interest
ment portfolio may not be possible and may result in rates than other securities. In addition, to the extent a Fund
deviations from the returns of the index. invests in instruments with a negative yield (e.g., where
An index fund is permitted to invest more than 10% of its there are negative interest rates), its value could
net asset value in securities of any one issuer in order to be impaired.
more accurately track an index. When this happens, it cre
ates Concentration risk, as described earlier in this section. Large redemption risk
Because an index fund aims to track the return of an index, An investor, group of investors or another mutual fund may
it would not sell a security if the security’s issuer was in hold a large portion of the outstanding units of a Fund. If an
financial trouble, unless the security is removed from the investor, group of investors or another mutual fund redeems
48
units representing a large portion of the outstanding units of in interest rates, the Fund may earn less income than the
a Fund, generally representing 10% or more of the net asset amount of its regular distributions. To help maintain a con
value of the Fund, the Fund may be required to change the sistent payout rate, or to supplement the payments to a
composition of the portfolio significantly or sell a significant fixed distribution, a return of capital is added to make up the
portion of its investments at unfavourable prices, which remainder of the payment. A distribution that is in excess of
could affect the overall performance of the Fund. a Fund’s net income or net realized capital gains represents
a return of some or all of the investor’s investment back to
the investor. A return of capital does not reflect the Fund’s
Liquidity risk investment performance and should not be confused with
Liquidity risk is the risk that a significant portion of invest “yield” or “income”. You should not draw any conclusions
ments within a Fund’s portfolio cannot be readily converted about the Fund’s investment performance from the amount
into cash when required. While each Fund has guidelines of this distribution. Return of capital that is not reinvested
intended to limit the amount of illiquid securities that it may will reduce the total net asset value of the particular series
hold at any given time, the Funds are exposed to varying on which it was paid and will reduce the total net assets of
degrees of liquidity risk depending on market conditions. the mutual fund available for investment, which may reduce
the ability of the Fund to generate future income.
Market risk
Funds that invest in securities listed on a stock exchange
Securities lending, repurchase and reverse
will be affected by general changes in the stock market. repurchase transaction risk
This is referred to as market risk. Stock market changes can There are risks associated with securities lending, repur
be caused by a number of factors, including interest-rate chase and reverse repurchase transactions because the
fluctuations, changes in market outlook and changes in the value of securities loaned under a securities lending trans
economic, social or political climate of the region. For action or sold under a repurchase transaction may exceed
example, if a recession is forecasted, the stock market may the value of the collateral held by the Fund. If there is a
fall as investors fear poor economic performance and falling default on an obligation to return or resell the securities to
stock prices. As investors sell their securities in an effort to the Fund, the collateral may be insufficient to enable the
minimize their losses, securities of a company listed on an Fund to purchase replacement securities and the Fund may
exchange may be negatively affected by the overall down suffer a loss for the difference. Similarly, the value of securi
ties purchased by a Fund under a reverse repurchase trans
ward movement of the market, even if the company that
action may decline below the amount of cash paid by the
issued the securities is still strong.
Fund. If there is a default on an obligation to repurchase the
securities from the Fund, the Fund may need to sell the
Multiple series unit risk securities for a lower price and suffer a loss for the differ
The Mutual Funds have authorized multiple series of units. ence.
Each series of units will be charged any expenses that are For more information about how the Funds engage in these
specifically attributable to that series. The expenses will be types of transactions, please see the section in the introduc
deducted in calculating the unit price only for that series of tion to the second part of this Simplified Prospectus called
units, and will reduce the value of a Mutual Fund’s assets “Securities lending transactions, repurchase transactions and
that are attributable to that series. However, the expenses reverse repurchase transactions”.
will continue to be liabilities of the Mutual Fund as a whole
and if there are insufficient assets attributable to the series Security risk
to pay the expenses, the remaining assets of a Mutual Fund When a Fund invests in a company, factors specifically
would be used to pay the excess expenses. In these circum regarding that company may affect the value of the Fund’s
stances, the unit prices of the other series would decline by investment. This is referred to as security risk. Company-
their proportionate share of the excess expenses. Please specific factors include how it is managed, the products it
refer to the sections called “Purchases, switches and sells and its financial health. If the company performs poorly
redemptions” and “Fees and expenses” for a further explana in one or more of these areas, the value of its shares may
tion of each series and the fees applicable to them. decrease. Security risk is one reason that the value of a
company’s shares may fall despite a rising market.
Return of capital risk
Some mutual funds aim to provide a reasonably consistent Short sale risk
or fixed level of monthly cash flow to investors. In certain The Funds’ short sales, if any, are subject to special risks. A
situations, such as periods of declining markets or changes short sale involves the sale by a Fund of a security that has
49
been loaned to it with the hope of purchasing the same 81-102, which are designed in part to ensure that the invest
security at a later date at a lower price. The Funds may also ments of the Funds are diversified and relatively liquid, and
enter into a short derivative position through a futures con to ensure the proper administration of the Funds. The Funds
tract or swap agreement. If the price of the security or are managed in accordance with these restrictions and
derivative has increased during this time, then the Fund will practices. The Funds have received approvals from the IRC,
incur a loss equal to the increase in price from the time that and exemptive relief from securities regulators, which in
the short sale was entered into plus any premiums and
some cases varies these restrictions and requirements. See
interest paid to the third party. Therefore, short sales involve
the section called “Exemptions and approvals” for more
the risk that losses may be exaggerated, potentially losing
more money than the actual cost of the investment. Also, details on these exemptive reliefs.
there is the risk that the third party to the short sale may fail The following internal restrictions on investments apply to
to honour its contract terms, causing a loss to the Fund. A all of the Funds, including any Funds that intend to track the
Fund may also experience difficulties in repurchasing the return of an index that may include companies involved in
borrowed securities if a liquid market for the securities does these types of activities. Where involvement in the below
not exist. See the section called “Short selling” for additional activities is apparent, it is our policy to not knowingly invest
details regarding short sales that may be conducted by in such companies. Any exceptions to these internal restric
the Funds. tions will be described in the “Investment strategies” section
of the Funds.
Small capitalization risk Companies are screened for their involvement in the:
Securities of small companies are usually traded less fre ◆ use, development, manufacturing, stockpiling, transfer
quently and in smaller volumes than those of larger compa
or trade of anti-personnel mines, biological weapons,
nies. Funds that invest a significant portion of their assets in
blinding laser weapons, chemical weapons, cluster
small companies are subject to small capitalization risk and
may find it more difficult to buy and sell securities and tend munitions and non-detectable fragments, including
to be more volatile than Funds that focus on larger capital through indirect investment;
ization companies. ◆ purchase, sale, exchange, acceptance, holding or any
other use of virtual currencies, including through indirect
Tax loss restriction event risk investment; and
If a Fund experiences a “loss restriction event”: (i) the Fund ◆ production, distribution and/or selling of cannabis prod
will be deemed to have a year-end for tax purposes, and ucts for recreational use.
(ii) the Fund will become subject to the loss restriction rules
generally applicable to corporations that experience an Your rights as an investor in the Funds
acquisition of control, including a deemed realization of any and description of units of the Funds
unrealized capital losses and restrictions on their ability to As an investor in the Funds, you have certain rights that are
carry forward losses. A Fund will be subject to a loss restric set out in the Master Declaration of Trust for the Mutual
tion event when a person becomes a “majority-interest ben
Funds, the Trust Indenture for the Pooled Funds, and in
eficiary” of the Fund, or a group of persons becomes a
applicable securities laws. Certain of these rights are briefly
“majority-interest group of beneficiaries” of the Fund, as
those terms are defined in the affiliated persons rules con described below.
tained in the Tax Act, with appropriate modifications. Gen All units of the Mutual Funds have equal rights and privi
erally, a majority-interest beneficiary of a Fund will be a ben leges, with the exception that each Mutual Fund has differ
eficiary who, together with the beneficial interests of ent series of units with different eligibility requirements. All
persons and partnerships with whom the beneficiary is affili units of the Pooled Funds have equal rights and privileges.
ated, has a beneficial interest in the Fund that has a fair Units of the Funds are not transferable and may not
market value that is greater than 50% of the fair market be assigned.
value of all the interests in the income or capital, respec
tively, in the Fund. Generally, a person is deemed not to Each unit of a Fund entitles the holder:
become a majority-interest beneficiary, and a group of per ◆ to one vote at any meeting of investors of the Fund, or a
sons is deemed not to become a majority-interest group of meeting of investors of that specific series of Mutual
beneficiaries, of a Fund if the Fund meets certain invest Fund,
ment requirements and qualifies as an “investment fund” as
◆ to redeem units;
defined in the Tax Act.
◆ for Mutual Funds, to participate equally with all other
Investment restrictions units of the series in the regular distribution of net
Each Fund is subject to certain restrictions and require income and net realized capital gains of the Mutual Fund
ments contained in securities legislation, including NI allocable to the series;
50
◆ for Mutual Funds, if the Mutual Fund is being terminated the increase at least 60 days before the increase
and wound-up, to participate equally with all other units becomes effective;
of the series, in the distribution of the series’ share of net ◆ introduce a fee or expense that could result in an
assets of the Mutual Fund that remain after the Mutual increase in charges to a Fund or its investors, unless
Fund’s liabilities have been paid; and investors are provided with written notice of the increase
◆ for Mutual Funds, to convert units from one series of at least 60 days before the increase becomes effective;
units of a Mutual Fund to another series of units of the ◆ change the manager of a Fund, unless the new manager
same Mutual Fund (also called “switching”), subject to is an affiliate of the current manager;
any conditions that must be satisfied.
◆ change the fundamental investment objectives of a
Investors of a Mutual Fund will be entitled to vote sepa Fund;
rately as a series if that series is affected by the matter
◆ decrease the frequency of calculating a Fund’s net asset
being voted on in a manner materially different from holders
value;
of other series of units of the Mutual Fund, or if applicable
laws otherwise require a separate vote. ◆ reorganize a Fund, or transfer a Fund’s assets to another
investment fund, if the Fund ceases to continue after the
See the section called “Purchases, switches and redemp
reorganization or transfer of assets and the transaction
tions” for more information on how to redeem or switch results in the investors of the Fund becoming investors
your units of a Fund. in the investment fund, unless investors are provided
Your right to approve certain changes with written notice of the transaction at least 60 days
Under the Master Declaration of Trust for the Mutual Funds, before the effective date of the transaction and certain
your approval is required to: other requirements are met;
◆ change the fundamental investment objectives of a ◆ reorganize a Fund, or acquire assets from another
Mutual Fund; investment fund, if the Fund continues after the reorga
nization or acquisition of assets, the transaction results
◆ change the manager or trustee of a Mutual Fund, unless
in the investors of the other investment fund becoming
the new manager or trustee is an “affiliate” of the cur
investors in the Fund and the transaction would be a
rent manager or trustee within the meaning of appli
material change to the Fund; or
cable securities laws; or
◆ restructure a Fund into a non-redeemable investment
◆ decrease the frequency of calculating a Mutual Fund’s
fund or into an issuer that is not an investment fund.
net asset value.
We will hold a meeting of investors to seek your approval
Under the Trust Indenture for the Pooled Funds, your
with respect to any changes of the type described above.
approval is required to:
Generally, a change will be considered to be approved by
◆ change the fundamental investment objectives of a investors of a Fund if a resolution is passed by a majority of
Pooled Fund; the votes cast at a meeting of investors properly held to
◆ change the manager or assign any of the manager’s consider the change.
rights and obligations to a non-affiliate; Other than as described above or as required under appli
◆ change the auditor of a Pooled Fund; cable laws, we are permitted to change the Master Declara
◆ change a material contract in a manner that results in tion of Trust for the Mutual Funds with at least 30 days’
higher fees or expenses being charged to a Pooled prior written notice before certain changes become effective
Fund; or and for the Trust Indenture for the Pooled Funds with 30
days’ prior notice before certain changes become effective
◆ allow a Pooled Fund to begin investing in derivatives,
if the proposed amendment prejudices the rights of the
unless the Pooled Fund meets any notice requirements
unitholders of the Pooled Funds or us.
set by securities regulators.
Your right to receive distributions
Under NI 81-102, your approval is required to:
Depending on the Fund, net income, if any, will be distrib
◆ change the basis of calculating a fee or expense that is
uted to investors either monthly, quarterly or annually in
charged to a Fund or its investors in a way that could
December. Net realized capital gains, if any, will be distrib
result in an increase in charges to the Fund or its inves uted annually in December, except for Investor T Series, DT
tors, unless investors are provided with written notice of Series and Premium T Series units, where net realized capi
tal gains, if any, will be distributed monthly.
51
Distributions from the Funds are paid to you based on the Fund name Income distribution Capital gains distribution
number of units you own on the last business day prior to
HSBC Chinese Equity Fund Annually Annually
the date of the distribution, or on the date the net income is
credited to you in the case of the HSBC Canadian Money HSBC Indian Equity Fund Annually Annually
Market Fund, HSBC U.S. Dollar Money Market Fund and HSBC Emerging Markets Fund Annually Annually
the HSBC Canadian Money Market Pooled Fund.
HSBC Emerging Markets Fund Annually Annually
Distributions from each Fund are automatically reinvested in II (formerly the HSBC BRIC
additional units of the same series of a Mutual Fund or addi- Equity Fund)
tional units of the same Pooled Fund that you hold, unless
HSBC U.S. Equity Index Fund Annually Annually
you tell your representative in advance that you want to
receive distributions in cash. Cash distributions are not HSBC International Equity Annually Annually
Index Fund
available for Funds held through the World Selection Portfo
lio service. Given the nature of Investor T Series, DT HSBC Emerging Markets Annually Annually
Series and Premium T Series units, we recommend Equity Index Fund
that you request cash distributions if you hold your HSBC World Selection Annually Annually
units in a non-registered plan. Diversified Conservative Fund
Additional information about the distributions for the HSBC HSBC World Selection Annually Annually
Monthly Income Fund and HSBC U.S. Dollar Monthly Diversified Moderate
Income Fund can be found in the “Distribution policy” sec Conservative Fund
tion of those Funds. HSBC World Selection Annually Annually

Diversified Balanced Fund
Fund name Income distribution Capital gains distribution
HSBC World Selection Annually Annually
HSBC Canadian Money Monthly Annually Diversified Growth Fund
Market Fund
HSBC World Selection Annually Annually
HSBC U.S. Dollar Money Monthly Annually Diversified Aggressive
Market Fund Growth Fund
HSBC Mortgage Fund Monthly Annually HSBC Wealth Compass Annually Annually
Conservative Fund
HSBC Canadian Short/Mid Monthly Annually
Bond Fund HSBC Wealth Compass Annually Annually
Moderate Conservative Fund
HSBC Canadian Bond Fund Monthly Annually
HSBC Wealth Compass Annually Annually
HSBC Global Corporate Monthly Annually Balanced Fund
Bond Fund
HSBC Emerging Markets Monthly Annually Growth Fund
Debt Fund
HSBC Monthly Income Fund Monthly Annually* Aggressive Growth Fund
HSBC U.S. Dollar Monthly Monthly Annually* HSBC Canadian Money Market Monthly Annually
Income Fund Pooled Fund
HSBC Canadian Balanced Fund Quarterly Annually HSBC Mortgage Pooled Fund Monthly Annually
HSBC Dividend Fund Quarterly Annually HSBC Canadian Bond Quarterly Annually
Pooled Fund
HSBC Equity Fund Quarterly Annually
HSBC Global High Yield Bond Quarterly Annually
HSBC Small Cap Growth Fund Annually Annually
Pooled Fund
HSBC Global Equity Fund Annually Annually
HSBC Global Inflation Linked Quarterly Annually
HSBC Global Equity Volatility Annually Annually Bond Pooled Fund
Focused Fund
HSBC Emerging Markets Debt Quarterly Annually
HSBC U.S. Equity Fund Quarterly Annually Pooled Fund
HSBC European Fund Annually Annually HSBC Canadian Dividend Quarterly Annually
Pooled Fund
HSBC AsiaPacific Fund Annually Annually
52
Fund name Income distribution Capital gains distribution ◆ the value of each outstanding unit of the Pooled Fund
will be calculated based on the fair market value of the
HSBC Canadian Equity Annually Annually
Pooled Fund Pooled Fund’s assets, minus its liabilities, on the date
the Pooled Fund’s operations ended; and
HSBC Canadian Small Cap Annually Annually
Equity Pooled Fund ◆ on the termination date, you will be entitled to be paid
the value of the units you held on that date calculated as
HSBC U.S. Equity Pooled Fund Annually Annually
above.
HSBC International Equity Annually Annually
Pooled Fund Redesignation of units of the Mutual Funds
Under the Master Declaration of Trust for the Mutual Funds,
HSBC Emerging Markets Annually Annually
Pooled Fund we may from time to time and as disclosed in the Mutual
Fund’s disclosure documents, redesignate units of a par
HSBC Global Real Estate Equity Annually Annually
Pooled Fund ticular series of a Mutual Fund to any other series of units of
the same Mutual Fund based on the applicable series Net
* Monthly distributions on the Investor T Series, DT Series
and Premium T Series units will consist of net income, net Asset Value per unit for the two series of units on the date
realized capital gains and/or a return of capital. of the redesignation. We will only exercise the right to
redesignate units of a particular series of units of a Mutual
Rights when a Mutual Fund is terminated
Fund as units of any other series of units of the same
We may end the operations of a Mutual Fund, or series of Mutual Fund where the following conditions are met:
units of a Mutual Fund, by giving you 60 days’ advance
written notice. On liquidation, you are entitled to participate ◆ you will receive units in a series of the same Mutual
equally with all other holders of units of the same series as Fund with the same value as the series of units that is
yours in the net assets of that Mutual Fund applicable to redesignated, based on the Net Asset Value per unit for
that series remaining after the Mutual Fund pays any out the two series of units on the date of the redesignation;
standing liabilities. If we end the operations of a Mutual ◆ the redesignation is completed at no cost to you; and
Fund, or series of units of a Mutual Fund, in which you own
units, the process for distributing the Mutual Fund’s assets ◆ the redesignation is not a disposition for tax purposes.
will be as follows:
Name, formation and history of
◆ within 60 days of the Mutual Fund’s termination date,
we will sell all securities owned by the Mutual Fund; the Funds
◆ the value of each outstanding unit of the Mutual Fund, The table below lists the names of the Funds and the dates
or series of units of a Mutual Fund, will be calculated by they were established.
dividing the cash proceeds from the disposal of the The Mutual Funds in existence prior to December 17, 2001,
investment portfolio (less all liabilities) attributable to were established as open-ended unit investment trusts
that series by the number of units of that series out under separate Declarations of Trust governed by the laws
standing on the termination date; and of Ontario or British Columbia, as described below. On
◆ on the termination date, you will be entitled to be paid December 17, 2001, the Declarations of Trust for the
the value of the units you held on that date calculated as Mutual Funds then established were consolidated into a
above. single Master Declaration of Trust governed by the laws of
Rights when a Pooled Fund is terminated British Columbia and all Mutual Funds are now governed by
We may end the operations of a Pooled Fund by giving writ this Master Declaration of Trust.
ten notice to the Pooled Fund’s trustee. In addition, we will All Pooled Funds have been established as open-ended unit
provide 60 days’ advance notice to investors of the termina investment trusts under the laws of British Columbia under
tion of the Pooled Fund. On liquidation, you are entitled to
a Trust Indenture, which was amended and restated as of
participate equally with all other holders of units of the
April 5, 2021.
Pooled Fund after the Pooled Fund pays any outstanding
liabilities. If we end the operations of a Pooled Fund in
which you own units, the process for distributing the Pooled
Established under
Fund’s assets will be as follows:
Name Date established laws of
◆ within 90 days of the date on which we provide notice to
HSBC Canadian Money Market Fund December 8, 1988 Ontario
the trustee that the Pooled Fund’s operations will end,
we will sell all of the securities owned by the Pooled HSBC U.S. Dollar Money Market Fund December 5, 1997 British Columbia
Fund;
53
Established under Established under

Name Date established laws of Name Date established laws of
HSBC Mortgage Fund October 30, 1992 British Columbia HSBC Wealth Compass Balanced Fund February 5, 2018 British Columbia
HSBC Canadian Short/Mid Bond Fund December 16, 2019 British Columbia HSBC Wealth Compass Growth Fund February 5, 2018 British Columbia
HSBC Canadian Bond Fund December 1, 1994 British Columbia HSBC Wealth Compass Aggressive February 5, 2018 British Columbia
Growth Fund
HSBC Global Corporate Bond Fund June 3, 2015 British Columbia
HSBC Canadian Money Market December 2, 1987 British Columbia
HSBC Emerging Markets Debt Fund June 27, 2011 British Columbia Pooled Fund
HSBC Monthly Income Fund December 16, 2004 British Columbia HSBC Mortgage Pooled Fund November 19, British Columbia
2004
HSBC U.S. Dollar Monthly Income Fund December 16, 2010 British Columbia
HSBC Canadian Bond Pooled Fund December 2, 1987 British Columbia
HSBC Canadian Balanced Fund December 8, 1988 Ontario
HSBC Global High Yield Bond November 21, British Columbia
HSBC Dividend Fund December 1, 1994 British Columbia
Pooled Fund 2006
HSBC Equity Fund December 8, 1988 Ontario
HSBC Global Inflation Linked Bond December 16, 2009 British Columbia
Pooled Fund
HSBC Small Cap Growth Fund December 1, 1994 British Columbia
HSBC Emerging Markets Debt December 20, 2010 British Columbia
HSBC Global Equity Fund December 5, 1997 British Columbia
Pooled Fund
HSBC Global Equity Volatility June 3, 2015 British Columbia
HSBC Canadian Dividend Pooled Fund November 8, 1996 British Columbia
Focused Fund
HSBC Canadian Equity Pooled Fund December 2, 1987 British Columbia
HSBC U.S. Equity Fund October 12, 1994 Ontario
HSBC Canadian Small Cap Equity March 1, 1994 British Columbia
HSBC European Fund October 12, 1994 Ontario
Pooled Fund
HSBC AsiaPacific Fund November 19,1993 Ontario
HSBC U.S. Equity Pooled Fund December 2, 1987 British Columbia
HSBC Chinese Equity Fund December 16, 2003 British Columbia
HSBC International Equity Pooled Fund December 31, 1994 British Columbia
HSBC Emerging Markets Pooled Fund December 16, 2009 British Columbia
HSBC Indian Equity Fund December 16, 2008 British Columbia
HSBC Global Real Estate Equity December 16, 2014 British Columbia
HSBC Emerging Markets Fund October 12, 1994 Ontario
Pooled Fund
HSBC Emerging Markets Fund II December 16, 2006 British Columbia
We manage the Funds. Our head office is located at
(formerly the HSBC BRIC Equity Fund)
3rd Floor, 885 West Georgia Street, Vancouver, British
HSBC U.S. Equity Index Fund December 16, 2020 British Columbia Columbia, V6C 3E8.
HSBC International Equity Index Fund December 16, 2020 British Columbia Some of the Funds have changed their names in the past.
HSBC Emerging Markets Equity December 16, 2020 British Columbia The table below lists the current names of the Funds, their
Index Fund previous names within 10 years (if applicable) and the date
HSBC World Selection Diversified December 16, 2004 British Columbia
on which the names changed (if applicable).
Conservative Fund
Current name Previous name (date changed)
Moderate Conservative Fund HSBC Global High Yield Bond HSBC U.S. High Yield Bond Pooled
Pooled Fund Fund (December 16, 2014)
Balanced Fund HSBC Emerging Markets Fund II HSBC BRIC Equity Fund (December 2,
2022)
HSBC World Selection Diversified December 16, 2004 British Columbia Fund mergers
Growth Fund
Some of the Funds have been involved in mergers in the
Aggressive Growth Fund
past. The table below lists the Funds that participated in
HSBC Wealth Compass February 5, 2018 British Columbia

