The Asset Factsheet September 2015

Transcription

1 The Asset Factsheet September 2015

2 Index Fund Manager Commentary HSBC Equity Fund HSBC India Opportunities Fund HSBC Midcap Equity Fund HSBC Progressive Themes Fund HSBC Tax Saver Equity Fund HSBC Dynamic Fund HSBC Dividend Yield Equity Fund HSBC Emerging Markets Fund HSBC Asia Pacific (Ex Japan) Dividend Yield Fund HSBC Brazil Fund HSBC Managed Solutions India - Growth HSBC Managed Solutions India - Moderate HSBC Managed Solutions India - Conservative HSBC Global Consumer Opportunities Fund Fund Managers - Equity Comparative Performance of Equity Schemes Performance of Equity Schemes HSBC MIP - Savings Plan HSBC MIP - Regular Plan HSBC Income Fund - Investment Plan HSBC Income Fund - Short Term Plan HSBC Floating Rate Fund - Long Term Plan HSBC Cash Fund HSBC Gilt Fund HSBC Ultra Short Term Bond Fund HSBC Flexi Debt Fund Fund Managers - MIP & Debt Comparative Performance of MIP & Debt Schemes Section II - How to read Factsheet

3 Fund Manager Commentary RBI's Monetary Policy The Reserve Bank of India (RBI) reduced overnight Repo rate by 50 basis points (bps) to 6.75% in the recently held monetary policy review meeting on September 29, The RBI has cut interest rate by 125 bps in the current cycle. Benign inflation outlook and pressure of economic growth paved path for this move. Rate cut action by the RBI was necessitated to provide impetus to domestic growth on back of weaker global demand. Further, given the Government's commitment to respect its fiscal deficit target, onus fell on monetary policy to be accommodative. The RBI has used March 2017 inflation target of 5% as the goal post. Expecting, 1.5-2% real interest rates in 1 year Treasury bill, it has frontloaded rate reduction to 50 bps, which is appropriate at this stage of recovery. The RBI also drew comfort from lower food inflation due to resolute supply management by Government, postponement of policy normalization by the Federal Open Market Committee (FOMC) in the United States (US) and partial transmission of interest rate cuts till date by banks in their lending rates. Other major change was policy on FPI investments. FPI investment in Government Securities (G-Sec) will be increased to 5% in a phased manner till March 2018 from 3.7% of current outstanding. Additionally 2% of limits in State Development Loan (SDL) will also be opened up. About INR 130 billion in G-sec and INR 35 billion in SDLwill be opened up in each of the next two quarters Repo Rate Movement 10.00% 9.00% 8.00% 7.00% 6.00% 5.00% 4.00% Jul/07 Oct/07 Jan/08 Apr/08 Aug/08 Nov/08 Feb/09 May/09 Sep/09 Dec/09 Mar/10 Jul/10 Oct/10 Jan/11 May/11 Aug/11 Nov/11 Feb/12 Jun/12 Sep/12 Dec/12 Mar/13 Jul/13 Oct/13 Jan/14 May/14 Aug/14 Nov/14 Mar/15 Jun/15 Sep/15 Source: Bloomberg, RBI Repo Rate Government front-loading capital expenditure Fiscal deficit for April-August 2015 was lower at 66.5% of budgeted estimate against 79.3% last year on back of higher year-on-year (YoY) disinvestment proceeds (though far from annual target), higher indirect taxes and lower oil subsidy. Capital expenditure continues in top gear to provide boost to economy. However, weak direct tax collections and higher spending on food and fertilizer subsidy continues to be key concerns. Lead Indicators The Consumer Price Index (CPI) continues to reap benefits from lower commodity prices India's inflation reading continued to get benefitted by weak commodity prices. The CPI reading for the month of August 2015 came at 3.66%, in line with market expectations and marginally lowers than previous month print of 3.69%. Though there was broad based sequential uptick in food items on back of insufficient monsoon, decline in commodity prices and second round impact of earlier softening in prices resulted in number under-shooting RBI's projected print of 4%. The core inflation declined to 5.5% against 5.7% a month ago CPI Inflation (%) Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Consumer Price Index (CPI) Source: Bloomberg; Central Statistical Organisation (CSO) India The Wholesale Price Index (WPI) inflation moved further into negative territory with August 2015 reading coming at -4.9% against -4.1% a month ago. Most of commodity linked components continue to show negative inflation. 01

4 Fund Manager Commentary Index of Industrial Production (IIP) building up Industrial production growth at 4.2% in July 2015 is indicative of nascent signs of uptick in growth impulses. June 2015 IIP has been revised higher by 60 bps at 4.4%, primarily driven by pickup in manufacturing segment. On the usage front, capital goods note a sharp 10.6% surge while consumer durables grew at 11.4%. 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% -1.0% -2.0% -3.0% -4.0% Jan/13 Mar/13 May/13 Jul/13 Index of Industrial Production (IIP) Sep/13 Nov/13 Jan/14 Mar/14 May/14 Jul/14 Sep/14 Nov/14 Jan/15 Mar/15 May/15 Jul/15 IIP YoY Growth (New Series; base ) Source: Bloomberg; Central Statistical Organisation (CSO) India External Data on Institutional Flows: The net inflows from the Foreign Institutional Investors (FIIs) remained in the negative zone though their pace of selling moderated during the month. FIIs net sold Indian equities worth ~USD 861 million during the month taking their YTD tally down to ~USD 3.6 billion of net inflows. However, FII outflows were more than compensated by continuing strong momentum from the domestic segments. Domestic Institutional Investors (DIIs) led by MFs (~USD 1.3 billion net inflows) notched up ~USD 1.5 billion of net inflows during September The DIIs have so far net bought equities worth ~USD 8.2 billion this year, entirely led by ~USD 8.9 billion net inflows from the domestic MFs. Trade deficit data: Trade deficit for the month ofaugust 2015 registered a marginal decline at ~USD 12.5 billion (~USD 12.8 billion in July 2015), but was higher than the consensus estimate of ~USD 10.7 billion. Exports at ~USD 21.3 billion (-20.7% YoY) continued to remain weak with declines in both commodity and non-commodity segments and this was the ninth consecutive month of decline for exports overall. Total imports at ~USD 33.7 billion (-9.9% YoY) also contracted led by a decline in oil imports though non-oil imports saw an expansion due to pick-up in gold imports. Global Economic Scenario The Fed decided to hold the Fed Funds target rate at the % range. The move was not unanimous as there were voices to begin the normalization process. The FOMC statement and press conference was modestly dovish given the strong focus on the inflation outlook and concerns over global developments, but left the door open for an interest rate increase later this year. Although, the FOMC retains its positive assessment of US economic activity, it said "recent global economic and financial developments may restrain economic activity somewhat and are likely to put further downward pressure on inflation in the near term. The Fed added that the risks to the US economy remained nearly balanced but it was "monitoring developments abroad." Equity Market Update Equity markets recovered after a weak start Equity markets recovered after a weak start to the month and subsequently traded in a range bound manner. The markets closed marginally lower, after the significant decline seen during the previous month. The Monsoon season of recorded a deficit of ~14%, which was slightly higher than the Indian Meteorological Department (IMD) forecast for the full season (12%). After a sharp depreciation seen in the previous month, the INR recovered and appreciated by ~1.3% during the month of September 2015 vs. USD. Despite the volatility in August 2015, INR has been the third best-performing amongst the major Emerging Market currencies on a yearto-date (YTD) basis Market indices S&P BSE Sensex and NSE CNX Nifty were down at -0.5% and -0.3% respectively during the month of September S&P BSE Midcap & Small cap indices closed higher and gained 0.6% and 0.5% respectively during September

5 Fund Manager Commentary 0.8% 0.6% 0.4% 0.2% 0.0% -0.2% -0.4% -0.6% -0.8% -1.0% Indices Performance - September 2015 Sensex BSE100 BSE200 BSE500 BSE MidCap BSE SmallCap Source: Bombay Stock Exchange (BSE) Equity market outlook From a near term perspective, the Bihar assembly elections, June September 2015 quarter earnings season trends and global cues are likely to influence market movements. Bihar election is a crucial event for the ruling NDA coalition from a Rajya Sabha standpoint and will be looked through the lens of whether the government is able to sustain its popularity after the Lok Sabha and other recent state assembly victories. While there could be volatility in the near term, we do view this as an opportunity to build a case for a longer term exposure to India equities on a strategic basis, given the relative attractiveness for the Indian economy vis-à-vis its emerging market counterparts. Estimates for earnings growth remain subdued for a year forward and the monsoon too has been below normal this year. Credit growth continues to be sub-par for the year and the much anticipated government investment push remains elusive. The market however is relatively much better in comparison to its emerging market peers that are more export and commodity oriented and may be a preferred play among foreign investors as a safe haven. We stay positive on equities and and look at this asset class as an avenue for long term wealth creation. Debt Market Update Bond prices witnessed significant rally during the month of September er than expected Gross Domestic Product (GDP) growth laid down foundation for the month. However, caution prevailed as in-line inflation release and Current Account Deficit (CAD) numbers failed to steer market in bullish mode ahead of FOMC meeting. Markets rallied post US Federal Reserve (Fed) meeting outcome as rates were left un-changed with marginally dovish tone. Markets rallied significantly post, higher than expected easing in benchmark rates with 10 year Government Securities (G-sec) touching low of 7.51% against previous month close of 7.79%. Shorter end bond yields rallied more with spreads between 5 years and 10 years compressing from 10 bps to 5 bps whereas years spreads expanded to 28 bps from 22 bps signifying shorter end discounting bulk of recent cut. The corporate bond curve witnessed expansion of spreads during the month, particularly in lower than AAA papers. Participants went into caution mode post few downgrades by rating agencies. Overnight and money market rates continued to trade actively as system liquidity remained positive. Front loading of expenditure by Government and pro-active liquidity management by the RBI kept overnight rates in close proximity to repo rate. Debt market outlook Growth with eye on the inflation target is the focus of the RBI now. With credit growth still in single digit and with capital infusion by the government, it is imperative for banks to pass on the rate reduction to borrowers. This may help build some demand and expand capacities in the long run. This coupled with softer commodity prices may result in further easing in inflation outlook paving way for future rate cuts. Policy rates being reduced by 50 bps, emphasis will now shift to reduction in other rates in the economy viz. small savings rate and bank lending rates that have not reduced commensurately. With lower inflation, in the immediate term, the RBI can afford to focus on the medium term inflation target. This entails more accommodative policy and to be data dependent to build up the supply side rather than just curbing demand. Effectively, with growth pressures being transmitted across boundaries, central banks are being forced to focus on stimulating domestic growth in the absence of demand support from external markets. With overnight at 6.75%, current level of gilts still presents good value. The next few months are going to witness demand and supply in gilts getting balanced due to incremental FPI demand and maturities. This also takes into account the marginal front loading of the borrowing calendar in the second half of the financial year. The borrowing buckets are in line with expectations with additional first time maturity of a 40 year G-sec. With gold monetization expected at INR 150 billion, government borrowing is scheduled to be lower by that amount. With ample liquidity and credit off-take at its low, it makes sense for investors to continue to invest in duration. Source: Bloomberg, for all data except where mentioned otherwise 03

6 Fund Manager Commentary Sectors HSBC Equity Fund HSBC India Opportunities Fund HSBC Midcap Equity Fund # Consumer Discretionary Consumer Staples Energy Financials Healthcare Industrials Information Technology Materials Telecommunication Utilities Overweight Underweight Neutral # The S&P BSE Midcap Index was reconstituted in mid of April 2015 and hence the relative sector positioning of the fund vs. the benchmark has changed. Review: HSBC Equity Fund Being overweight consumer discretionary, information technology and underweight consumer staples helped performance while being underweight materials, utilities hurt performance. Review: HSBC India Opportunities Fund Being overweight consumer discretionary and underweight consumer staples helped performance while being overweight information technology and underweight utilities hurt performance. Review: HSBC Midcap Equity Fund Being overweight consumer discretionary and underweight consumer staples, healthcare helped performance while being overweight industrials, materials and underweight financials, utilities hurt performance. Review: HSBC Progressive Themes Fund Currently focusing on the following themes : 1.. Economic Reforms (22%) which includes Financial sector reform 10.3% and Oil & Gas Sector deregulation sub theme- 11.8% and 2. Infrastructure (61.7%) which includes Power- 9.1%, Construction 33.2% and Logistics- 19.5%. Well diversified exposure across sectors encompassing the above themes. Review: HSBC Dynamic Fund The cash levels and sector allocation in the fund are likely to change depending on the market conditions and technical factors. Review: HSBC MIP Regular and Savings Plans Our current exposure is 13.48% in HMIP Regular and 22.40% in HMIP Savings plan. Currently it is more biased towards large caps than mid or small caps. 04

