HSBC MultiAlpha Global Equity FundFund Information Sheet

For Professional Advisers only

What are the advantages of investing in MultiAlpha?

1. Our local research network. To truly discover the best for

our clients, we need to be where the investment talent is to

be found on the ground. This is why our extensive research

network has its foundations in the four corners of the globe

through our local presence around the world. Ultimately this

presence encourages understanding, manager discovery and

informs our monitoring

2. Investment rigour. It is the robustness and integrity of our

research and portfolio management process that drives how

we establish and continuously stress test the construction of

our funds and chosen managers, ensuring that we maintain

a consistency of focus on the achievement of positive risk

adjusted results

3. Transparency and risk management. Our ongoing

research gives our analysts day-to-day familiarity with the

managers we invest in. The use of both qualitative and

quantitative monitoring, both on a formal and informal basis

gives us a multiple lens approach to truly understand our

managers and their portfolios. Our process is designed to

ensure that the managers who are strong enough to be

selected continue to invest in a way that remains consistent

with their expertise

Why buy the HSBC MultiAlpha Global Equity Fund?

‘Best of breed’ blended management style.

Creating a winning team. The three underlying

investment managers provide the fund with our

best ideas in the global equity arena to create a

fund without any strong investment style biases

Flexible portfolio. The underlying managers

have been blended using risk, return, qualitative

and quantitative criteria in order

to smooth out ‘peaks and

troughs’ that can occur in an

individual approach

Outstanding global

presence and local

intelligence. We can

provide top level

market intelligence

thanks to the

placement of our

Multimanager

regional offices and

specialist teams,

ensuring the fund’s selection of those whom we believe

to be the best managers

Asset allocation and diversification benefits. The

fund can be used as a stand-alone fund or as an

actively-managed building block. It offers investors with

smaller monetary sums the means to achieve portfolio

diversification

Why focus on global equities?

No limits to the investment region. The fund has no

restraints in regard to the region or type of industry it

invests in, allowing the managers to pursue opportunities

globally. As the managers are unconstrained by a style

bias, they can take advantage of new investment themes

and geographies

The investment strategy

A pragmatic approach. We assume that markets will

always be volatile. We focus on qualitative research

and achieving long-term investment goals rather than

being driven by fashions or fads or chasing short-term

performance trends

A blend of our best selection of complementary

managers. This should allow the fund to perform in a

wide variety of market conditions

Focused, specialist teams. The Multimanager team

believes that the selected global investment managers

provide high quality, specialist research and analysis

which aid their investment decisions. The managers are

benchmark aware rather than benchmark constrained

Well-diversified portfolio. The fund aims to insulate

itself against the peaks and troughs by blending the three

managers’ approaches rather than focusing on a single

approach. Manager strategies do not all carry the same

level of risk, so the weight we hold in each is tailored to

ensure the fund has a balanced exposure

Use of cash is unconstrained. The fund manager has

the option of rapid entry into the market when investment

opportunities arise. A cash allocation also offers downside

protection in difficult markets

About the specialist managers selectedTaube Hodson Stonex Partners Limited. Taube Hodson

Stonex Partners is a small partnership of experienced

investors all of whom have a substantial stake in the

business. Of their assets under management, three-quarters

are in their global equity strategy. They have a seasoned

team of investment professionals with a wide variety of

backgrounds, touching on fixed income, commodities trading,

and equity sell-side and buy-side research. Stock selection

is at the core of their approach with a real focus on meeting

company management and researching existing and potential

investments. Their philosophy is to try and challenge the

market view of a company. As a result, their portfolios tend

to differ quite markedly from stock market indices. This is

reflective of their aim to deliver real returns over time rather

than returns relative to the index.

Longview Partners. Longview was founded in 2001. The

investment team is high calibre, with each individual having a

proven track record and extensive prior experience. The senior

investment team members have been working together since

2003 and they follow a well thought-out team-based approach

under Head of Research, Alastair Graham. Their approach

to investing is very much micro-economically driven based

on the detail of companies and their performance rather

than what economic factors are likely to influence profits

in the short term. This leads to a concentrated portfolio of

companies which combine factors that are important to a

particular business’ growth potential, with attractive cash

based valuations. The firm’s global approach to investing

allows idea generation to be unhindered by conventional

analysis and helps to identify the most attractive investment

opportunities, irrespective of location.