Conservative Fund
HSBC Wealth Compass Moderate February 5, 2018 British Columbia

Conservative Fund
54
mergers within the past 10 years, and the date on which Previous Current
those mergers took place. Date of investment investment
Fund name change advisor advisor
Fund Details of merger
HSBC Indian September 16, 2013 HSBC Global Asset HSBC Global Asset
HSBC Canadian Equity Pooled Fund On March 20, 2015, the HSBC Equity Fund Management Management (Hong
MultiAlpha Canadian Equity Pooled (Singapore) Limited Kong) Limited
Fund was merged into the HSBC June 8, 2023 HSBC Global Asset HSBC Global Asset
Canadian Equity Pooled Fund Management (Hong Management
Kong) Limited (Singapore) Limited
HSBC U.S. Equity Pooled Fund On March 20, 2015, the HSBC
MultiAlpha U.S. Equity Pooled Fund HSBC Emerging March 12, 2015 HSBC Global Asset HSBC Global Asset
was merged into the HSBC Markets Fund II Management Management
U.S. Equity Pooled Fund (formerly the HSBC (France) (UK) Limited
BRIC Equity Fund)
Changes to fundamental investment objectives or HSBC Global September 23, 2015 HSBC Global Asset HSBC Global Asset
Corporate Management Management
material investment strategies of the Funds Bond Fund (Canada) Limited (USA) Inc.
The table below lists the Funds that have changed their fun October 19, 2015 HSBC Global Asset HSBC Global Asset
damental investment objectives or material investment Management Management
(USA) Inc. (USA) Inc., HSBC
strategies within the past 10 years. Global Asset
Management
Fund Details of change (France)
HSBC Emerging Markets Fund II On December 2, 2022, the HSBC Global Equity October 14, 2015 HSBC Global Asset HSBC Global Asset
(formerly the HSBC BRIC Equity Fund) fundamental investment objectives of Volatility Focused Management Management
the Fund were changed Fund (Canada) Limited (UK) Limited
HSBC Global Equity Fund On April 23, 2021, the material HSBC European July 18, 2016 HSBC Global Asset HSBC Global Asset
investment strategies of the Fund Fund Management Management
were changed (UK) Limited (France)
On February 25, 2015, the material
investment strategies of the Fund HSBC Global High June 1, 2015 JPMorgan Asset HSBC Global Asset
were changed Yield Bond Management Management
Pooled Fund (Canada) Inc. (USA) Inc.
HSBC Global Equity Volatility On June 2, 2021, the material
Focused Fund investment strategies of the Fund January 27, 2016 HSBC Global Asset HSBC Global Asset
were changed Management Management
(USA) Inc. (USA) Inc. and HSBC
HSBC International Equity On March 26, 2021, the material Global Asset
Pooled Fund investment strategies of the Fund Management
were changed (France)
HSBC U.S. Equity Pooled Fund On April 16, 2021, the material HSBC Canadian July 3, 2013 Mawer Investment Mawer Investment
investment strategies of the Fund Small Cap Equity Management Ltd. Management Ltd.
were changed Pooled Fund and Triasima
Portfolio
Management Inc.
Changes to investment advisors
HSBC U.S. Equity March 26, 2015 Los Angeles Capital HSBC Global Asset
The changes to the Funds’ investment advisors which have Pooled Fund Management and Management
occurred during the last 10 years are outlined in the table Equity Research, Inc. (UK) Limited
April 21, 2021 HSBC Global Asset HSBC Bank USA,
below:
Management N.A.
(UK) Limited
Previous Current
Date of investment investment HSBC International January 19, 2015 HSBC Global Asset HSBC Global Asset
Fund name change advisor advisor Equity Pooled Fund Management Management
(France) (UK) Limited
HSBC Small Cap July 3, 2013 Mawer Investment Triasima Portfolio
Growth Fund Management Ltd. Management Inc.,
Mawer Investment
Management Ltd.
HSBC Global Equity February 25, 2015 HSBC Global Asset HSBC Global Asset
Fund Management Management
(France) (UK) Limited
55
Previous Current prior to them being offered by prospectus, unless you are
Date of investment investment an existing client and invested in the Pooled Funds prior to
Fund name change advisor advisor
them being offered by prospectus. In these circumstances,
HSBC Emerging February 11, 2015 Delaware Investment HSBC Global Asset you may receive past performance figures by contacting us
Markets Pooled Fund Advisers, a series of Management toll-free at 1-888-390-3333.
Delaware (UK) Limited
Management
Business Trust; Securities lending transactions,
Trilogy Global repurchase transactions and reverse
Advisors, LP
repurchase transactions
HSBC Global Real September 30, 2015 HSBC Global Asset HSBC Global Asset A securities lending transaction involves a Fund lending
Estate Equity Pooled Management Management
Fund (Canada) Limited (UK) Limited portfolio securities that it owns to a creditworthy institu
tional borrower. The borrower promises to return to the
HSBC Global April 17, 2018 HSBC Global Asset HSBC Global Asset
Fund, at a later date, an equal quantity of the same securi
Inflation Linked Bond Management Management
Pooled Fund (France) (UK) Limited ties and to pay a fee to the Fund for borrowing the securi
ties. The Fund may recall the securities at any time. The bor
rower provides the Fund with collateral consisting of cash
and/or securities or other non-cash collateral equal to no
Selection of underlying funds for the less than 102% of the market value of the loaned securities,
HSBC World Selection Diversified Funds measured each business day. As a result, the Fund retains
and the HSBC Wealth Compass Funds income from and exposure to changes in the value of the
Each HSBC World Selection Diversified Fund invests pri securities loaned while earning additional income.
marily in other mutual funds managed by us. A repurchase transaction involves a Fund selling portfolio
Each HSBC Wealth Compass Fund invests primarily in other securities that it owns to a creditworthy institution for cash
mutual funds or exchange-traded funds. These underlying and simultaneously agreeing to buy back the same securi
funds may be managed by us or third-party fund manage ties at a later date. The amount of cash received by the
ment firms. Fund for the transaction is at least 102% of the market
value of the sold securities, measured each business day.
We have the discretion to allocate assets among the under The Fund retains its income from and exposure to changes
lying funds within the strategic asset mix of the applicable in the value of the sold securities while earning addi
HSBC World Selection Diversified Fund or HSBC Wealth tional income.
Compass Fund. We will monitor and assess the perfor
In securities lending and repurchase transactions, the Fund
mance of the underlying funds on an ongoing basis. We
receives any interest or dividends paid by the issuer of the
may add, remove or vary an investment in any underlying
securities while those securities are held by the other party
fund at our discretion at any time.
to the transaction.
A reverse repurchase transaction involves a Fund purchas
ing portfolio securities from a creditworthy institution and
Performance information for certain
simultaneously agreeing to sell the same securities back to
Pooled Funds the institution, at a higher price, at a later date. The differ
The HSBC Canadian Money Market Pooled Fund, HSBC ence between the Fund’s purchase price for the securities
Canadian Bond Pooled Fund, HSBC Canadian Dividend and the resale price provides the Fund with additional
Pooled Fund, HSBC Canadian Equity Pooled Fund, HSBC income.
Canadian Small Cap Equity Pooled Fund, HSBC U.S. Equity
A Fund will not enter into a securities lending transaction or
Pooled Fund and HSBC International Equity Pooled Fund
a repurchase transaction if, immediately thereafter, the
were first sold by prospectus on October 30, 1997. Prior to
aggregate market value of all securities loaned by the Fund
this date, units of these Funds were offered to investors in and not yet returned to it or sold by the Fund in repurchase
reliance on exemptions from prospectus requirements transactions and not yet repurchased would exceed 50% of
under applicable securities laws. the net asset value of the Fund (exclusive of collateral held
With respect to the Pooled Funds that were offered to by the Fund for securities lending transactions and cash
investors in reliance on exemptions from prospectus held by the Fund for repurchase transactions) or such other
requirements, securities regulators do not allow us to pro limit as may be imposed under applicable securities legisla
vide you with performance information for the Pooled Funds tion.
56
Repurchase and reverse repurchase transactions are con right for you. The investment risk level of the Funds is
ducted through creditworthy institutions, and securities required to be determined in accordance with a standard
lending transactions are conducted through an organized ized risk classification methodology that is based on each
market for such transactions that has mandatory controls in Fund’s historical volatility as measured by the 10-year stan
place to minimize the risks of default. However, there are dard deviation of the returns of the Fund, assuming the rein
still certain risks associated with these types of transactions vestment of all income and capital gains distributions in
as described under the heading “Securities lending, repur
additional units of the Fund. However, you should be aware
chase and reverse repurchase transaction risk” in the section
that other types of risk, both measurable and non-
called “What are the risks of investing in mutual funds?”.
measurable, may exist. It is also important to note that a
Derivatives transactions Fund’s historical volatility may not be indicative of its
Certain of the Funds may use derivatives such as, but not future volatility.
limited to: Using this methodology, we assign each Fund an invest
◆ futures or forward contracts – these are agreements ment risk level in one of the following categories: low, low
made today to buy or sell a particular currency, security to medium, medium, medium to high, or high risk. How
or market index on a specific day in the future at a speci ever, we may increase the investment risk level of a Fund
fied price; determined by reference to the Fund’s standard deviation if
◆ option contracts – these are agreements that give the we believe that doing so is reasonable in the circumstances
buyer the right, but not the obligation, to buy or sell cer by taking into account other qualitative factors including,
tain securities within a certain time period, at a specified but not limited to, economic climate, portfolio management
price; and styles, sector concentration and types of investments made
◆ covered calls – a strategy where an investor sells or by a Fund and the liquidity of those investments.
writes call options against securities it already owns. For the Funds that have less than a 10-year performance
See the section called “What are the risks of investing in history, the methodology requires us to use an appropriate
mutual funds?” for a description of the risks associated reference index to backfill the returns for the purposes of
with derivatives. the above calculation. The reference index used to backfill
The use of derivatives transactions is described for each the returns for these Funds is listed below.
Fund in “Investment strategies” in the section called “What
does the Fund invest in?”. We have obtained exemptive relief Fund name Reference index
that permits each of the Funds to engage in the derivatives HSBC Canadian Short/Mid Bond Fund 50% FTSE Canada Short Term Bond Index
transactions. See section called “Exemptions and Approv 50% FTSE Canada Mid Term Bond Index
als” for more details on the exemptive relief.
HSBC Global Corporate Bond Fund 100% Bloomberg Global Aggregate
Corporates AWS Index (hedged) (USD)
Short selling
A short sale involves borrowing securities from a lender that HSBC Global Equity Volatility Focused 100% MSCI All Country World Index
are then sold in the open market (or “sold short”). At a later Fund
date, the same number of securities are repurchased by a HSBC U.S. Equity Index Fund 100% S&P 500 Index
fund and returned to the lender. In the interim, the proceeds
from the first sale are deposited with the lender (or its HSBC International Equity Index Fund 100% MSCI EAFE Index
agent) and interest is paid to the lender. If the value of the HSBC Emerging Markets Equity Index 100% MSCI Emerging Markets Index
securities declines between the time that the securities are Fund
borrowed and the time it repurchases and returns the secu
rities, a profit will be made equal to the difference (less any HSBC Wealth Compass Conservative 7% FTSE Canada 91-Day T-Bill Index
Fund 65% FTSE Canada Universe Bond Index
interest cost). In this way, there are more opportunities for
16% S&P/TSX 10% Capped Composite
gains when markets are generally volatile or declining. Index
The Funds are permitted to sell securities short and to pro 12% MSCI ACWI ex Canada Index
vide a security interest over Fund assets with dealers as
HSBC Wealth Compass Moderate 5% FTSE Canada 91-Day T-Bill Index
security in connection with such transactions, subject to Conservative Fund 52% FTSE Canada Universe Bond Index
compliance with NI 81-102. See the section called “What 22.5% S&P/TSX 10% Capped Composite
are the risks of investing in mutual funds? – Short sale risk” for Index
a description of the risks associated with short selling. 20.5% MSCI ACWI ex Canada Index
HSBC Wealth Compass Balanced Fund 5% FTSE Canada 91-Day T-Bill Index
Investment risk classification 33% FTSE Canada Universe Bond Index
and methodology 30% S&P/TSX 10% Capped Composite
Index
We assign an investment risk level to each of the Funds as
32% MSCI ACWI ex Canada Index
an additional guide to help you decide whether a Fund is
57
Fund name Reference index The investment risk level of each Fund is reviewed at least
annually and any time we determine that the current invest
HSBC Wealth Compass Growth Fund 23% FTSE Canada Universe Bond Index
31% S&P/TSX 10% Capped Composite ment risk level is no longer reasonable in the circumstances.
Index The standardized risk classification methodology that we
46% MSCI ACWI ex Canada Index
use to identify the investment risk level of the Funds is avail
HSBC Wealth Compass Aggressive 5% FTSE Canada Universe Bond Index able on request and at no cost, by calling 1-888-390-3333,
Growth Fund 31% S&P/TSX 10% Capped Composite
Index by emailing asset.management@hsbc.ca, or by writing to
64% MSCI ACWI ex Canada Index us at the address of our head office in Vancouver, British
Columbia, on the back cover of this document.
HSBC Global Real Estate Equity Pooled 100% FTSE EPRA/Nareit Developed Net
Fund Total Return Index (C$)
58
HSBC Canadian Money Market Fund
Fund details effect of “locking-in” higher yields. Shorter-term securities

are bought when the Fund’s investment advisor expects
Type of fund
yields to rise so that as the securities mature, the proceeds
Canadian Money Market
can be reinvested at higher rates. Securities issued by cor
porations are selected with a focus on higher-quality issues
Eligibility for investment in registered plans
where credit risk and liquidity risk are minimized and appro
The Fund is a qualified investment for RRSPs, RRIFs and
priate compensation is provided and consistent with the
other registered plans.*
Fund’s primary objectives. Corporate notes can add value
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and due to the higher yields they offer over government-
FHSAs, and subscribers of RESPs should consult with their own backed alternatives.
tax advisors as to whether units of the Fund would be a prohib
ited investment in their particular circumstances. The Fund may enter into securities lending transactions,
repurchase transactions and reverse repurchase transac
What does the Fund invest in? tions, as permitted by the Canadian securities regulatory
authorities, to earn additional income for the Fund. For
Investment objectives more information on how the Fund engages in these types
The fundamental investment objective of this Fund is to pro of transactions, see the section in the introduction to this
vide a high level of monthly interest income that is consis part of the Simplified Prospectus called “Securities lending
tent with the Fund’s eligible investments while aiming to transactions, repurchase transactions and reverse repurchase
preserve capital by investing primarily in high-quality, short- transactions”.
term Canadian fixed income securities. We may only
We may change the Fund’s investment strategies at our
change the Fund’s fundamental investment objective with
discretion, at any time.
the approval of a majority of the votes cast at a meeting of
the investors of the Fund held to consider the change.
What are the risks of investing in
Investment strategies the Fund?
The Fund invests in treasury bills and other short-term fixed The following are the principal risks associated with invest
income securities denominated in Canadian dollars, primar ing in the HSBC Canadian Money Market Fund:
ily issued or guaranteed by the Government of Canada or a ◆ Credit risk
province of Canada, a foreign government or related foreign ◆ Interest rate risk
government agency, or a Canadian or foreign corporation.
The Fund may invest up to 33% of its assets in Canadian ◆ Large redemption risk
dollar-denominated foreign securities. All of the Fund’s ◆ Liquidity risk
securities will have a maturity of 365 days or less. ◆ Multiple series unit risk
Fixed income securities held in the Fund will generally be ◆ Securities lending, repurchase and reverse repurchase
rated “A” or better by Standard & Poor’s or “A” or better by transaction risk
DBRS Limited or an equivalent rating by another designated
◆ Tax loss restriction event risk
rating organization. Money market securities will generally
be rated “A-1 (Low)” or better by Standard & Poor’s, “R-1 For a full explanation of these risks, see the section called
(low)” or better by DBRS Limited or an equivalent rating by “What is a mutual fund and what are the risks of investing in a
another designated rating organization. mutual fund?”.
The Fund’s investment advisor typically attempts to add Also, while the Fund intends to maintain a constant price for
value to the Fund’s investments by buying longer-term its units, there is no guarantee that they will not go up or
securities when it expects yields to decline. This has the down in value.
59
HSBC U.S. Dollar Money Market Fund
Fund details effect of “locking-in” higher yields. Shorter-term securities

are bought when the Fund’s investment advisor expects
Type of fund
yields to rise so that as the securities mature, the proceeds
U.S. Money Market
can be reinvested at higher rates. Securities issued by cor
porations are selected with a focus on higher-quality issues
where credit risk and liquidity risk are minimized and appro
priate compensation is provided and consistent with the
Fund’s primary objectives. Corporate notes can add value
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and due to the higher yields they offer over government-
FHSAs, and subscribers of RESPs should consult with their own backed alternatives.
ited investment in their particular circumstances. The Fund may enter into securities lending transactions,
tions, as permitted by the Canadian securities regulatory
What does the Fund invest in? authorities, to earn additional income for the Fund. For
Investment objectives more information on how the Fund engages in these types
The fundamental investment objective of this Fund is to of transactions, see the section in the introduction to this
earn a high level of monthly interest income that is consis part of the Simplified Prospectus called “Securities lending
tent with the Fund’s eligible investments while aiming to transactions, repurchase transactions and reverse repurchase
preserve capital by investing primarily in high-quality, short- transactions”.
term fixed income securities denominated in U.S. dollars. We may change the Fund’s investment strategies at our
We may only change the Fund’s fundamental investment discretion, at any time.
objective with the approval of a majority of the votes cast at
a meeting of the investors of the Fund held to consider
the change. What are the risks of investing in
the Fund?
Investment strategies The following are the principal risks associated with invest
The Fund will invest in treasury bills and other short-term ing in the HSBC U.S. Dollar Money Market Fund:
fixed income securities denominated in U.S. dollars, primar ◆ Credit risk
ily issued or guaranteed by the Government of Canada or a ◆ Currency risk
province of Canada, a foreign government or related foreign
◆ Interest rate risk
government agency, or a Canadian or foreign corporation.
The Fund may invest up to 100% of its assets in U.S.-dollar ◆ Liquidity risk
denominated foreign securities. All of the Fund’s securities ◆ Multiple series unit risk
will have a maturity of 365 days or less.
◆ Securities lending, repurchase and reverse repurchase
Fixed income securities held in the Fund will generally be transaction risk
rated “A” or better by Standard & Poor’s or “A” or better by
DBRS Limited or an equivalent rating by another designated
rating organization. Money market securities will generally For a full explanation of these risks, see the section called
be rated “A-1 (Low)” or better by Standard & Poor’s, “R-1 “What is a mutual fund and what are the risks of investing in a
(low)” or better by DBRS Limited or an equivalent rating by mutual fund?”.
another designated rating organization. Also, while the Fund intends to maintain a constant price for
The Fund’s investment advisor typically attempts to add its units, there is no guarantee that they will not go up or
value to the Fund’s investments by buying longer-term down in value.
securities when it expects yields to decline. This has the
60
HSBC Mortgage Fund
Fund details The Fund may use derivatives consistent with its investment
objectives and as permitted by the Canadian securities
Type of fund
regulatory authorities. The Fund may use derivatives such
Canadian Short-Term Fixed Income
as options, futures, covered calls, forward contracts and
Eligibility for investment in registered plans other similar instruments for hedging and non-hedging pur
poses. The Fund may use these instruments to provide
exposure to securities, indices or currencies without invest
ing in them directly. Derivatives may be used to manage the
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and risks to which the investment portfolio is exposed. The Fund
FHSAs, and subscribers of RESPs should consult with their own
may also use derivatives as described in the introduction to
ited investment in their particular circumstances. this part of the Simplified Prospectus in the section called
“Derivatives transactions”.
What does the Fund invest in? As a temporary defensive tactic, the Fund may maintain a
Investment objectives significant portion of its assets in Canadian and U.S. short-
term fixed income securities during periods of high market
The fundamental investment objective of this Fund is to
earn as high a level of income as possible that is consistent volatility, in order to provide capital protection while await
with the Fund’s eligible investments while aiming to protect ing more favourable market conditions.
invested capital by investing primarily in residential first The Fund may invest, directly or indirectly through the use
mortgages on property in Canada and other debt obliga of derivatives, a significant portion or even all of its net
tions. We may only change the Fund’s fundamental invest assets in units of other mutual funds or exchange-traded
ment objective with the approval of a majority of the votes funds, including funds managed by us or other members of
cast at a meeting of the investors of the Fund held to con the HSBC Group. The Fund’s investment advisor will only
sider the change.
invest in units of other funds where such investment is
compatible with the investment objectives and strategies of
Investment strategies the Fund. These investments will be selected on the same
Subject to the availability of suitable mortgages, the Fund basis as other investments of the Fund. As at the date of
will invest primarily in uninsured Canadian-dollar this Simplified Prospectus, there is no immediate intention
denominated mortgages. The Fund may also invest a por of investing a significant portion of the Fund’s net assets in
tion of its assets in other debt obligations such as govern other funds. However, the Fund’s investment advisor may
ment bonds, corporate bonds, mortgage-backed securities, do so in the future.
debentures and other fixed income securities.
The Fund may enter into securities lending transactions,
The Fund intends to purchase and sell, as principal, mort
gages from and to HSBC Bank Canada or our other affili
ates. If any mortgage purchased from HSBC Bank Canada
or any of our affiliates is in default for 90 days or more, authorities, to earn additional income for the Fund. For
HSBC Bank Canada will repurchase those mortgages from more information on how the Fund engages in these types
the Fund. For detailed information regarding these mort of transactions, see the section in the introduction to this
gage transactions, please refer to the section called “Infor part of the Simplified Prospectus called “Securities lending
mation about the HSBC Mortgage Fund”. transactions, repurchase transactions and reverse repurchase
Debt obligations will generally be rated “A” or better by transactions”.
Standard & Poor’s or DBRS Limited or an equivalent rating We may change the Fund’s investment strategies at our
by another recognized rating agency. discretion, at any time.
A portion of the Fund’s holdings may be in the form of cash
or cash equivalents. Money market securities will generally
be rated “A-1 (Low)” or better by Standard & Poor’s, “R-1
(low)” or better by DBRS Limited or an equivalent rating by the Fund?
another recognized rating agency. The following are the principal risks associated with invest
The Fund may invest up to 30% of its assets in foreign secu ing in the HSBC Mortgage Fund:
rities. While the Fund intends to invest primarily in Canadian ◆ Bail-in debt risk
assets, the Fund may invest in foreign securities where the
Fund’s investment advisor believes that they might add ◆ Credit risk
value to the Fund. ◆ Interest rate risk
61
HSBC Mortgage Fund (continued)
◆ Large redemption risk

◆ Liquidity risk
◆ Multiple series unit risk
For a full explanation of these risks, see the section called
“What is a mutual fund and what are the risks of investing in a
mutual fund?”.
In addition, as at May 28, 2023, two investors held units of
the Fund representing approximately 37.7% and 20.5% of
the net asset value of the Fund, respectively. These units
could be sold by the investors at any time. If all or a sub
stantial portion of these units are sold, there is a risk that
the Fund may have to alter its portfolio significantly to
accommodate such a large redemption.
62
HSBC Canadian Short/Mid Bond Fund
Fund details A portion of the Fund’s holdings may be in the form of cash
or cash equivalents.
Type of fund
Canadian Fixed Income The Fund may invest up to 30% of its assets in foreign secu
rities. While the Fund intends to invest primarily in Canadian
Eligibility for investment in registered plans assets, the Fund may invest in foreign securities where the
The Fund is a qualified investment for RRSPs, RRIFs and Fund’s investment advisor believes that they might add
other registered plans.* value to the Fund.
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and

The Fund may use derivatives consistent with its investment
FHSAs, and subscribers of RESPs should consult with their own objectives and as permitted by the Canadian securities
tax advisors as to whether units of the Fund would be a prohib regulatory authorities. The Fund may use derivatives such
ited investment in their particular circumstances. as options, futures, covered calls, forward contracts and
other similar instruments for hedging and non-hedging pur
What does the Fund invest in? poses. The Fund may use these instruments to provide
Investment objectives exposure to securities, indices or currencies without invest
The fundamental investment objective of this Fund is to pro
risks to which the investment portfolio is exposed. The Fund
vide regular income with some potential for long-term capi
tal growth by investing primarily in high-quality short-term
this part of the Simplified Prospectus in the section called
and mid-term Canadian fixed income securities, including
bonds, mortgage-backed or asset-backed securities, deben “Derivatives transactions”.
tures and other fixed income securities either issued or As a temporary defensive tactic, the Fund may maintain a
guaranteed by the Government of Canada, a province or significant portion of its assets in Canadian and U.S. short-
municipality of Canada or Canadian corporations or trusts. term fixed income securities during periods of high market
We may only change the Fund’s fundamental investment volatility, in order to provide capital protection while await
objective with the approval of a majority of the votes cast at ing more favourable market conditions.
a meeting of the investors of the Fund held to consider The Fund may invest, directly or indirectly through the use
the change.
of derivatives, a significant portion or even all of its net
assets in units of other mutual funds or exchange-traded
Investment strategies funds, including funds managed by us or other members of
The Fund seeks to accomplish its objective by primarily the HSBC Group. The Fund’s investment advisor will only
investing in Canadian-dollar-denominated short-term and invest in units of other funds where such investment is
mid-term fixed income securities. The Fund will invest pri compatible with the investment objectives and strategies of
marily in government bonds, corporate bonds, mortgage- the Fund. These investments will be selected on the same
backed securities, debentures and other fixed income secu basis as other investments of the Fund. As at the date of
rities issued or guaranteed by the Government of Canada, a this Simplified Prospectus, there is no immediate intention
province or municipality of Canada, Canadian corporations of investing a significant portion of the Fund’s net assets in
or Canadian trusts that issue asset-backed securities. The other funds. However, the Fund’s investment advisor may
Fund’s investment advisor will take an active approach to do so in the future.
portfolio management with a view to adding long-term
value for investors. The investment advisor will assess the
domestic and global macroeconomic environment for yield-
curve and top-down sector positioning.
The Fund’s investment advisor seeks to maximize risk-
more information on how the Fund engages in these types
adjusted returns through fundamental bottom-up credit
of transactions, see the section in the introduction to this
analysis of fixed income securities in the Canadian
part of the Simplified Prospectus called “Securities lending
investment-grade marketplace. Corporate bonds will gener
transactions, repurchase transactions and reverse repurchase
ally be rated “BBB” or better by Standard & Poor’s or DBRS
transactions”.
Limited or an equivalent rating by another recognized rating
agency. Money market securities will generally be rated The Fund’s investment strategy may involve the Fund’s
“A-1 (Low)” or better by Standard & Poor’s, “R-1 (low)” or investment advisor actively and frequently buying and sell
better by DBRS Limited or an equivalent rating by another ing the Fund’s underlying investments. As a result, the Fund
recognized rating agency. may have a high portfolio turnover rate. The higher a Fund’s
63
HSBC Canadian Short/Mid Bond Fund (continued)
portfolio turnover rate in a year, the greater the trading

costs payable by the Fund and, assuming the Fund is realiz
ing capital gains from its sale of securities, the greater the
chance of an investor receiving taxable capital gains in that
year from the Fund. A high portfolio turnover rate should
not be taken as a reflection of the Fund’s performance.