7 HSBC Equity Fund (HEF) An Open Ended Diversified Equity Scheme Investment Objective: Aims to generate long term capital growth from an actively managed portfolio of equity and equity related securities. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.39% Direct Plan 1.69% Excludes service tax on Investment Management fees of 0.20% of Total NetAssets. Portfolio Turnover 0.83 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Auto 7.09% AutoAncillaries 1.30% Banks 25.48% Cement 1.65% Construction 2.33% Construction Project 3.24% Consumer Non Durables 6.34% Finance 5.46% Minerals/Mining 2.65% Pesticides 1.86% Petroleum Products 3.68% Pharmaceuticals 9.81% Services 2.21% Software 18.11% Telecom - Services 2.36% Textile Products 2.80% Other Equity Investments 2.56% Reverse Repos/CBLOs 1.13% Net CurrentAssets -0.06% Total Net Assets % This product is suitable for investors who are seeking*: To create wealth over long term Investment in equity and equity related securities HSBC Equity Fund (HEF) LOW 10-Dec-02 S&P BSE 200 ` , Neelotpal Sahai Available `10,000 `1,000 p.m.() Nil Riskometer Moderate Investors understand that their principal will be at risk 0.98% HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Auto Maruti Suzuki India 2, % Tata Motors 2, % Auto Ancillaries MRF % Banks HDFC Bank 5, % ICICI Bank 3, % Axis Bank 2, % Yes Bank 2, % Indusind Bank 1, % State Bank of India % Cement Ultratech Cement 1, % Construction J.Kumar Infraprojects 1, % Construction Project Larsen & Toubro 2, % Consumer Non Durables I T C 3, % Hindustan Unilever 1, % Finance HDFC 2, % Bajaj Finance 1, % Minerals/Mining Coal India 1, % Pesticides UPL 1, % Petroleum Products Reliance Industries 1, % Hindustan Petroleum Corporation % Pharmaceuticals Sun Pharmaceutical Industries 1, % Divi's Laboratories 1, % Glenmark Pharmaceuticals 1, % Cadila Healthcare 1, % Dr. Reddy's Laboratories 1, % Services Aditya Birla Nuvo 1, % Software Infosys 4, % Tata Consultancy Services 3, % HCL Technologies 2, % Tech Mahindra 1, % Telecom - Services Bharti Airtel 1, % Textile Products Welspun India 1, % Other Equity Investments 1, % Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC Equity Fund - Dividend 19-Nov Feb Jun HSBC Equity Fund - Dividend - Direct Plan 22-Feb Jun Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 05

8 HSBC India Opportunities Fund (HIOF) An Open Ended Flexi-Cap Equity Scheme Investment Objective: Seeks long term capital growth through investments across all market capitalisations, including small, mid and large cap stocks. It aims to be predominantly invested in equity & equity related securities. However it could move a significant portion of its assets towards fixed income securities if the fund manager becomes negative on equity markets. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Weighted Average (Annualized) Portfolio Turnover Monthly Total Expenses ratios Regular 2.44% Direct Plan 1.74% Excludes service tax on Investment Management fees of 0.21% of Total NetAssets. Asset Allocation 0.56 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Auto 6.46% AutoAncillaries 1.62% Banks 24.21% Cement 1.45% Chemicals 1.64% Construction 5.29% Construction Project 4.08% Consumer Non Durables 4.88% Finance 2.48% Industrial Products 1.67% Minerals/Mining 1.77% Pesticides 1.86% Petroleum Products 2.33% Pharmaceuticals 8.62% Software 17.57% Telecom - Services 2.44% Textile Products 5.82% Other Equity Investments 3.91% Reverse Repos/CBLOs 2.31% Net CurrentAssets -0.41% Total Net Assets % HSBC India Opportunities Fund (HIOF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity related securities across market capitalisations LOW 24-Feb-04 S&P BSE 500 ` , Neelotpal Sahai Available `10,000 `1,000 p.m.() Nil Riskometer Moderate 0.95% Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Auto Eicher Motors 1, % Tata Motors 1, % Maruti Suzuki India % Auto Ancillaries Apollo Tyres % Banks HDFC Bank 4, % ICICI Bank 3, % Axis Bank 2, % Yes Bank 2, % Indusind Bank 1, % Cement Ultratech Cement % Chemicals Vinati Organics % Construction Ahluwalia Contracts (India) % MBL Infrastructures % IRB Infrastructure Developers % KNR Constructions % Construction Project Larsen & Toubro 1, % Power Mech Projects % Consumer Non Durables I T C 1, % Hindustan Unilever % Finance Bajaj Finance % HDFC % Industrial Products Supreme Industries % Minerals/Mining Coal India % Pesticides UPL 1, % Petroleum Products Reliance Industries 1, % Pharmaceuticals Glenmark Pharmaceuticals 1, % Torrent Pharmaceuticals 1, % IPCA Laboratories % Divi's Laboratories % Aurobindo Pharma % Software Infosys 3, % HCL Technologies 2, % Tata Consultancy Services 2, % Tech Mahindra % Cyient % Telecom - Services Bharti Airtel 1, % Textile Products Welspun India 1, % Arvind % Indian Terrain Fashions % Other Equity Investments 2, % Cash Equivalents CBLO 1, % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC India Opportunities Fund - Dividend 04-Feb Jun Mar HSBC India Opportunities Fund - Dividend Direct Plan 04-Feb Jun Mar Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 06

9 HSBC Midcap Equity Fund (HMEF) An Open Ended Diversified Equity Scheme Investment Objective: Seeks to generate long term capital growth from an actively managed portfolio of equity and equity related securities primarily being midcap stocks. However, it could move a portion of its assets towards fixed income securities if the fund manager becomes negative on the Indian equity markets. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.51% Direct Plan 1.81% Excludes service tax on Investment Management fees of 0.22% on Regular Plan and 0.21% on Direct Plan of Total NetAssets. Portfolio Turnover 0.42 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation 19-May-05 S&P BSE Midcap ` , Dhiraj Sachdev Available `10,000 `1,000 p.m.() Nil 1.10% Auto 1.71% AutoAncillaries 7.25% Banks 5.84% Cement 1.01% Chemicals 3.10% Construction 4.66% Construction Project 1.80% Consumer Durables 2.90% Consumer Non Durables 4.63% Finance 13.06% Industrial Capital Goods 4.28% Industrial Products 3.92% Media & Entertainment 3.41% Pesticides 5.76% Petroleum Products 4.80% Pharmaceuticals 6.08% Power 1.45% Software 1.91% Textile Products 7.12% Textiles - Synthetic 1.70% Transportation 4.70% Other Equity Investments 8.31% Reverse Repos/CBLOs 1.27% Net CurrentAssets -0.67% Total Net Assets % HSBC Midcap Equity Fund (HMEF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in predominantly mid cap equity and equity related securities LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Auto Vst Tillers Tractors % Auto Ancillaries Apollo Tyres 1, % Ceat 1, % Sundram Fasteners % Suprajit Engineering % Banks DCB Bank 1, % Yes Bank 1, % Cement Everest Industries % Chemicals Vinati Organics 1, % Construction IRB Infrastructure Developers % National Buildings Construction Corp % Ahluwalia Contracts (India) % Construction Project Power Mech Projects % Consumer Durables Mirza International 1, % Consumer Non Durables CCL Products (India) 1, % Finance Indiabulls Housing Finance 1, % Motilal Oswal Financial Services 1, % Dewan Housing Finance Corporation 1, % Cholamandalam Investment & Fin Co. 1, % Industrial Capital Goods Sanghvi Movers 1, % BEML % Industrial Products Ramkrishna Forgings 1, % Finolex Industries % Media & Entertainment Jagran Prakashan % Hindustan Media Ventures % Pesticides UPL 1, % PI Industries % Petroleum Products Hindustan Petroleum Corporation 1, % Gulf Oil Lubricants India % Pharmaceuticals Aurobindo Pharma 1, % Torrent Pharmaceuticals % Wockhardt % Power Kalpataru Power Transmission % Software Sonata Software % Textile Products Welspun India 1, % Arvind % Indian Terrain Fashions % Textiles - Synthetic Sarla Performance Fibers % Transportation Adani Ports & Special Economic Zone % Gateway Distriparks % Gujarat Pipavav Port % Other Equity Investments 3, % Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC Midcap Equity Fund - Dividend 24-Mar Dec Nov Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 07

10 HSBC Progressive Themes Fund (HPTF) An Open Ended Flexi-Theme Equity Scheme Investment Objective: Seeks to generate long term capital growth from an actively managed portfolio of equity and equity related securities by investing primarily in sectors, areas and themes that play an important role in, and/or benefit from India's progress, reform process and economic development. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 23-Feb-06 S&P BSE 200 ` , Dhiraj Sachdev Available `10,000 `1,000 p.m.() Nil 1.34% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.64% Direct Plan 1.94% Excludes service tax on Investment Management fees of 0.23% of Total NetAssets. Portfolio Turnover 0.15 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation AutoAncillaries 4.13% Banks 4.50% Cement 7.36% Construction 16.14% Construction Project 1.15% Ferrous Metals 1.51% Finance 5.17% Gas 1.85% Industrial Capital Goods 7.33% Industrial Products 8.18% Minerals/Mining 1.50% Oil 1.38% Petroleum Products 8.55% Power 7.58% Transportation 19.45% Other Equity Investments 3.88% Reverse Repos/CBLOs 1.06% Net CurrentAssets -0.72% Total Net Assets % HSBC Progressive Themes Fund (HPTF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity related securities, primarily in themes that play an important role in India's economic development LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Auto Ancillaries Apollo Tyres % Banks Jammu & Kashmir Bank % Karnataka Bank % Cement Everest Industries % HIL % Construction National Buildings Construction Corp % IRB Infrastructure Developers % Ahluwalia Contracts (India) % KNR Constructions % Construction Project Larsen & Toubro % Ferrous Metals Jindal Saw % Finance Rural Electrification Corporation % Gas Gujarat State Petronet % Industrial Capital Goods BEML % Sanghvi Movers % Industrial Products FAG Bearings India 1, % Minerals/Mining Gujarat Mineral Development Corp % Oil Aban Offshore % Petroleum Products Hindustan Petroleum Corporation % Indian Oil Corporation % Power Power Grid Corporation of India % Reliance Infrastructure % PTC India % JSW Energy % Transportation Gateway Distriparks % Gujarat Pipavav Port % Adani Ports & Special Economic Zone % Other Equity Investments % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC Progressive Themes Dividend 11-May May Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 08

11 HSBC Tax Saver Equity Fund (HTSF) An Open Ended Equity Linked Savings Scheme (ELSS) Investment Objective: Aims to provide long term capital appreciation by investing in a diversified portfolio of equity & equity related instruments of companies across various sectors and industries, with no capitalisation bias. The Fund may also invest in fixed income securities. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 05-Jan-07 S&P BSE 200 ` , Aditya Khemani Available `500 (Lumpsum & ) Nil 0.92% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.59% Direct Plan 1.89% Excludes service tax on Investment Management fees of 0.23% of Total NetAssets. Portfolio Turnover 0.58 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Auto 5.38% AutoAncillaries 4.16% Banks 24.40% Cement 3.76% Construction Project 2.98% Consumer Non Durables 4.97% Finance 4.40% Industrial Capital Goods 2.21% Industrial Products 1.60% Minerals/Mining 1.37% Non - Ferrous Metals 1.84% Oil 1.51% Pesticides 1.15% Petroleum Products 1.28% Pharmaceuticals 7.13% Services 2.33% Software 13.73% Textile Products 9.05% Transportation 4.21% Other Equity Investments 0.92% Reverse Repos/CBLOs 2.54% Net CurrentAssets -0.92% Total Net Assets % HSBC Tax Saver Equity Fund (HTSF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity related securities with no market capitilastion bias LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Auto Maruti Suzuki India % Tata Motors % Auto Ancillaries MRF % Apollo Tyres % Banks HDFC Bank 1, % Axis Bank % ICICI Bank % Indusind Bank % Federal Bank % Jammu & Kashmir Bank % State Bank of India % Cement The Ramco Cements % Ultratech Cement % Construction Project Larsen & Toubro % Consumer Non Durables I T C % Kaveri Seed Company % Finance LIC Housing Finance % HDFC % Industrial Capital Goods Crompton Greaves % Industrial Products Finolex Industries % Minerals/Mining Coal India % Non - Ferrous Metals Hindustan Zinc % Oil Oil & Natural Gas Corporation % Pesticides UPL % Petroleum Products Reliance Industries % Pharmaceuticals Sun Pharmaceutical Industries % IPCA Laboratories % Dr. Reddy's Laboratories % Services Aditya Birla Nuvo % Software Tata Consultancy Services 1, % Infosys 1, % HCL Technologies % Textile Products Welspun India % Arvind % SRF % Indian Terrain Fashions % Transportation Gateway Distriparks % Adani Ports & Special Economic Zone % Other Equity Investments % Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC Tax Saver Equity Fund Dividend 19-Feb Oct Mar HSBC Tax Saver Equity Fund Dividend Direct 17-Oct Mar Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 09