Spencer House Capital Management, LLP. Spencer

House is a small boutique manager which was spun off Lord

Rothschild’s family office and the business is well backed

with Lord Rothschild as Chairman and Founding Partner. Their

investment team is experienced with the most senior and the

key decision maker being Charles Martyn-Hemphill. Moreover,

all portfolio managers have their own money invested in funds

at the firm, providing further alignment of interests. Spencer

House have the fundamental belief that equity markets will

generate real returns over time and that value can be added

substantially above those market returns by adopting an

unconstrained fundamental stock driven approach. Their

global strategy seeks superior returns via a disciplined stock

driven approach. Their focus is on understanding a company’s

business model and, in particular, the management’s ability to

allocate capital effectively.

Underlying Manager Breakdown (as at 31 December 2009)

Ana joined HSBC as a Senior Research Analyst in March 2007 and is responsible for looking at all aspects of research and portfolio construction for the purposes of Global Equity portfolios of fund managers. Ana also collaborates with the US team of US manager research. Prior to joining HSBC, Ana was a Senior Research Analyst at Barclays responsible for researching and managing US Equity managers/ funds. Ana started her career at European Parliament in Luxembourg as a researcher, it was from here Ana joined Barclays to work on a Pan European fund launch leveraging the resources of the Barclays European Asset Management businesses. Ana has 11 years investment experience. Ana holds an Msc. International and Corporate Finance and a BA (Hons) Economics from the University of Durham, UK, and is also a member of UK Society of Investment Professionals and a Chartered Financial Analyst Charterholder.

Fund manager – Ana da Maia

‘Offshore’ yachting is recognised as one of the most exciting and challenging sports in the world and the racing calendar includes events that involve traversing the globe and can take up to nine months to complete. Success relies upon the skills and experience of the skipper, but also a well-drilled crew, each of which is highly trained to fulfil a specialist role to ensure the optimal performance can be achieved.

Fund details (as at 31 December 2009)

Longview Partners 30.72%

Taube Hodson Stonex Partners Limited

39.03%

Fund manager Ana da Maia

ISIN code LU0358926649

Base currency USD

Fund size in millions USD 437.9

NAV (distribution shares) 9.15 USD

Minimum investment horizon > 5 years

Launch date 24 July 2008

Benchmark 100% MSCI World (USD) NR

Spencer House Capital Management

30.25%

HSBC International Select Funds (HISF) are sub-funds of HSBC International Select Funds, a Luxembourg based SICAV (Société d’Investissement á Capital Variable) regulated by the CSSF. The funds mentioned in this document may not be registered for sale or available in all jurisdictions. For available funds please contact your local HSBC office. HSBC International Select Funds cannot be sold by anyone in any jurisdiction in which such offer or solicitation is not lawful or in which the person making such an offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such offer or solicitation. All applications are made on the basis of the current HSBC International Select Funds Prospectus, simplified prospectus and most recent annual and semi-annual reports. These can be obtained on request and free of charge from HSBC Global Asset Management (UK) Limited or the local distributors. The value of investments may go down as well as up and you may not get back the full amount you invested. Where overseas investments are held the rate of exchange may cause the value of investments to go down as well as up. Markets in some countries can be described as ‘emerging markets’. Some of these may involve a higher risk than where an investment is within a more established market. Where a sub-fund invests predominately in one geographical area, any decline in economic conditions may affect prices and the value of underlying investments. The securities representing interests in the HSBC International Select Funds have not been and will not be registered under the US Securities Act of 1933 and will not be offered for sale or sold in the United States of America, its territories or possessions and all areas subject to its jurisdiction, or United States person, except in a transaction which does not violate the Securities Law of the United States of America. This document was produced by HSBC Global Asset Management (UK) Limited for distribution in the Middle East and North Africa region by HSBC Global Asset Management MENA, who are marketing the product in a sub-distributing capacity on a principal – to – principal basis. HSBC Global Asset Management MENA, is a unit that is part of HSBC Bank Middle East Limited, PO Box 66, Dubai, UAE, which is incorporated and regulated by the Jersey Financial Services Commission. Services are subject to the Bank’s terms and conditions. HSBC Bank Middle East Limited is a member of the HSBC Group. HSBC Global Asset Management (UK) Limited, 8 Canada Square, Canary Wharf, London, E14 5HQ, UK, is authorised and regulated in the United Kingdom by the Financial Services Authority and registered as number 122335. © Copyright. HSBC Global Asset Management 2009. All Rights Reserved. The information provided has not been prepared taking into account the particular investment objectives, financial situation and needs of any particular investor. As a result, investors using this information should assess whether it is appropriate in the light of their own individual circumstances before acting on it. The information in this document is derived from sources believed to be reliable, but which have not been independently verified. However, HSBC Bank Middle East Limited makes no guarantee of its accuracy and completeness and is not responsible for errors of transmission of factual or analytical data, nor shall HSBC Bank Middle East Limited be liable for damages arising out of any person’s reliance upon this information. All charts and graphs are from publicly available sources or proprietary data. The opinions in this document constitute the present judgment of the issuer, which is subject to change without notice. This document is neither an offer to sell, purchase or subscribe for any investment nor a solicitation of such an offer. This document is intended for the use of institutional and professional customers and is not intended for the use of private customers. This document is intended to be distributed in its entirety. No consideration has been given to the particular investment objectives, financial situation or particular needs of any recipient. Any transaction will be subject to HSBC Bank’s Terms of Business. 17375/0110/MENA