the Fund?
The following are the principal risks associated with invest
ing in the HSBC Canadian Short/Mid Bond Fund:
◆ Bail-in debt risk
◆ Credit risk
mutual fund?”.
64
HSBC Canadian Bond Fund
Fund details The Fund may invest up to 30% of its assets in foreign secu
Type of fund assets, the Fund may invest in foreign securities where the
Canadian Fixed Income Fund’s investment advisor believes that they might add
value to the Fund.
The Fund is a qualified investment for RRSPs, RRIFs and objectives and as permitted by the Canadian securities
other registered plans.* regulatory authorities. The Fund may use derivatives such
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and as options, futures, covered calls, forward contracts and
FHSAs, and subscribers of RESPs should consult with their own other similar instruments for hedging and non-hedging pur
tax advisors as to whether units of the Fund would be a prohib poses. The Fund may use these instruments to provide
ited investment in their particular circumstances. exposure to securities, indices or currencies without invest
What does the Fund invest in? risks to which the investment portfolio is exposed. The Fund
Investment objectives
The fundamental investment objective of this Fund is to pro “Derivatives transactions”.
vide regular income and long-term capital growth by invest As a temporary defensive tactic, the Fund may maintain a
ing primarily in high-quality Canadian fixed income securi significant portion of its assets in Canadian and U.S. short-
ties, including bonds, mortgage-backed securities, term fixed income securities during periods of high market
debentures and other fixed income securities either issued volatility, in order to provide capital protection while await
or guaranteed by the Government of Canada, a province or ing more favourable market conditions.
municipality of Canada or Canadian corporations. We may
The Fund may invest, directly or indirectly through the use
only change the Fund’s fundamental investment objective
with the approval of a majority of the votes cast at a meet
ing of the investors of the Fund held to consider the change. funds, including funds managed by us or other members of
the HSBC Group. The Fund’s investment advisor will only
Investment strategies invest in units of other funds where such investment is
When investing in fixed income securities, the Fund invests compatible with the investment objectives and strategies of
the Fund. These investments will be selected on the same
primarily in government bonds, corporate bonds, mortgage-
basis as other investments of the Fund. As at the date of
backed securities, debentures and other fixed income secu
this Simplified Prospectus, there is no immediate intention
rities either issued or guaranteed by the Government of
of investing a significant portion of the Fund’s net assets in
Canada, a province or municipality of Canada, Canadian
other funds. However, the Fund’s investment advisor may
corporations or Canadian trusts that issue asset-backed
do so in the future.
securities. Fixed income securities will generally be rated
“A” or better by Standard & Poor’s or DBRS Limited or an The Fund may enter into securities lending transactions,
equivalent rating by another recognized rating agency. repurchase transactions and reverse repurchase transac
Money market securities will generally be rated “A-1 (Low)” tions, as permitted by the Canadian securities regulatory
or better by Standard & Poor’s, “R-1 (low)” or better by
DBRS Limited or an equivalent rating by another recognized
rating agency.
The Fund’s investment advisor attempts to add value to the transactions, repurchase transactions and reverse repurchase
Fund’s investments by buying longer-term securities when transactions”.
it expects yields to decline. This has the effect of “locking
in” higher yields. Shorter-term securities are purchased discretion, at any time.
when the Fund’s investment advisor expects yields to rise,
so that as the securities mature they can be reinvested at
higher rates. Provincial and corporate bonds are purchased What are the risks of investing in
when the potential gains offered by these securities are the Fund?
expected to outweigh their credit and liquidity risk. The following are the principal risks associated with invest
A portion of the Fund’s holdings may be in the form of cash ing in the HSBC Canadian Bond Fund:
or cash equivalents. ◆ Bail-in debt risk
65
HSBC Canadian Bond Fund (continued)
◆ Credit risk
◆ Fund of funds risk
mutual fund?”.
In addition, as at May 28, 2023, three investors held units of
the Fund representing approximately 25.4%, 20.3% and
14.6% of the net asset value of the Fund, respectively.
These units could be sold by the investors at any time. If all
or a substantial portion of these units are sold, there is a risk
that the Fund may have to alter its portfolio significantly to
66
HSBC Global Corporate Bond Fund
Fund details A portion of the Fund's holdings may be in the form of cash
Type of fund
Global Fixed Income The Fund may invest up to 100% of its assets in
foreign securities.
Eligibility for investment in registered plans The Fund may use derivatives consistent with its investment
as options, swaps, futures, covered calls, forward contracts
Sub-advisors** and other similar instruments for hedging and non-hedging
HSBC Global Asset Management (USA) Inc. purposes. The Fund may use these instruments to provide
New York City, New York, USA exposure to securities, indices or currencies without invest
HSBC Global Asset Management (France) ing in them directly. Derivatives may be used to manage the
Paris, France risks to which the investment portfolio is exposed. The Fund
FHSAs, and subscribers of RESPs should consult with their own this part of the Simplified Prospectus in the section called
tax advisors as to whether units of the Fund would be a prohib “Derivatives transactions”.
ited investment in their particular circumstances.
As a temporary defensive tactic, the Fund's investment
** We may hire or replace sub-advisors, or change the allocation of advisor may maintain a significant portion of the Fund's
assets among sub-advisors, at any time. See the section called
assets in Canadian and U.S. short-term fixed income securi
“Portfolio advisors” on page 4. HSBC Global Asset Management
(USA) Inc. and HSBC Global Asset Management (France) are ties during periods of high market volatility, in order to pro
related to us because they are our affiliates. vide capital protection while awaiting more favourable mar
ket conditions.
What does the Fund invest in? The Fund may invest, directly or indirectly through the use
Investment objectives of derivatives, a significant portion or even all of its net
The fundamental investment objective of this Fund is to funds, including funds managed by us or other members of
earn income while providing the potential for long-term
the HSBC Group. The Fund's investment advisor will only
capital growth by investing primarily in a broad range of
corporate fixed income securities from issuers around the
world. We may only change the Fund's fundamental invest
ment objective with the approval of a majority of the votes
cast at a meeting of the investors of the Fund held to con
sider the change.
of investing a significant portion of the Fund's net assets in
other funds. However, the Fund's investment advisor may
Investment strategies do so in the future.
To achieve the Fund's fundamental investment objective, The Fund may engage in short selling. We believe that a
the Fund intends to invest primarily in a portfolio of short selling strategy may complement the Fund's current
investment-grade corporate bonds, debentures and other primary discipline of buying securities with the expectation
fixed income securities from issuers around the world, that they will appreciate in market value. For more informa
including emerging markets. The Fund may also invest a
tion on how the Fund engages in these types of transac
portion of its assets in mortgage-backed securities, asset-
tions, see the section in the introduction to this part of the
backed securities and investment-grade and non
Simplified Prospectus called “Short selling”.
investment-grade corporate and government fixed income
securities. Investment-grade securities will have a rating of The Fund may enter into securities lending transactions,
“BBB-” or higher, while non-investment-grade securities will repurchase transactions and reverse repurchase transac
have a rating of “BB+” or lower, as rated by Standard & tions, as permitted by the Canadian securities regulatory
Poor's, or will have equivalent ratings by other recognized authorities, to earn additional income for the Fund. For
rating organizations. Financial derivative instruments may more information on how the Fund engages in these types
be used for hedging purposes and cash flow management, of transactions, see the section in the introduction to this
as well as for efficient portfolio management. Fixed income part of the Simplified Prospectus called “Securities lending
securities that the Fund invests in may be denominated in transactions, repurchase transactions and reverse repurchase
U.S. dollars and in other foreign currencies. transactions”.
67
HSBC Global Corporate Bond Fund (continued)
We may change the Fund's investment strategies at our


the Fund?
ing in the HSBC Global Corporate Bond Fund:
◆ Credit risk
◆ Currency risk
◆ Derivative risk
◆ Foreign market risk
◆ Liquidity risk
◆ Short sale risk
mutual fund?”.
68
HSBC Emerging Markets Debt Fund
Fund details and in other foreign currencies that may include the local
currency of emerging market countries. The Fund may use
Type of fund
derivatives to gain or reduce its exposure to fixed income
Foreign Bond securities as well as local currencies of emerging markets.
The Fund may also use derivatives to hedge against the
Eligibility for investment in registered plans risks inherent in fixed income securities or in currency
The Fund is a qualified investment for RRSPs, RRIFs and exchange rates.
Fixed income securities held in the Fund will be comprised
of investment-grade and non-investment-grade securities,
Sub-advisors**
and accordingly, they will have a rating across a wide range
HSBC Global Asset Management (USA) Inc.
of credit qualities as rated by Standard & Poor’s, DBRS Lim
New York City, New York, USA
ited, Moody’s Investors Service or another recognized rating
HSBC Global Asset Management (UK) Limited
organization. Money market securities may generally be
London, UK
rated “A-1 (Low)” or better by Standard & Poor’s, “R-1
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and (low)” or better by DBRS Limited, “P-1” or better by
FHSAs, and subscribers of RESPs should consult with their own Moody’s Investors Service or an equivalent rating from
tax advisors as to whether units of the Fund would be a prohib another recognized rating organization.
The Fund has obtained exemptive relief to permit it to
** We may hire or replace sub-advisors, or change the allocation of
(a) invest up to 20% of its net assets in fixed income securi
“Portfolio advisors” on page 4. HSBC Global Asset Management ties of any one issuer that are issued or guaranteed by
(USA) Inc. and HSBC Global Asset Management (UK) Limited are supranational agencies or governments (other than the Gov
related to us because they are our affiliates. ernment of Canada, a province of Canada or the
United States of America, where investment is unre
What does the Fund invest in? stricted) and are rated “AA” or better by Standard & Poor’s
or an equivalent rating by one or more other approved des
ignated rating organizations, and (b) invest up to 35% of its
The fundamental investment objective of this Fund is to net assets in fixed income securities of any one issuer that
maximize return, which consists of both income and long are issued or guaranteed by supranational agencies or gov
term capital growth, by investing primarily in fixed income ernments (other than the Government of Canada, a province
securities issued by governments or corporations that pro of Canada or the United States of America, where invest
vide exposure to emerging markets. We may only change ment is unrestricted) and are rated “AAA” by Standard &
the Fund’s fundamental investment objective with the Poor’s, or have an equivalent rating by one or more other
approval of a majority of the votes cast at a meeting of the approved designated rating organizations. The terms of the
investors of the Fund held to consider the change. relief provide that:
(i) (a) and (b) above may not be combined for one issuer;
Investment strategies (ii) the securities that are purchased must be traded on a
The Fund invests primarily in a diversified portfolio of fixed mature and liquid market; and
income securities issued by governments in emerging mar (iii) the acquisition of the securities purchased must be
ket countries and corporations or other issuers either based consistent with the fundamental investment objectives
in or that have a significant business or investment link with of the Fund.
emerging market countries, and currencies of emerging
market countries. These emerging markets may include
Latin American countries such as Brazil and Mexico, Euro
pean countries such as Russia and Kazakhstan, African The Fund may invest up to 100% of its assets in
countries such as South Africa, Middle Eastern countries foreign securities.
such as the UAE and Asian nations such as Indonesia and The Fund may use derivatives consistent with its investment
the Philippines. The Fund may invest in a range of emerging objectives and as permitted by the Canadian securities
markets, from more developed emerging markets such as regulatory authorities. The Fund may use derivatives such
Mexico, Brazil and Korea to emerging economies such as as options, futures, covered calls, forward contracts, swaps
Vietnam, Sri Lanka and Ghana that continue to develop. and other similar instruments for hedging and non-hedging
Fixed income securities may be denominated in U.S. dollars purposes. The Fund may use these instruments to provide
69
HSBC Emerging Markets Debt Fund (continued)
exposure to securities, indices or currencies without invest The Fund’s investment strategy may involve the Fund’s
ing in them directly. Derivatives may be used to manage the investment advisor actively and frequently buying and sell
risks to which the investment portfolio is exposed. The Fund ing the Fund’s underlying investments. As a result, the Fund
may also use derivatives as described in the introduction to may have a high portfolio turnover rate. The higher a Fund’s
this part of the Simplified Prospectus in the section called costs payable by the Fund and, assuming the Fund is realiz
“Derivatives transactions”. ing capital gains from its sale of securities, the greater the
As a temporary defensive tactic, the Fund’s investment chance of an investor receiving taxable capital gains in that
advisor may maintain a significant portion of its assets in year from the Fund. A high portfolio turnover rate should
Canadian and U.S. short-term fixed income securities dur not be taken as a reflection of the Fund’s performance.
ing periods of high market volatility, in order to provide capi We may change the Fund’s investment strategies at our
tal protection while awaiting more favourable market condi discretion, at any time.
tions.
The Fund may invest, directly or indirectly through the use What are the risks of investing in
of derivatives, a significant portion or even all of its net the Fund?
assets in units of other mutual funds or exchange-traded The following are the principal risks associated with invest
funds, including funds managed by us or other members of ing in the HSBC Emerging Markets Debt Fund:
the HSBC Group. The Fund’s investment advisor will only ◆ Bail-in debt risk
invest in units of other funds where such investment is ◆ Credit risk
compatible with the investment objectives and strategies of ◆ Currency risk
the Fund. These investments will be selected on the same ◆ Derivative risk
basis as other investments of the Fund.
The Fund may engage in short selling. We believe that a ◆ Interest rate risk
short selling strategy may complement the Fund’s current
primary discipline of buying securities with the expectation
◆ Liquidity risk
that they will appreciate in market value. For more informa
tion on how the Fund engages in these types of transac ◆ Multiple series unit risk
tions, see the section in the introduction to this part of the ◆ Short sale risk
Simplified Prospectus called “Short selling”. ◆ Tax loss restriction event risk
The Fund may enter into securities lending transactions, For a full explanation of these risks, see the section called
repurchase transactions and reverse repurchase transac “What is a mutual fund and what are the risks of investing in a
tions, as permitted by the Canadian securities regulatory mutual fund?”.
authorities, to earn additional income for the Fund. For In addition, as at May 28, 2023, two investors held units of
more information on how the Fund engages in these types the Fund representing approximately 70.1% and 10.9% of
the net asset value of the Fund, respectively. These units
of transactions, see the section in the introduction to this could be sold by the investors at any time. If all or a sub
part of the Simplified Prospectus called “Securities lending stantial portion of these units are sold, there is a risk that
transactions, repurchase transactions and reverse repurchase the Fund may have to alter its portfolio significantly to
transactions”. accommodate such a large redemption.
70
HSBC Monthly Income Fund
Fund details effect of “locking in” higher yields. Shorter-term securities

are purchased when the Fund’s investment advisor expects
Type of fund
yields to rise so that as the securities mature they can be
Canadian Fixed Income Balanced
reinvested at higher rates. Provincial and corporate bonds
Eligibility for investment in registered plans are purchased when the potential gains offered by these
The Fund is a qualified investment for RRSPs, RRIFs and securities are expected to outweigh their credit and liquid
other registered plans.* ity risk.
FHSAs, and subscribers of RESPs should consult with their own or cash equivalents.
tax advisors as to whether units of the Fund would be a prohib The Fund may also invest in comparable foreign securities.
ited investment in their particular circumstances. The Fund may invest up to 30% of its assets in foreign secu
What does the Fund invest in? assets, the Fund may invest in foreign securities where the
Investment objectives Fund’s investment advisor believes that they might add
value to the Fund.
vide a reasonably consistent level of monthly income while The Fund may use derivatives consistent with its investment
aiming to preserve capital over the medium to long term. objectives and as permitted by the Canadian securities
The Fund will invest primarily in a diversified portfolio of regulatory authorities. The Fund may use derivatives such
debt and equity instruments. We may only change the as options, futures, covered calls, forward contracts and
Fund’s fundamental investment objective with the approval other similar instruments for hedging and non-hedging pur
of a majority of the votes cast at a meeting of the investors poses. The Fund may use these instruments to provide
of the Fund held to consider the change. exposure to securities, indices or currencies without invest
Investment strategies may also use derivatives as described in the introduction to
The investment strategy is to position the Fund to maximize this part of the Simplified Prospectus in the section called
income and to preserve capital while providing potential for “Derivatives transactions”.
long-term capital appreciation.
As a temporary defensive tactic, the Fund may maintain a
The Fund’s investment advisor selects a diversified portfolio significant portion of its assets in Canadian and U.S. short-
of money market instruments, government and corporate term fixed income securities during periods of high market
bonds, mortgages, high-dividend-paying common and pre volatility, in order to provide capital protection while await
ferred shares, income trust units and other high- ing more favourable market conditions.
yielding securities.
When investing in common equities and income trusts, the
Fund’s investment advisor focuses on quality, stability and
the ability to grow dividends or distributable income over
funds, including funds managed by us or other members of
time. These securities and income trusts will generally have
a higher yield than the overall market. A portion of the Fund the HSBC Group. The Fund’s investment advisor will only
may also be invested in high-quality preferred shares that invest in units of other funds where such investment is
pay dividend income. compatible with the investment objectives and strategies of
When investing in fixed income securities, the Fund invests
this Simplified Prospectus, the Fund currently invests in
units of the HSBC Mortgage Fund; while there is no imme
Canada, a province or municipality of Canada, Canadian diate intention to increase its investment significantly in this
corporations or Canadian trusts that issue asset-backed Fund or in other Funds, the Fund’s investment advisor may
securities. Fixed income securities will generally be rated do so in the future.
“A” or better by Standard & Poor’s or DBRS Limited or an The Fund may enter into securities lending transactions,
equivalent rating by another recognized rating agency. repurchase transactions and reverse repurchase transac
Money market securities will generally be rated “A-1 (Low)” tions, as permitted by the Canadian securities regulatory
or better by Standard & Poor’s, “R-1 (low)” or better by authorities, to earn additional income for the Fund. For
DBRS Limited or an equivalent rating by another recognized more information on how the Fund engages in these types
rating agency. of transactions, see the section in the introduction to this
The Fund’s investment advisor attempts to add value to the part of the Simplified Prospectus called “Securities lending
Fund’s fixed income investments by buying longer-term transactions, repurchase transactions and reverse repurchase
securities when it expects yields to decline. This has the transactions”.
71
HSBC Monthly Income Fund (continued)
We may change the Fund’s investment strategies at our bution. The net realized capital gains, if any, are distributed
discretion, at any time. annually in December to those who hold units on the last
business day prior to the date of distribution. If the regular
What are the risks of investing in monthly distributions are less than the Fund’s net income
and net capital gains for the year, we will make an addi
the Fund? tional distribution of net income in December.
If the amount distributed exceeds the Fund’s income and
ing in the HSBC Monthly Income Fund:
net realized capital gains, such excess will constitute a
◆ Asset allocation risk return of capital. See the section called “What is a mutual
◆ Bail-in debt risk fund and what are the risks of investing in a mutual fund?” for
◆ Concentration risk the risks relating to return of capital, and the section called
◆ Credit risk “Income tax considerations for investors” for tax consider
ations related to return of capital.
The amount of the distribution is not guaranteed and may
change from time to time without notice to investors. We
◆ Liquidity risk automatically reinvest distributions from the Fund in addi
◆ Market risk tional units of the Fund unless you tell your representative in
◆ Multiple series unit risk advance that you want to receive distributions in cash.
◆ Return of capital risk
◆ Security risk Investor T Series, DT Series and Premium T
◆ Tax loss restriction event risk Series units
In the 12 months immediately preceding May 28, 2023, the The Fund will make monthly distributions based on an
Fund invested up to 31.2% of its net asset value in the annual rate of 4.5%. Each monthly distribution will be an
HSBC Mortgage Fund. See the section called “What is a amount equal to approximately one-twelfth of 4.5% of the
mutual fund and what are the risks of investing in a mutual net asset value per unit of the applicable series as deter
fund?” for a description of concentration risk. mined on December 31 of the prior year (or, if no units were
For a full explanation of these risks, see the section called outstanding at the end of the prior year, the net asset value
“What is a mutual fund and what are the risks of investing in a per unit of the applicable series as of the date on which the
mutual fund?”. units are first available for purchase in the current calendar
The Fund intends to maintain a reasonably consistent level year). The monthly distribution amount may be comprised
of monthly distributions of income. However, there is no of net income, net realized capital gains and/or return of
guarantee that there will not be fluctuations in distributions capital. See the section called “What is a mutual fund and
depending on the income generated by the Fund in any par what are the risks of investing in a mutual fund?” for the risks
ticular month. relating to return of capital, and the section called “Income
In situations where the Fund has earned less income than tax considerations for investors” for tax considerations
the amount of its regular distribution, a return of capital may related to return of capital.
be included in the payment to help maintain a consistent The Fund may make an additional annual distribution in
distribution rate. A return of capital represents a return of December, but only to the extent required to ensure that the
some or all of the investor’s original investment back to the Fund will not pay income tax. The additional annual distri
investor. The part of the distribution that is a return of capi bution amount may be comprised of any net income and/or
tal will reduce the adjusted cost base per unit of your units, net realized capital gains remaining in the Fund that have
may reduce the net asset value of the Fund and could not previously been paid out.
impact the Fund’s ability to generate future income. See the
section below called “Distribution policy” for more informa The distribution rate is not guaranteed and may change
tion on the Fund’s distribution policy. from time to time without notice to investors. We automati
cally reinvest distributions from the Fund in additional units
of the Fund unless you tell your representative in advance
Distribution policy that you want to receive distributions in cash.
Investor Series, D Series, Premium Series, Given the nature of Investor T Series, DT Series and
Manager Series and Institutional Series units Premium T Series units, we recommend that you
The Fund aims to distribute a reasonably consistent amount request cash distributions if you hold your units in a
of investment income monthly to those who hold units in non-registered plan.
the Fund on the last business day prior to the date of distri
72
HSBC U.S. Dollar Monthly Income Fund
Fund details When investing in fixed income securities, the Fund invests
Type of fund
Global Fixed Income Balanced
rities either issued or guaranteed by the U.S. government or
related government agencies, a state or municipality of the
United States, U.S. corporations or U.S. trusts that issue
asset-backed securities. Fixed income securities will gener
ally be rated “BBB” or better by Standard & Poor’s or an
equivalent rating by another recognized rating agency.
Sub-advisors**
Money market securities will generally be rated “A-1 (Low)”
HSBC Global Asset Management (USA) Inc.
or better by Standard & Poor’s, “R-1 (low)” or better by
New York City, New York, USA
DBRS Limited or an equivalent rating by another recognized
Federated Investment Counseling Inc.
rating agency.
Pittsburgh, Pennsylvania, USA
The Fund’s investment advisor attempts to add value to the
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and Fund’s fixed income investments by buying longer-term
tax advisors as to whether units of the Fund would be a prohib securities when it expects yields to decline. This has the
ited investment in their particular circumstances. effect of “locking in” higher yields. Shorter-term securities
assets among sub-advisors, at any time. See the section called yields to rise so that as the securities mature they can be
“Portfolio advisors” on page 4. HSBC Global Asset Management reinvested at higher rates. State and corporate bonds are
(USA) Inc. is related to us because it is our affiliate. purchased when the potential gains offered by these securi
ties are expected to outweigh their credit and liquidity risk.
What does the Fund invest in? A portion of the Fund’s holdings may be in the form of cash
Investment objectives or cash equivalents.
The fundamental investment objective of this Fund is to pro The Fund may invest up to 100% of its assets in foreign
vide a reasonably consistent level of monthly income while securities. While the Fund intends to invest primarily in U.S.
aiming to preserve capital over the medium to long term. securities, the Fund may invest in comparable Canadian and
The Fund will invest primarily in a diversified portfolio of non-North American securities where the Fund’s investment
debt and equity instruments denominated in U.S. dollars. advisor believes that they might add value to the Fund.
We may only change the Fund’s fundamental investment The Fund may use derivatives consistent with its investment
objective with the approval of a majority of the votes cast at objectives and as permitted by the Canadian securities
a meeting of the investors of the Fund held to consider the regulatory authorities. The Fund may use derivatives such
change. as options, futures, covered calls, forward contracts and
Investment strategies poses. The Fund may use these instruments to provide
The investment strategy is to position the Fund to maximize exposure to securities, indices or currencies without invest
income and to preserve capital while providing potential for ing in them directly. Derivatives may be used to manage the
long-term capital appreciation. risks to which the investment portfolio is exposed. The Fund
The Fund’s investment advisor selects a diversified portfolio
of money market instruments, government and corporate
bonds, mortgages, high-dividend-paying common and pre
ferred shares, income trust units and other high-yielding As a temporary defensive tactic, the Fund may maintain a
securities denominated in U.S. dollars. portion of its assets in Canadian and U.S. short-term fixed
income securities during periods of high market volatility, in
When investing in common equities, the Fund’s investment
advisor focuses on quality, stability and the ability to grow order to provide capital protection while awaiting more
dividends or distributable income over time. These securi favourable market conditions.
ties will generally have a higher yield than the overall mar The Fund may invest, directly or indirectly through the use
ket. A portion of the Fund may also be invested in high- of derivatives, a significant portion or even all of its net
quality income trusts or preferred shares that pay assets in units of other mutual funds or exchange-traded
dividend income. funds, including funds managed by us or other members of
73
HSBC U.S. Dollar Monthly Income Fund (continued)
the HSBC Group. The Fund’s investment advisor will only some or all of the investor’s original investment back to the
invest in units of other funds where such investment is investor. The part of the distribution that is a return of capi
compatible with the investment objectives and strategies of tal will reduce the adjusted cost base per unit of your units,
the Fund. The investments will be selected on the same may reduce the net asset value of the Fund and could
basis as other investments of the Fund. impact the Fund’s ability to generate future income. See the
The Fund may enter into securities lending transactions, section below called “Distribution Policy” for more informa
repurchase transactions and reverse repurchase transac tion on the Fund’s distribution policy.
authorities, to earn additional income for the Fund. For Distribution policy
more information on how the Fund engages in these types Investor Series, D Series, Premium Series,
Manager Series and Institutional Series units
transactions, repurchase transactions and reverse repurchase The Fund aims to distribute a reasonably consistent amount
transactions”. of investment income monthly to those who hold units in
the Fund on the last business day prior to the date of distri
We may change the Fund’s investment strategies at our bution. The net realized capital gains, if any, are distributed
discretion, at any time. annually in December to those who hold units on the last
business day prior to the date of distribution. If the regular
What are the risks of investing in monthly distributions are less than the Fund’s net income
the Fund? and net capital gains for the year, we will make an addi
tional distribution of net income in December.
ing in the HSBC U.S. Dollar Monthly Income Fund: If the amount distributed exceeds the Fund’s income and
net realized capital gains, such excess will constitute a
◆ Asset allocation risk
return of capital. See the section called “What is a mutual
◆ Bail-in debt risk fund and what are the risks of investing in a mutual fund?” for
◆ Concentration risk the risks relating to return of capital, and the section called
“Income tax considerations for investors” for tax consider
◆ Credit risk
ations related to return of capital.
◆ Currency risk
The amount of the distribution is not guaranteed and may
◆ Derivative risk change from time to time without notice to investors. We
◆ Foreign market risk automatically reinvest distributions from the Fund in addi
◆ Interest rate risk tional units of the Fund unless you tell your representative in
advance that you want to receive distributions in cash.
◆ Liquidity risk
◆ Market risk
Investor T Series, DT Series and Premium T
Series units
◆ Return of capital risk
The Fund will make monthly distributions based on an
◆ Security risk annual rate of 4.5%. Each monthly distribution will be an
◆ Tax loss restriction event risk amount equal to approximately one-twelfth of 4.5% of the
For a full explanation of these risks, see the section called net asset value per unit of the applicable series as deter
“What is a mutual fund and what are the risks of investing in a mined on December 31 of the prior year (or, if no units were
mutual fund?”. outstanding at the end of the prior year, the net asset value
per unit of the applicable series as of the date on which the
The Fund intends to maintain a reasonably consistent level units are first available for purchase in the current calendar
of monthly income. However, there is no guarantee that year). The monthly distribution amount may be comprised
there will not be fluctuations in distributions depending on of net income, net realized capital gains and/or return of
the income generated by the Fund in any particular month. capital. See the section called “What is a mutual fund and
In situations where the Fund has earned less income than what are the risks of investing in a mutual fund?” for the risks
the amount of its regular distribution, a return of capital may relating to return of capital, and the section called “Income
be included in the payment to help maintain a consistent tax considerations for investors” for tax considerations
distribution rate. A return of capital represents a return of related to return of capital.
74
HSBC U.S. Dollar Monthly Income Fund (continued)
The Fund may make an additional annual distribution in

December, but only to the extent required to ensure that the
Fund will not pay income tax. The additional annual distri
bution amount may be comprised of any net income and/or
net realized capital gains remaining in the Fund that have
not previously been paid out.
The distribution rate is not guaranteed and may change
from time to time without notice to investors. We automati
cally reinvest distributions from the Fund in additional units
of the Fund unless you tell your representative in advance
that you want to receive distributions in cash.
Given the nature of Investor T Series, DT Series and
Premium T Series units, we recommend that you
request cash distributions if you hold your units in a
non-registered plan.
75
HSBC Canadian Balanced Fund
Fund details effect of “locking in” higher yields. Shorter-term securities