12 HSBC Dynamic Fund (HDF) An Open Ended Scheme Investment Objective: To provide long term capital appreciation by allocating funds in equity and equity related instruments. It also has the flexibility to move, entirely if required, into debt instruments in times that the view on equity markets seems negative. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers 24-Sep-07 S&P BSE 200 ` , Neelotpal Sahai (for Equity portion) Sanjay Shah (for Fixed Income portion) FUND PORTFOLIO Issuer Auto Market Value ( ` in Lacs) % to Net Assets Tata Motors % Maruti Suzuki India % Hero Motocorp % Auto Ancillaries Motherson Sumi Systems % Banks Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Available `10,000 `1,000 p.m.() Nil 0.79% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.69% Direct Plan 1.99% Excludes service tax on Investment Management fees of 0.24% of Total NetAssets. Portfolio Turnover 0.77 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Auto 6.67% AutoAncillaries 1.04% Banks 18.55% Cement 1.39% Construction Project 4.46% Consumer Non Durables 10.15% Finance 5.27% Minerals/Mining 1.99% Pesticides 1.99% Petroleum Products 4.34% Pharmaceuticals 7.32% Power 2.37% Software 11.31% Telecom - Services 1.88% Transportation 2.08% Reverse Repos/CBLOs 19.86% Net CurrentAssets -0.67% Total Net Assets % HSBC Dynamic Fund (HDF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity related securities and in debt instruments when view on equity markets is negative LOW Riskometer Moderate Investors understand that their principal will be at risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HDFC Bank % ICICI Bank % Axis Bank % Yes Bank % Cement Ultratech Cement % Construction Project Larsen & Toubro % Consumer Non Durables I T C % Hindustan Unilever % Asian Paints % Colgate Palmolive (India) % Finance HDFC % Minerals/Mining Coal India % Pesticides UPL % Petroleum Products Reliance Industries % Pharmaceuticals Glenmark Pharmaceuticals % Sun Pharmaceutical Industries % Cipla % Power Power Grid Corporation Of India % Software Infosys % Tata Consultancy Services % HCL Technologies % Telecom - Services Bharti Airtel % Transportation Adani Ports & Special Economic Zone % Cash Equivalents CBLO 1, % Net Current Assets % Total Net Assets as on 30-Sep , % 10

13 HSBC Dividend Yield Equity Fund (HDYEF) An Open Ended Equity Scheme Investment Objective: To provide long-term capital growth from a diversified portfolio of equity and equity related instruments. The focus would be to invest in stocks of companies facing "out-of-ordinary" conditions. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 21-Mar-07 S&P BSE 200 ` , Gaurav Mehrotra & Amaresh Mishra Available `10,000 `1,000 p.m.() Nil 0.89% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.34% Direct Plan 1.64% Excludes service tax on Investment Management fees of 0.19% of Total NetAssets. Portfolio Turnover 0.26 Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Auto 6.37% AutoAncillaries 3.02% Banks 19.99% Cement 1.59% Chemicals 1.34% Construction 2.21% Construction Project 3.54% Consumer Non Durables 7.86% Finance 5.21% Minerals/Mining 5.05% Non - Ferrous Metals 2.29% Oil 2.49% Petroleum Products 3.79% Pharmaceuticals 4.41% Power 2.75% Software 19.99% Textile Products 1.76% Transportation 3.38% Other Equity Investments 0.78% Reverse Repos/CBLOs 2.63% Net CurrentAssets -0.45% Total Net Assets % HSBC Dividend Yield Equity Fund (HDYEF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity r e l a t e d s e c u r i t i e s o f companies facing "out-ofordinary" conditions LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Auto Market Value ( ` in Lacs) % to Net Assets Hero Motocorp % Maruti Suzuki India % Tata Motors % Auto Ancillaries MRF % Banks ICICI Bank % Axis Bank % HDFC Bank % Karur Vysya Bank % Jammu & Kashmir Bank % Cement ACC % Chemicals Tata Chemicals % Construction IRB Infrastructure Developers % Construction Project Larsen & Toubro % Consumer Non Durables I T C % Hindustan Unilever % Finance Indiabulls Housing Finance % IDFC % Minerals/Mining Coal India % Non - Ferrous Metals Hindustan Zinc % Oil Oil & Natural Gas Corporation % Petroleum Products Bharat Petroleum Corporation % Reliance Industries % Pharmaceuticals Lupin % Sun Pharmaceutical Industries % Power NTPC % Software Infosys % Tata Consultancy Services % Wipro % Eclerx Services % Textile Products Welspun India % Transportation Gateway Distriparks % Other Equity Investments % Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % 11

14 HSBC Emerging Markets Fund (HEMF) An Open Ended Scheme Investment Objective: To provide long term capital appreciation by investing in India and in the emerging markets, in equity and equity related instruments, share classes and units/securities issued by overseas mutual funds or unit trusts. The fund may also invest a limited proportion in domestic debt and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager 17-Mar-08 MSCI Emerging Markets Index ` Anitha Rangan (Dedicated fund manager for overseas investments) FUND PORTFOLIO Issuer Overseas Mutual Fund HSBC GIF Global Emerg Mkts Eq S1 Dis % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep % Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Available `10,000 `1,000 p.m.() Nil 0.74% Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC - Emerging Market Fund - Dividend 27-Jun HSBC - Emerging Market Fund - Dividend - Direct Plan 27-Jun Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.69% Direct Plan 1.99% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.12% of Total NetAssets. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Overseas Mutual Fund 98.23% Reverse Repos/CBLOs 2.44% Net CurrentAssets -0.67% Total Net Assets % HSBC Emerging Markets Fund (HEMF) This product is suitable for investors who are seeking*: To create wealth over long term Investment in equity and equity related securities of Emerging economies LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 12

15 HSBC Asia Pacific (Ex Japan)Dividend Yield Fund (HAPDF) An Open Ended Fund of Funds Scheme Investment Objective: The primary investment objective of the Scheme is to provide long term capital appreciation by investing predominantly in units of HSBC Global Investment Funds (HGIF) Asia Pacific Ex Japan Equity Dividend Fund (HEHDF). The Scheme may also invest a certain proportion of its corpus in money market instruments and / or units of liquid mutual fund schemes, in order to meet liquidity requirements from time to time. However, there is no assurance that the investment objective of the Scheme will be achieved. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 24-Feb-14 MSCI AC Asia Pacific ex Japan ` , Anitha Rangan (for overseas investments), Sanjay Shah (for investments in Indian Market) Available `10,000 `1,000 p.m.() Nil 0.63% FUND PORTFOLIO Issuer Overseas Mutual Fund HSBC GIF ASIA PACIFIC EX JAPAN EQ HD-S9D 2, % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.29% Direct Plan 1.59% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.09% of Total NetAssets. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Overseas Mutual Fund 98.01% Reverse Repos/CBLOs 2.57% Net CurrentAssets -0.58% Total Net Assets % HSBC Asia Pacific (Ex Japan)Dividend Yield Fund (HAPDF) This product is suitable for investors who are seeking*: To create wealth over long term Investment in equity and equity related securities of Asia Pacific countries (excluding Japan) through fund of funds route LOW Riskometer Moderate Investors understand that their principal will be at risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 13

16 HSBC Brazil Fund (HBF) An Open-Ended Fund of Funds Scheme Investment Objective: The primary investment objective of the Scheme is to provide long term capital appreciation by investing predominantly in units/shares of HSBC Global Investment Funds (HGIF) Brazil Equity Fund. The Scheme may, at the discretion of the Investment Manager, also invest in the units of other similar overseas mutual fund schemes, which may constitute a significant part of its corpus. The Scheme may also invest a certain proportion of its corpus in money market instruments and/or units of liquid mutual fund schemes, in order to meet liquidity requirements from time to time. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 06-May-11 MSCI Brazil 10/40 Index ` , Anitha Rangan (Dedicated fund manager for overseas investments) Available `10,000 `1,000 p.m.() Nil 1.57% FUND PORTFOLIO Issuer Overseas Mutual Fund HSBC GIF BRAZIL EQUITY S3D 2, % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.69% Direct Plan 1.99% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.12% of Total NetAssets. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Overseas Mutual Fund 99.47% Reverse Repos/CBLOs 1.86% Net CurrentAssets -1.33% Total Net Assets % HSBC Brazil Fund (HBF) This product is suitable for investors who are seeking*: To create wealth over long term Invests in equity and equity related securities through feeder route in Brazilian markets LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 14

17 HSBC Managed Solutions India - Growth (HMSG) An Open Ended Fund of Funds Scheme Investment Objective: The objective of the Plan is to provide long term total return primarily by seeking capital appreciation through an active asset allocation with diversification commensurate with the risk profile of investments by investing predominantly in units of equity mutual funds as well as in a basket of debt mutual funds gold exchange traded funds (ETFs) and other ETFs, offshore mutual funds and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers 30-Apr-14 Composite Index constituting 80% of S&P BSE 200 Index and 20% of CRISIL Composite Bond Index ` , Anitha Rangan (Dedicated Fund Manager for investments in foreign securities) Gaurav Mehrotra (For managing investments in Indian Market Equity Portion) Sanjay Shah (For managing investments in Indian Market Fixed Income Portion) FUND PORTFOLIO Issuer Mutual Fund HSBC Equity Fund - Growth Direct 7, % HSBC Midcap Equity Fund - Growth Direct 2, % HSBC Income Fund Short Term - Growth Direct 1, % HSBC Income Fund Inv Plan Growth Direct 1, % HSBC Flexi Debt Fund Growth Direct % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Available `5,000 `1,000 p.m.() Nil 0.77% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.27% Direct Plan 2.00% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.00% of Total Net Assets and of 0.19% on the underlying scheme's in which the fund of fund invests. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Mutual Fund 97.23% Reverse Repos/CBLOs 2.29% Net CurrentAssets 0.48% Total Net Assets % HSBC Managed Solutions India - Growth This product is suitable for investors who are seeking*: To create wealth over long term Investing predominantly in units of equity mutual funds as well as in a basket of debt mutual funds, gold & exchange traded funds, offshore mutual funds and money market instruments. LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 15

18 HSBC Managed Solutions India - Moderate (HMSM) An Open Ended Fund of Funds Scheme Investment Objective: The objective of the fund is to provide long term total return aimed at capital appreciation and providing income through an active asset allocation with diversification commensurate with the risk profile of investments by investing in a basket of debt mutual funds, equity mutual funds, gold ETFs and other ETFs, offshore mutual funds and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 30-Apr-14 CRISIL Balanced Fund Index ` , Anitha Rangan (Dedicated Fund Manager for investments in foreign securities) Gaurav Mehrotra (For managing investments in Indian Market Equity Portion) Sanjay Shah (For managing investments in Indian Market Fixed Income Portion) Available `5,000 `1,000 p.m.() Nil 0.54% FUND PORTFOLIO Issuer Mutual Fund HSBC Equity Fund - Growth Direct 8, % HSBC Income Fund Short Term - Growth Direct 6, % HSBC Flexi Debt Fund Growth Direct 4, % HSBC Midcap Equity Fund - Growth Direct 2, % HSBC Income Fund Inv Plan Growth Direct 1, % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.08% Direct Plan 1.83% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.00% of Total Net Assets and of 0.15% on the underlying scheme's in which the fund of fund invests. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Mutual Fund 99.16% Reverse Repos/CBLOs 2.30% Net CurrentAssets -1.46% Total Net Assets % HSBC Managed Solutions India - Moderate This product is suitable for investors who are seeking*: To create wealth and provide income over the long term Investments in a basket of debt mutual funds, equity mutual funds, gold & exchange traded funds, offshore mutual funds and money market instruments. LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 16

19 HSBC Managed Solutions India - Conservative (HMSC) An Open Ended Fund of Funds Scheme Investment Objective: The objective of the Plan is to provide long term total return aimed at providing income through an active asset allocation with diversification commensurate with the risk profile of investments by predominantly investing in units of debt mutual funds as well as in a basket of equity mutual funds, gold ETFs and other ETFs and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** 30-Apr-14 Composite Index constituting of 90% into CRISIL Composite Bond Index and 10% of S&P BSE 200 Index ` , Anitha Rangan (Dedicated Fund Manager for investments in foreign securities) Gaurav Mehrotra (For managing investments in Indian Market Equity Portion) Sanjay Shah (For managing investments in Indian Market Fixed Income Portion) Available `5,000 `1,000 p.m.() Nil 0.21% FUND PORTFOLIO Issuer Mutual Fund HSBC Income Fund Short Term - Growth Direct 13, % HSBC Flexi Debt Fund Growth Direct 10, % HSBC Equity Fund - Growth Direct 3, % HSBC Income Fund Inv Plan Growth Direct 1, % HSBC Midcap Equity Fund - Growth Direct 1, % HDFC Income Fund Direct Plan - Growth % Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.64% Direct Plan 1.39% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.00% of Total Net Assets and of 0.09% on the underlying scheme's in which the fund of fund invests. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Mutual Fund 98.08% Reverse Repos/CBLOs 1.61% Net CurrentAssets -0.69% Total Net Assets % HSBC Managed Solutions India - Conservative This product is suitable for investors who are seeking*: To create wealth over long term Investing predominantly in units of debt mutual funds as well as in a basket of equity mutual funds, gold & other exchange traded funds and money market instruments. LOW Riskometer Moderate Investors understand that their principal will be at Moderate risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 17