About HSBC MultimanagerOur local research network. The value of global research

is often underestimated because there are not enough good

fund managers around who exhibit a consistently defined

skill when making investment decisions. The world’s truly

outstanding investment managers are to be found in far

flung places because technology has improved information

flows making it possible to be based anywhere in the world.

To truly discover the best for our clients, we believe that

we need to be where the investment talent is to be found

on the ground. We are committed to research and have

invested heavily in our network of 40 investment specialists

situated in 12 locations around the globe.Ultimately

this presence encourages understanding, aids manager

discovery and informs our monitoring.

Investment rigour. It is the robustness and integrity

of our research and portfolio management process that

drives how we establish and continuously stress test the

construction of our funds and chosen managers, ensuring

that we maintain a consistency of focus on the achievement

of positive risk adjusted results. Every one of the strong

managers we invest in is subject to ongoing assessment

to justify their continued inclusion relative to the new and

exciting managers and investment opportunities uncovered

by our research process.

Transparency and risk management. Our ongoing

research gives our analysts day-to-day familiarity with

the managers we invest in. To know our managers inside

out we use both qualitative and quantitative monitoring,

both on a formal and informal basis to give us a multiple

lens perspective. Our approach fosters a stock level

understanding of the dynamics within our portfolios and

is designed to ensure that the managers who are strong

enough to be selected continue to invest in a way that

remains consistent with their expertise. We must not

only identify good managers but specifically those whose

approaches and sources of skill are differentiated.

HSBC Multimanager teamPhilip GlazeGlobal Chief Investment Officer and Global Head of Research

Joanna MunroGlobal Chief Executive Officer

EMEA MultimanagerRaphael Sobotka Chief Investment Officer, Europe

Product specialistAlasdair Prescott: alasdair.prescott@hsbc.com Tel. + 44 (0) 207 024 0682

Asia MultimanagerJames Hughes Head of Multimanager, Asia Pacific/ Head of Business Development

Product specialist Emily Ho: emily.p.y.ho@hsbc.com.hk Tel. +852 2284 1165

Americas MultimanagerLane PrenevostHead of Multimanager, Americas

Product specialistRahul Khasgiwale: rahul_khasgiwale@hsbc.caTel. +1 (1) 4416 868 1556

Product specialistJuan Pablo Scasserra: juan.scasserra@hsbc.com

HSBC MultiAlpha range – next stepsYou can contact our investor services team on +44 (0) 20 7992 4172† or alternatively e-mail us at multialpha.services@

hsbc.com

Lines are open from 9am-5pm Monday to Friday (excluding

public holidays). Contact details for the transfer agency in

Luxembourg, who undertake all administration of the HSBC

MultiAlpha Fund range are:

RBC Dexia Investor Services SA

14, rue Porte de France

L-4360 Esch-sur-Alzette

Grand Duchy of Luxembourg

Telephone Number 00 352 2605 9553

Fax Number 00 352 2460 9500