Type of fund
Canadian Neutral Balanced reinvested at higher rates. Provincial and corporate bonds
are purchased when the potential gains offered by these
Eligibility for investment in registered plans securities are expected to outweigh their credit and liquid
The Fund is a qualified investment for RRSPs, RRIFs and ity risk.
With respect to investments in Canadian equities, this Fund
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and will invest in stocks representing a broad cross-section
FHSAs, and subscribers of RESPs should consult with their own of industries.
The Fund may invest up to 33% of its assets in foreign secu
What does the Fund invest in?
Investment objectives assets, the Fund may invest in foreign securities where the
The fundamental investment objective of this Fund is to pro Fund’s investment advisor believes that they might add
vide a balance between income and long-term capital value to the Fund.
growth by primarily investing in Canadian equities, bonds The Fund may use derivatives consistent with its investment
and money market securities. The Fund will invest primarily objectives and as permitted by the Canadian securities
in companies with a large market capitalization. We may regulatory authorities. The Fund may use derivatives such
only change the Fund’s fundamental investment objective as options, futures, covered calls, forward contracts and
with the approval of a majority of the votes cast at a meet other similar instruments for hedging and non-hedging pur
ing of the investors of the Fund held to consider the change. poses. The Fund may use these instruments to provide
Investment strategies ing in them directly. Derivatives may be used to manage the
The Fund’s portfolio will be invested in Canadian equities,
bonds and money market securities. The Fund may also this part of the Simplified Prospectus in the section called
invest in income trust units, exchange-traded funds and “Derivatives transactions”.
foreign equities. The proportion of the portfolio invested in
these different asset classes will depend on the outlook for
significant portion of its assets in Canadian and U.S. short-
the economy and the financial markets.
The Fund’s investment advisor will seek to add value by volatility, in order to provide capital protection while await
active management both across and within asset classes. ing more favourable market conditions.
The Fund’s investment advisor will use tactical and strategic
asset allocation as well as active equity and fixed
income management.
When investing in fixed income securities, the Fund invests funds, including funds managed by us or other members of
primarily in government bonds, corporate bonds, mortgage- the HSBC Group. The Fund’s investment advisor will only
backed securities, debentures and other fixed income secu invest in units of other funds where such investment is
rities either issued or guaranteed by the Government of compatible with the investment objectives and strategies of
Canada, a province or municipality of Canada, Canadian the Fund. These investments will be selected on the same
corporations or Canadian trusts that issue asset-backed basis as other investments of the Fund. As at the date of
securities. Fixed income securities will generally be rated this Simplified Prospectus, the Fund currently invests in
“A” or better by Standard & Poor’s or DBRS Limited. Money units of the HSBC Global Equity Fund; while there is no
market securities will generally be rated “A-1 (Low)” or bet immediate intention to increase its investment significantly
ter by Standard & Poor’s or “R-1 (low)” or better by in this Fund or in other Funds, the Fund’s investment advi
DBRS Limited. sor may do so in the future.
The Fund’s investment advisor attempts to add value to the The Fund may enter into securities lending transactions,
Fund’s fixed income investments by buying longer-term repurchase transactions and reverse repurchase transac
securities when it expects yields to decline. This has the tions, as permitted by the Canadian securities regulatory
76
HSBC Canadian Balanced Fund (continued)
authorities, to earn additional income for the Fund. For ◆ Interest rate risk
more information on how the Fund engages in these types ◆ Large redemption risk
◆ Market risk
transactions, repurchase transactions and reverse repurchase ◆ Multiple series unit risk
transactions”. ◆ Security risk
We may change the Fund’s investment strategies at our ◆ Tax loss restriction event risk
In the 12 months immediately preceding May 28, 2023, the
Fund invested up to 25.6% of its net asset value in the
What are the risks of investing in HSBC Global Equity Fund. See the section called “What is a
the Fund? mutual fund and what are the risks of investing in a mutual
The following are the principal risks associated with invest fund?” for a description of concentration risk.
ing in the HSBC Canadian Balanced Fund: For a full explanation of these risks, see the section called
◆ Asset allocation risk “What is a mutual fund and what are the risks of investing in a
◆ Bail-in debt risk mutual fund?”.
◆ Concentration risk In addition, as at May 28, 2023, one investor held units of
the Fund representing approximately 12.4% of the net asset
◆ Credit risk
value of the Fund. These units could be sold by the investor
◆ Currency risk at any time. If all or a substantial portion of these units are
◆ Derivative risk sold, there is a risk that the Fund may have to alter its port
◆ Foreign market risk folio significantly to accommodate such a large redemption.
77
HSBC Dividend Fund
Fund details The Fund’s investment advisor attempts to add value to the
Fund’s fixed income investments by buying longer-term
Type of fund
securities when it expects yields to decline. This has the
Canadian Dividend and Income Equity
effect of “locking in” higher yields. Shorter-term securities
reinvested at higher rates. Provincial and corporate bonds
are purchased when the potential gains offered by these
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and securities are expected to outweigh their credit and liquid
FHSAs, and subscribers of RESPs should consult with their own ity risk.
ited investment in their particular circumstances. A portion of the Fund’s holdings may be in the form of cash
What does the Fund invest in? The Fund may invest up to 30% of its assets in foreign secu
The fundamental investment objective of this Fund is to pro Fund’s investment advisor believes that they might add
vide dividend income and medium- to long-term capital value to the Fund.
growth by investing primarily in high-yielding Canadian
equities and fixed income securities. We may only change
the Fund’s fundamental investment objective with the
approval of a majority of the votes cast at a meeting of the
investors of the Fund held to consider the change.
Investment strategies exposure to securities, indices or currencies without invest
The Fund will be managed to allow Canadian residents to ing in them directly. Derivatives may be used to manage the
take advantage of the Canadian dividend tax credit or other risks to which the investment portfolio is exposed. The Fund
tax-advantaged programs. The Fund’s investment advisor may also use derivatives as described in the introduction to
selects a diversified portfolio of primarily Canadian common this part of the Simplified Prospectus in the section called
equities, preferred equities, income trust units and fixed “Derivatives transactions”.
income securities. When investing in common equities and As a temporary defensive tactic, the Fund may maintain a
income trusts, the Fund’s investment advisor focuses on
quality, stability and the ability to grow dividends or distrib
utable income over time. These stocks generally have a
volatility, in order to provide capital protection while await
higher yield than the overall market. A portion of the Fund
ing more favourable market conditions.
may also be invested in high-quality preferred shares that
pay dividend income. Although there are fewer tax advan The Fund may invest, directly or indirectly through the use
tages, the Fund may invest in high-quality fixed income of derivatives, a significant portion or even all of its net
securities to provide higher yields and steady income. assets in units of other mutual funds or exchange-traded
When investing in fixed income securities, the Fund invests
Canada, a province or municipality of Canada, Canadian
corporations or Canadian trusts that issue asset-backed basis as other investments of the Fund. As at the date of
securities. Fixed income securities will generally be rated this Simplified Prospectus, there is no immediate intention
“A” or better by Standard & Poor’s or DBRS Limited or an of investing a significant portion of the Fund’s net assets in
equivalent rating by another recognized rating agency. other funds. However, the Fund’s investment advisor may
Money market securities will generally be rated “R-1 (low)” do so in the future.
or better by DBRS Limited, “A-1 (Low)” or better by Stan The Fund may enter into securities lending transactions,
dard & Poor’s or an equivalent rating by another recognized repurchase transactions and reverse repurchase transac
rating agency. tions, as permitted by the Canadian securities regulatory
78
HSBC Dividend Fund (continued)

transactions”.

the Fund?
ing in the HSBC Dividend Fund:
◆ Credit risk
◆ Market risk
◆ Security risk
mutual fund?”.
79
HSBC Equity Fund
Fund details risks to which the investment portfolio is exposed. The Fund
Type of fund
Canadian Equity
Eligibility for investment in registered plans As a temporary defensive tactic, the Fund may maintain a
The Fund is a qualified investment for RRSPs, RRIFs and significant portion of its assets in Canadian and U.S. short-
other registered plans.* term fixed income securities during periods of high market
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and ing more favourable market conditions.
tax advisors as to whether units of the Fund would be a prohib The Fund may invest, directly or indirectly through the use
ited investment in their particular circumstances. of derivatives, a significant portion or even all of its net
What does the Fund invest in? the HSBC Group. The Fund’s investment advisor will only
Investment objectives invest in units of other funds where such investment is
The fundamental investment objective of this Fund is to compatible with the investment objectives and strategies of
achieve long-term capital growth by investing in a broad the Fund. These investments will be selected on the same
range of primarily Canadian and some foreign equities from basis as other investments of the Fund. As at the date of
companies in a wide range of industries. The Canadian this Simplified Prospectus, there is no immediate intention
component will primarily be invested in companies included of investing a significant portion of the Fund’s net assets in
in the S&P/TSX Composite Index. We may only change the other funds. However, the Fund’s investment advisor may
Fund’s fundamental investment objective with the approval do so in the future.
of a majority of the votes cast at a meeting of the investors The Fund may enter into securities lending transactions,
of the Fund held to consider the change. repurchase transactions and reverse repurchase transac
Investment strategies more information on how the Fund engages in these types
The Fund invests in a diversified portfolio of publicly traded of transactions, see the section in the introduction to this
common shares, preferred shares, rights, warrants, income part of the Simplified Prospectus called “Securities lending
trust units and convertible securities. transactions, repurchase transactions and reverse repurchase
The Fund’s investment advisor splits the Canadian market transactions”.
place into broad market sectors and attempts to add value We may change the Fund’s investment strategies at our
through sector selection, depending on business-cycle con discretion, at any time.
siderations; however, security-specific analysis will ulti
mately determine the portfolio allocation to specific sectors.
The selection criteria for stocks within each segment
focuses on companies with the ability to generate returns the Fund?
on investment exceeding their cost of capital. This analysis The following are the principal risks associated with invest
is combined with an evaluation of the management team’s ing in the HSBC Equity Fund:
ability to efficiently redeploy capital into the business and/or ◆ Large redemption risk
distribute excess capital to shareholders.
◆ Market risk
◆ Security risk
rities. While the Fund intends to invest primarily in Canadian ◆ Tax loss restriction event risk
assets, the Fund may invest in foreign securities where the For a full explanation of these risks, see the section called
Fund’s investment advisor believes that they might add “What is a mutual fund and what are the risks of investing in a
value to the Fund. mutual fund?”.
The Fund may use derivatives consistent with its investment In addition, as at May 28, 2023, two investors held units of
objectives and as permitted by the Canadian securities the Fund representing approximately 28.8% and 18.2% of
regulatory authorities. The Fund may use derivatives such the net asset value of the Fund, respectively. These units
as options, futures, covered calls, forward contracts and could be sold by the investors at any time. If all or a sub
other similar instruments for hedging and non-hedging pur stantial portion of these units are sold, there is a risk that
poses. The Fund may use these instruments to provide the Fund may have to alter its portfolio significantly to
exposure to securities, indices or currencies without invest accommodate such a large redemption.
80
HSBC Small Cap Growth Fund
Fund details exposure to securities, indices or currencies without invest

Type of fund risks to which the investment portfolio is exposed. The Fund
Canadian Small/Mid Cap Equity may also use derivatives as described in the introduction to
Eligibility for investment in registered plans “Derivatives transactions”.
The Fund is a qualified investment for RRSPs, RRIFs and As a temporary defensive tactic, the Fund may maintain a
other registered plans.* significant portion of its assets in Canadian and U.S. short-
Sub-advisors** volatility, in order to provide capital protection while await
Mawer Investment Management Ltd. ing more favourable market conditions.
Calgary, Alberta, Canada The Fund may invest, directly or indirectly through the use
Triasima Portfolio Management Inc. of derivatives, a significant portion or even all of its net
Montreal, Quebec, Canada assets in units of other mutual funds or exchange-traded
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and funds, including funds managed by us or other members of
FHSAs, and subscribers of RESPs should consult with their own the HSBC Group. The Fund’s investment advisor will only
tax advisors as to whether units of the Fund would be a prohib invest in units of other funds where such investment is
ited investment in their particular circumstances. compatible with the investment objectives and strategies of
** We may hire or replace sub-advisors, or change the allocation of the Fund. These investments will be selected on the same
assets among sub-advisors, at any time. See the section called basis as other investments of the Fund. As at the date of
“Portfolio advisors” on page 4. this Simplified Prospectus, there is no immediate intention
What does the Fund invest in? do so in the future.
Investment objectives The Fund may enter into securities lending transactions,
The fundamental investment objective of this Fund is to repurchase transactions and reverse repurchase transac
achieve long-term capital growth by investing primarily in a tions, as permitted by the Canadian securities regulatory
broad range of smaller Canadian companies. We may only authorities, to earn additional income for the Fund. For
change the Fund’s fundamental investment objective with more information on how the Fund engages in these types
the approval of a majority of the votes cast at a meeting of of transactions, see the section in the introduction to this
the investors of the Fund held to consider the change. part of the Simplified Prospectus called “Securities lending
transactions”.
Investment strategies We may change the Fund’s investment strategies at our
The Fund will principally invest in equity securities of discretion, at any time.
smaller and medium-sized Canadian companies across a
broad range of industry groups. Investments may include
common shares, preferred shares, rights and warrants,
income trust units, convertible securities, and other securi the Fund?
ties that approximate the economic interest of a common The following are the principal risks associated with invest
equity holder. ing in the HSBC Small Cap Growth Fund:
A portion of the Fund’s holdings may be in the form of cash ◆ Concentration risk
or cash equivalents. ◆ Income trust risk
The Fund may invest up to 30% of its assets in foreign secu ◆ Liquidity risk
rities. While the Fund intends to invest primarily in Canadian ◆ Market risk
Fund’s investment advisor believes that they might add
value to the Fund. ◆ Security risk
The Fund may use derivatives consistent with its investment ◆ Small capitalization risk
objectives and as permitted by the Canadian securities ◆ Tax loss restriction event risk
regulatory authorities. The Fund may use derivatives such For a full explanation of these risks, see the section called
as options, futures, covered calls, forward contracts and “What is a mutual fund and what are the risks of investing in a
other similar instruments for hedging and non-hedging pur mutual fund?”.
81
HSBC Global Equity Fund
Fund details as options, futures, covered calls, forward contracts and

Type of fund poses. The Fund may use these instruments to provide
Global Equity exposure to securities, indices or currencies without invest
Eligibility for investment in registered plans risks to which the investment portfolio is exposed. The Fund
The Fund is a qualified investment for RRSPs, RRIFs and may also use derivatives as described in the introduction to
other registered plans.* this part of the Simplified Prospectus in the section called
Sub-advisor** As a temporary defensive tactic, the Fund may maintain a
HSBC Global Asset Management (UK) Limited significant portion of its assets in Canadian and U.S. short-
London, UK term fixed income securities during periods of high market
ited investment in their particular circumstances. of derivatives, a significant portion or even all of its net
** We may hire or replace sub-advisors, or change the allocation of assets in units of other mutual funds or exchange-traded
assets among sub-advisors, at any time. See the section called funds, including funds managed by us or other members of
“Portfolio advisors” on page 4. HSBC Global Asset Management the HSBC Group. The Fund’s investment advisor will only
(UK) Limited is related to us because it is our affiliate. invest in units of other funds where such investment is
What does the Fund invest in? the Fund. These investments will be selected on the same
Investment objectives this Simplified Prospectus, there is no immediate intention
The fundamental investment objective of this Fund is to pro of investing a significant portion of the Fund’s net assets in
vide long-term capital growth by investing primarily in a other funds. However, the Fund’s investment advisor may
diversified portfolio of equity and equity-related securities of do so in the future.
publicly traded companies located around the world. We The Fund may enter into securities lending transactions,
may only change the Fund’s fundamental investment objec repurchase transactions and reverse repurchase transac
tive with the approval of a majority of the votes cast at a tions, as permitted by the Canadian securities regulatory
meeting of the investors of the Fund held to consider authorities, to earn additional income for the Fund. For
the change. more information on how the Fund engages in these types
Investment strategies transactions, repurchase transactions and reverse repurchase
The Fund will principally invest in equity and equity-related transactions”.
securities of companies around the world and across a The Fund’s investment strategy may involve the Fund’s
broad range of industry groups and diversified by country investment advisor actively and frequently buying and sell
and currency. ing the Fund’s underlying investments. As a result, the Fund
The Fund seeks to achieve its objective by using a propri may have a high portfolio turnover rate. The higher a Fund’s
etary systematic investment process to create a portfolio portfolio turnover rate in a year, the greater the trading
that focuses on risk premiums offered by exposure to fac costs payable by the Fund and, assuming the Fund is realiz
tors such as value, quality, momentum, low risk and size. ing capital gains from its sale of securities, the greater the
The model will be subject to ongoing research regarding chance of an investor receiving taxable capital gains in that
these five factors. A portfolio will then be created, maximiz year from the Fund. A high portfolio turnover rate should
ing the exposure to the highest-ranked stocks based on not be taken as a reflection of the Fund’s performance.
these five factors while minimizing the portfolio’s risk. We may change the Fund’s investment strategies at our
The Fund may invest up to 100% of its assets in What are the risks of investing in
foreign securities. the Fund?
The Fund may use derivatives consistent with its investment The following are the principal risks associated with invest
objectives and as permitted by the Canadian securities ing in the HSBC Global Equity Fund:
regulatory authorities. The Fund may use derivatives such ◆ Currency risk
82
HSBC Global Equity Fund (continued)
◆ Derivative risk In addition, as at May 28, 2023, one investor held units of
◆ Foreign market risk the Fund representing approximately 72.7% of the net asset
at any time. If all or a substantial portion of these units are
◆ Market risk sold, there is a risk that the Fund may have to alter its port
◆ Multiple series unit risk folio significantly to accommodate such a large redemption.
◆ Security risk If you are using the U.S. dollar purchase service, please
◆ Tax loss restriction event risk refer to the section called “Optional services – U.S. dollar pur
chase service” for a full explanation of this service.
mutual fund?”.
83
HSBC Global Equity Volatility Focused Fund

Type of fund poses. The Fund may use these instruments to provide
Global Equity exposure to securities, indices or currencies without invest
Eligibility for investment in registered plans risks to which the investment portfolio is exposed. The Fund
other registered plans.* this part of the Simplified Prospectus in the section called
Sub-advisor** As a temporary defensive tactic, the Fund's investment
advisor may maintain a significant portion of the Fund's
London, UK
ties during periods of high market volatility, in order to pro
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and vide capital protection while awaiting more favourable mar
FHSAs, and subscribers of RESPs should consult with their own ket conditions.
** We may hire or replace sub-advisors, or change the allocation of assets in units of other mutual funds or exchange-traded
assets among sub-advisors, at any time. See the section called funds, including funds managed by us or other members of
“Portfolio advisors” on page 4. HSBC Global Asset Management the HSBC Group. The Fund's investment advisor will only
(UK) Limited is related to us because it is our affiliate. invest in units of other funds where such investment is
What does the Fund invest in? the Fund. These investments will be selected on the same
Investment objectives this Simplified Prospectus, there is no immediate intention
The fundamental investment objective of this Fund is to pro of investing a significant portion of the Fund's net assets in
vide long-term capital growth by investing primarily in other funds. However, the Fund's investment advisor may
equity and equity-related securities of companies located do so in the future.
around the world. The Fund seeks to achieve lower volatility The Fund may enter into securities lending transactions,
compared to the broader global equity market. We may repurchase transactions and reverse repurchase transac
only change the Fund's fundamental investment objective tions, as permitted by the Canadian securities regulatory
with the approval of a majority of the votes cast at a meet
ing of the investors of the Fund held to consider the change.
Investment strategies transactions, repurchase transactions and reverse repurchase
transactions”.
The Fund principally invests in equity and equity-related
securities of companies around the world. Through portfolio The Fund’s investment strategy may involve the Fund’s
construction, the Fund aims for lower volatility relative to investment advisor actively and frequently buying and sell
ing the Fund’s underlying investments. As a result, the Fund
the broader global equity market. The Fund seeks to
may have a high portfolio turnover rate. The higher a Fund’s
achieve its objective by using a proprietary systematic portfolio turnover rate in a year, the greater the trading
investment process to create a portfolio that focuses on risk costs payable by the Fund and, assuming the Fund is realiz
premiums offered by exposure to factors such as value, ing capital gains from its sale of securities, the greater the
quality, momentum, low risk and size. A portfolio will be chance of an investor receiving taxable capital gains in that
created that aims to maximize risk-adjusted return while year from the Fund. A high portfolio turnover rate should
reducing volatility and drawdowns during periods of mar not be taken as a reflection of the Fund’s performance.
ket turbulence. We may change the Fund's investment strategies at our
A portion of the Fund's holdings may be in the form of cash discretion, at any time.
The Fund may invest up to 100% of its assets in What are the risks of investing in
foreign securities. the Fund?
The Fund may use derivatives consistent with its investment The following are the principal risks associated with invest
objectives and as permitted by the Canadian securities ing in the HSBC Global Equity Volatility Focused Fund:
regulatory authorities. The Fund may use derivatives such ◆ Currency risk
84
HSBC Global Equity Volatility Focused Fund (continued)
◆ Derivative risk
◆ Market risk
◆ Security risk
mutual fund?”.
85
HSBC U.S. Equity Fund
Fund details ing in them directly. Derivatives may be used to manage the
Type of fund
U.S. Equity this part of the Simplified Prospectus in the section called
Sub-advisor**
Los Angeles Capital Management LLC.
Los Angeles, California, USA The Fund may invest, directly or indirectly through the use
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and assets in units of other mutual funds or exchange-traded
ited investment in their particular circumstances. the HSBC Group. The Fund’s investment advisor will only
“Portfolio advisors” on page 4. the Fund. These investments will be selected on the same
What does the Fund invest in? of investing a significant portion of the Fund’s net assets in
Investment objectives other funds. However, the Fund’s investment advisor may
The fundamental investment objective of this Fund is to do so in the future.
achieve long-term capital growth by investing primarily in a The Fund may enter into securities lending transactions,
broad range of U.S. companies. We may only change the repurchase transactions and reverse repurchase transac
Fund’s fundamental investment objective with the approval tions, as permitted by the Canadian securities regulatory
of a majority of the votes cast at a meeting of the investors authorities, to earn additional income for the Fund. For
of the Fund held to consider the change. more information on how the Fund engages in these types
Investment strategies part of the Simplified Prospectus called “Securities lending
The Fund will principally invest in equity securities of large-
transactions”.
capitalization U.S. companies from across a broad range of
industry groups. Investments may include common shares, The Fund’s investment strategy may involve the Fund’s
preferred shares, rights, warrants and convertible securities. investment advisor actively and frequently buying and sell
The Fund may also invest in securities of companies based
outside the U.S. While the Fund intends to invest primarily
in securities of U.S. companies, it may invest in securities of
non-U.S. companies where the Fund’s investment advisor
believes they may add value to the Fund.
A portion of the Fund’s holdings may be in the form of cash year from the Fund. A high portfolio turnover rate should
or cash equivalents. not be taken as a reflection of the Fund’s performance.
The Fund may invest up to 100% of its assets in We may change the Fund’s investment strategies at our
foreign securities. discretion, at any time.
objectives and as permitted by the Canadian securities What are the risks of investing in
the Fund?
other similar instruments for hedging and non-hedging pur The following are the principal risks associated with invest
poses. The Fund may use these instruments to provide ing in the HSBC U.S. Equity Fund:
exposure to securities, indices or currencies without invest ◆ Concentration risk
86
HSBC U.S. Equity Fund (continued)
◆ Currency risk
◆ Income trust risk
◆ Market risk
◆ Security risk
mutual fund?”.
If you are using the U.S. dollar purchase service, please
refer to the section called “Optional services – U.S. dollar pur
87
HSBC European Fund

Type of fund
European Equity
Sub-advisor**
HSBC Global Asset Management (France) As a temporary defensive tactic, the Fund may maintain a
Paris, France significant portion of its assets in Canadian, U.S. and Euro
pean short-term fixed income securities during periods of
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and high market volatility, in order to provide capital protection
while awaiting more favourable market conditions.
ited investment in their particular circumstances. The Fund may invest, directly or indirectly through the use
** We may hire or replace sub-advisors, or change the allocation of of derivatives, a significant portion or even all of its net
assets among sub-advisors, at any time. See the section called assets in units of other mutual funds or exchange-traded
“Portfolio advisors” on page 4. HSBC Global Asset Management funds, including funds managed by us or other members of
(France) is related to us because it is our affiliate. the HSBC Group. The Fund’s investment advisor will only
What does the Fund invest in? compatible with the investment objectives and strategies of
Investment objectives the Fund. These investments will be selected on the same
achieve long-term capital growth by investing in a broad
range of large European-based companies. These compa
nies are primarily from the United Kingdom, France, Ger
many, Italy and other developed European countries. The
Fund is broadly diversified across industries and countries in The Fund may enter into securities lending transactions,
the region. We may only change the Fund’s fundamental repurchase transactions and reverse repurchase transac
investment objective with the approval of a majority of the tions, as permitted by the Canadian securities regulatory
votes cast at a meeting of the investors of the Fund held to authorities, to earn additional income for the Fund. For
consider the change. more information on how the Fund engages in these types
Investment strategies
The Fund follows a core style, bottom-up approach and transactions”.
invests primarily in equity and equity-related securities of
large, established companies located in Europe.
The Fund may also invest in large, well-established compa
nies in emerging market countries in Europe.
The Fund’s investment advisor seeks to add value through
stock selection by selecting those companies that trade at the Fund?
attractive valuations with the aim of benefiting from a The following are the principal risks associated with invest
re-pricing of a company’s securities. ing in the HSBC European Fund:
A portion of the Fund’s holdings may be in the form of cash ◆ Currency risk
The Fund may invest up to 100% of its assets in
◆ Market risk
foreign securities.
objectives and as permitted by the Canadian securities ◆ Security risk
regulatory authorities. The Fund may use derivatives such ◆ Tax loss restriction event risk
88
HSBC European Fund (continued)