20 HSBC Global Consumer Opportunities Fund - Benefiting from China s Growing Consumption Power (HGCOF) An Open-Ended Fund of Funds Scheme Investment Objective: The primary investment objective of the scheme is to provide long term capital appreciation by investing predominantly in units of HSBC Global Investment Funds (HGIF) China Consumer Opportunities Fund (Underlying scheme). The Scheme may, also invest a certain proportion of its corpus in money market instruments and / or units of liquid mutual fund schemes, in order to meet liquidity requirements from time to time. FUND DETAILS FUND PORTFOLIO Date of Allotment 23-Feb-15 MSCI AC World Index Issuer Overseas Mutual Fund Market Value ( ` in Lacs) % to Net Assets NAV (Growth) per unit (as on ) Monthly Average AUM (In Lakhs) Fund Managers ` , Anitha Rangan (Dedicated Fund Manager) & Sanjay Shah (for investments in Indian Market) HSBC GIF-China Consumer Opp S5 Cap 1, % Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Minimum Application Statistical Ratios Standard Deviation R-Squared Beta (Slope) Sharpe Ratio** Available `5,000 `1,000 p.m.() Nil 0.74% Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.34% Direct Plan 1.64% (inclusive of underlying scheme's expenses) Excludes service tax on Investment Management fees of 0.10% of Total Net Assets and of 0.00% on the underlying scheme's in which the fund of fund invests. Statistical ratios disclosed as per daily returns of the last 3 years/since inception, whichever is Effective from March 1, 2013 for prospective investments. **Risk free rate:7.04 (FIMMDA-NSE Mibor) as on September 30, 2015) Asset Allocation Overseas Mutual Fund 99.49% Reverse Repos/CBLOs 3.64% Net CurrentAssets -3.13% Total Net Assets % HSBC Global Consumer Opportunities Fund - Benefiting from China s Growing Consumption Power (HGCOF) This product is suitable for investors who are seeking*: To create wealth over long term Investment in equity and equity related securities around the world focusing on growing consumer behaviour of China through feeder route LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH 18

21 Fund Managers - Equity Name of Scheme HSBC Equity Fund HSBC India Opportunities Fund HSBC Midcap Equity Fund HSBC Progressive Themes Fund HSBC Tax Saver Equity Fund HSBC Dividend Yield Equity Fund HSBC Dynamic Fund HSBC Emerging Markets Fund HSBC Brazil Fund HSBC Asia Pacific (Ex Japan) Dividend Yield Fund HSBC Managed Solutions HSBC Global Consumer Opportunities Fund - Benefiting from China s Growing Consumption Power Fund Manager Neelotpal Sahai (from 27 May 2013) Neelotpal Sahai (from 27 May 2013) Dhiraj Sachdev (from 01 December 2009) Dhiraj Sachdev (from 01 December 2009) Aditya Khemani (from 24 February 2009) Gaurav Mehrotra and Amaresh Mishra (from 02 July 2012) For Equity portion: Neelotpal Sahai (from 27 May 2013) & For Debt portion: Sanjay Shah (from 14 August 2009) Anitha Rangan (from 18 October 2014) Anitha Rangan (from 18 October 2014) For overseas investments: Anitha Rangan (from 18 October 2014) & For investment in Indian markets: Sanjay Shah (from 24 February 2014) For overseas investment : Anitha Rangan (from 18 October 2014), For Investments in Indian Market - Equity Portion : Gaurav Mehrotra (April 2014) & For Investments in Indian Market - Debt Portion : Sanjay Shah (April 2014) For Overseas Market : Anitha Rangan (from 13 February 2015) For Investments in Indian Market - Debt Portion : Sanjay Shah (from 13 February 2015) Fund Manager s Experience Dhiraj Sachdev Senior Vice President and Fund Manager - Equities B.Com., ACA, Grad CWA, Diploma in Foreign Trade Management (DFTM) Experience: Over 18 years experience in Equity Research and Fund Management. HSBC Asset Management (India) Private Ltd Senior Vice President & Fund Manager, from October 2011 to present, Senior Fund Manager from 1 December 2009 to September 2011, Head of Equity-Portfolio Management Services from October 2005 to November 2009 ASK Raymond James Securities India Private Ltd Portfolio Manager from October 2003 to September 2005 HDFC Bank Ltd Senior Manager Equities from November 1999 to September 2003 DSQ Software Ltd Business Analyst from June 1999 to November 1999 Probity Research & Services Ltd (India Infoline Ltd) Research Analyst from November 1998 to May 1999 Ford Brothers Capital Services (P) Ltd Manager Research from July 1996 to Sept 1998 Gaurav Mehrotra Vice President & Assistant Fund Manager Post Graduate Diploma in Business Management, Bachelor of Engineering Experience: Over 9 years experience in research. HSBC Asset Management (India) Private Ltd Vice President & Assistant Fund Manager, from April 2012 to present, Associate Vice President, Investment Management from September 2007 to March 2012 JPMorgan Services India Private Ltd Equity Research from August 2005 to September 2007 Tata Consultancy Services Ltd Business Analyst from June 2004 to July

22 Fund Managers - Equity Neelotpal Sahai Senior Fund Manager - Equities B.Tech, PGDM (IIM Kolkata) Experience: Over 21 years of experience in Research and Fund Management. HSBC Asset Management (India) Private Ltd Senior Fund Manager Equities from April 2013 onwards. IDFC Asset Management Company Ltd. Director from February 2006 to April 2013 Motilal Oswal Securities Ltd Senior Research Analyst from March 2005 to January 2006 Infosys Ltd Senior Project Manager from June 1999 to March 2005 Vickers Ballas Securities Ltd Analyst from September 1998 to June 1999 SBC Warburg Analyst from May 1997 to May 1998 UTI Securities Ltd Equity Analyst from June 1995 to May 1997 Aditya Khemani Vice President & Fund Manager - Equities B.Com. (Hons.), Post Graduate Diploma in Business Management Experience: Over 9 years experience in research. HSBC Asset Management (India) Private Ltd Vice President & Fund Manager (Equity), from April 2012 to present, Assistant Fund Manager, Equities from February 2009 to March 2012; Associate Vice President - Investment Management from October 2007 to February SBI Funds Management India Private Ltd Senior Manager - Equity Research from March 2007 to September 2007 Prudential ICICI Asset Management Company India Private Ltd Assistant Manager - Equity Research from December 2005 to February 2007 Morgan Stanley Advantage Services India Private Ltd Research Associate from May 2005 to November 2005 Amaresh Mishra Vice President & Assistant Fund Manager Post Graduate Diploma in Business Manager Management Bachelor of Engineering (Chemical) Experience: Over 9 years of experience in Equities & Sales HSBC Asset Management (India) Private Ltd Vice President & Assistant Fund Manager, from April 2012 to present, Associate Vice President, Investment Management from April 2008 to March 2012, Associate Vice President, Equities from October 2007 to March 2008; Associate Vice President, Sales and Distribution from March 2005 to September 2007 Centre for Science and Environment Trainee Researcher from July 2001 to July 2002 Anitha Rangan Associate Vice President - Investment Management PGDBM (SPJIMR, Mumbai); CA; M.Com Experience: Over 8 years of experience in areas of research and risk HSBC Asset Management (India) Private Ltd Associate Vice President - Investment Management, from February 2013 onwards CRISIL Limited Senior Manager - Customised Industry Research, from December 2010 to May 2012 Nomura Structured Financial Services Vice President - Credit Research, from December 2008 to November 2010 Lehman Brothers Structured Financial Services Analyst Credit Research, from June 2006 to November 2008 Ambattur Clothing Limited Executive - October 2002 to March

23 Comparative Performance of Equity Schemes Funds Managed by Neelotpal Sahai. HSBC Equity Fund Date of : 10 Dec 02 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Equity Fund - Growth S&P BSE 200 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HEF, would have become `10,000, if invested in S&P BSE 200, would have become `10,000, if invested in CNX Nifty, would have become 3.91% 39.29% -3.13% 23.16% 3.35% 41.56% -1.54% 18.40% 0.04% 37.80% 0.29% 17.00% `10,391 `13,929 `9,687 `1,45,124 `10,335 `14,156 `9,846 `87,474 `10,004 `13,780 `10,029 `75,051 Past performance may or may not be sustained in the future. Refer note below. HSBC India Opportunities Fund Date of : 24 Feb 04 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC India Opportunities Fund - Growth S&P BSE 500 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HIOF, would have become `10,000, if invested in S&P BSE 500, would have become `10,000, if invested in CNX Nifty, would have become 6.18% 66.02% -5.84% 16.98% 3.47% 44.01% -3.06% 14.17% 0.04% 37.80% 0.29% 13.54% `10,618 `16,602 `9,416 `61,727 `10,347 `14,401 `9,694 `46,580 `10,004 `13,780 `10,029 `43,658 Past performance may or may not be sustained in the future. Refer note below. Fund Managed by Neelotpal Sahai (for Equity portion) Sanjay Shah (for Fixed Income portion) HSBC Dynamic Fund Date of : 24 Sep 07 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Dynamic Fund - Growth S&P BSE 200 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HDF, would have become `10,000, if invested in S&P BSE 200, would have become 2.97% 32.09% -5.21% 3.64% 3.35% 41.56% -1.54% 6.19% 0.04% 37.80% 0.29% 6.13% `10,297 `13,209 `9,479 `13,321 `10,335 `14,156 `9,846 `16,190 `10,000, if invested in CNX Nifty, would have become `10,004 `13,780 `10,029 `16,119 Past performance may or may not be sustained in the future. Refer note below. Funds Managed by - Anitha Rangan. HSBC Emerging Markets Fund Date of : 17 Mar 08 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Emerging Markets Fund - Growth MSCI Emerging Market Index (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HMEF, would have become `10,000, if invested in MSCI Emerging Market Index, would have become `10,000, if invested in CNX Nifty, would have become % -1.38% 18.01% -0.58% -8.70% 5.68% 4.57% 0.17% 0.04% 37.80% 0.29% 7.83% `8,345 `9,862 `11,801 `9,572 `9,130 `10,568 `10,457 `10,125 `10,004 `13,780 `10,029 `17,656 Past performance may or may not be sustained in the future. Refer note below. Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 21

24 Comparative Performance of Equity Schemes HSBC Brazil Fund Date Of : 06 May 11 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Brazil Fund - Growth MSCI Brazil 10/40 Index (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HBF, would have become `10,000, if invested in MSCI Brazil 10/40 Index, would have become % % 5.10% % % -8.87% -9.86% % 0.04% 37.80% 0.29% 8.49% `5,230 `8,669 `10,510 `2,71,433 `5,248 `9,113 `9,014 `8,23,948 `10,000, if invested in CNX Nifty, would have become `10,004 `13,780 `10,029 `2,435 Past performance may or may not be sustained in the future. Refer note below HSBC Asia Pacific (Ex Japan) Dividend Yield Fund Scheme Name & s Date of : 24 Feb 14 Oct 14 - Sept 15 HSBC Asia Pacific (Ex Japan) Dividend Yield Fund - Growth MSCI AC Asia Pacific ex Japan (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HAPDF, would have become `10,000, if invested in MSCI AC Asia Pacific ex Japan, would have become `10,000, if invested in CNX Nifty, would have become % -4.69% % -9.18% 0.04% 17.00% `8,875 `9,260 `8,315 `8,573 `10,004 `12,855 Past performance may or may not be sustained in the future. Refer note below. Fund Managed by Gaurav Mehrotra and Amaresh Mishra. HSBC Dividend Yield Equity Fund Date of : 21 Mar 07 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Dividend Yield Equity Fund - Growth S&P BSE 200 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HUOF, would have become `10,000, if invested in S&P BSE 200, would have become `10,000, if invested in CNX Nifty, would have become 2.39% 50.15% -8.23% 5.51% 3.35% 41.56% -1.54% 9.55% 0.04% 37.80% 0.29% 9.15% `10,239 `15,015 `9,177 `15,807 `10,335 `14,156 `9,846 `21,780 `10,004 `13,780 `10,029 `21,120 Past performance may or may not be sustained in the future. Refer note below. Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 22

