HSBC launches Pacific ex Japan ETF

HSBC has launched an MSCI Pacific ex Japan ETF listed on the London Stock Exchange.

This latest fund follows the launch of the HSBC MSCI Brazil ETF in July and means HSBC now has 10 ETFs in its range. The provider says it plans to continue progressively expanding its range to offer a complete set of ETFs relevant for the asset allocation needs of investors.

The HSBC MSCI Brazil ETF offers investors exposure to the performance of the MSCI Pacific ex Japan Index. This represents the equity market performance of developed markets in the Pacific ex Japan, namely Australia, Hong Kong, New Zealand, and Singapore.

As with all HSBC ETFs the fund will use physical replication of the index. This means the ETF will aim to invest in the underlying constituents of the index in the same proportions as in the index in order to replicate performance as closely as possible.

Farley Thomas, head of ETFs at HSBC, says: “The addition of the HSBC MSCI Pacific ex JAPAN ETF allows us to offer near complete exposure to developed equity markets world-wide through HSBC ETFs. We plan to complement our developed markets ETFs with a strong range of emerging markets equity ETFs as well as products covering other asset classes.”

HSBC announced its entry into the European ETF market in August 2009 with the launch of the HSBC FTSE 100 ETF. Since then, HSBC has added ETFs linked to the EURO STOXX® 50, CAC® 40, MSCI Japan, FTSE® 250, S&P® 500, MSCI Europe, MSCI USA and MSCI Brazil indices.

The HSBC MSCI Pacific ex Japan ETF  carries a TER OF  0.40%.