mutual fund?”.
89
HSBC AsiaPacific Fund
Fund details other similar instruments for hedging and non-hedging pur-
Type of fund exposure to securities, indices or currencies without invest
Asia Pacific ex-Japan Equity ing in them directly. Derivatives may be used to manage the
Eligibility for investment in registered plans may also use derivatives as described in the introduction to
The Fund is a qualified investment for RRSPs, RRIFs and this part of the Simplified Prospectus in the section called
other registered plans.* “Derivatives transactions”.
Sub-advisor** significant portion of its assets in Canadian and U.S. short-
HSBC Global Asset Management (Hong Kong) Limited term fixed income securities during periods of high market
Hong Kong SAR of the People’s Republic of China volatility, in order to provide capital protection while await
ited investment in their particular circumstances. assets in units of other mutual funds or exchange-traded
** We may hire or replace sub-advisors, or change the allocation of the HSBC Group. The Fund’s investment advisor will only
assets among sub-advisors, at any time. See the section called invest in units of other funds where such investment is
(Hong Kong) Limited is related to us because it is our affiliate.
What does the Fund invest in? this Simplified Prospectus, there is no immediate intention
Investment objectives of investing a significant portion of the Fund’s net assets in
The fundamental investment objective of this Fund is to pro do so in the future.
vide long-term capital growth by investing primarily in
equity securities listed on recognized stock exchanges of
countries and territories in Asia and the Pacific Rim, includ tions, as permitted by the Canadian securities regulatory
ing Hong Kong SAR, Taiwan, South Korea, Singapore, authorities, to earn additional income for the Fund. For
China, Malaysia, Thailand, Indonesia, the Philippines and more information on how the Fund engages in these types
Australia, but excluding Japan. We may only change the of transactions, see the section in the introduction to this
Fund’s fundamental investment objective with the approval part of the Simplified Prospectus called “Securities lending
of a majority of the votes cast at a meeting of the investors transactions, repurchase transactions and reverse repurchase
of the Fund held to consider the change. transactions”.
The Fund’s investment strategy may involve the Fund’s
Investment strategies investment advisor actively and frequently buying and sell
The Fund invests in a diversified portfolio of foreign securi may have a high portfolio turnover rate. The higher a Fund’s
ties, including rights, warrants and options. The Fund’s portfolio turnover rate in a year, the greater the trading
investment advisor seeks to add value through stock selec costs payable by the Fund and, assuming the Fund is realiz
tion by selecting profitable companies that trade at below- ing capital gains from its sale of securities, the greater the
average valuations. The Fund’s investment advisor will also chance of an investor receiving taxable capital gains in that
evaluate the quality of management at these companies, year from the Fund. A high portfolio turnover rate should
which is particularly important in the Asia Pacific region. not be taken as a reflection of the Fund’s performance.
A portion of the Fund’s holdings may be in the form of cash We may change the Fund’s investment strategies at our
or cash equivalents, including money market funds. discretion, at any time.
foreign securities. What are the risks of investing in
The Fund may use derivatives consistent with its investment the Fund?
objectives and as permitted by the Canadian securities The following are the principal risks associated with invest
regulatory authorities. The Fund may use derivatives such ing in the HSBC AsiaPacific Fund:
as options, futures, covered calls, forward contracts and ◆ Concentration risk
90
HSBC AsiaPacific Fund (continued)
◆ Currency risk
◆ Liquidity risk
◆ Market risk
◆ Security risk
Fund invested up to 10.3% of its net asset value in shares of
Taiwan Semiconductor Manufacturing Co Ltd. See the sec
tion called “What is a mutual fund and what are the risks of
investing in a mutual fund?” for a description of concentra
tion risk.
mutual fund?”.
91
HSBC Chinese Equity Fund
Fund details The Fund’s investment advisor seeks to add value through
stock selection by selecting profitable companies that trade
Type of fund
at below-average valuations.
Greater China Equity
Eligibility for investment in registered plans or cash equivalents.
The Fund is a qualified investment for RRSPs, RRIFs and The Fund may invest up to 100% of its assets in
other registered plans.* foreign securities.
Sub-advisor**
HSBC Global Asset Management (Hong Kong) Limited
Hong Kong SAR of the People’s Republic of China
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and other similar instruments for hedging and non-hedging pur
FHSAs, and subscribers of RESPs should consult with their own poses. The Fund may use these instruments to provide
ited investment in their particular circumstances. exposure to securities, indices or currencies without invest
assets among sub-advisors, at any time. See the section called risks to which the investment portfolio is exposed. The Fund
“Portfolio advisors” on page 4. HSBC Global Asset Management may also use derivatives as described in the introduction to
(Hong Kong) Limited is related to us because it is our affiliate. this part of the Simplified Prospectus in the section called
What does the Fund invest in? As a temporary defensive tactic, the Fund may maintain a
Investment objectives portion of its assets in Canadian and U.S. short-term fixed
The fundamental investment objective of this Fund is to pro income securities during periods of high market volatility, in
vide long-term capital growth by investing primarily in a order to provide capital protection while awaiting more
diversified portfolio of equity and equity-related securities of favourable market conditions.
publicly traded companies registered, or with an official list The Fund may invest, directly or indirectly through the use
ing, on a stock exchange in the People’s Republic of China, of derivatives, a significant portion or even all of its net
as well as investing in securities of public companies that assets in units of other mutual funds or exchange-traded
have a significant business or investment link with China. funds, including funds managed by us or other members of
We may only change the Fund’s fundamental investment the HSBC Group. The Fund’s investment advisor will only
objective with the approval of a majority of the votes cast at invest in units of other funds where such investment is
a meeting of the investors of the Fund held to consider compatible with the investment objectives and strategies of
the change.
Investment strategies this Simplified Prospectus, there is no immediate intention
The Fund will invest primarily in equity securities issued by of investing a significant portion of the Fund’s net assets in
large, actively traded companies. The portfolio may also other funds. However, the Fund’s investment advisor may
include securities in appropriate smaller companies and do so in the future.
equity-related securities including, but not limited to, Chi The Fund may enter into securities lending transactions,
nese warrants and participation notes. repurchase transactions and reverse repurchase transac
The Fund will invest directly in securities listed on stock tions, as permitted by the Canadian securities regulatory
exchanges in China (including Hong Kong SAR) that have authorities, to earn additional income for the Fund. For
been established and approved by applicable regulatory more information on how the Fund engages in these types
authorities, and also in securities of companies listed on of transactions, see the section in the introduction to this
other stock exchanges outside of China that have a signifi part of the Simplified Prospectus called “Securities lending
cant business or investment link with China. For this pur
pose, the Fund will generally only invest in companies listed
transactions”.
outside China where those companies are owned or con
trolled by Chinese interests, or where a significant portion of The Fund’s investment strategy may involve the Fund’s
the earnings, production facilities, turnover, assets or invest investment advisor actively and frequently buying and sell
ments of such companies are based in or derived ing the Fund’s underlying investments. As a result, the Fund
from China. may have a high portfolio turnover rate. The higher a Fund’s
92
HSBC Chinese Equity Fund (continued)
portfolio turnover rate in a year, the greater the trading ◆ Market risk
costs payable by the Fund and, assuming the Fund is realiz ◆ Multiple series unit risk
◆ Security risk
year from the Fund. A high portfolio turnover rate should ◆ Tax loss restriction event risk
not be taken as a reflection of the Fund’s performance. In the 12 months immediately preceding May 28, 2023, the
We may change the Fund’s investment strategies at our Fund invested up to 10.6% of its net asset value in shares of
discretion, at any time. Alibaba Group Holding Ltd and 10.4% of its net value in
shares of Tencent Holdings Ltd. See the section called
What are the risks of investing in “What is a mutual fund and what are the risks of investing in a
mutual fund?” for a description of concentration risk.
the Fund?
ing in the HSBC Chinese Equity Fund:
mutual fund?”.
◆ Concentration risk
◆ Currency risk refer to the section called “Optional services – U.S. dollar pur
◆ Foreign market risk chase service” for a full explanation of this service.
◆ Liquidity risk
93
HSBC Indian Equity Fund
Fund details investments of such companies are based in or derived

from India. In addition, the Fund may invest all or substan
Type of fund tially all of the Fund’s assets in securities of exchange-
Emerging Markets Equity traded funds or other special-purpose investment vehicles
that provide the Fund with exposure to these types of
Eligibility for investment in registered plans investments, where such investment is permitted by appli
The Fund is a qualified investment for RRSPs, RRIFs and cable securities laws.
other registered plans.* A portion of the Fund’s holdings may be in the form of cash
Sub-advisor** The Fund may invest up to 100% of its assets in
HSBC Global Asset Management (Singapore) Limited foreign securities.
Singapore, Republic of Singapore The Fund may use derivatives consistent with its investment
ited investment in their particular circumstances. other similar instruments for hedging and non-hedging pur
** We may hire or replace sub-advisors, or change the allocation of exposure to securities, indices or currencies without invest
assets among sub-advisors, at any time. See the section called ing in them directly. Derivatives may be used to manage the
(Singapore) Limited is related to us because it is our affiliate.
What does the Fund invest in? “Derivatives transactions”.
Investment objectives As a temporary defensive tactic, the Fund may maintain a
portion of its assets in Canadian and U.S. short-term fixed
The fundamental investment objective of this Fund is to pro income securities during periods of high market volatility, in
vide long-term capital growth by investing primarily in a order to provide capital protection while awaiting more
diversified portfolio of equity and equity-related securities of favourable market conditions.
publicly traded companies registered, or with an official list The Fund may invest, directly or indirectly through the use
ing, on a stock exchange in India, as well as investing in of derivatives, a significant portion or even all of its net
securities of public companies based outside of India that assets in units of other mutual funds or exchange-traded
have a significant business or investment link with India. funds, including funds managed by us or other members of
We may only change the Fund’s fundamental investment the HSBC Group. The Fund’s investment advisor will only
objective with the approval of a majority of the votes cast at invest in units of other funds where such investment is
a meeting of the investors of the Fund held to consider compatible with the investment objectives and strategies of
the change. the Fund. The investments will be selected on the same
basis as other investments of the Fund.
Investment strategies repurchase transactions and reverse repurchase transac
The Fund will invest primarily in equity securities issued by tions, as permitted by the Canadian securities regulatory
medium to large actively traded companies. The portfolio authorities, to earn additional income for the Fund. For
may also include securities in appropriate smaller compa more information on how the Fund engages in these types
nies. The Fund may invest in equity-related securities includ of transactions, see the section in the introduction to this
ing, but not limited to, warrants, American depositary part of the Simplified Prospectus called “Securities lending
receipts and global depositary receipts.
transactions”.
The Fund will invest directly in securities listed on stock
exchanges in India that have been established and discretion, at any time.
approved by applicable regulatory authorities, and also in
securities of companies listed on other stock exchanges
outside of India that have a significant business or invest
ment link with India. The Fund will generally only invest in the Fund?
companies listed outside India where those companies are The following are the principal risks associated with invest
owned or controlled by Indian interests, or where a signifi ing in the HSBC Indian Equity Fund:
cant portion of the earnings, production facilities, assets or ◆ Concentration risk
94
HSBC Indian Equity Fund (continued)
◆ Currency risk Reliance Industries Ltd. See the section called “What is a
◆ Foreign market risk mutual fund and what are the risks of investing in a mutual
fund?” for a description of concentration risk.
◆ Liquidity risk
◆ Market risk
◆ Multiple series unit risk mutual fund?”.
◆ Security risk If you are using the U.S. dollar purchase service, please
◆ Tax loss restriction event risk refer to the section called “Optional services – U.S. dollar pur
In the 12 months immediately preceding May 28, 2023, the chase service” for a full explanation of this service.
Fund invested up to 10.3% of its net asset value in shares of
95
HSBC Emerging Markets Fund
Type of fund
Emerging Markets Equity The Fund may invest up to 100% of its assets in
foreign securities.
Eligibility for investment in registered plans The Fund may use derivatives consistent with its investment
Sub-advisor**
London, UK
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and ing in them directly. Derivatives may be used to manage the
ited investment in their particular circumstances. may also use derivatives as described in the introduction to
assets among sub-advisors, at any time. See the section called “Derivatives transactions”.
(UK) Limited is related to us because it is our affiliate.
What does the Fund invest in? volatility, in order to provide capital protection while await
Investment objectives ing more favourable market conditions.
The fundamental investment objective of this Fund is to pro The Fund may invest, directly or indirectly through the use
vide long-term capital growth by investing primarily in equi of derivatives, a significant portion or even all of its net
ties of companies of all sizes in emerging markets around assets in units of other mutual funds or exchange-traded
the world, including Latin American nations such as Brazil
and Mexico, European nations such as Russia and Turkey,
Middle Eastern and African nations such as Israel and South
Africa, and Asian nations such as Indonesia and Malaysia.
We may only change the Fund’s fundamental investment compatible with the investment objectives and strategies of
objective with the approval of a majority of the votes cast at the Fund. These investments will be selected on the same
a meeting of the investors of the Fund held to consider basis as other investments of the Fund. As at the date of
the change. this Simplified Prospectus, there is no immediate intention
Investment strategies other funds. However, the Fund’s investment advisor may
This Fund will invest primarily in the stocks of publicly
traded companies whose main operations are located in the The Fund may enter into securities lending transactions,
emerging markets and economies of the world. This repurchase transactions and reverse repurchase transac
includes securities of companies domiciled or listed on tions, as permitted by the Canadian securities regulatory
stock exchanges in developed countries, but which have a authorities, to earn additional income for the Fund. For
significant business or investment link with an emerging more information on how the Fund engages in these types
country. For this purpose, the Fund will generally only invest of transactions, see the section in the introduction to this
in companies domiciled or listed in developed markets part of the Simplified Prospectus called “Securities lending
where those companies are owned or controlled by emerg transactions, repurchase transactions and reverse repurchase
ing market entities, or where a significant portion of the
transactions”.
earnings, production facilities, turnover, assets or invest
ments of such companies are based in or derived from The Fund’s investment strategy may involve the Fund’s
emerging market countries. investment advisor actively and frequently buying and sell
This Fund is managed using a “bottom-up” stock selection ing the Fund’s underlying investments. As a result, the Fund
approach with a focus on company fundamentals. Many may have a high portfolio turnover rate. The higher a Fund’s
top-down factors including investment megatrends, politics, portfolio turnover rate in a year, the greater the trading
fiscal picture, inflation and monetary policy are considered costs payable by the Fund and, assuming the Fund is realiz
and may influence portfolio construction and risk control. ing capital gains from its sale of securities, the greater the
96
HSBC Emerging Markets Fund (continued)
chance of an investor receiving taxable capital gains in that ◆ Multiple series unit risk
year from the Fund. A high portfolio turnover rate should ◆ Security risk
mutual fund?”.
In addition, as at May 28, 2023, three investors held units of
the Fund? the Fund representing approximately 30.9%, 21.9% and
The following are the principal risks associated with invest 18.2% of the net asset value of the Fund, respectively.
ing in the HSBC Emerging Markets Fund: These units could be sold by the investors at any time. If all
◆ Concentration risk or a substantial portion of these units are sold, there is a risk
◆ Currency risk that the Fund may have to alter its portfolio significantly to
◆ Liquidity risk chase service” for a full explanation of this service.
◆ Market risk
97
HSBC Emerging Markets Fund II (formerly the HSBC BRIC Equity Fund)
Fund details When investing in equity securities directly, the Fund is

managed using a “bottom-up” stock selection approach
Type of fund with a focus on company fundamentals. Many top-down
Emerging Markets Equity factors including investment megatrends, politics, the fiscal
picture, inflation and monetary policy are considered and
Eligibility for investment in registered plans may influence portfolio construction and risk control.
The Fund is a qualified investment for RRSPs, RRIFs and A portion of the Fund’s holdings may be in the form of cash
other registered plans.* or cash equivalents.
Sub-advisor**
foreign securities.
London, UK The Fund may use derivatives consistent with its investment
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and regulatory authorities. The Fund may use derivatives such
FHSAs, and subscribers of RESPs should consult with their own as options, futures, covered calls, forward contracts and
“Portfolio advisors” on page 4 HSBC Global Asset Management
The Fund is closed to all purchases by investors. See this part of the Simplified Prospectus in the section called
the section called “Purchases, switches and redemp “Derivatives transactions”.
tions – How to buy, sell and switch units of the
Funds” for more information.
portion of its assets in Canadian and U.S. short-term fixed
income securities during periods of high market volatility, in
What does the Fund invest in? order to provide capital protection while awaiting more
Investment objectives favourable market conditions.
The fundamental investment objective of this Fund is to pro The Fund may invest, directly or indirectly through the use
vide long-term capital growth by investing primarily in equi of derivatives, a significant portion or even all of its net
ties of companies of all sizes in emerging markets around assets in units of other mutual funds or exchange-traded
the world, either directly or indirectly. We may only change funds, including funds managed by us or other members of
the Fund’s fundamental investment objective with the the HSBC Group. The Fund’s investment advisor will only
approval of a majority of the votes cast at a meeting of the invest in units of other funds where such investment is
investors of the Fund held to consider the change. compatible with the investment objectives and strategies of
The Fund will invest primarily in equity and equity-related of investing a significant portion of the Fund’s net assets in
securities of publicly traded companies whose main opera other funds. However, the Fund’s investment advisor may
tions are located in the emerging markets and economies of do so in the future.
the world. This includes securities of companies domiciled The Fund may enter into securities lending transactions,
or listed on stock exchanges in developed countries, but repurchase transactions and reverse repurchase transac
which have a significant business or investment link with an tions, as permitted by the Canadian securities regulatory
emerging country. For this purpose, the Fund will generally authorities, to earn additional income for the Fund. For
only invest in companies domiciled or listed in developed more information on how the Fund engages in these types
markets where those companies are owned or controlled by of transactions, see the section in the introduction to this
emerging market entities, or where a significant portion of part of the Simplified Prospectus called “Securities lending
the earnings, production facilities, turnover, assets or invest transactions, repurchase transactions and reverse repurchase
ments of such companies are based in or derived from transactions”.
emerging market countries. The Fund may obtain this expo The Fund’s investment strategy may involve the Fund’s
sure by investing directly in such securities, or indirectly by investment advisor actively and frequently buying and sell
investing in units of the HSBC Emerging Markets Fund. ing the Fund’s underlying investments. As a result, the Fund
98
HSBC Emerging Markets Fund II (formerly the HSBC BRIC Equity Fund)
(continued)
may have a high portfolio turnover rate. The higher a Fund’s ◆ Security risk
portfolio turnover rate in a year, the greater the trading ◆ Tax loss restriction event risk
In February 2022, events concerning Russia and Ukraine
resulted in sanctions being levied against Russian interests
by numerous countries and a significant decline in the price
not be taken as a reflection of the Fund’s performance. and liquidity of securities of issuers connected to Russia. As
a result of sanctions, governmental restrictions and market
liquidity issues, the Fund is currently not trading in Russian
securities, including those in its portfolio. The duration and
extent of the impact of this situation, including on the
What are the risks of investing in Fund’s performance, remain unclear at this time.
the Fund? In the 12 months immediately preceding May 28, 2023, the
The following are the principal risks associated with invest Fund invested up to 95.3% of its net asset value in shares of
ing in the HSBC Emerging Markets Fund II (formerly the iShares MSCI Emerging Markets ETF. See the section called
HSBC BRIC Equity Fund): “What is a mutual fund and what are the risks of investing in a
◆ Concentration risk mutual fund?” for a description of concentration risk.
◆ Currency risk For a full explanation of these risks, see the section called
◆ Derivative risk
mutual fund?”.
◆ Liquidity risk refer to the section called “Optional services – U.S. dollar pur
◆ Market risk chase service” for a full explanation of this service.
99
Fund details the Simplified Prospectus in the section called “Investment

restrictions”) that apply to the Fund or investment advisor
Type of fund
but not the index. Where the Fund cannot hold a constitu
U.S. Equity
ent of the index, the Fund may gain exposure indirectly
through other assets or instruments including American
depositary receipts, global depositary receipts, other mutual
The Fund is a qualified investment for RRSPs, RRIFs and funds or exchange-traded funds, and derivatives.
Sub-advisor** or cash equivalents.
HSBC Global Asset Management (UK) Limited The Fund may invest up to 100% of its assets in
London, UK foreign securities.
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and The Fund may use derivatives consistent with its investment
FHSAs, and subscribers of RESPs should consult with their own objectives and as permitted by the Canadian securities
tax advisors as to whether units of the Fund would be a prohib regulatory authorities. The Fund may use derivatives such
ited investment in their particular circumstances. as options, futures, covered calls, forward contracts and
** We may hire or replace sub-advisors, or change the allocation of other similar instruments for hedging and non-hedging pur
assets among sub-advisors, at any time. See the section called poses. The Fund may use these instruments to provide
“Portfolio advisors” on page 4. HSBC Global Asset Management exposure to index constituents, indices or currencies with
out investing in them directly. Derivatives may be used to
manage the risks to which the investment portfolio is
What does the Fund invest in? exposed and to reduce tracking error between the Fund’s
Investment objectives performance and that of the index. The Fund may also use
The fundamental investment objective of this Fund is to derivatives as described in the introduction to this part of
achieve long-term capital growth by tracking the perfor the Simplified Prospectus in the section called “Derivatives
mance of a generally recognized index of US equities. We transactions”.
may only change the Fund’s fundamental investment objec As a temporary defensive tactic, the Fund may maintain a
tive with the approval of a majority of the votes cast at a significant portion of its assets in Canadian and U.S. short-
meeting of the investors of the Fund held to consider term fixed income securities during periods of high market
the change. volatility, in order to provide capital protection while await
Investment strategies The Fund may invest, directly or indirectly through the use
The Fund seeks to achieve its investment objective by track of derivatives, a significant portion or even all of its net
ing as closely as possible the returns of the S&P 500 Index. assets in units of other mutual funds or exchange-traded
The index is a free-float-adjusted market-capitalization index funds, including funds managed by us or other members of
designed to measure large-cap US equity market perfor the HSBC Group. The Fund’s investment advisor will only
mance. It is made up of the 500 largest stock market listed invest in units of other funds where such investment is
companies in the United States, as defined by the index compatible with the investment objectives and strategies of
provider. the Fund. As at the date of this Simplified Prospectus, there
is no immediate intention of investing a significant portion
The Fund will aim to invest in the constituents of the index
of the Fund’s net assets in other funds. However, the
generally in the same proportions in which they are
Fund’s investment advisor may do so in the future.
included in the index. However, there may be circum
stances when it is not possible or practicable for the Fund The Fund may enter into securities lending transactions,
to invest in all constituents of the index. Such circum repurchase transactions and reverse repurchase transac
stances may include (but are not limited or in the same pro tions, as permitted by the Canadian securities regulatory
portion to): (i) a limited availability of the index constituents; authorities, to earn additional income for the Fund. For
(ii) trading suspensions on constituents of the index; more information on how the Fund engages in these types
(iii) cost inefficiencies; (iv) if the assets under management of transactions, see the section in the introduction to this
of the Fund are relatively small, or (v) where there are part of the Simplified Prospectus called “Securities lending
regulatory-driven trading restrictions or internal trading transactions, repurchase transactions and reverse repurchase
restrictions (as described in the introduction to this part of transactions”.
100
HSBC U.S. Equity Index Fund (continued)
We may change the Fund’s investment strategies at our ◆ Security risk

discretion, at any time. ◆ Tax loss restriction event risk
What are the risks of investing in “What is a mutual fund and what are the risks of investing in a
the Fund? mutual fund?”.
The following are the principal risks associated with invest In addition, as at May 28, 2023, one investor held units of
ing in the HSBC U.S. Equity Index Fund: the Fund representing approximately 13.7% of the net asset
◆ Concentration risk value of the Fund. These units could be sold by the inves
◆ Currency risk tors at any time. If all or a substantial portion of these units
are sold, there is a risk that the Fund may have to alter its
◆ Derivative risk
portfolio significantly to accommodate such a
◆ Foreign market risk large redemption.
◆ Index risk If you are using the U.S. dollar purchase service, please
◆ Large redemption risk refer to the section called “Optional services – U.S. dollar pur
◆ Market risk chase service” for a full explanation of this service.
101
Fund details restrictions”) that apply to the Fund or investment advisor

but not the index. Where the Fund cannot hold a constitu
Type of fund
ent of the index, the Fund may gain exposure indirectly
International Equity through other assets or instruments including American
depositary receipts, global depositary receipts, other mutual
Eligibility for investment in registered plans funds or exchange-traded funds, and derivatives.
Sub-advisor** The Fund may invest up to 100% of its assets in

foreign securities.
London, UK The Fund may use derivatives consistent with its investment
tax advisors as to whether units of the Fund would be a prohib as options, futures, covered calls, forward contracts and
ited investment in their particular circumstances. other similar instruments for hedging and non-hedging pur
assets among sub-advisors, at any time. See the section called exposure to index constituents, indices or currencies with
“Portfolio advisors” on page 4. HSBC Global Asset Management out investing in them directly. Derivatives may be used to
(UK) Limited is related to us because it is our affiliate. manage the risks to which the investment portfolio is
exposed and to reduce tracking error between the Fund’s
What does the Fund invest in? performance and that of the index. The Fund may also use
derivatives as described in the introduction to this part of
Investment objectives the Simplified Prospectus in the section called “Derivatives
The fundamental investment objective of this Fund is to transactions”.
achieve long-term capital growth by tracking the perfor As a temporary defensive tactic, the Fund may maintain a
mance of a generally recognized index of established inter significant portion of its assets in Canadian and U.S. short-
national stock markets. We may only change the Fund’s term fixed income securities during periods of high market
fundamental investment objective with the approval of a volatility, in order to provide capital protection while await
majority of the votes cast at a meeting of the investors of ing more favourable market conditions.
the Fund held to consider the change.
Investment strategies assets in units of other mutual funds or exchange-traded
The Fund seeks to achieve its investment objective by track funds, including funds managed by us or other members of
ing as closely as possible the returns of the MSCI EAFE the HSBC Group. The Fund’s investment advisor will only
Index. The index is a free-float-adjusted market- invest in units of other funds where such investment is
capitalization index of stocks of companies of developed compatible with the investment objectives and strategies of
market equity indices covering 21 different countries in the Fund. As at the date of this Simplified Prospectus, there
Europe, Australasia and the Far East. is no immediate intention of investing a significant portion
of the Fund’s net assets in other funds. However, the
The Fund will aim to invest in the constituents of the index,
Fund’s investment advisor may do so in the future.
generally in the same proportions in which they are
included in the index. However, there may be circum The Fund may enter into securities lending transactions,
stances when it is not possible or practicable for the Fund repurchase transactions and reverse repurchase transac
to invest in all constituents of the index. Such circum tions, as permitted by the Canadian securities regulatory
stances may include (but are not limited or in the same pro authorities, to earn additional income for the Fund. For
portion to): (i) a limited availability of the index constituents; more information on how the Fund engages in these types
(ii) trading suspensions on constituents of the index; of transactions, see the section in the introduction to this
(iii) cost inefficiencies; (iv) if the assets under management part of the Simplified Prospectus called “Securities lending
of the Fund are relatively small, or (v) where there are transactions, repurchase transactions and reverse repurchase
regulatory-driven trading restrictions or internal trading transactions”.
restrictions (as described in the introduction to this part of We may change the Fund’s investment strategies at our
the Simplified Prospectus in the section called “Investment discretion, at any time.
102
HSBC International Equity Index Fund (continued)
What are the risks of investing in ◆ Tax loss restriction event risk
the Fund? For a full explanation of these risks, see the section called
mutual fund?”.
ing in the HSBC International Equity Index Fund:
In addition, as at May 28, 2023, one investor held units of
◆ Currency risk
the Fund representing approximately 13.5% of the net asset
◆ Derivative risk
◆ Foreign market risk at any time. If all or a substantial portion of these units are
◆ Index risk sold, there is a risk that the Fund may have to alter its port
◆ Large redemption risk folio significantly to accommodate such a large redemption.
◆ Market risk If you are using the U.S. dollar purchase service, please
◆ Security risk
103
Fund details American depositary receipts, global depositary receipts,