25 Comparative Performance of Equity Schemes Fund Managed by - Aditya Khemani. HSBC Tax Saver Equity Fund Date of : 05 Jan 07 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Tax Saver Equity Fund - Growth S&P BSE 200 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HTSF, would have become `10,000, if invested in S&P BSE 200, would have become `10,000, if invested in CNX Nifty, would have become 8.19% 61.89% -3.84% 11.82% 3.35% 41.56% -1.54% 8.35% 0.04% 37.80% 0.29% 8.23% `10,819 `16,189 `9,616 `26,552 `10,335 `14,156 `9,846 `20,156 `10,004 `13,780 `10,029 `19,959 Past performance may or may not be sustained in the future. Refer note below. Funds Managed by - Dhiraj Sachdev. HSBC Progressive Themes Fund Date of : 23 Feb 06 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Progressive Themes Fund - Growth S&P BSE 200 (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HPTF, would have become `10,000, if invested in S&P BSE 200, would have become `10,000, if invested in CNX Nifty, would have become 11.71% 97.34% % 6.14% 3.35% 41.56% -1.54% 10.55% 0.04% 37.80% 0.29% 10.44% `11,171 `19,734 `6,975 `17,726 `10,335 `14,156 `9,846 `26,206 `10,004 `13,780 `10,029 `25,966 Past performance may or may not be sustained in the future. Refer note below. HSBC Midcap Equity Fund* Date of : 19 May 05 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Midcap Equity Fund - Growth S&P BSE Midcap (Scheme ) CNX Nifty (Standard ) `10,000, if invested in HMEF, would have become `10,000, if invested in S&P BSE Midcap, would have become `10,000, if invested in CNX Nifty, would have become 17.64% % % 10.55% 13.54% 69.05% % 9.57% 0.04% 37.80% 0.29% 11.98% `11,764 `22,415 `7,477 `28,337 `11,354 `16,905 `8,410 `25,843 `10,004 `13,780 `10,029 `32,364 Past performance may or may not be sustained in the future. Refer note below. * On account of change in the index composition of the benchmark of HMEF (S&P BSE Midcap), vide BSE Notification dtd 10 April, 2015, the returns for this benchmark are different when compared to the historically published returns. Further, as the index data for S&P BSE Midcap is available only from Sept 16, 2005, the ' inception' returns for both this index and the scheme have been calculated from this date onwards. Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 23

26 Comparative Performance of Equity Schemes Fund Managed by Gaurav Mehrotra (for Equity portion) Sanjay Shah (for Fixed Income portion), Anitha Rangan (For overseas investment) HSBC Managed Solutions - Growth Date of : 30 Apr 14 Scheme Name & s Oct 14 - Sept 15 HSBC Managed Solutions - Growth - Growth Customised Index Fund (Scheme )* CNX Nifty (Standard ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HMSG, would have become `10,000, if invested in Customised Index, would have become `10,000, if invested in CNX Nifty, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 8.98% 18.52% 5.17% 15.99% 0.04% 12.84% 13.49% 12.78% `10,898 `12,733 `10,517 `12,348 `10,004 `11,874 `11,349 `11,866 Past performance may or may not be sustained in the future. Refer note below. *Composite index of S&P BSE 200 (80%) and Crisil Composite Bond Fund Index (20%). HSBC Managed Solutions - Moderate - Growth Date of : 30 Apr 14 Scheme Name & s Oct 14 - Sept 15 HSBC Managed Solutions - Moderate - Growth Crisil Balanced Fund Index (Scheme ) CNX Nifty (Standard ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HMSM, would have become `10,000, if invested in Crisil Balanced Fund Index, would have become `10,000, if invested in CNX Nifty, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 10.05% 16.47% 4.51% 13.05% 0.04% 12.84% 13.49% 12.78% `11,005 `12,421 `10,451 `11,905 `10,004 `11,874 `11,349 `11,866 Past performance may or may not be sustained in the future. Refer note below. HSBC Managed Solutions - Conservative - Growth Date of : 30 Apr 14 Scheme Name & s Oct 14 - Sept 15 HSBC Managed Solutions - Conservative - Growth Customised Index Fund (Scheme )* CNX Nifty (Standard ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HMSC, would have become `10,000, if invested in Customised Index, would have become `10,000, if invested in CNX Nifty, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 10.66% 12.32% 11.54% 13.04% 0.04% 12.84% 13.49% 12.78% `11,066 `11,797 `11,154 `11,904 `10,004 `11,874 `11,349 `11,866 Past performance may or may not be sustained in the future. Refer note below. *Composite index of Crisil Composite Bond Fund Index (90%) and S&P BSE 200 (10%). Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 24

27 Performance of Equity Schemes Returns shown for Regular Plan - Growth Option The Fund offers flexible and convenient Systematic Investment Plan () facility. To illustrate the advantages of investments, this is how your investments would have grown if you had invested say `10,000 systematically on the first Business Day of every month over a period of time in the Growth Option of Respective Scheme. The returns are calculated by XIRR approach assuming investment of `10000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows with correct allowance for the time impact of the transactions. Data as on September 30, HSBC Equity Fund Date of : 10 Dec 02 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC India Opportunities Fund Date of : 24 Feb 04 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC Dynamic Fund Date of : 24 Sep 07 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below 25

28 Performance of Equity Schemes Returns shown for Regular Plan - Growth Option The Fund offers flexible and convenient Systematic Investment Plan () facility. To illustrate the advantages of investments, this is how your investments would have grown if you had invested say `10,000 systematically on the first Business Day of every month over a period of time in the Growth Option of Respective Scheme. The returns are calculated by XIRR approach assuming investment of `10000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows with correct allowance for the time impact of the transactions. Data as on September 30, HSBC Emerging Markets Fund Date of : 17 Mar 08 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) MSCI Emerging Market Index - Scheme ( `) MSCI Emerging Market Index - Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC Brazil Fund Date Of : 06 May 11 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) MSCI Brazil 10/40 Index - Scheme ( `) MSCI Brazil 10/40 Index - Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) NA NA NA NA NA NA NA Past performance may or may not be sustained in the future. Refer note below HSBC Asia Pacific (Ex Japan) Dividend Yield Fund Date of : 24 Feb 14 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) MSCI AC Asia Pacific ex Japan - Scheme ( `) MSCI AC Asia Pacific ex Japan - Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) NA NA NA NA NA NA NA NA NA NA NA NA NA NA 0.97 Past performance may or may not be sustained in the future. Refer note below 26

29 Performance of Equity Schemes Returns shown for Regular Plan - Growth Option The Fund offers flexible and convenient Systematic Investment Plan () facility. To illustrate the advantages of investments, this is how your investments would have grown if you had invested say `10,000 systematically on the first Business Day of every month over a period of time in the Growth Option of Respective Scheme. The returns are calculated by XIRR approach assuming investment of `10000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows with correct allowance for the time impact of the transactions. Data as on September 30, HSBC Dividend Yield Equity Fund Date of : 21 Mar 07 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC Tax Saver Equity Fund Date of : 05 Jan 07 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC Progressive Themes Fund Date of : 23 Feb 06 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Scheme ( `) S&P BSE Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below 27

30 Performance of Equity Schemes Returns shown for Regular Plan - Growth Option The Fund offers flexible and convenient Systematic Investment Plan () facility. To illustrate the advantages of investments, this is how your investments would have grown if you had invested say `10,000 systematically on the first Business Day of every month over a period of time in the Growth Option of Respective Scheme. The returns are calculated by XIRR approach assuming investment of `10000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows with correct allowance for the time impact of the transactions. Data as on September 30, HSBC Midcap Equity Fund Date of : 19 May 05 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) S&P BSE Midcap - Scheme ( `) S&P BSE Midcap - Scheme Returns (%) CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) Past performance may or may not be sustained in the future. Refer note below HSBC Managed Solutions - Growth Date of : 30 Apr 14 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) NA NA NA NA NA NA 5.67 Customised Index* - Scheme ( `) Customised Index - Scheme Returns (%) NA NA NA NA CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) NA NA NA NA Past performance may or may not be sustained in the future. Refer note below *Composite index of S&P BSE200 (80%) and Crisil Composite Bond Fund Index (20%). HSBC Managed Solutions - Moderate - Growth Date of : 30 Apr 14 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) NA NA NA NA NA NA 7.33 Crisil Balanced Fund Index - Scheme ( `) Crisil Balanced Fund Index - Scheme Returns (%) NA NA NA NA CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) NA NA NA NA Past performance may or may not be sustained in the future. Refer note below 28

31 Performance of Equity Schemes Returns shown for Regular Plan - Growth Option The Fund offers flexible and convenient Systematic Investment Plan () facility. To illustrate the advantages of investments, this is how your investments would have grown if you had invested say `10,000 systematically on the first Business Day of every month over a period of time in the Growth Option of Respective Scheme. The returns are calculated by XIRR approach assuming investment of `10000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows with correct allowance for the time impact of the transactions. Data as on September 30, HSBC Managed Solutions - Conservative - Growth Date of : 30 Apr 14 Scheme Name & s 1 Year 3 5 Total amount invested ( `) Market Value as on Sept. 30, 2015 ( `) Scheme Returns (%) NA NA NA NA NA NA 9.16 Customised Index* - Scheme ( `) Customised Index - Scheme Returns (%) NA NA 8.86 NA NA CNX NIFTY - Standard ( `) CNX NIFTY - Standard Returns (%) NA NA NA NA Past performance may or may not be sustained in the future. Refer note below *Composite index of Crisil Composite Bond Fund Index (90%) and S&P BSE200 (10%). 29

32 HSBC MIP - Savings Plan (HMIP-S) An Open Ended Fund with Regular & Savings Plans. Monthly income is not assured and is subject to availability of distributable surplus. Investment Objective: Seeks to generate reasonable returns through investments in Debt and Money Market Instruments. The secondary objective of the scheme is to invest in equity and equity related instruments to seek capital appreciation. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Amount Growth Quarterly Dividend Monthly Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.30% Direct Plan 1.80% Excludes service tax on Investment Management fees of 0.22% of Total Effective from March 1, 2013 for prospective investments. Asset Allocation Government Securities 48.82% Equity 22.40% Corporate/ PSU Debt 19.82% Cash Equivalents 4.61% Money Market Instruments 4.25% Net CurrentAssets 0.10% Total Net Assets % Rating Profile 24-Feb-04 CRISIL MIP Blended Index ` years 6.17 years 21, Aditya Khemani (for Equity portion) Sanjay Shah (for Debt portion) Available `10,000 `10,000 `25,000 `1,000 p.m. Nil Sovereign 48.82% AAAand equivalents 24.07% Equity 22.40% Reverse Repos/ CBLOs 4.61% Net CurrentAssets 0.10% Total Net Assets % HSBC MIP - Savings Plan (HMIP-S) This product is suitable for investors who are seeking*: Regular Income over medium term Investment in fixed income (debt and money market instruments) as well as equity and equity related securities LOW Riskometer Moderate Investors understand that their principal will be at risk * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. HIGH FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Money Market Instruments Certificate of Deposit Canara Bank % CRISIL A1+ Corporate/ PSU Debt Corporate Bonds / Debentures Rural Electrification Corporation 1, % CARE AAA Power Finance Corporation 1, % CRISIL AAA India Infradebt % CRISIL AAA Power Grid Corporation of India % CRISIL AAA Power Finance Corporation % CRISIL AAA LIC Housing Finance % CRISIL AAA Power Finance Corporation % CRISIL AAA EQUITY Equities Tata Consultancy Services % Maruti Suzuki India % HDFC Bank % Infosys % Axis Bank % ICICI Bank % IndusInd Bank % Larsen & Toubro % LIC Housing Finance % ITC % Gateway Distriparks % Welspun India % Crompton Greaves % The Ramco Cements % Ultratech Cement % IPCA Laboratories % Sun Pharmaceuticals Ind % Power Mech Projects % The Federal Bank % Aditya Birla Nuvo % Apollo Tyres % SRF % Tech Mahindra % HDFC % Coal India % Adani Ports & Special Economic Zone % Arvind % Kaveri Seed Company % State Bank of India % MRF % Karur Vysya Bank % Tata Motors % Finolex Industries % Hindustan Zinc % Oil & Natural Gas Corp % Dr. Reddy's Laboratories % The Jammu & Kashmir Bank % Hindustan Dorr-Oliver % Arvind Infrastructure Ltd % Government Securities 7.72% GOVT OF INDIA RED , % SOVEREIGN 7.95% GOVT OF INDIA RED , % SOVEREIGN 7.88% GOVT OF INDIA RED , % SOVEREIGN 8.24% GOVT OF INDIA RED , % SOVEREIGN 8.60% GOVT OF INDIA RED , % SOVEREIGN 8.17% GOVT OF INDIA RED % SOVEREIGN 7.68% GOVT OF INDIA RED % SOVEREIGN 8.40% GOVT OF INDIA RED % SOVEREIGN 8.29% TAMIL NADU SDL RED % SOVEREIGN Cash Equivalents CBLO 1, % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC MIP - Savings Plan - Monthly Dividend 27-Jul Aug Sep HSBC MIP - Savings Plan - Monthly Dividend - Direct Plan 27-Jul Aug Sep HSBC MIP - Savings Plan - Quarterly Dividend 25-Mar Jun Sep HSBC MIP - Savings Plan - Quarterly Dividend - Direct Plan 25-Mar Jun Sep Rating Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 30

