HSBC launches fixed income trackers

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HSBC Global Asset Management has launched two fixed income tracker funds.

The HSBC Sterling Corporate Bond Index fund will track the Markit iBoxx GBP Non-Gilts index, while the HSBC Index-Linked Gilt Index fund tracks the FTSE Actuaries UK Index-Linked Gilts index.

HSBC Global Asset Management chief executive Andy Clark says the funds are designed to offer cost-effective access to an area of fixed income “where direction of interest rates is not the only driver of performance”.

Clark says they can be used as an “important building block for investment portfolios”.

“The funds also showcase two core areas of our expertise: fixed income and index-based investing.

“The day-to-day management will be conducted by members of the global bond team, which is also responsible for running many of our successful actively-managed portfolios.”

Both funds have estimated ongoing charges figures of 0.17 per cent.