other mutual funds or exchange-traded funds, and deriva
Type of fund tives where it will assist in achieving the Fund’s invest
Emerging Markets Equity ment objectives.
Eligibility for investment in registered plans or cash equivalents.
The Fund is a qualified investment for RRSPs, RRIFs and The Fund may invest up to 100% of its assets in
other registered plans.* foreign securities.
Sub-advisor** objectives and as permitted by the Canadian securities
HSBC Global Asset Management (UK) Limited regulatory authorities. The Fund may use derivatives such
London, UK
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and poses. The Fund may use these instruments to provide
FHSAs, and subscribers of RESPs should consult with their own exposure to index constituents, indices or currencies with
tax advisors as to whether units of the Fund would be a prohib out investing in them directly. Derivatives may be used to
ited investment in their particular circumstances. manage the risks to which the investment portfolio is
exposed and to reduce tracking error between the Fund’s
assets among sub-advisors, at any time. See the section called performance and that of the index. The Fund may also use
“Portfolio advisors” on page 4. HSBC Global Asset Management derivatives as described in the introduction to this part of
(UK) Limited is related to us because it is our affiliate. the Simplified Prospectus in the section called “Derivatives
transactions”.
What does the Fund invest in? significant portion of its assets in Canadian and U.S. short-
Investment objectives term fixed income securities during periods of high market
achieve long-term capital growth by tracking the perfor
mance of a generally recognized index of emerging market
stock markets. We may only change the Fund’s fundamen assets in units of other mutual funds or exchange-traded
tal investment objective with the approval of a majority of funds, including funds managed by us or other members of
the votes cast at a meeting of the investors of the Fund held the HSBC Group. The Fund’s investment advisor will only
to consider the change. invest in units of other funds where such investment is
the Fund. As at the date of this Simplified Prospectus, there
Investment strategies is no immediate intention of investing a significant portion
The Fund seeks to achieve its investment objective by track of the Fund’s net assets in other funds. However, the
ing as closely as possible the returns of the MSCI Emerging Fund’s investment advisor may do so in the future.
Markets Index. The index is a free-float-adjusted market- The Fund may enter into securities lending transactions,
capitalization index designed to measure the performance repurchase transactions and reverse repurchase transac
of large- and mid-cap companies in emerging market coun tions, as permitted by the Canadian securities regulatory
tries, as determined by the index provider.
In seeking to achieve its investment objective, the Fund will of transactions, see the section in the introduction to this
use optimization techniques that take account of tracking part of the Simplified Prospectus called “Securities lending
error and trading costs when constructing a portfolio. Con transactions, repurchase transactions and reverse repurchase
sequently, the Fund may not hold each of the underlying transactions”.
index constituents or hold index constituents close to their We may change the Fund’s investment strategies at our
index weights. Furthermore, the Fund may hold securities discretion, at any time.
that are not index constituents but that are expected to pro
vide similar performance and risk characteristics to certain What are the risks of investing in
index constituents. the Fund?
Most of the securities in which the Fund invests will be The following are the principal risks associated with invest
listed or traded on stock markets in emerging market coun ing in the HSBC Emerging Markets Equity Index Fund:
tries. The Fund may also invest in other assets including ◆ Concentration risk
104
HSBC Emerging Markets Equity Index Fund (continued)
◆ Currency risk In addition, as at May 28, 2023, one investor held units of
◆ Derivative risk the Fund representing approximately 13.7% of the net asset
at any time. If all or a substantial portion of these units are
◆ Index risk sold, there is a risk that the Fund may have to alter its port
◆ Large redemption risk folio significantly to accommodate such a large redemption.
◆ Liquidity risk If you are using the U.S. dollar purchase service, please
◆ Market risk refer to the section called “Optional services – U.S. dollar pur
◆ Security risk
mutual fund?”.
105
HSBC World Selection Diversified Conservative Fund
Fund details selves invest in foreign securities, the actual exposure of the
Fund to investments in foreign securities may exceed
Type of fund
this amount.
Eligibility for investment in registered plans objectives and as permitted by the Canadian securities
The Fund is a qualified investment for RRSPs, RRIFs and regulatory authorities. The Fund may use derivatives such
other registered plans.* as options, futures, covered calls, forward contracts and
tax advisors as to whether units of the Fund would be a prohib exposure to securities, indices or currencies without invest
ited investment in their particular circumstances. ing in them directly. Derivatives may be used to manage the
What does the Fund invest in? may also use derivatives as described in the introduction to
Investment objectives this part of the Simplified Prospectus in the section called
vide investors with a diversified portfolio of investments The Fund may enter into securities lending transactions,
across several asset classes, providing primarily capital repurchase transactions and reverse repurchase transac
preservation and interest income with some potential for tions, as permitted by the Canadian securities regulatory
low to moderate long-term capital growth, by investing pri authorities, to earn additional income for the Fund. For
marily in units of other Funds. We may only change the more information on how the Fund engages in these types
Fund’s fundamental investment objective with the approval of transactions, see the section in the introduction to this
of a majority of the votes cast at a meeting of the investors part of the Simplified Prospectus called “Securities lending
of the Fund held to consider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
The Fund’s investment advisor uses strategic asset alloca discretion, at any time.
tion as the principal investment strategy. The investment
advisor may also, at its discretion, use a tactical asset allo What are the risks of investing in
cation overlay strategy.
the Fund?
The Fund generally seeks to achieve a strategic asset mix of
cash and money market instruments (0-13.5%), fixed The following are the principal risks associated with invest
income (61.5-81.5%), Canadian equities (3-23%) and foreign ing in the HSBC World Selection Diversified Conserva
equities (2-22%). The Fund’s investment advisor may tive Fund:
actively manage the Fund’s assets within the stated strate ◆ Asset allocation risk
gic asset mix ranges. In addition, we may change the
Fund’s strategic asset mix ranges from time to time at
our discretion. ◆ Credit risk
The Fund invests primarily in units of other Funds, but may ◆ Currency risk
also invest in mutual funds managed by third-party man ◆ Foreign market risk
agement companies and units of exchange-traded funds.
The Fund’s investment advisor, in its sole discretion, allo
cates assets among the underlying funds within the optimal ◆ Index risk
asset mix of the Fund. ◆ Interest rate risk
The Fund’s investment advisor may, in its sole discretion, ◆ Market risk
change the percentage holding of any underlying fund and
remove or add any underlying fund.
◆ Security risk
or cash equivalents. ◆ Tax loss restriction event risk
The Fund may directly invest up to 40% of its net assets in In the 12 months immediately preceding May 28, 2023, the
foreign securities; however, as the Fund intends to invest Fund invested up to 47.4% of its net asset value in the
primarily in securities of other mutual funds that may them HSBC Canadian Bond Fund and 18.2% of its net asset value
106
HSBC World Selection Diversified Conservative Fund (continued)
in the HSBC Mortgage Fund. See the section called “What

is a mutual fund and what are the risks of investing in a mutual
mutual fund?”.
107
HSBC World Selection Diversified Moderate Conservative Fund
Type of fund
this amount.
Investment objectives this part of the Simplified Prospectus in the section called
vide investors with a diversified portfolio of investments The Fund may enter into securities lending transactions,
across several asset classes, providing moderate capital repurchase transactions and reverse repurchase transac
preservation with interest income and potential for moder tions, as permitted by the Canadian securities regulatory
ate long-term capital growth, by investing primarily in units authorities, to earn additional income for the Fund. For
of other Funds. We may only change the Fund’s fundamen more information on how the Fund engages in these types
tal investment objective with the approval of a majority of of transactions, see the section in the introduction to this
the votes cast at a meeting of the investors of the Fund held part of the Simplified Prospectus called “Securities lending
to consider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
the Fund?
income (47.5-67.5%), Canadian equities (9-29%) and foreign ing in the HSBC World Selection Diversified Moderate Con
equities (11-31%). The Fund’s investment advisor may servative Fund:
actively manage the Fund’s assets within the stated strate ◆ Asset allocation risk
gic asset mix ranges. In addition, we may change the
Fund’s strategic asset mix ranges from time to time at
our discretion. ◆ Credit risk
The Fund invests primarily in other Funds, but may also ◆ Currency risk
invest in mutual funds managed by third-party management ◆ Foreign market risk
companies and units of exchange-traded funds. The Fund’s
investment advisor, in its sole discretion, allocates assets
among the underlying funds within the optimal asset mix of ◆ Index risk
the Fund. ◆ Interest rate risk
The Fund’s investment advisor may, in its sole discretion, ◆ Market risk
remove or add any underlying fund.
◆ Security risk
primarily in securities of other mutual funds that may them HSBC Canadian Bond Fund, 14.7% of its net asset value in
108
HSBC World Selection Diversified Moderate Conservative Fund (continued)
the HSBC Mortgage Fund, 11.1% of its net asset value in

the HSBC Dividend Fund and 10.9% of its net asset value in
the HSBC Equity Fund. See the section called “What is a
mutual fund and what are the risks of investing in a mutual
mutual fund?”.
109
HSBC World Selection Diversified Balanced Fund
Type of fund
this amount.
Global Neutral Balanced
Investment objectives “Derivatives transactions”.
The fundamental investment objective of this Fund is to pro The Fund may enter into securities lending transactions,
vide investors with a diversified portfolio of investments
across several asset classes, providing a balance of income
and potential for long-term capital growth, by investing pri
marily in units of other Funds. We may only change the
Fund’s fundamental investment objective with the approval
of a majority of the votes cast at a meeting of the investors
of the Fund held to consider the change.
transactions”.
advisor may also, at its discretion, use a tactical asset allo
cation overlay strategy. What are the risks of investing in
The Fund generally seeks to achieve a strategic asset mix of the Fund?
income (27.5-47.5%), Canadian equities (16.5-36.5%) and ing in the HSBC World Selection Diversified Balanced Fund:
foreign equities (23.5-43.5%). The Fund’s investment advi
sor may actively manage the Fund’s assets within the
stated strategic asset mix ranges. In addition, we may ◆ Concentration risk
change the Fund’s strategic asset mix ranges from time to ◆ Credit risk
time at our discretion. ◆ Currency risk
The Fund invests primarily in other Funds, but may also ◆ Foreign market risk
invest in mutual funds managed by third-party management
companies and units of exchange-traded funds. The Fund’s ◆ Fund of funds risk
investment advisor, in its sole discretion, allocates assets ◆ Index risk
among the underlying funds within the optimal asset mix of ◆ Interest rate risk
the Fund.
◆ Market risk
The Fund’s investment advisor may, in its sole discretion,
remove or add any underlying fund. ◆ Security risk
A portion of the Fund’s holdings may be in the form of cash ◆ Tax loss restriction event risk
or cash equivalents. In the 12 months immediately preceding May 28, 2023, the
The Fund may directly invest up to 60% of its net assets in Fund invested up to 22.6% of its net asset value in the
foreign securities; however, as the Fund intends to invest HSBC Equity Fund, 21.9% of its net asset value in the HSBC
primarily in securities of other mutual funds that may them Canadian Bond Fund and 10.7% of its net asset value in the
110
HSBC World Selection Diversified Balanced Fund (continued)
HSBC U.S. Equity Index Fund. See the section called “What
mutual fund?”.
111
HSBC World Selection Diversified Growth Fund
Type of fund
this amount.
Global Equity Balanced
What does the Fund invest in? this part of the Simplified Prospectus in the section called
vide investors with a diversified portfolio of investments repurchase transactions and reverse repurchase transac
across several asset classes, providing potential for long tions, as permitted by the Canadian securities regulatory
term capital growth with low to moderate income, by authorities, to earn additional income for the Fund. For
investing primarily in units of other Funds. We may only more information on how the Fund engages in these types
change the Fund’s fundamental investment objective with of transactions, see the section in the introduction to this
the approval of a majority of the votes cast at a meeting of part of the Simplified Prospectus called “Securities lending
the investors of the Fund held to consider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
the Fund?
cash and money market instruments (0-10%), fixed income
ing in the HSBC World Selection Diversified Growth Fund:
(15-35%), Canadian equities (19-39%) and foreign equities
(36-56%). The Fund’s investment advisor may actively man ◆ Asset allocation risk
age the Fund’s assets within the stated strategic asset mix ◆ Concentration risk
ranges. In addition, we may change the Fund’s strategic ◆ Credit risk
asset mix ranges from time to time at our discretion.
◆ Currency risk
The Fund invests primarily in other Funds, but may also
companies and units of exchange-traded funds. The Fund’s ◆ Fund of funds risk
investment advisor, in its sole discretion, allocates assets ◆ Index risk
among the underlying funds within the optimal asset mix of
the Fund.
◆ Market risk
change the percentage holding of any underlying fund and ◆ Multiple series unit risk
or cash equivalents. In the 12 months immediately preceding May 28, 2023, the
foreign securities; however, as the Fund intends to invest HSBC Equity Fund, 14.3% of its net asset value in the HSBC
primarily in securities of other mutual funds that may them U.S. Equity Index Fund, 13.2% of its net asset value in the
112
HSBC World Selection Diversified Growth Fund (continued)
HSBC Canadian Bond Fund and 13.1% of its net asset value
in the HSBC U.S. Equity Pooled Fund. See the section called
mutual fund?” for a description of concentration risk.
mutual fund?”.
113
HSBC World Selection Diversified Aggressive Growth Fund
Type of fund
this amount.
Global Equity
across several asset classes, providing potential for long tions, as permitted by the Canadian securities regulatory
term capital growth, by investing primarily in units of other authorities, to earn additional income for the Fund. For
Funds. We may only change the Fund’s fundamental invest more information on how the Fund engages in these types
ment objective with the approval of a majority of the votes of transactions, see the section in the introduction to this
cast at a meeting of the investors of the Fund held to con part of the Simplified Prospectus called “Securities lending
sider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
the Fund?
cash and money market instruments (0-10%), fixed income
ing in the HSBC World Selection Diversified Aggressive
(0-15%), Canadian equities (20-40%) and foreign equities
Growth Fund:
(55-75%). The Fund’s investment advisor may actively man
age the Fund’s assets within the stated strategic asset mix ◆ Asset allocation risk
ranges. In addition, we may change the Fund’s strategic ◆ Concentration risk
asset mix ranges from time to time at our discretion. ◆ Credit risk
The Fund invests primarily in other Funds, but may also ◆ Currency risk
companies and units of exchange-traded funds. The Fund’s
investment advisor, in its sole discretion, allocates assets ◆ Fund of funds risk
among the underlying funds within the optimal asset mix of ◆ Index risk
the Fund.
◆ Market risk
A portion of the Fund’s holdings may be in the form of cash ◆ Small capitalization risk
primarily in securities of other mutual funds that may them HSBC Equity Fund, 19.9% of its net asset value in the HSBC
114
HSBC World Selection Diversified Aggressive Growth Fund (continued)
U.S. Equity Index Fund, 18.3% of its net asset value in the
HSBC U.S. Equity Pooled Fund, 10.5% of its net asset value
in the HSBC International Equity Pooled Fund and 10.4% of
its net asset value in the HSBC International Equity Index
Fund. See the section called “What is a mutual fund and
what are the risks of investing in a mutual fund?” for a
description of concentration risk.
mutual fund?”.
115
HSBC Wealth Compass Conservative Fund
Type of fund
this amount.
FHSAs, and subscribers of RESPs should consult with their own exposure to securities, indices or currencies without invest
across several asset classes, providing primarily capital tions, as permitted by the Canadian securities regulatory
preservation and interest income with some potential for authorities, to earn additional income for the Fund. For
low to moderate long-term capital growth, by investing pri more information on how the Fund engages in these types
marily in units of other mutual funds or exchange-traded of transactions, see the section in the introduction to this
funds. We may only change the Fund’s fundamental invest part of the Simplified Prospectus called “Securities lending
ment objective with the approval of a majority of the votes transactions, repurchase transactions and reverse repurchase
cast at a meeting of the investors of the Fund held to con transactions”.
sider the change. We may change the Fund’s investment strategies at our
The Fund’s investment advisor uses strategic asset alloca What are the risks of investing in
tion as the principal investment strategy. the Fund?
Under normal market conditions, the Fund generally seeks The following are the principal risks associated with invest
to achieve a strategic asset mix of: ing in the HSBC Wealth Compass Conservative Fund:
◆ cash equivalents (3.5%) ◆ Asset allocation risk
◆ fixed income (71.5%)
◆ Canadian equities (13%)
◆ Credit risk
◆ foreign equities (12%)
◆ Currency risk
The Fund will be rebalanced periodically to its strategic
asset mix. In addition, we may change the Fund’s strategic
asset mix from time to time at our discretion. ◆ Fund of funds risk
The Fund intends to invest up to 100% of its assets in units ◆ Index risk
of other mutual funds or exchange-traded funds that use a ◆ Interest rate risk
passive investment strategy, and these funds may be man ◆ Market risk
aged by us or by third-party management firms. The Fund’s
investment advisor, in its sole discretion, selects the under
lying funds and determines the allocation of assets among ◆ Security risk
the underlying funds within the optimal asset mix of ◆ Tax loss restriction event risk
the Fund. In the 12 months immediately preceding May 28, 2023, the
foreign securities; however, as the Fund intends to invest iShares Core Canadian Universe Bond Index ETF and 13.5%
primarily in securities of other mutual funds that may them of its net asset value in the iShares Core S&P/TSX Capped
116
HSBC Wealth Compass Conservative Fund (continued)
Composite Index ETF. See the section called “What is a

mutual fund and what are the risks of investing in a mutual
mutual fund?”.
117
HSBC Wealth Compass Moderate Conservative Fund
Type of fund
Canadian Fixed Income Balanced as options, futures, covered calls, forward contracts and
Eligibility for investment in registered plans poses. The Fund may use these instruments to provide
The Fund is a qualified investment for RRSPs, RRIFs and exposure to securities, indices or currencies without invest
other registered plans.* ing in them directly. Derivatives may be used to manage the
FHSAs, and subscribers of RESPs should consult with their own may also use derivatives as described in the introduction to
tax advisors as to whether units of the Fund would be a prohib this part of the Simplified Prospectus in the section called
ited investment in their particular circumstances. “Derivatives transactions”.
What does the Fund invest in? repurchase transactions and reverse repurchase transac
Investment objectives tions, as permitted by the Canadian securities regulatory
across several asset classes, providing moderate capital
preservation with interest income and potential for moder
ate long-term capital growth, by investing primarily in units
transactions”.
of other mutual funds or exchange-traded funds. We may
only change the Fund’s fundamental investment objective We may change the Fund’s investment strategies at our
with the approval of a majority of the votes cast at a meet discretion, at any time.
ing of the investors of the Fund held to consider the change.
Investment strategies the Fund?
The Fund’s investment advisor uses strategic asset alloca The following are the principal risks associated with invest
tion as the principal investment strategy. ing in the HSBC Wealth Compass Moderate Conserva
Under normal market conditions, the Fund generally seeks tive Fund:
to achieve a strategic asset mix of: ◆ Asset allocation risk
◆ cash equivalents (2.5%) ◆ Concentration risk
◆ fixed income (57.5%) ◆ Credit risk
◆ Canadian equities (19%) ◆ Currency risk
◆ foreign equities (21%) ◆ Foreign market risk
The Fund will be rebalanced periodically to its strategic ◆ Fund of funds risk
asset mix. In addition, we may change the Fund’s strategic ◆ Index risk
asset mix from time to time at our discretion. ◆ Interest rate risk
The Fund intends to invest up to 100% of its assets in units ◆ Market risk
of other mutual funds or exchange-traded funds that use a
passive investment strategy, and these funds may be man
aged by us or by third-party management firms. The Fund’s ◆ Security risk
investment advisor, in its sole discretion, selects the under ◆ Tax loss restriction event risk
lying funds and determines the allocation of assets among In the 12 months immediately preceding May 28, 2023, the
the underlying funds within the optimal asset mix of Fund invested up to 59.5% of its net asset value in the
the Fund. iShares Core Canadian Universe Bond Index ETF, 19.7% of
The Fund may directly invest up to 50% of its net assets in its net asset value in the iShares Core S&P/TSX Capped
foreign securities; however, as the Fund intends to invest Composite Index ETF and 13.8% of its net asset value in the
primarily in securities of other mutual funds that may them iShares Core S&P Total US Stock Market ETF. See the sec
selves invest in foreign securities, the actual exposure of the tion called “What is a mutual fund and what are the risks of
Fund to investments in foreign securities may exceed investing in a mutual fund?” for a description of concentra
this amount. tion risk.
118
HSBC Wealth Compass Moderate Conservative Fund (continued)

mutual fund?”.
119
HSBC Wealth Compass Balanced Fund

Type of fund
Global Neutral Balanced
Eligibility for investment in registered plans ing in them directly. Derivatives may be used to manage the
The Fund is a qualified investment for RRSPs, RRIFs and risks to which the investment portfolio is exposed. The Fund
other registered plans.* may also use derivatives as described in the introduction to
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and “Derivatives transactions”.
tax advisors as to whether units of the Fund would be a prohib The Fund may enter into securities lending transactions,
ited investment in their particular circumstances. repurchase transactions and reverse repurchase transac
Investment objectives of transactions, see the section in the introduction to this
The fundamental investment objective of this Fund is to pro part of the Simplified Prospectus called “Securities lending
vide investors with a diversified portfolio of investments transactions, repurchase transactions and reverse repurchase
across several asset classes, providing a balance of income transactions”.
and potential for long-term capital growth, by investing pri We may change the Fund’s investment strategies at our
marily in units of other mutual funds or exchange-traded discretion, at any time.
funds. We may only change the Fund’s fundamental invest
cast at a meeting of the investors of the Fund held to con What are the risks of investing in
sider the change. the Fund?
Investment strategies ing in the HSBC Wealth Compass Balanced Fund:
The Fund’s investment advisor uses strategic asset alloca ◆ Asset allocation risk
tion as the principal investment strategy. ◆ Concentration risk
Under normal market conditions, the Fund generally seeks ◆ Credit risk
to achieve a strategic asset mix of:
◆ Currency risk
◆ cash equivalents (2.5%)
◆ fixed income (37.5%)
◆ Canadian equities (26.5%)
◆ Index risk
◆ foreign equities (33.5%)
The Fund will be rebalanced periodically to its strategic ◆ Interest rate risk
asset mix. In addition, we may change the Fund’s strategic ◆ Market risk
asset mix from time to time at our discretion. ◆ Multiple series unit risk
The Fund intends to invest up to 100% of its assets in units ◆ Security risk
aged by us or by third-party management firms. The Fund’s In the 12 months immediately preceding May 28, 2023, the
investment advisor, in its sole discretion, selects the under Fund invested up to 39.5% of its net asset value in the
lying funds and determines the allocation of assets among iShares Core Canadian Universe Bond Index ETF, 27.9% of
the underlying funds within the optimal asset mix of its net asset value in the iShares Core S&P/TSX Capped
the Fund. Composite Index ETF, 22.0% of its net asset value in the
The Fund may directly invest up to 60% of its net assets in iShares Core S&P Total US Stock Market ETF and 13.4% of
foreign securities; however, as the Fund intends to invest its net asset value in the iShares Core MSCI Total Interna
primarily in securities of other mutual funds that may them tional Stock ETF. See the section called “What is a mutual
selves invest in foreign securities, the actual exposure of the fund and what are the risks of investing in a mutual fund?” for
Fund to investments in foreign securities may exceed a description of concentration risk.
this amount. For a full explanation of these risks, see the section called
The Fund may use derivatives consistent with its investment “What is a mutual fund and what are the risks of investing in a
objectives and as permitted by the Canadian securities mutual fund?”.
120
HSBC Wealth Compass Growth Fund
Type of fund
Global Equity Balanced
other registered plans.* exposure to securities, indices or currencies without invest
tax advisors as to whether units of the Fund would be a prohib may also use derivatives as described in the introduction to
ited investment in their particular circumstances. this part of the Simplified Prospectus in the section called
What does the Fund invest in? The Fund may enter into securities lending transactions,
Investment objectives repurchase transactions and reverse repurchase transac
across several asset classes, providing potential for long
term capital growth with low to moderate income, by
investing primarily in units of other mutual funds or part of the Simplified Prospectus called “Securities lending
exchange-traded funds. We may only change the Fund’s transactions, repurchase transactions and reverse repurchase
fundamental investment objective with the approval of a transactions”.
majority of the votes cast at a meeting of the investors of We may change the Fund’s investment strategies at our
the Fund held to consider the change. discretion, at any time.
Investment strategies What are the risks of investing in

The Fund’s investment advisor uses strategic asset alloca the Fund?
tion as the principal investment strategy.
Under normal market conditions, the Fund generally seeks ing in the HSBC Wealth Compass Growth Fund:
◆ cash equivalents (0%)
◆ fixed income (25%)
◆ Credit risk
◆ Currency risk
The Fund will be rebalanced periodically to its strategic ◆ Foreign market risk
asset mix. In addition, we may change the Fund’s strategic ◆ Fund of funds risk
asset mix from time to time at our discretion. ◆ Index risk
The Fund intends to invest up to 100% of its assets in units ◆ Interest rate risk
passive investment strategy, and these funds may be man ◆ Market risk
aged by us or by third-party management firms. The Fund’s ◆ Multiple series unit risk
investment advisor, in its sole discretion, selects the under ◆ Security risk
lying funds and determines the allocation of assets among
the underlying funds within the optimal asset mix of ◆ Tax loss restriction event risk
the Fund. In the 12 months immediately preceding May 28, 2023, the
foreign securities; however, as the Fund intends to invest iShares Core S&P Total US Stock Market ETF, 29.5% of its
primarily in securities of other mutual funds that may them net asset value in the iShares Core S&P/TSX Capped Com
selves invest in foreign securities, the actual exposure of the posite Index ETF, 26.7% of its net asset value in the iShares
Fund to investments in foreign securities may exceed Core Canadian Universe Bond Index ETF and 17.5% of its
this amount. net asset value in the iShares Core MSCI Total International
121
HSBC Wealth Compass Growth Fund (continued)
Stock ETF. See the section called “What is a mutual fund

and what are the risks of investing in a mutual fund?” for a
description of concentration risk.
mutual fund?”.
122
HSBC Wealth Compass Aggressive Growth Fund

Type of fund
Global Equity
Eligibility for investment in registered plans ing in them directly. Derivatives may be used to manage the
other registered plans.* may also use derivatives as described in the introduction to
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and “Derivatives transactions”.
tax advisors as to whether units of the Fund would be a prohib The Fund may enter into securities lending transactions,
ited investment in their particular circumstances. repurchase transactions and reverse repurchase transac
Investment objectives of transactions, see the section in the introduction to this
The fundamental investment objective of this Fund is to pro part of the Simplified Prospectus called “Securities lending
vide investors with a diversified portfolio of investments transactions, repurchase transactions and reverse repurchase
across several asset classes, providing potential for long transactions”.
term capital growth by investing primarily in units of other We may change the Fund’s investment strategies at our
mutual funds or exchange-traded funds. We may only discretion, at any time.
change the Fund’s fundamental investment objective with
the approval of a majority of the votes cast at a meeting of
the investors of the Fund held to consider the change. What are the risks of investing in
the Fund?
The Fund’s investment advisor uses strategic asset alloca ing in the HSBC Wealth Compass Aggressive Growth Fund:
tion as the principal investment strategy. ◆ Asset allocation risk
Under normal market conditions, the Fund generally seeks ◆ Concentration risk
◆ Credit risk
◆ cash equivalents (0%)
◆ Currency risk
◆ fixed income (5%)
◆ Index risk
The Fund will be rebalanced periodically to its strategic
asset mix. In addition, we may change the Fund’s strategic ◆ Market risk
asset mix from time to time at our discretion. ◆ Multiple series unit risk
The Fund intends to invest up to 100% of its assets in units ◆ Security risk
of other mutual funds or exchange-traded funds that use a ◆ Small capitalization risk
aged by us or by third-party management firms. The Fund’s ◆ Tax loss restriction event risk
investment advisor, in its sole discretion, selects the under In the 12 months immediately preceding May 28, 2023, the
lying funds and determines the allocation of assets among Fund invested up to 42.1% of its net asset value in the
the underlying funds within the optimal asset mix of iShares Core S&P Total US Stock Market ETF, 30.6% of its
the Fund. net asset value in the iShares Core S&P/TSX Capped Com
The Fund may directly invest up to 90% of its net assets in posite Index ETF and 24.8% of its net asset value in the
foreign securities; however, as the Fund intends to invest iShares Core MSCI Total International Stock ETF. See the
primarily in securities of other mutual funds that may them section called “What is a mutual fund and what are the risks
selves invest in foreign securities, the actual exposure of the of investing in a mutual fund?” for a description of concentra
Fund to investments in foreign securities may exceed tion risk.
this amount. For a full explanation of these risks, see the section called
The Fund may use derivatives consistent with its investment “What is a mutual fund and what are the risks of investing in a
objectives and as permitted by the Canadian securities mutual fund?”.
123
HSBC Canadian Money Market Pooled Fund
Fund details are bought when the Fund’s investment advisor expects
Type of fund
reinvested at higher rates. Securities issued by corporations
Canadian Money Market are selected with a focus on higher-quality issues where
credit risk and liquidity risk are minimized and appropriate
Eligibility for investment in registered plans compensation is provided and consistent with the Fund’s
The Fund is a qualified investment for RRSPs, RRIFs and primary objective. Corporate notes can add value due to the
other registered plans.* higher yields they offer over government-backed alterna
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and tives.
FHSAs, and subscribers of RESPs should consult with their own The Fund may invest a significant portion or even all of its
tax advisors as to whether units of the Fund would be a prohib net assets in units of other money market mutual funds or
money market exchange-traded funds, including money
market funds managed by us or other members of the
You may only buy Pooled Funds if you have entered into an HSBC Group. The Fund’s investment advisor will only invest
agreement with your representative. Care should be taken in units of other money market funds where such invest
when assessing one Fund on its own, as a portfolio of several ment is compatible with the investment objectives and
Funds may be more suitable to meet your strategies of the Fund. These investments will be selected
investment objectives. on the same basis as other investments of the Fund. As at
the date of this Simplified Prospectus, there is no immediate
What does the Fund invest in? intention of investing a significant portion of the Fund’s net
assets in other money market funds. However, the Fund’s
Investment objectives investment advisor may do so in the future.
vide interest income that is consistent with the Fund’s eli repurchase transactions and reverse repurchase transac
gible investments while aiming to preserve capital by invest tions, as permitted by the Canadian securities regulatory
ing primarily in high-quality, short-term Canadian fixed authorities, to earn additional income for the Fund. For
income securities. We may only change the Fund’s funda more information on how the Fund engages in these types
mental investment objective with the approval of a majority of transactions, see the section in the introduction to this
of the votes cast at a meeting of the investors of the Fund part of the Simplified Prospectus called “Securities lending
held to consider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
The Fund invests primarily in treasury bills and other fixed discretion, at any time.
income securities issued or guaranteed by the Government
of Canada or a province of Canada, a foreign government or What are the risks of investing in
related foreign government agency, or a Canadian or the Fund?
foreign corporation. The Fund may invest up to 33% of its
assets in Canadian-dollar-denominated foreign securities.
ing in the HSBC Canadian Money Market Pooled Fund:
All of the Fund’s securities will have a maturity of 365 days
or less. ◆ Concentration risk
Fixed income securities will generally be rated “A-” or better ◆ Credit risk
by Standard & Poor’s or “A (low)” or better by DBRS Lim ◆ Interest rate risk
ited or an equivalent rating by another designated rating ◆ Large redemption risk
organization. Money market securities will generally be
◆ Liquidity risk
rated “A-1 (Low)” or better by Standard & Poor’s, “R-1
(low)” or better by DBRS Limited or an equivalent rating by ◆ Securities lending, repurchase and reverse repurchase
another designated rating organization. transaction risk
The Fund’s investment advisor typically attempts to add ◆ Tax loss restriction event risk
value to the Fund’s investments by buying longer-term For a full explanation of these risks, see the section called
securities when it expects yields to decline. This has the “What is a mutual fund and what are the risks of investing in a
effect of “locking-in” higher yields. Shorter-term securities mutual fund?”.
124
HSBC Canadian Money Market Pooled Fund (continued)
Investors in the Fund face the following additional risks:

◆ Despite the Fund’s intention to maintain a constant unit
price of $10, there can be no assurance that this unit
price can be maintained as the value of the Fund’s secu
rities may fluctuate under certain conditions.
◆ The yield on an investor’s investment in the Fund will
vary or fluctuate with changes in the interest rates pay
able on money market investments.
125
HSBC Mortgage Pooled Fund
Type of fund regulatory authorities. The Fund may use derivatives such
Canadian Short-Term Fixed Income as options, futures, covered calls, forward contracts and
FHSAs, and subscribers of RESPs should consult with their own may also use derivatives as described in the introduction to
tax advisors as to whether units of the Fund would be a prohib this part of the Simplified Prospectus in the section called
ited investment in their particular circumstances. “Derivatives transactions”.
As a temporary defensive tactic, the Fund’s investment
You may only buy Pooled Funds if you have entered into an advisor may maintain a significant portion of the Fund’s
agreement with your representative. Care should be taken assets in Canadian and U.S. short-term fixed income securi
when assessing one Fund on its own, as a portfolio of several ties during periods of high market volatility, in order to pro
Funds may be more suitable to meet your vide capital protection while awaiting more favourable mar
investment objectives. ket conditions.
What does the Fund invest in? tions, as permitted by the Canadian securities regulatory
Investment objectives authorities, to earn additional income for the Fund. For
The fundamental investment objective of this Fund is to more information on how the Fund engages in these types
earn as high a level of income as possible while protecting
invested capital. The Fund intends to achieve its investment
objective by investing primarily in units of the HSBC Mort
transactions”.
gage Fund (the “Underlying Fund”), which is a mutual fund
trust managed by us. We may only change the Fund’s fun We may change the Fund’s investment strategies at our
damental investment objective with the approval of a major discretion, at any time.
ity of the votes cast at a meeting of the investors of the
Fund held to consider the change. What are the risks of investing in
the Fund?
To achieve the Fund’s fundamental investment objective, ing in the HSBC Mortgage Pooled Fund:
the Fund intends to invest all or substantially all of its assets ◆ Bail-in debt risk
in the Underlying Fund. This will provide the Fund with ◆ Concentration risk
exposure to a portfolio consisting primarily of residential
◆ Credit risk
first mortgages on property in Canada and other debt obli
gations held by the Underlying Fund. ◆ Fund of funds risk
Debt obligations will generally be rated “A” or better by
Standard & Poor’s or DBRS Limited or an equivalent rating ◆ Large redemption risk
by another recognized rating organization. ◆ Liquidity risk
or cash equivalents. Cash equivalents will generally be rated In the 12 months immediately preceding May 28, 2023, the
“A-1 (Low)” or better by Standard & Poor’s or “R-1 (low)” or Fund invested up to 100% of its net asset value in the HSBC
better by DBRS Limited or an equivalent rating by another Mortgage Fund. See the section called “What is a mutual
recognized rating organization. fund and what are the risks of investing in a mutual fund?” for
The Fund may invest up to 30% of its assets in foreign secu a description of concentration risk.
rities. While the Fund intends to invest primarily in Canadian For a full explanation of these risks, see the section called
assets, it may invest in foreign securities where they might “What is a mutual fund and what are the risks of investing in a
add value to the Fund. mutual fund?”.
126
HSBC Canadian Bond Pooled Fund
Type of fund
Canadian Fixed Income rities. While the Fund intends to invest primarily in Canadian
assets, it may invest in foreign securities where they might
Eligibility for investment in registered plans add value to the Fund.
The Fund is a qualified investment for RRSPs, RRIFs and The Fund may use derivatives consistent with its investment
other registered plans.* objectives and as permitted by the Canadian securities
tax advisors as to whether units of the Fund would be a prohib other similar instruments for hedging and non-hedging pur
ited investment in their particular circumstances. poses. The Fund may use these instruments to provide
You may only buy Pooled Funds if you have entered into an risks to which the investment portfolio is exposed. The Fund
agreement with your representative. Care should be taken may also use derivatives as described in the introduction to
when assessing one Fund on its own, as a portfolio of several this part of the Simplified Prospectus in the section called
Funds may be more suitable to meet your “Derivatives transactions”.
investment objectives. As a temporary defensive tactic, the Fund’s investment
advisor may maintain a significant portion of the Fund’s
What does the Fund invest in? ties during periods of high market volatility, in order to pro
Investment objectives vide capital protection while awaiting more favourable mar
ket conditions.
vide income and long-term capital growth by investing pri The Fund may invest, directly or indirectly through the use
marily in high-quality Canadian fixed income securities. We of derivatives, a significant portion or even all of its net
may only change the Fund’s fundamental investment objec
tive with the approval of a majority of the votes cast at a
meeting of the investors of the Fund held to consider invest in units of other funds where such investment is
the change. compatible with the investment objectives and strategies of
Investment strategies basis as other investments of the Fund. As at the date of
The Fund invests primarily in government bonds, corporate of investing a significant portion of the Fund’s net assets in
bonds, mortgage-backed securities, debentures and other other funds. However, the Fund’s investment advisor may
fixed income securities issued or guaranteed by the Govern do so in the future.
ment of Canada, a province or municipality of Canada, The Fund may enter into securities lending transactions,
Canadian corporations or Canadian trusts. Bonds held in the repurchase transactions and reverse repurchase transac
Fund will generally be rated “A” or better by Standard & tions, as permitted by the Canadian securities regulatory
Poor’s or DBRS Limited or an equivalent rating by another authorities, to earn additional income for the Fund. For
recognized rating agency. Money market securities will gen more information on how the Fund engages in these types
erally be rated “A-1 (Low)” or better by Standard & Poor’s of transactions, see the section in the introduction to this
or “R-1 (low)” or better by DBRS Limited or an equivalent part of the Simplified Prospectus called “Securities lending
rating by another recognized rating organization. transactions, repurchase transactions and reverse repurchase
transactions”.
Fund’s investments by buying longer-term securities when
it expects yields to decline. This has the effect of “locking
in” higher yields. Shorter-term securities are purchased
when the Fund’s investment advisor expects yields to rise What are the risks of investing in
so that as the securities mature they can be reinvested at the Fund?
higher rates. Provincial and corporate bonds are purchased The following are the principal risks associated with invest
when the potential gains offered by these securities are ing in the HSBC Canadian Bond Pooled Fund:
expected to outweigh their credit and liquidity risk. ◆ Bail-in debt risk
127
HSBC Canadian Bond Pooled Fund (continued)
◆ Credit risk
◆ Derivative risk
mutual fund?”.
128
HSBC Global High Yield Bond Pooled Fund
Fund details vice, and money market securities may be rated “A-1
(Low)” or better by Standard & Poor’s, “R-1 (low)” or better
Type of fund by DBRS Limited, or “P-1” or better by Moody’s Investors
High Yield Fixed Income Service, or an equivalent rating from another recognized
rating organization. The Fund’s investment advisor may also
Eligibility for investment in registered plans invest in debt securities of corporations and governments of
The Fund is a qualified investment for RRSPs, RRIFs and other countries, including those of emerging market coun
other registered plans.* tries.
Sub-advisors** or cash equivalents.
HSBC Global Asset Management (USA) Inc. The Fund may invest up to 100% of its assets in
New York City, New York, USA foreign securities.
HSBC Global Asset Management (France)
Paris, France
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and regulatory authorities. The Fund may use derivatives such
tax advisors as to whether units of the Fund would be a prohib other similar instruments for hedging and non-hedging pur
assets among sub-advisors, at any time. See the section called ing in them directly. Derivatives may be used to manage the
“Portfolio advisors” on page 4. HSBC Global Asset Management risks to which the investment portfolio is exposed. The Fund
(USA) Inc. and HSBC Global Asset Management (France) are
related to us because they are our affiliates.
You may only buy Pooled Funds if you have entered into an As a temporary defensive tactic, the Fund’s investment
agreement with your representative. Care should be taken advisor may maintain a significant portion of the Fund’s
when assessing one Fund on its own, as a portfolio of several
Funds may be more suitable to meet your
investment objectives.
vide capital protection while awaiting more favourable mar
ket conditions.
The fundamental investment objective of this Fund is to pro funds, including funds managed by us or other members of
vide income and long-term capital growth by investing pri the HSBC Group. The Fund’s investment advisor will only
marily in a diversified portfolio of non-investment grade invest in units of other funds where such investment is
rated fixed income securities and other similar securities compatible with the investment objectives and strategies of
from around the world, typically denominated in U.S. dollars the Fund. These investments will be selected on the same
or other foreign currency. We may only change the Fund’s basis as other investments of the Fund. As at the date of
fundamental investment objective with the approval of a this Simplified Prospectus, there is no immediate intention
majority of the votes cast at a meeting of the investors of of investing a significant portion of the Fund’s net assets in
the Fund held to consider the change. other funds. However, the Fund’s investment advisor may
Investment strategies The Fund may enter into securities lending transactions,
The Fund invests primarily in a diversified portfolio of non
investment-grade-rated debt instruments issued by corpora
tions and governments around the world and typically
denominated in U.S. dollars or other foreign currency. of transactions, see the section in the introduction to this
Fixed income securities held in the Fund are generally rated part of the Simplified Prospectus called “Securities lending
“BBB-” or lower by Standard & Poor’s, “BBB (low)” by transactions, repurchase transactions and reverse repurchase
DBRS Limited or “Baa3” or lower by Moody’s Investors Ser transactions”.
129
HSBC Global High Yield Bond Pooled Fund (continued)
We may change the Fund’s investment strategies at our ◆ Derivative risk

discretion, at any time. ◆ Foreign market risk
the Fund?
◆ Liquidity risk
ing in the HSBC Global High Yield Bond Pooled Fund: ◆ Tax loss restriction event risk
◆ Bail-in debt risk For a full explanation of these risks, see the section called
◆ Concentration risk “What is a mutual fund and what are the risks of investing in a
◆ Credit risk mutual fund?”.
◆ Currency risk
130
HSBC Global Inflation Linked Bond Pooled Fund
Fund details To the extent that it is possible, the investment advisor

intends to fully hedge the currency risk of these underlying
Type of fund
bonds back to Canadian dollars.
Global Fixed Income
The Fund has obtained exemptive relief to permit it to
(a) invest up to 20% of its net assets in fixed income securi
ties of any one issuer that are issued or guaranteed by
supranational agencies or governments (other than the Gov
ernment of Canada, a province of Canada or the
Sub-advisor** stricted) and are rated “AA” or better by Standard & Poor’s
HSBC Global Asset Management (UK) Limited or an equivalent rating by one or more other approved des
London, UK ignated rating organizations, and (b) invest up to 35% of its
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and net assets in fixed income securities of any one issuer that
FHSAs, and subscribers of RESPs should consult with their own are issued or guaranteed by supranational agencies or gov
tax advisors as to whether units of the Fund would be a prohib ernments (other than the Government of Canada, a province
ited investment in their particular circumstances. of Canada or the United States of America, where invest
** We may hire or replace sub-advisors, or change the allocation of ment is unrestricted) and are rated “AAA” by Standard &
assets among sub-advisors, at any time. See the section called Poor’s, or have an equivalent rating by one or more other
“Portfolio advisors” on page 4. HSBC Global Asset Management approved designated rating organizations. The terms of the
(UK) Limited is related to us because it is our affiliate. relief provide that:
You may only buy Pooled Funds if you have entered into an
(ii) the securities that are purchased must be traded on a
agreement with your representative. Care should be taken
mature and liquid market; and
Funds may be more suitable to meet your (iii) the acquisition of the securities purchased must be
investment objectives. consistent with the fundamental investment objectives
of the Fund.
What does the Fund invest in? or cash equivalents.
Investment objectives The Fund may invest up to 100% of its assets in
The fundamental investment objective of this Fund is to foreign securities.
generate income by investing primarily in inflation-protected The Fund may use derivatives consistent with its investment
fixed income securities issued by governments and corpora objectives and as permitted by the Canadian securities
tions around the world. We may only change the Fund’s regulatory authorities. The Fund may use derivatives such
fundamental investment objective with the approval of a as options, futures, covered calls, forward contracts and
majority of the votes cast at a meeting of the investors of other similar instruments for hedging and non-hedging pur
the Fund held to consider the change. poses. The Fund may use these instruments to provide
Investment strategies ing in them directly. Derivatives may be used to manage the
risks to which the investment portfolio is exposed. For
The Fund invests primarily in real return bonds and inflation-
example, the Fund may use forward contracts to hedge the
linked bonds issued by governments and corporations of
Fund’s foreign currency exposure. The Fund may also use
countries around the world. Investments in non-Canadian
derivatives as described in the introduction to this part of
securities are not limited to a specific percentage of the the Simplified Prospectus in the section called “Derivatives
assets of the Fund. transactions”.
The Fund’s investment advisor seeks to generate returns in The Fund may engage in short selling. We believe that a
excess of the Fund’s benchmark by employing several short-selling strategy may complement the Fund’s current
alpha sources including: country allocation, duration man primary discipline of buying securities with the expectation
agement, yield curve positioning and security selection. that they will appreciate in market value. For more informa
A range of maturities will be employed to manage interest tion on how the Fund engages in these types of transac
rate risk. The Fund’s performance may be influenced by tions, see the section in the introduction to this part of the
fluctuations in global fixed income markets. Simplified Prospectus called “Short selling”.
131
HSBC Global Inflation Linked Bond Pooled Fund (continued)
As a temporary defensive tactic, the Fund’s investment In the 12 months immediately preceding May 28, 2023, the
advisor may maintain a significant portion of the Fund’s Fund invested up to 21.3% of its net asset value in securi
assets in Canadian and U.S. short-term fixed income securi ties of the United Kingdom of Great Britain and Northern
ties during periods of high market volatility, in order to pro Ireland and 18.5% of its net asset value in shares of the
vide capital protection while awaiting more favourable mar Federal Republic of Germany. See the section called “What
ket conditions. is a mutual fund and what are the risks of investing in a mutual
The Fund may invest, directly or indirectly through the use fund?” for a description of concentration risk.
of derivatives, a significant portion or even all of its net For a full explanation of these risks, see the section called
assets in units of other mutual funds or exchange-traded “What is a mutual fund and what are the risks of investing in a
funds, including funds managed by us or other members of mutual fund?”.
the HSBC Group. The Fund’s investment advisor will only In addition to the risks set out above, the Fund’s perfor
invest in units of other funds where such investment is mance may be negatively affected by rising interest rates
compatible with the investment objectives and strategies of and deflation in connection with the Fund’s investment in
the Fund. These investments will be selected on the same inflation-linked bonds. Rising interest rates may have a
basis as other investments of the Fund. As at the date of negative impact on the Fund’s performance as rising inter
this Simplified Prospectus, there is no immediate intention est rates can negatively affect the market value of an
of investing a significant portion of the Fund’s net assets in inflation-linked bond prior to maturity. To the extent that
other funds. However, the Fund’s investment advisor may these changes in interest rates are caused by changes in
do so in the future. the expected future inflation rate, the bond will be largely
The Fund may enter into securities lending transactions, protected. However, interest rates will not necessarily move
repurchase transactions and reverse repurchase transac in tandem with expected future inflation, and a bond’s value
tions, as permitted by the Canadian securities regulatory may decline as a result of a change in interest rates. Defla
authorities, to earn additional income for the Fund. For tion may also have a negative impact on the Fund’s perfor
more information on how the Fund engages in these types mance, as the value of inflation-linked bonds is linked to the
of transactions, see the section in the introduction to this consumer price index. The value of an inflation-linked bond
part of the Simplified Prospectus called “Securities lending at maturity will be negatively affected if there is net defla
transactions, repurchase transactions and reverse repurchase tion at the date of maturity because the face value of the
transactions”. bond will be adjusted downward for deflation.
We may change the Fund’s investment strategies at our As described above in the section called “Investment strate
discretion, at any time. gies”, the Fund’s investments in a single issuer are allowed
to be higher than would normally be permitted; therefore,
the corresponding concentration risk associated with an
What are the risks of investing in investment in the Fund may also be higher. This concentra
the Fund? tion risk is mitigated by the type of securities held by the
The following are the principal risks associated with invest Fund, which are primarily securities issued or guaranteed by
ing in the HSBC Global Inflation Linked Bond Pooled Fund: governments and supranational agencies with strong
credit ratings.
The currency risk associated with an investment in the Fund
will generally be reduced as a result of the use of forward
◆ Credit risk contracts to hedge the Fund’s foreign currency exposure;
◆ Currency risk however, while the investment advisor intends to fully
◆ Derivative risk hedge the currency risk of the Fund’s underlying invest
ments to the extent possible, generally, the level of hedging
will not fully match the foreign currency exposure of the
◆ Indexed debt obligation risk Fund. Additionally, the precise matching of the forward con
◆ Interest rate risk tract amounts and the value of the securities involved will
◆ Large redemption risk generally not be possible because the future value of those
securities in foreign currencies will change as a conse
◆ Liquidity risk
quence of market movements in the value of those securi
◆ Short sale risk ties between the date the forward contract is entered into
◆ Tax loss restriction event risk and the date it expires.
132
HSBC Emerging Markets Debt Pooled Fund
Fund details ernment of Canada, a province of Canada or the

Type of fund stricted) and are rated “AA” or better by Standard & Poor’s
Foreign Bond or an equivalent rating by one or more other approved des
ignated rating organizations, and (b) invest up to 35% of its
Eligibility for investment in registered plans net assets in fixed income securities of any one issuer that
The Fund is a qualified investment for RRSPs, RRIFs and are issued or guaranteed by supranational agencies or gov
other registered plans.* ernments (other than the Government of Canada, a province
of Canada or the United States of America, where invest
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and ment is unrestricted) and are rated “AAA” by Standard &
Poor’s, or have an equivalent rating by one or more other
ited investment in their particular circumstances. approved designated rating organizations. The terms of the
relief provide that:
agreement with your representative. Care should be taken (ii) the securities that are purchased must be traded on a
when assessing one Fund on its own, as a portfolio of several mature and liquid market; and
Funds may be more suitable to meet your (iii) the acquisition of the securities purchased must be
investment objectives. consistent with the fundamental investment objectives
of the Fund.
What does the Fund invest in? or cash equivalents.
Investment objectives The Fund may invest up to 100% of its assets in
The fundamental investment objective of this Fund is to pro foreign securities.
vide income and long-term capital growth by investing, The Fund may use derivatives consistent with its investment
directly or indirectly, primarily in fixed income securities objectives and as permitted by the Canadian securities
issued by governments or corporations that provide expo regulatory authorities. The Fund may use derivatives such
sure to emerging markets. We may only change the Fund’s as options, futures, covered calls, forward contracts and
fundamental investment objective with the approval of a other similar instruments for hedging and non-hedging pur
majority of the votes cast at a meeting of the investors of poses. The Fund may use these instruments to provide
the Fund held to consider the change. exposure to securities, indices or currencies without invest
Investment strategies may also use derivatives as described in the introduction to
The Fund directly or indirectly invests in a diversified portfo this part of the Simplified Prospectus in the section called
lio of investment-grade and non-investment-grade debt “Derivatives transactions”.
instruments issued by governments in emerging market As a temporary defensive tactic, the Fund’s investment
countries and corporations or other issuers that have a sig advisor may maintain a significant portion of the Fund’s
nificant business or investment link with emerging market assets in Canadian and U.S. short-term fixed income securi
countries. Such debt instruments may be denominated in ties during periods of high market volatility, in order to pro
U.S. dollars or in other foreign currencies, including the vide capital protection while awaiting more favourable mar
local currency of the emerging market. ket conditions.
Fixed income securities held in the Fund are generally rated The Fund may invest, directly or indirectly through the use
“BBB” or lower by Standard & Poor’s or DBRS Limited, or of derivatives, a significant portion or even all of its net
“Baa” or lower by Moody’s Investors Service, and money assets in units of other mutual funds or exchange-traded
market securities are generally rated “A-1” or better by funds, including funds managed by us or other members of
Standard & Poor’s, “R-1” or better by DBRS Limited, or the HSBC Group. As at the date of this Simplified Prospec
tus, all of the assets of the Fund were invested in units of
“P-1” or better by Moody’s Investors Service, or an equiva
the HSBC Emerging Markets Debt Fund. The Fund’s invest
lent rating from another recognized rating organization.
ment advisor will only invest in units of other funds where
The Fund has obtained exemptive relief to permit it to such investment is compatible with the investment objec
(a) invest up to 20% of its net assets in fixed income securi tives and strategies of the Fund. These investments will be
ties of any one issuer that are issued or guaranteed by selected on the same basis as other investments of
supranational agencies or governments (other than the Gov the Fund.
133
HSBC Emerging Markets Debt Pooled Fund (continued)
The Fund may enter into securities lending transactions, ◆ Credit risk
repurchase transactions and reverse repurchase transac ◆ Currency risk
authorities, to earn additional income for the Fund. For ◆ Derivative risk
more information on how the Fund engages in these types ◆ Foreign market risk
of transactions, see the section in the introduction to this ◆ Fund of funds risk
transactions”. ◆ Large redemption risk
The Fund’s investment strategy may involve the Fund’s ◆ Liquidity risk
investment advisor actively and frequently buying and sell ◆ Tax loss restriction event risk
Fund invested up to 100% of its net asset value in the HSBC
Emerging Markets Debt Fund. See the section called “What
chance of an investor receiving taxable capital gains in that fund?” for a description of concentration risk.
year from the Fund. A high portfolio turnover rate should For a full explanation of these risks, see the section called
not be taken as a reflection of the Fund’s performance. “What is a mutual fund and what are the risks of investing in a
We may change the Fund’s investment strategies at our mutual fund?”.
discretion, at any time. As described above in the section called “Investment strate
gies”, the Fund’s investments in a single issuer are allowed
What are the risks of investing in to be higher than would normally be permitted; therefore,
the corresponding concentration risk associated with an
the Fund?
investment in the Fund may also be higher. This concentra
The following are the principal risks associated with invest tion risk is mitigated by the type of securities held by the
ing in the HSBC Emerging Markets Debt Pooled Fund:
Fund, which are primarily securities issued or guaranteed by
◆ Bail-in debt risk governments and supranational agencies with strong
◆ Concentration risk credit ratings.
134
HSBC Canadian Dividend Pooled Fund
Fund details municipality of Canada or Canadian corporations or Cana

dian trusts. Bonds held in the Fund will generally be rated
Type of fund
“A-” or better by Standard & Poor’s or “A (low)” or better by
Canadian Dividend and Income Equity DBRS Limited, and money market securities will generally
be rated “A-1 (Low)” or better by Standard & Poor’s or “R-1
Eligibility for investment in registered plans (low)” or better by DBRS Limited, or an equivalent rating by
The Fund is a qualified investment for RRSPs, RRIFs and another recognized rating organization.
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and Fund’s fixed income investments by buying longer-term
FHSAs, and subscribers of RESPs should consult with their own securities when it expects yields to decline. This has the
effect of “locking in” higher yields. Shorter-term securities
You may only buy Pooled Funds if you have entered into an reinvested at higher rates. Provincial and corporate bonds
agreement with your representative. Care should be taken are purchased when the potential gains offered by these
securities are expected to outweigh their credit and liquid
ity risk.
What does the Fund invest in? The Fund may invest up to 30% of its assets in foreign secu
Investment objectives rities. While the Fund intends to invest primarily in Canadian
The fundamental investment objective of this Fund is to pro assets, the Fund may invest in foreign securities where they
vide dividend income and medium- to long-term capital might add value to the Fund.
growth by investing primarily in high-yielding Canadian The Fund may use derivatives consistent with its investment
equities and fixed income securities. We may only change objectives and as permitted by the Canadian securities
the Fund’s fundamental investment objective with the regulatory authorities. The Fund may use derivatives such
approval of a majority of the votes cast at a meeting of the as options, futures, covered calls, forward contracts and
investors of the Fund held to consider the change. other similar instruments for hedging and non-hedging pur
Investment strategies exposure to securities, indices or currencies without invest
The Fund will be managed to allow Canadian residents to
take advantage of the Canadian dividend tax credit. The
dividend tax credit results in dividends received by the Fund
from taxable Canadian corporations being taxed at a rate
lower than ordinary income, such as interest. The Fund’s
investment advisor selects a diversified portfolio of common As a temporary defensive tactic, the Fund’s investment
equity, preferred equity, income trust units and fixed advisor may maintain a significant portion of the Fund’s
income securities. When investing in common equities or assets in Canadian and U.S. short-term fixed income securi
income trust units, the Fund’s investment advisor focuses ties during periods of high market volatility, in order to pro
on quality, stability and the ability to grow dividends or dis vide capital protection while awaiting more favourable mar
tributable income over time. These stocks generally have a ket conditions.
higher yield than the overall market. A portion of the Fund The Fund may invest, directly or indirectly through the use
may also be invested in high-quality preferred shares. of derivatives, a significant portion or even all of its net
Although there are no tax advantages, high-quality fixed assets in units of other mutual funds or exchange-traded
income securities are sometimes held to provide higher funds, including funds managed by us or other members of
yields and steady income. With respect to fixed income the HSBC Group. The Fund’s investment advisor will only
investments, the Fund invests primarily in government invest in units of other funds where such investment is
bonds, corporate bonds, mortgage-backed securities, compatible with the investment objectives and strategies of
debentures and other fixed income securities either issued the Fund. These investments will be selected on the same
or guaranteed by the Government of Canada, a province or basis as other investments of the Fund. As at the date of
135
HSBC Canadian Dividend Pooled Fund (continued)
this Simplified Prospectus, there is no immediate intention ♦ Bail-in debt risk

of investing a significant portion of the Fund’s net assets in ♦ Concentration risk
do so in the future. ♦ Credit risk
The Fund may enter into securities lending transactions, ♦ Interest rate risk
repurchase transactions and reverse repurchase transac ♦ Large redemption risk
authorities, to earn additional income for the Fund. For ♦ Market risk
more information on how the Fund engages in these types ♦ Security risk
♦ Tax loss restriction event risk
transactions, repurchase transactions and reverse repurchase For a full explanation of these risks, see the section called
transactions”. “What is a mutual fund and what are the risks of investing in a
We may change the Fund’s investment strategies at our mutual fund?”.