33 HSBC MIP - Regular Plan (HMIP-R) An Open Ended Fund with Regular & Savings Plans. Monthly income is not assured and is subject to availability of distributable surplus. Investment Objective: Seeks to generate reasonable returns through investments in Debt and Money Market Instruments. The secondary objective of the scheme is to invest in equity and equity related instruments to seek capital appreciation. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Amount Growth Quarterly Dividend Monthly Weighted Average Monthly Total Expenses ratios (Annualized) Regular 2.29% Direct Plan 1.79% Excludes service tax on Investment Management fees of 0.22% of Total Effective from March 1, 2013 for prospective investments. Asset Allocation 24-Feb-04 CRISIL MIP Blended Index ` years 6.29 years 9, Aditya Khemani (for Equity portion) Sanjay Shah (for Debt portion) Available `10,000 `10,000 `25,000 `1,000 p.m. Nil Government Securities 49.36% Corporate/ PSU Debt 28.77% Equity 13.84% Money Market Instruments 5.19% Cash Equivalents 1.48% Net CurrentAssets 1.36% Total Net Assets % Rating Profile Sovereign 49.36% AAAand equivalents 33.96% Equity 13.84% Reverse Repos/ CBLOs 1.48% Net CurrentAssets 1.36% Total Net Assets % HSBC MIP - Regular Plan (HMIP-R) This product is suitable for investors who are seeking*: Regular Income over medium term Investment in fixed income (debt and money market instruments) as well as equity and equity related securities LOW Riskometer Moderate Investors understand that their principal will be at Moderate risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. FUND PORTFOLIO Issuer Market Value ( ` in Lacs) % to Net Assets Money Market Instruments Certificate of Deposit Canara Bank % CRISIL A1+ Corporate/ PSU Debt Corporate Bonds / Debentures Power Finance Corporation % CRISIL AAA LIC Housing Finance % CRISIL AAA Power Finance Corporation % CRISIL AAA Rural Electrification Corporation % CARE AAA Power Grid Corporation of India % CRISIL AAA India Infradebt % CRISIL AAA EQUITY Equities Tata Consultancy Services % Maruti Suzuki India % HDFC Bank % Axis Bank % ICICI Bank % LIC Housing Finance % Larsen & Toubro % ITC % Dr. Reddy's Laboratories % IPCA Laboratories % Welspun India % Arvind % Sun Pharmaceuticals Ind % Ultratech Cement % The Federal Bank % Aditya Birla Nuvo % Gateway Distriparks % Power Mech Projects % Tech Mahindra % Crompton Greaves % Apollo Tyres % MRF % Adani Ports & Special Economic Zone % SRF % Kaveri Seed Company % State Bank of India % The Jammu & Kashmir Bank % Tata Motors % Finolex Industries % Oil & Natural Gas Corp % Hindustan Zinc % Hindustan Dorr-Oliver % Arvind Infrastructure Ltd % Government Securities 7.88% GOVT OF INDIA RED , % SOVEREIGN 7.95% GOVT OF INDIA RED % SOVEREIGN 8.24% GOVT OF INDIA RED % SOVEREIGN 8.17% GOVT OF INDIA RED % SOVEREIGN 7.72% GOVT OF INDIA RED % SOVEREIGN 8.60% GOVT OF INDIA RED % SOVEREIGN 8.40% GOVT OF INDIA RED % SOVEREIGN 7.68% GOVT OF INDIA RED % SOVEREIGN 8.29% TAMIL NADU SDL RED % SOVEREIGN Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC MIP - Regular Plan - Monthly Dividend 27-Jul Aug Sep HSBC MIP - Regular Plan - Monthly Dividend - Direct Plan 31-Jan Feb HSBC MIP - Regular Plan - Quarterly Dividend 25-Mar Jun Sep Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. Rating 31

34 HSBC Income Fund - Investment Plan (HIF-IP) An Open Ended Income Scheme Investment Objective: Aims to provide reasonable income through a diversified portfolio of fixed income securities. The AMC's view of interest rate trends and the nature of the Plans will be reflected in the type and maturities of securities in which the Short Term and Investment Plans are invested. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Manager Minimum Application 10-Dec-02 CRISIL Composite Bond Fund Index ` years 7.42 years 7.75% 10, Sanjay Shah Available `10,000 `1,000 p.m.() Nil FUND PORTFOLIO Issuer Securitised Debt Investments - Asset Back Security India MBS 2002 Series I % CRISIL AAA (SO) Corporate/ PSU Debt Corporate Bonds / Debentures Export Import Bank of India % CRISIL AAA Rural Electrification Corporation % CARE AAA Power Finance Corporation % CRISIL AAA Government Securities Market Value ( ` in Lacs) % to Net Assets Rating 7.95% GOVT OF INDIA RED , % SOVEREIGN Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.85% Direct Plan 1.10% Excludes service tax on Investment Management fees of 0.13% of Total Effective from March 1, 2013 for prospective investments. * Based on invested Amount 7.88% GOVT OF INDIA RED , % SOVEREIGN 8.24% GOVT OF INDIA RED , % SOVEREIGN 7.68% GOVT OF INDIA RED , % SOVEREIGN 8.60% GOVT OF INDIA RED % SOVEREIGN 7.72% GOVT OF INDIA RED % SOVEREIGN 8.17% GOVT OF INDIA RED % SOVEREIGN Asset Allocation Government Securities 79.38% Corporate/ PSU Debt 14.64% Cash Equivalents 4.09% Net CurrentAssets 1.80% Securitised Debt 0.09% Rating Profile Sovereign 79.38% AAAand equivalents 14.73% Reverse Repos/ CBLOs 4.09% Net CurrentAssets 1.80% HSBC Income Fund - Investment Plan (HIF-IP) This product is suitable for investors who are seeking*: Regular Income over long term Investment in diversified portfolio of fixed income securities LOW Riskometer Moderate Investors understand that their principal will be at Moderate risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 8.40% GOVT OF INDIA RED % SOVEREIGN 8.29% TAMIL NADU SDL RED % SOVEREIGN 5.59% GOVT OF INDIA RED % SOVEREIGN Cash Equivalents CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional HSBC Income Fund - Investment Plan - Regular Option - Quarterly Dividend Institutional HSBC Income Fund - Investment Plan - Institutional Option - Quarterly Dividend NAV ( `) per unit (cum dividend) 25-Mar Jun Sep Jun Sep Dec Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 32

35 HSBC Income Fund - Short Term Plan (HIF-STP) An Open Ended Income Scheme Investment Objective: Aims to provide reasonable income through a diversified portfolio of fixed income securities. The AMC s view of interest rate trends and the nature of the Plans will be reflected in the type and maturities of securities in which the Short Term and Investment Plans are invested. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.20% Direct Plan 0.26% Excludes service tax on Investment Management fees of 0.07% of Total Effective from March 1, 2013 for prospective investments. * Based on invested Amount Asset Allocation 10-Dec-02 CRISIL Short Term Bond Fund Index ` years 2.27 years 8.12% 1,65, Sanjay Shah & Piyush Harlalka Available `10,000 `1,000 p.m.() Nil Corporate/ PSU Debt 64.48% Money Market Instruments 16.09% Government Securities 14.84% Cash Equivalents 3.01% Net CurrentAssets 1.58% Rating Profile AAAand equivalents 57.80% AA+/ AA-/ AAand equivalents 22.77% Sovereign 14.84% Reverse Repos/ CBLOs 3.01% Net CurrentAssets 1.58% HSBC Income Fund - Short Term Plan (HIF-STP) This product is suitable for investors who are seeking*: Regular Income over Medium term Investment in diversified portfolio of fixed income securities LOW Riskometer Moderate Investors understand that their principal will be at risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. FUND PORTFOLIO Issuer Market Value % to Net Rating ( ` in Lacs) Assets Money Market Instruments Certificate of Deposit Bank of India 4, % CRISIL A1+ Indian Bank 2, % Fitch A1+ Punjab & Sind Bank 2, % CARE A1+ Andhra Bank 1, % CARE A1+ Canara Bank 1, % CRISIL A1+ ICICI Bank % [ICRA]A1+ Canara Bank % CRISIL A1+ Commercial Paper Adani Ports & Special Economic Zone 4, % [ICRA]A1+ AU Financiers India Ltd 2, % Fitch A1+ AU Financiers India Ltd 2, % Fitch A1+ Cholamandalam Investment & Fin Co 1, % CARE A1+ Adani Ports & Special Economic Zone % [ICRA]A1+ Corporate/ PSU Debt Corporate Bonds / Debentures L&T Finance 7, % CARE AA+ Power Finance Corporation 5, % CRISIL AAA Pantaloons Fashion & Retail 5, % [ICRA]AA Tata Capital Financial Services 5, % CRISIL AA+ NABARD 4, % CRISIL AAA Rural Electrification Corporation 4, % CRISIL AAA Rural Electrification Corporation 4, % CRISIL AAA Rural Electrification Corporation 3, % CRISIL AAA Power Finance Corporation 3, % CRISIL AAA Rural Electrification Corporation 3, % CARE AAA Kotak Mahindra Prime 3, % [ICRA]AAA HDFC 2, % CRISIL AAA Power Grid Corporation of India 2, % CRISIL AAA SRF 2, % Fitch AA Bajaj Finance 2, % CRISIL AA+ Kotak Mahindra Prime 2, % [ICRA]AAA Power Finance Corporation 2, % CRISIL AAA LIC Housing Finance 2, % CARE AAA Kotak Mahindra Prime 2, % [ICRA]AAA Power Finance Corporation 2, % CRISIL AAA Tata Capital Financial Services 2, % CRISIL AA+ Tata Capital Financial Services 2, % CRISIL AA+ Tata Capital Financial Services 2, % CRISIL AA+ Power Finance Corporation 2, % CRISIL AAA Power Grid Corporation of India 2, % CRISIL AAA HDFC 2, % CRISIL AAA Tata Sons 2, % CRISIL AAA LIC Housing Finance 1, % CRISIL AAA Kotak Mahindra Prime 1, % [ICRA]AAA India Infradebt 1, % CRISIL AAA LIC Housing Finance 1, % CRISIL AAA HDFC 1, % CRISIL AAA LIC Housing Finance 1, % CRISIL AAA Shriram Transport Finance Company 1, % CRISIL AA+ Power Grid Corporation of India 1, % CRISIL AAA LIC Housing Finance 1, % CARE AAA LIC Housing Finance 1, % CARE AAA Power Grid Corporation of India 1, % CRISIL AAA LIC Housing Finance % CRISIL AAA Power Finance Corporation % CRISIL AAA Shriram Transport Finance Company % CRISIL AA+ Rural Electrification Corporation % CRISIL AAA Housing Development Finance Corp % CRISIL AAA Rural Electrification Corporation % CRISIL AAA Zero Coupon Bonds Cholamandalam Investment & Fin Co 4, % [ICRA]AA Cholamandalam Investment & Fin Co 2, % [ICRA]AA Government Securities 7.35% GOVT OF INDIA RED , % SOVEREIGN 7.16% GOVT OF INDIA RED , % SOVEREIGN 7.68% GOVT OF INDIA RED , % SOVEREIGN 7.72% GOVT OF INDIA RED , % SOVEREIGN 8.27% GOVT OF INDIA RED , % SOVEREIGN Cash Equivalents CBLO 5, % Net Current Assets 2, % Total Net Assets as on 30-Sep ,66, % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional NAV ( `) per unit (cum dividend) HSBC Income Fund - Short Term Plan - Regular Option - Monthly Dividend 27-Jul Aug Sep HSBC Income Fund - Short Term Plan - Monthly Dividend - Direct Plan 27-Jul Aug Sep HSBC Income Fund - Short Term Plan - Institutional Option - Monthly Dividend 25-May Jun Jul HSBC Income Fund - Short Term Plan - Institutional Plus Option - Monthly Dividend 30-Dec Jan Feb Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 33

36 HSBC Floating Rate Fund - Long Term Plan (HFRF-LTP) An Open Ended Income Scheme Investment Objective: Seeks to generate a reasonable return with commensurate risk through investments in floating rate debt instruments and fixed rate debt instruments swapped for floating rate returns. The Scheme may also invest in fixed rate money market and debt instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Amount 16-Nov-04 CRISIL Liquid Fund Index ` years 0.27 years 7.09% 5, Kapil Punjabi & Piyush Harlalka Available `10,000 `1,000 p.m.() FUND PORTFOLIO Issuer Money Market Instruments Certificate of Deposit UCO Bank % CRISIL A1+ Indian Bank % Fitch A1+ Canara Bank % CRISIL A1+ Commercial Paper Kotak Mahindra Investments % CRISIL A1+ Cholamandalam Investment & Fin Co % CARE A1+ Adani Ports & Special Economic Zone % [ICRA]A1+ Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO 2, % Rating Sub Weighted Average Monthly Total Expenses ratios (Annualized) Regular 0.75% Direct Plan 0.20% Excludes service tax on Investment Management fees of 0.01% of Total Effective from March 1, 2013 for prospective investments. * Based on invested Amount Asset Allocation Growth, Daily Dividend, Reinvestment Weekly Dividend, Reinvestment, Monthly Dividend (Payout & Reinvestment) Money Market Instruments 63.61% Cash Equivalents 36.72% Net CurrentAssets -0.33% Nil Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional HSBC Floating Rate Fund - Long Term Plan - Regular Option - Monthly Dividend NAV ( `) per unit (cum dividend) 27-Jul Aug Sep HSBC Floating Rate Fund - Long Term Plan - Monthly Dividend - Direct Plan 27-Jul Aug Sep HSBC Floating Rate Fund - Long Term Plan - Institutional Option - Monthly Dividend 25-Apr Aug Sep Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. Rating Profile AAAand equivalents 63.61% Reverse Repos/ CBLOs 36.72% Net CurrentAssets -0.33% HSBC Floating Rate Fund - Long Term Plan (HFRF-LTP) This product is suitable for investors who are seeking*: Liquidity over short term Investment in floating rate and fixed rate Debt and Money Market Instruments LOW Riskometer Moderate Investors understand that their principal will be at risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 34

37 HSBC Cash Fund (HCF) An Open Ended Liquid Scheme Investment Objective: Aims to provide reasonable returns, commensurate with low risk while providing a high level of liquidity, through a portfolio of money market and debt securities. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Manager Minimum Application Amount Effective from March 1, 2013 for prospective investments. * Based on invested Amount Asset Allocation 04-Dec-02 CRISIL Liquid Fund Index ` years 0.13 years 7.52% 1,76, Kapil Punjabi Available `10,000 `1,000 p.m.() Growth, Daily Dividend, Reinvestment Weekly Dividend, Reinvestment, Monthly Dividend (Payout & Reinvestment) Nil Weighted Average Monthly Total Expenses ratios (Annualized) Regular 0.11% Direct Plan 0.06% Currently there is no Service Tax levied due to nil Investment Management Fees being charged. Money Market Instruments 77.42% Treasury Bill 20.15% Fixed Deposit 10.52% Cash Equivalents 4.07% Net CurrentAssets % Rating Profile AAAand equivalents 77.42% Sovereign 20.15% Fixed Deposit 10.52% Reverse Repos/ CBLOs 4.07% Net CurrentAssets % FUND PORTFOLIO Issuer Money Market Instruments Certificate of Deposit The Ratnakar Bank 9, % [ICRA]A1+ IDBI Bank 9, % CRISIL A1+ Punjab & Sind Bank 4, % [ICRA]A1+ Punjab & Sind Bank 4, % [ICRA]A1+ IDBI Bank 4, % CRISIL A1+ Corporation Bank 4, % CRISIL A1+ Kotak Mahindra Bank 4, % CRISIL A1+ Corporation Bank 4, % CRISIL A1+ Corporation Bank 2, % [ICRA]A1+ Corporation Bank 2, % CRISIL A1+ ING Vysya Bank 2, % CRISIL A1+ The South Indian Bank % CARE A1+ Commercial Paper Adani Ports & Special Economic Zone 7, % [ICRA]A1+ Magma Fincorp 7, % CARE A1+ SREI Equipment Finance 7, % [ICRA]A1+ Indiabulls Housing Finance 4, % CRISIL A1+ Edelweiss Financial Services 4, % CRISIL A1+ Dewan Housing Finance Corporation 4, % CRISIL A1+ JM Financial Products 4, % [ICRA]A1+ Edelweiss Financial Services 2, % CRISIL A1+ HDFC 2, % [ICRA]A1+ JM Financial Credit Solutions 2, % Fitch A1+ L&T Fincorp 2, % CARE A1+ SREI Equipment Finance % [ICRA]A1+ Fixed Deposit Fixed Deposit IndusInd Bank 7, % Fixed Deposit HDFC Bank 7, % Fixed Deposit Treasury Bill 91 DAYS TREASURY BILL RED , % SOVEREIGN 91 DAYS TREASURY BILL RED , % SOVEREIGN 91 DAYS TREASURY BILL RED , % SOVEREIGN 364 DAYS TREASURY BILL RED , % SOVEREIGN 91 DAYS TREASURY BILL RED , % SOVEREIGN Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO 5, % Net Current Assets -17, % Total Net Assets as on 30-Sep ,42, % Rating HSBC Cash Fund (HCF) This product is suitable for investors who are seeking*: Overnight Liquidity over short term Invests in Money Market Instruments LOW Riskometer Moderate Investors understand that their principal will be at low risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. Dividend Declaration Record Date / period of dividend declared Non-Institutional HSBC Cash Fund - Institutional Option - Monthly Dividend HSBC Cash Fund - Monthly Dividend - Direct Plan HSBC Cash Fund - Institutional Plus Option - Monthly Dividend Institutional NAV ( `) per unit (cum dividend) 27-Jul Aug Sep Jul Aug Sep Aug Sep Oct Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `1,000 per unit. 35

38 HSBC Gilt Fund (HGF) An Open Ended Gilt Scheme Investment Objective: Aims to generate reasonable returns through investments in Government Securities of various maturities. The AMC's view of interest rate trends and the nature of the plans will be reflected in the maturities of securities in which the Plans are invested. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Managers Minimum Effective from March 1, 2013 for prospective investments. * Based on invested Amount Asset Allocation 05-Dec-03 I-Sec Composite Index ` years 8.20 years 7.60% Sanjay Shah Available `10,000 `1,000 p.m.() Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.00% Direct Plan 0.50% Excludes service tax on Investment Management fees of 0.04% of Total NetAssets. Government Securities 86.88% Cash Equivalents 11.65% Net CurrentAssets 1.47% Nil FUND PORTFOLIO Issuer Government Securities 7.88% GOVT OF INDIA RED % SOVEREIGN 8.24% GOVT OF INDIA RED % SOVEREIGN 8.17% GOVT OF INDIA RED % SOVEREIGN 7.95% GOVT OF INDIA RED % SOVEREIGN 8.60% GOVT OF INDIA RED % SOVEREIGN Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep % Dividend Declaration Record Date / period of dividend declared HSBC Gilt Fund - Monthly Dividend Non-Institutional Institutional Rating NAV ( `) per unit (cum dividend) 31-Oct Nov Dec Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. Rating Profile Sovereign 86.88% Reverse Repos/ CBLOs 11.65% Net CurrentAssets 1.47% HSBC Gilt Fund (HGF) This product is suitable for investors who are seeking*: Regular Income over long term Investment in Government Securities LOW Riskometer Moderate Investors understand that their principal will be at Moderate risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 36

39 HSBC Ultra Short Term Bond Fund (HUSBF) An Open Ended Debt Scheme Investment Objective: Seeks to provide liquidity and reasonable returns by investing primarily in a mix of short term debt and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Managers Minimum Application Amount Effective from March 1, 2013 for prospective investments. ** Composite index of CRISIL Liquid Fund Index(90%) and CRISIL Short Term Bond Fund Index(10%). * Based on invested Amount Asset Allocation 17-Oct-06 Customised Index** ` years 0.69 years 7.82% 39, Piyush Harlalka & Kapil Punjabi Available `10,000 `1,000 p.m.() Growth, Daily Dividend, Reinvestment Weekly Dividend, Reinvestment Monthly Dividend (Payout & Reinvestment) Nil Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.00% Direct Plan 0.20% Excludes service tax on Investment Management fees of 0.01% of Total NetAssets. Money Market Instruments 62.36% Corporate/ PSU Debt 34.08% Cash Equivalents 6.45% Net CurrentAssets -2.89% Rating Profile AAAand equivalents 87.11% AA+/ AA-/ AAand equivalents 9.33% Reverse Repos/ CBLOs 6.45% Net CurrentAssets -2.89% HSBC Ultra Short Term Bond Fund (HUSBF) This product is suitable for investors who are seeking*: Liquidity over short term Investment in Debt / Money Market Instruments LOW Riskometer Moderate Investors understand that their principal will be at risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. FUND PORTFOLIO Issuer Money Market Instruments Certificate of Deposit Indian Bank 4, % Fitch A1+ Bank of India 2, % CRISIL A1+ Vijaya Bank 2, % CARE A1+ Andhra Bank 2, % CARE A1+ Canara Bank 1, % CRISIL A1+ UCO Bank 1, % CRISIL A1+ ICICI Bank 1, % [ICRA]A1+ Canara Bank % CRISIL A1+ Andhra Bank % CARE A1+ Commercial Paper Adani Ports & Special Economic Zone 3, % [ICRA]A1+ AU Financiers India Ltd 2, % Fitch A1+ Kotak Mahindra Investments 1, % CRISIL A1+ SREI Equipment Finance 1, % [ICRA]A1+ Corporate/ PSU Debt Corporate Bonds / Debentures Power Finance Corporation 2, % CRISIL AAA Indiabulls Housing Finance 2, % CARE AAA HDFC 1, % CRISIL AAA Rural Electrification Corporation 1, % CARE AAA Tata Capital Financial Services 1, % CRISIL AA+ Shriram Transport Finance Company % CRISIL AA+ Power Finance Corporation % CRISIL AAA Bajaj Finance % [ICRA]AA+ Tata Sons % CRISIL AAA LIC Housing Finance % CRISIL AAA Kotak Mahindra Prime % [ICRA]AAA LIC Housing Finance % CARE AAA Shriram Transport Finance Company % CRISIL AA+ Zero Coupon Bonds HDFC 1, % CRISIL AAA Cholamandalam Investment & Fin Co 1, % [ICRA]AA Cholamandalam Investment & Fin Co 1, % [ICRA]AA Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO 2, % Net Current Assets -1, % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional Rating NAV ( `) per unit (cum dividend) HSBC Ultra Short Term Bond Fund - Institutional Option - Monthly Dividend 27-Jul Aug Sep HSBC Ultra Short Term Bond Fund - Monthly Dividend - Direct Plan 25-Jun HSBC Ultra Short Term Bond Fund - Institutional Plus Option - Monthly Dividend 28-Jan Feb Mar Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 37

40 HSBC Flexi Debt Fund (HFDF) An Open Ended Debt Scheme Investment Objective: Seeks to deliver returns in the form of interest income and capital gains, along with high liquidity, commensurate with the current view on the markets and the interest rate cycle, through active investment in debt and money market instruments. FUND DETAILS Date of Allotment NAV (Growth) per unit (as on ) Average Maturity of Portfolio Modified Duration of Portfolio Yield To Maturity* Monthly Average AUM (In Lakhs) Fund Manager Minimum Effective from March 1, 2013 for prospective investments. * Based on invested Amount Asset Allocation 05-Oct-07 CRISIL Composite Bond Fund Index ` years 7.87 years 7.75% 53, Sanjay Shah Available `10,000 `1,000 p.m.() Nil Weighted Average Monthly Total Expenses ratios (Annualized) Regular 1.60% Direct Plan 0.85% Excludes service tax on Investment Management fees of 0.10% of Total NetAssets. Government Securities 87.18% Corporate/ PSU Debt 10.04% Cash Equivalents 1.39% Net CurrentAssets 1.39% Rating Profile Sovereign 87.18% AAAand equivalents 10.04% Reverse Repos/ CBLOs 1.39% Net CurrentAssets 1.39% HSBC Flexi Debt Fund (HFDF) This product is suitable for investors who are seeking*: Regular Income over long term Investment in Debt / Money Market Instruments LOW Riskometer Moderate Investors understand that their principal will be at Moderate risk HIGH * Investors should consult their financial advisers if in doubt about whether the product is suitable for them. FUND PORTFOLIO Issuer Corporate/ PSU Debt Corporate Bonds / Debentures Rural Electrification Corporation 5, % CARE AAA Power Grid Corporation of India % CRISIL AAA Government Securities 8.24% GOVT OF INDIA RED , % SOVEREIGN 7.88% GOVT OF INDIA RED , % SOVEREIGN 7.95% GOVT OF INDIA RED , % SOVEREIGN 7.68% GOVT OF INDIA RED , % SOVEREIGN 7.72% GOVT OF INDIA RED , % SOVEREIGN 8.17% GOVT OF INDIA RED , % SOVEREIGN 8.60% GOVT OF INDIA RED , % SOVEREIGN 8.29% TAMIL NADU SDL RED , % SOVEREIGN 8.40% GOVT OF INDIA RED , % SOVEREIGN Cash Equivalents Market Value ( ` in Lacs) % to Net Assets CBLO % Net Current Assets % Total Net Assets as on 30-Sep , % Dividend Declaration Record Date / period of dividend declared Non-Institutional Institutional Rating NAV ( `) per unit (cum dividend) HSBC Flexi Debt Fund - Regular Option - Monthly Dividend 26-Apr May Jun HSBC Flexi Debt Fund - Institutional Option - Monthly Dividend 27-Apr Aug Sep HSBC Flexi Debt Fund - Monthly Dividend - Direct Plan 27-Jul Aug Sep HSBC Flexi Debt Fund - Regular Option - Quarterly Dividend 25-Mar Jun Sep HSBC Flexi Debt Fund - Institutional Option - Quarterly Dividend 25-Mar Jun Sep HSBC Flexi Debt Fund - Quarterly Dividend - Direct Plan 25-Mar Jun Sep HSBC Flexi Debt Fund - Regular Option - Half Yearly Dividend 14-Sep Mar HSBC Flexi Debt Fund - Institutional Option - Half-yearly Dividend 15-Mar Mar Sep HSBC Flexi Debt Fund - Half-yearly Dividend - Direct Plan 25-Sep Mar Sep Upon payment of dividend, the NAV per unit falls to the extent of payout and statutory levy, if any. Face value: `10 per unit. 38