the Fund?
ing in the HSBC Canadian Dividend Pooled Fund:
♦ Asset allocation risk
136
HSBC Canadian Equity Pooled Fund
Type of fund regulatory authorities. The Fund may use derivatives such
Canadian Equity as options, futures, covered calls, forward contracts and
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and may also use derivatives as described in the introduction to
You may only buy Pooled Funds if you have entered into an assets in Canadian and U.S. short-term fixed income securi
agreement with your representative. Care should be taken ties during periods of high market volatility, in order to pro
when assessing one Fund on its own, as a portfolio of several vide capital protection while awaiting more favourable mar
Funds may be more suitable to meet your ket conditions.
What does the Fund invest in? funds, including funds managed by us or other members of
Investment objectives the HSBC Group. The Fund’s investment advisor will only
achieve long-term capital growth by investing primarily in a the Fund. These investments will be selected on the same
broad range of Canadian companies. We may only change basis as other investments of the Fund. As at the date of
the Fund’s fundamental investment objective with the this Simplified Prospectus, there is no immediate intention
approval of a majority of the votes cast at a meeting of the of investing a significant portion of the Fund’s net assets in
investors of the Fund held to consider the change. other funds. However, the Fund’s investment advisor may
Investment strategies The Fund may enter into securities lending transactions,
The Fund principally invests its assets in Canadian compa tions, as permitted by the Canadian securities regulatory
nies with a market capitalization of more than 0.1% of the authorities, to earn additional income for the Fund. For
total market capitalization of the S&P/TSX Composite Index. more information on how the Fund engages in these types
To maintain a diversified portfolio of holdings, it invests in of transactions, see the section in the introduction to this
companies from a broad range of industries primarily part of the Simplified Prospectus called “Securities lending
through common shares, preferred shares, rights, warrants, transactions, repurchase transactions and reverse repurchase
income trust units and convertible securities. transactions”.
The Fund’s investment advisor categorizes the Canadian We may change the Fund’s investment strategies at our
marketplace into broad market sectors. The weight for discretion, at any time.
these market segments is influenced by macroeconomic
analysis; however, security-by-security analysis will ulti What are the risks of investing
mately determine the portfolio allocation to specific sectors. in the Fund?
The selection criteria for stocks within each segment
focuses on companies with the ability to generate returns The following are the principal risks associated with invest
ing in the HSBC Canadian Equity Pooled Fund:
on investment exceeding their cost of capital. This analysis
is combined with an evaluation of the management team’s ♦ Concentration risk
ability to efficiently redeploy capital into the business and/or ♦ Large redemption risk
distribute excess capital to shareholders. ♦ Market risk
A portion of the Fund’s holdings may be in the form of cash ♦ Security risk
or cash equivalents. ♦ Tax loss restriction event risk
The Fund may invest up to 30% of its assets in foreign secu For a full explanation of these risks, see the section called
rities. While the Fund intends to invest primarily in Canadian “What is a mutual fund and what are the risks of investing in a
assets, the Fund may invest in foreign securities where they mutual fund?”.
might add value to the Fund.
137
HSBC Canadian Small Cap Equity Pooled Fund
Type of fund
Canadian Small Cap Equity
Sub-advisors**
Mawer Investment Management Ltd. this part of the Simplified Prospectus in the section called
Calgary, Alberta, Canada “Derivatives transactions”.
Triasima Portfolio Management Inc.
Montreal, Quebec, Canada As a temporary defensive tactic, the Fund’s investment
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and assets in Canadian and U.S. short-term fixed income securi
ited investment in their particular circumstances. vide capital protection while awaiting more favourable mar
ket conditions.
assets among sub-advisors, at any time. See the section called The Fund may invest, directly or indirectly through the use
“Portfolio advisors” on page 4. of derivatives, a significant portion or even all of its net
agreement with your representative. Care should be taken the HSBC Group. The Fund’s investment advisor will only
when assessing one Fund on its own, as a portfolio of several invest in units of other funds where such investment is
Funds may be more suitable to meet your compatible with the investment objectives and strategies of
investment objectives. the Fund. These investments will be selected on the same
What does the Fund invest in? of investing a significant portion of the Fund’s net assets in
Investment objectives other funds. However, the Fund’s investment advisor may
The fundamental investment objective of this Fund is to do so in the future.
achieve long-term capital growth by investing primarily in a The Fund may enter into securities lending transactions,
broad range of smaller Canadian companies. We may only repurchase transactions and reverse repurchase transac
change the Fund’s fundamental investment objective with tions, as permitted by the Canadian securities regulatory
the approval of a majority of the votes cast at a meeting of authorities, to earn additional income for the Fund. For
the investors of the Fund held to consider the change. more information on how the Fund engages in these types
Investment strategies part of the Simplified Prospectus called “Securities lending
The Fund will principally invest in equity securities of
transactions”.
smaller and medium-sized Canadian companies across a
broad range of industry groups. Investments may include We may change the Fund’s investment strategies at our
common shares, preferred shares, rights and warrants, discretion, at any time.
income trust units, convertible securities, and other securi
ties that approximate the economic interest of a common What are the risks of investing in
equity holder.
the Fund?
ing in the HSBC Canadian Small Cap Equity Pooled Fund:
♦ Concentration risk
assets, the Fund may invest in foreign securities where they ♦ Income trust risk
might add value to the Fund. ♦ Large redemption risk
138
HSBC Canadian Small Cap Equity Pooled Fund (continued)
♦ Liquidity risk
♦ Market risk
♦ Security risk
♦ Small capitalization risk
mutual fund?”
139
HSBC U.S. Equity Pooled Fund
Fund details mined valuation or price targets, or based on our economic

forecast and new, better investment alternatives. The
Type of fund
investment advisor will seek to outperform the benchmark
U.S. Equity over a market cycle (defined as 3-5 years) while protecting
capital in down markets.
foreign securities.
Sub-advisor**
HSBC Bank USA, N.A. The Fund may use derivatives consistent with its investment
New York City, New York, USA objectives and as permitted by the Canadian securities
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and as options, futures, covered calls, forward contracts and
ited investment in their particular circumstances. poses. The Fund may use these instruments to provide
“Portfolio advisors” on page 4. HSBC Bank USA, N.A. is related to risks to which the investment portfolio is exposed. The Fund
us because it is our affiliate. may also use derivatives as described in the introduction to
agreement with your representative. Care should be taken As a temporary defensive tactic, the Fund’s investment
when assessing one Fund on its own, as a portfolio of several advisor may maintain a significant portion of the Fund’s
Funds may be more suitable to meet your assets in Canadian and U.S. short-term fixed income securi
investment objectives. ties during periods of high market volatility, in order to pro
ket conditions.
The fundamental investment objective of this Fund is to assets in units of other mutual funds or exchange-traded
achieve long-term capital growth by investing primarily in a funds, including funds managed by us or other members of
broad range of U.S. companies. We may only change the the HSBC Group. The Fund’s investment advisor will only
Fund’s fundamental investment objective with the approval invest in units of other funds where such investment is
of a majority of the votes cast at a meeting of the investors compatible with the investment objectives and strategies of
of the Fund held to consider the change. the Fund. These investments will be selected on the same
Investment strategies of investing a significant portion of the Fund’s net assets in
The Fund will principally invest in equity securities of U.S. other funds. However, the Fund’s investment advisor may
companies from across a broad range of industry groups do so in the future.
and investments will generally be denominated in U.S. dol The Fund may enter into securities lending transactions,
lars. repurchase transactions and reverse repurchase transac
The Fund seeks to achieve its objective by investing princi tions, as permitted by the Canadian securities regulatory
pally in high-quality, well-managed equity securities of mid- authorities, to earn additional income for the Fund. For
cap and large-cap growth and value U.S companies, with more information on how the Fund engages in these types
investments generally denominated in U.S. dollars. The allo of transactions, see the section in the introduction to this
cation of the Fund’s portfolio will vary based on our eco part of the Simplified Prospectus called “Securities lending
nomic outlook and the valuation, earnings predictability and transactions, repurchase transactions and reverse repurchase
business outlook of specific companies. The Fund’s portfo transactions”.
lio positions in specific companies will be adjusted depend We may change the Fund’s investment strategies at our
ing on whether such companies meet or exceed predeter discretion, at any time.
140
HSBC U.S. Equity Pooled Fund (continued)
What are the risks of investing in ♦ Large redemption risk

the Fund? ♦ Market risk
The following are the principal risks associated with invest ♦ Security risk
ing in the HSBC U.S. Equity Pooled Fund: ♦ Tax loss restriction event risk
♦ Concentration risk For a full explanation of these risks, see the section called
♦ Currency risk “What is a mutual fund and what are the risks of investing in a
♦ Derivative risk mutual fund?”.
♦ Foreign market risk
141
HSBC International Equity Pooled Fund
Fund details competitive advantages, attractive returns on capital and

robust financial profiles with the aim to generate strong
Type of fund
long-term returns through the long-term ownership of such
International Equity businesses. A long-term investment approach will be taken
including analysis of the business features and competitive
Eligibility for investment in registered plans advantages that facilitate strong long-run profitability, and a
The Fund is a qualified investment for RRSPs, RRIFs and deep understanding of how the company’s products, busi
other registered plans.* ness model and practices can enable the company to thrive.
The portfolio is expected to be a concentrated, but funda
Sub-advisor** mentally diversified, selection of the highest-conviction
HSBC Global Asset Management (UK) Limited investments within our investable universe.
London, UK
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and or cash equivalents.
tax advisors as to whether units of the Fund would be a prohib The Fund may invest up to 100% of its assets in
ited investment in their particular circumstances. foreign securities.
** We may hire or replace sub-advisors, or change the allocation of The Fund may use derivatives consistent with its investment
assets among sub-advisors, at any time. See the section called objectives and as permitted by the Canadian securities
“Portfolio advisors” on page 4. HSBC Global Asset Management regulatory authorities. The Fund may use derivatives such
(UK) Limited is related to us because it is our affiliate. as options, futures, covered calls, forward contracts and
You may only buy Pooled Funds if you have entered into an poses. The Fund may use these instruments to provide
agreement with your representative. Care should be taken exposure to securities, indices or currencies without invest
when assessing one Fund on its own, as a portfolio of several ing in them directly. Derivatives may be used to manage the
Funds may be more suitable to meet your risks to which the investment portfolio is exposed. The Fund
investment objectives. may also use derivatives as described in the introduction to
What does the Fund invest in?
The fundamental investment objective of this Fund is to assets in Canadian and U.S. short-term fixed income securi
achieve long-term capital growth by investing primarily in a ties during periods of high market volatility, in order to pro
broad range of companies based outside of North America. vide capital protection while awaiting more favourable mar
We may only change the Fund’s fundamental investment ket conditions.
objective with the approval of a majority of the votes cast at
a meeting of the investors of the Fund held to consider
the change.
Investment strategies the HSBC Group. The Fund’s investment advisor will only
The Fund principally invests in equity and equity-related invest in units of other funds where such investment is
securities of companies based outside of North America compatible with the investment objectives and strategies of
and across a broad range of industry groups and diversified the Fund. These investments will be selected on the same
by country and currency. basis as other investments of the Fund. As at the date of
The Fund seeks to achieve its objective by using a funda this Simplified Prospectus, there is no immediate intention
mentally driven investment approach. The investment advi of investing a significant portion of the Fund’s net assets in
sor will draw upon a credit analysis framework, adapted for other funds. However, the Fund’s investment advisor may
equity analysis, to identify appropriate companies for the do so in the future.
strategy. This approach focuses on cash profitability and the The Fund may enter into securities lending transactions,
overall financial profile of the business, as it might evolve repurchase transactions and reverse repurchase transac
under multiple scenarios. The investment advisor will seek tions, as permitted by the Canadian securities regulatory
to invest in resiliently growing businesses with enduring authorities, to earn additional income for the Fund. For
142
HSBC International Equity Pooled Fund (continued)
more information on how the Fund engages in these types ♦ Derivative risk
transactions, repurchase transactions and reverse repurchase ♦ Large redemption risk
transactions”. ♦ Market risk
♦ Security risk
What are the risks of investing in For a full explanation of these risks, see the section called
the Fund? “What is a mutual fund and what are the risks of investing in a
The following are the principal risks associated with invest mutual fund?”.
ing in the HSBC International Equity Pooled Fund:
♦ Currency risk
143
HSBC Emerging Markets Pooled Fund
Fund details emerging country. For this purpose, the Fund will generally
only invest in companies domiciled or listed in developed
Type of fund markets where those companies are owned or controlled by
Emerging Markets Equity emerging market entities, or where a significant portion of
the earnings, production facilities, turnover, assets or invest
Eligibility for investment in registered plans ments of such companies are based in or derived from
The Fund is a qualified investment for RRSPs, RRIFs and emerging market countries.
other registered plans.* The Fund is managed using a “bottom-up” stock selection
approach with a focus on company fundamentals. Many
Sub-advisor** top-down factors including investment megatrends, politics,
HSBC Global Asset Management (UK) Limited the fiscal picture, inflation and monetary policy are consid
London, UK ered and may influence portfolio construction and risk con
* Annuitants of RRSPs and RRIFs, holders of TFSAs, RDSPs and trol.
FHSAs, and subscribers of RESPs should consult with their own A portion of the Fund’s holdings may be in the form of cash
tax advisors as to whether units of the Fund would be a prohib or cash equivalents.
** We may hire or replace sub-advisors, or change the allocation of foreign securities.
“Portfolio advisors” on page 4. HSBC Global Asset Management The Fund may use derivatives consistent with its investment
(UK) Limited is related to us because it is our affiliate. objectives and as permitted by the Canadian securities
Funds may be more suitable to meet your exposure to securities, indices or currencies without invest
investment objectives. ing in them directly. Derivatives may be used to manage the
vide long-term capital growth by investing primarily in secu
rities that provide the Fund with exposure to a diversified
portfolio of equity and equity-related securities of publicly
traded companies registered, or with an official listing, on a
ket conditions.
stock exchange in emerging market countries around the
world, as well as securities of public companies based out The Fund may invest, directly or indirectly through the use
side of emerging market countries that have a significant of derivatives, a significant portion or even all of its net
business or investment link with emerging market coun assets in units of other mutual funds or exchange-traded
tries. We may only change the Fund’s fundamental invest
cast at a meeting of the investors of the Fund held to con
sider the change.
The Fund will invest primarily in equity and equity-related of investing a significant portion of the Fund’s net assets in
securities of publicly traded companies whose main opera other funds. However, the Fund’s investment advisor may
tions are located in the emerging markets and economies of do so in the future.
the world. This includes securities of companies domiciled The Fund may enter into securities lending transactions,
or listed on stock exchanges in developed countries, but repurchase transactions and reverse repurchase transac
which have a significant business or investment link with an tions, as permitted by the Canadian securities regulatory
144
HSBC Emerging Markets Pooled Fund (continued)
authorities, to earn additional income for the Fund. For What are the risks of investing in
the Fund?
part of the Simplified Prospectus called “Securities lending The following are the principal risks associated with invest
transactions, repurchase transactions and reverse repurchase ing in the HSBC Emerging Markets Pooled Fund:
transactions”. ♦ Currency risk
The Fund’s investment strategy may involve the Fund’s
investment advisor actively and frequently buying and sell
ing the Fund’s underlying investments. As a result, the Fund ♦ Large redemption risk
may have a high portfolio turnover rate. The higher a Fund’s ♦ Liquidity risk
♦ Market risk
ing capital gains from its sale of securities, the greater the ♦ Security risk
chance of an investor receiving taxable capital gains in that ♦ Tax loss restriction event risk
mutual fund?”.
145
HSBC Global Real Estate Equity Pooled Fund

Type of fund
Real Estate Equity
Sub-advisor** “Derivatives transactions”.
HSBC Global Asset Management (UK) Limited As a temporary defensive tactic, the Fund’s investment
London, UK advisor may maintain a significant portion of the Fund’s
FHSAs, and subscribers of RESPs should consult with their own ties during periods of high market volatility, in order to pro
tax advisors as to whether units of the Fund would be a prohib vide capital protection while awaiting more favourable mar
ited investment in their particular circumstances. ket conditions.
** We may hire or replace sub-advisors, or change the allocation of The Fund may invest, directly or indirectly through the use
(UK) Limited is related to us because it is our affiliate. assets in units of other mutual funds or exchange-traded
investment objectives. basis as other investments of the Fund. As at the date of
What does the Fund invest in? other funds. However, the Fund’s investment advisor may
Investment objectives do so in the future.
The fundamental investment objective of this Fund is to The Fund may enter into securities lending transactions,
achieve long-term total return by investing principally in repurchase transactions and reverse repurchase transac
equity and equity-related securities of companies or entities tions, as permitted by the Canadian securities regulatory
related to the real estate industry and located around the authorities, to earn additional income for the Fund. For
world. We may only change the Fund’s fundamental invest more information on how the Fund engages in these types
ment objective with the approval of a majority of the votes of transactions, see the section in the introduction to this
cast at a meeting of the investors of the Fund held to con part of the Simplified Prospectus called “Securities lending
sider the change. transactions, repurchase transactions and reverse repurchase
transactions”.
The Fund principally invests in equity and equity-related discretion, at any time.
securities of companies or entities in the real estate indus
try, diversified by country and currency, by investing in a
portfolio of real estate equities rather than physical build
ings. The Fund may also invest a portion of its assets in the Fund?
companies domiciled in emerging market countries. The following are the principal risks associated with invest
A portion of the Fund’s holdings may be in the form of cash ing in the HSBC Global Real Estate Equity Pooled Fund:
or cash equivalents. ♦ Concentration risk
The Fund may invest up to 100% of its assets in ♦ Currency risk
foreign securities.
objectives and as permitted by the Canadian securities ♦ Income trust risk
regulatory authorities. The Fund may use derivatives such ♦ Interest rate risk
146
HSBC Global Real Estate Equity Pooled Fund (continued)
♦ Large redemption risk

♦ Market risk
♦ Security risk
mutual fund?”.
147
HSBC Mutual Funds HSBC Pooled Funds
HSBC Canadian Money Market Fund HSBC Canadian Money Market Pooled Fund
HSBC U.S. Dollar Money Market Fund HSBC Mortgage Pooled Fund
HSBC Mortgage Fund HSBC Canadian Bond Pooled Fund
HSBC Canadian Short/Mid Bond Fund HSBC Global High Yield Bond Pooled Fund
HSBC Canadian Bond Fund HSBC Global Inflation Linked Bond Pooled Fund
HSBC Global Corporate Bond Fund HSBC Emerging Markets Debt Pooled Fund
HSBC Emerging Markets Debt Fund HSBC Canadian Dividend Pooled Fund
HSBC Monthly Income Fund HSBC Canadian Equity Pooled Fund
HSBC U.S. Dollar Monthly Income Fund HSBC Canadian Small Cap Equity Pooled Fund
HSBC Canadian Balanced Fund HSBC U.S. Equity Pooled Fund
HSBC Dividend Fund HSBC International Equity Pooled Fund
HSBC Equity Fund HSBC Emerging Markets Pooled Fund
HSBC Small Cap Growth Fund HSBC Global Real Estate Equity Pooled Fund
HSBC Global Equity Fund
HSBC Global Equity Volatility Focused Fund Additional information about the Funds is available in the
HSBC U.S. Equity Fund Funds’ Fund Facts document, management reports of fund
HSBC European Fund performance and financial statements. These documents are
HSBC AsiaPacific Fund incorporated by reference into this simplified prospectus,
HSBC Chinese Equity Fund which means that they legally form part of this document just
HSBC Indian Equity Fund as if they were printed as a part of this document.
HSBC Emerging Markets Fund
HSBC Emerging Markets Fund II (formerly the HSBC BRIC You can get a copy of these documents, at your request, and
Equity Fund) at no cost, by calling toll-free 1-888-390-3333, or from your
HSBC U.S. Equity Index Fund dealer or by email at asset.management@hsbc.ca.
These documents and other information about the Funds, such
as information circulars and material contracts, are also
HSBC World Selection Diversified Conservative Fund available on the HSBC Mutual Funds & Pooled Funds
HSBC World Selection Diversified Moderate Conservative Fund designated website at assetmanagement.hsbc.ca or
HSBC World Selection Diversified Balanced Fund at sedar.com.
HSBC World Selection Diversified Growth Fund
HSBC World Selection Diversified Aggressive Growth Fund How to reach us
HSBC Global Asset Management
HSBC Wealth Compass Conservative Fund (Canada) Limited
HSBC Wealth Compass Moderate Conservative Fund
Vancouver
HSBC Wealth Compass Balanced Fund
3rd Floor, 885 West Georgia Street
HSBC Wealth Compass Growth Fund Vancouver, BC V6C 3E8
HSBC Wealth Compass Aggressive Growth Fund
Toronto
Suite 300, 16 York Street
Toronto, ON M5J 0E6
Toll-free: 1-888-390-3333
Fax: 604-669-2756
Email: asset.management@hsbc.ca
Designated Website: assetmanagement.hsbc.ca

1500166E
Issued by
HSBC Global Asset Management (Canada) Limited

HSBC Funds Prospectus

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HSBC Mutual Funds and

HSBC Pooled Funds

Introduction and key terms . . . . . . . . . . . . . . . . . . . . . 3 Derivatives transactions . . . . . . . . . . . . . . . . . . . . . . . . . . 57

Michael R. Tucker Senior Vice President, Portfolio manager responsible for

HSBC Bank USA, N.A. HSBC Global Asset Management (Hong

Sophie Sentilhes Portfolio Manager, Regional portfolio manager

Philippe Igigabel Portfolio Manager, Back-up regional portfolio manager

Aline Thiel Portfolio Manager, Back-up regional portfolio manager

Viral Desai Portfolio Manager, US fixed income portfolio manager,

We, or one of our sub-advisors, may direct the brokerage Registrar

Lisa Pankratz Chair

Since the date of the most recently filed Simplified Prospec­

HSBC Holdings plc

HSBC Global Asset HSBC Global Asset HSBC Global Asset

HSBC Global Asset

Some Funds primarily invest a majority of their assets in

We pay HSBC Investment Funds

Companies dealer agreements, acted in good faith in a manner which

this is known on the valuation day; or a maximum of Mortgages by type of loan

$1,000,000 or less $100,000 Single-family dwelling 6,549 1,930,265 1,843,392 $ 1,909,535

$10,000,000 $870,000 + 7% on next $10,000,000 Total 6,549 1,930,265 1,843,392 $1,909,535

$20,000,000 $1,570,000 + 6% on next $10,000,000

$30,000,000 or over $2,170,000 + 5% on excess Mortgages by year of maturity

Mortgage Fund portfolio analysis

Mortgages by contractual interest rates Number of Principal Market Value Amortized

U.S. dollar purchase service Mutual fund allocation service

Fees and expenses paid by the Funds1

Fees and expenses paid by the Funds1 (continued)

HSBC Canadian Money Market Fund 0.85% 0.35% 0.35% 0.35%

HSBC Mortgage Fund 1.35% 0.85% 0.675% 0.85%

HSBC Canadian Short/Mid Bond Fund 1.00% 0.50% 0.50% 0.75%

HSBC Canadian Bond Fund1 1.00% 0.50% 0.50% 0.75%

HSBC Global Corporate Bond Fund5 1.50% 1.00% 0.75% 1.20%

HSBC Emerging Markets Debt Fund 1.50% 1.00% 0.75% 1.20%

HSBC Monthly Income Fund1,4 1.25% 0.75% 0.625% 0.75%

HSBC Dividend Fund1 1.75% 0.90% 0.75% 1.25%

HSBC Equity Fund 1.75% 0.90% 0.75% 1.25%

HSBC Small Cap Growth Fund 2.00% 1.00% 1.00% 1.50%

HSBC Global Equity Fund 1.25% 0.75% 0.625% 0.95%

HSBC U.S. Equity Fund 2.00% 1.00% 1.00% 1.50%

HSBC European Fund 2.00% 1.00% 1.00% 1.50%

HSBC AsiaPacific Fund 2.00% 1.00% 1.00% 1.50%

HSBC Chinese Equity Fund 2.25% 1.25% 1.125% 1.75%

Fees and expenses paid by the Funds1 (continued)

HSBC Indian Equity Fund 2.25% 1.25% 1.125% 1.75%

HSBC Emerging Markets Fund 2.25% 1.25% 1.125% 1.75%

HSBC U.S. Equity Index Fund 1.00% 0.50% 0.50% 0.75%

HSBC International Equity Index Fund 1.00% 0.50% 0.50% 0.75%

HSBC World Selection Diversified Conservative Fund1 1.40% 0.70% 0.50% —

HSBC World Selection Diversified Balanced Fund1 1.55% 0.80% 0.75% —

HSBC World Selection Diversified Growth Fund1 1.75% 0.90% 1.00% —

HSBC Wealth Compass Conservative Fund1 0.50% 0.25% 0.25% —

HSBC Wealth Compass Moderate Conservative Fund1 0.50% 0.25% 0.25% —

HSBC Wealth Compass Growth Fund1 0.60% 0.35% 0.35% —

Fees and expenses paid by the Funds1 (continued)

Fees and expenses paid directly by you

Fees and expenses paid directly by you (continued)

Certificate of the Funds and the manager of the Funds

Marc Cevey Shikhar Mehra

Lorenzo Tomei Raza Hasan

Since the date of the most recently filed Simplified Prospec

Fund details exposure to securities, indices or currencies without invest

Fund details municipality of Canada or Canadian corporations or Cana