41 Name of Scheme HSBC MIP - Savings & Regular Plan HSBC Income Fund - Investment Plan HSBC Income Fund - Short Term Plan HSBC Floating Rate Fund Long Term Plan HSBC Cash Fund HSBC Gilt Fund HSBC Ultra Short Term Bond Fund HSBC Flexi Debt Fund Fund Manager For Debt portion: Sanjay Shah (from 14 August 2009) & For Equity portion: Aditya Khemani (from 24 February 2009) Sanjay Shah (from 09 January 2009) Sanjay Shah (from 09 January 2009) & Piyush Harlalka (from 05 August 2015) Kapil Punjabi (from 18 October 2014) & Piyush Harlalka (from 05 August 2015) Kapil Punjabi (from 14 March 2014) Sanjay Shah (from 09 January 2009) Piyush Harlalka (from 05 August 2015) & Kapil Punjabi (from 18 October 2014) Sanjay Shah (from 09 January 2009) Fund Manager s Experience Sanjay Shah Senior Vice President Head - Fixed Income B. Com, A.C.A., Post Graduate Diploma in Management Experience: Over 15 years of experience in research and risk HSBC Asset Management (India) Private Ltd Senior Vice President & Fund Manager, Fixed Income since October 2011 to present, Vice President & Fund Manager, Fixed Income since December 2008 to September FIL Fund Management Private Ltd Credit Analyst from September 2008 to December 2008 Lehman Brothers Structured Financial Services Private Ltd Vice President, Convertible Products from September 2006 to September 2008 Rabo India Finance Private Ltd Senior Manager Credit Risk from July 2004 to September 2006 ICICI Bank Ltd Manager, Credit Risk from January 2003 to June 2004 SBI Funds Management Private Ltd Chief Manager, Debt Funds from June 1999 to January 2003 Kapil Punjabi Vice President & Fund Manager - Fixed Income B.M.S, M.M.S (Mumbai University) Experience: Over 9 years of experience in research and Fund Management HSBC Asset Management (India) Private Ltd. Vice President & Fund Manager - Fixed Income from March 04, 2014 onwards. Taurus Asset Management Company Limited Fund Manager Fixed Income from June 07, 2012 to February 27, Edelweiss Asset Management Limited Fund Manager Fixed Income from December 05, 2009 to June 06, Edelweiss Securities Limited Manager - Investments from October 2007 to November 2009 Trans Market Group Research (India) Private Limited Research Analyst and Proprietary Trader from May 2006 to October Piyush Harlalka Vice President & Fund Manager Fixed Income M.B.A, (Finance), C.A., C.S. Experience: Over 9 years of experience in research HSBC Asset Management (India) Private Limited, Vice President & Fund Manager Fixed Income Mutual Fund Division from August 5, 2015 to present; Vice President & Fund Manager - Portfolio Management Services Division from June 15 to August 4, 2015; Vice President & Fund Manager Fixed Income Mutual Fund Division - October 2010 to June 12, 2015; Assistant Vice President - Investment Management - Portfolio Management Services Division - December 2008 to October 2010; Research Analyst from July 2007 to November Batlivala & Karanai Securities Pvt. Ltd., Assistant Vice President & Research Analyst, from April 2006 to June

42 Comparative Performance of Debt Schemes Funds Managed by - Sanjay Shah (for Debt portion) & Aditya Khemani (for Equity portion) HSBC MIP - Regular Plan Date of : 24 Feb 04 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC MIP - Regular Plan - Growth Crisil MIP Blended Index (Scheme ) Crisil 1 Year T-Bill Index (Standard ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HMIP - R, would have become `10,000, if invested in Crisil MIP Blended Index, would have become `10,000, if invested in Crisil 1 Year T-Bill Index, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 10.44% 14.53% 3.43% 8.22% 10.67% 15.20% 3.11% 7.83% 8.83% 8.21% 5.63% 5.85% 13.49% 6.58% 2.45% 5.24% `11,044 `11,453 `10,343 `25,006 `11,067 `11,520 `10,311 `23,988 `10,883 `10,821 `10,563 `19,353 `11,349 `10,658 `10,245 `18,097 Past performance may or may not be sustained in the future. Refer note below. HSBC MIP - Savings Plan Date of : 24 Feb 04 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC MIP - Savings Plan - Growth Crisil MIP Blended Index (Scheme ) Crisil 1 Year T-Bill Index (Standard ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HMIP - S, would have become `10,000, if invested in Crisil MIP Blended Index, would have become `10,000, if invested in Crisil 1 Year T-Bill Index, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 10.58% 19.30% 3.33% 9.83% 10.67% 15.20% 3.11% 7.83% 8.83% 8.21% 5.63% 5.85% 13.49% 6.58% 2.45% 5.24% `11,058 `11,930 `10,333 `29,698 `11,067 `11,520 `10,311 `23,988 `10,883 `10,821 `10,563 `19,353 `11,349 `10,658 `10,245 `18,097 Past performance may or may not be sustained in the future. Refer note below. Funds Managed by - Sanjay Shah. HSBC Gilt Fund Date of : 05 Dec 03 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Gilt Fund - Growth I-Sec Composite Bond Fund Index (Scheme ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HGF, would have become `10,000, if invested in I-Sec Composite Bond Fund Index, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 13.20% 8.23% 4.96% 5.35% 13.27% 10.90% 4.86% 7.32% 13.49% 6.58% 2.45% 5.21% `11,320 `10,823 `10,496 `18,524 `11,327 `11,090 `10,486 `23,070 `11,349 `10,658 `10,245 `18,246 Past performance may or may not be sustained in the future. Refer note below. Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 40

43 Comparative Performance of Debt Schemes HSBC Income Fund - Investment Plan Date of : 10 Dec 02 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Income Fund - Investment Plan - Growth Crisil Composite Bond Fund Index (Scheme ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HIF - IP, would have become `10,000, if invested in Crisil Composite Bond Fund Index, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 12.19% 8.41% 3.95% 7.26% 12.45% 11.46% 3.42% 6.51% 13.49% 6.58% 2.45% 5.88% `11,219 `10,841 `10,395 `24,541 `11,245 `11,146 `10,342 `22,437 `11,349 `10,658 `10,245 `20,794 Past performance may or may not be sustained in the future. Refer note below. HSBC Flexi Debt Fund Date of : 05 Oct 07 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Flexi Debt Fund - Growth Crisil Composite Bond Fund Index (Scheme ) Crisil 10 Year Gilt Index (Standard ) `10,000, if invested in HFDF, would have become `10,000, if invested in Crisil Composite Bond Fund Index, would have become `10,000, if invested in Crisil 10 Year Gilt Index, would have become 12.66% 8.44% 5.38% 9.03% 12.45% 11.46% 3.42% 7.66% 13.49% 6.58% 2.45% 6.77% `11,266 `10,844 `10,538 `19,964 `11,245 `11,146 `10,342 `18,043 `11,349 `10,658 `10,245 `16,878 Past performance may or may not be sustained in the future. Refer note below. Fund Managed by - Sanjay Shah & Piyush Harlalka. HSBC Income Fund - STP Date of : 10 Dec 02 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Income Fund - S T P - Growth Crisil Short Term Bond Fund Index (Scheme ) Crisil 1 Year T-Bill Index (Standard ) `10,000, if invested in HIF -ST, would have become `10,000, if invested in Crisil Short Term Bond Fund Index, would have become `10,000, if invested in Crisil 1 Year T-Bill Index, would have become 9.41% 9.34% 6.65% 7.10% 9.85% 10.06% 7.66% 7.01% 8.83% 8.21% 5.63% 5.81% `10,941 `10,934 `10,665 `24,076 `10,985 `11,006 `10,766 `23,831 `10,883 `10,821 `10,563 `20,615 Past performance may or may not be sustained in the future. Refer note below. Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 41

44 Comparative Performance of Debt Schemes Fund Managed by - Piyush Harlalka & Kapil Punjabi. HSBC Ultra Short Term Bond Fund $ Date of :17 Oct 06 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Ultra Short Term Bond Fund - Growth Customised Index Fund (Scheme )* Crisil 1 Year T-Bill Index (Standard ) `10,000, if invested in HUSTBF, would have become `10,000, if invested in Customised Index, would have become `10,000, if invested in Crisil 1 Year T-Bill Index, would have become 8.67% 9.40% 8.43% 8.85% 8.66% 9.54% 8.44% 8.90% 8.83% 8.21% 5.63% 7.61% `10,867 `10,940 `10,843 `21,192 `10,866 `10,954 `10,844 `21,271 `10,883 `10,821 `10,563 `19,143 Past performance may or may not be sustained in the future. Refer note below. Fund Managed by - Kapil Punjabi & Piyush Harlalka. HSBC FRF - LTP - Regular Plan Date of : 16 Nov 04 Scheme Name & s Oct 14 - Sept 15 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC FRF - LTP - Growth Crisil Liquid Fund Index (Scheme ) Crisil 1 Year T-Bill Index (Standard ) `10,000, if invested HFRF - LTP, would have become `10,000, if invested in Crisil Liquid Fund Index, would have become `10,000, if invested in Crisil 1 Year T-Bill Index, would have become 8.51% 9.07% 8.73% 7.81% 8.53% 9.48% 8.52% 7.20% 8.83% 8.21% 5.63% 6.08% `10,851 `10,907 `10,873 `22,654 `10,853 `10,948 `10,852 `21,316 `10,883 `10,821 `10,563 `18,997 Past performance may or may not be sustained in the future. Refer note below. Fund Managed by - Kapil Punjabi. HSBC Cash Date of : 04 Dec 02 Scheme Name & s Last 7 Days Last 15 Days Last 30 Days Oct 14 - as on 30 as on 30 as on 30 Sept 15 Sept 2015 Sept 2015 Sept 2015 Oct 13 - Sept 14 Oct 12 - Sept 13 HSBC Cash Fund - Growth Crisil Liquid Fund Index (Scheme ) Crisil 91 Day T-Bill Index (Standard ) `10,000, if invested in HCF, would have become `10,000, if invested in Crisil Liquid Fund Index, would have become `10,000, if invested in Crisil 91 Day T-Bill Index, would have become 8.44% 7.95% 7.74% 8.58% 9.32% 8.98% 8.91% 11.04% 9.55% 8.20% 8.53% 9.48% 8.52% 8.75% 12.05% 9.62% 8.39% 8.44% 9.37% 7.80% 8.38% `10,016 `10,033 `10,064 `10,858 `10,932 `10,898 `14,522 `10,021 `10,039 `10,067 `10,853 `10,948 `10,852 `14,432 `10,023 `10,040 `10,069 `10,844 `10,937 `10,780 `14,219 Past performance may or may not be sustained in the future. Refer note below. * Composite index of CRISILLiquid Fund Index (90%) and CRISILShort Term Bond Fund Index (10%). $ Pursuant to SEBI circular dated Sept. 13, 2012, certain Plans / Options within the schemes have been discontinued to comply with a single plan structure. there was no continuous NAV history available for the surviving Plan prior to 1 October 2012, returns since the said date have been considered for calculating performance. The inception date of HSBC Ultra Short Term Bond Fund however is 17 October # Pursuant to SEBI circular dated Sept 13, 2012, certain Plans / Options within the schemes have been discontinued to comply with a single plan structure. there was no continuous NAV history available for the surviving Plan prior to 19 May 2011, returns since the said date have been considered for calculating performance. The inception date of HSBC Cash Fund however is 4 December Data for the period October to September has been considered in all cases, except for returns. (%) returns are compounded annualised, other % returns are simple annualised. inception returns are calculated on `10 invested at inception. Standard benchmark is prescribed by SEBI and is used for comparison purposes. Returns on `10,000 are point-to-point returns for the specific time period, invested at the start of the period. The returns provided above have been rounded off and hence there may be minor differences between point-to-point returns vis-a-vis returns indicated above. 42

45 Section II - How to read Factsheet Fund Manager An employee of the asset management company such as a mutual fund or life insurer, who manages investments of the scheme. He is usually part of a larger team of fund managers and research analysts. Application Amount for Fresh Subscription This is the minimum investment amount for a new investor in a mutual fund scheme, Minimum Additional Amount This is the minimum investment amount for an existing investor in a mutual fund scheme. Yield to Maturity The Yield to Maturity or the YTM is the rate of return anticipated on a bond if held until maturity. YTM is expressed as an annual rate. The YTM factors in the bond's current market price, par value, coupon interest rate and time to maturity. or systematic investment plan works on the principle of making periodic investments of a fixed sum. It works similar to a recurring bank th deposit. For instance, an investor may opt for an that invests `500 every 15 of the month in an equity fund for a period of three years. NAV The NAV or the net asset value is the total asset value per unit of the mutual fund after deducting all related and permissible expenses. The NAV is calculated at the end of every business day. It is the value at which the investor enters or exits the mutual fund. A group of securities, usually a market index, whose performance is used as a standard or benchmark to measure investment performance of mutual funds, among other investments. Some typical benchmarks include the Nifty, Sensex, BSE200, BSE500, 10-Year Gsec. Entry Load Amutual fund may have a sales charge or load at the time of entry and/or exit to compensate the distributor/agent. Entry load is charged at the time an investor purchases the units of a mutual fund. The entry load is added to the prevailing NAV at the time of investment. For instance, if the NAV is `100 and the entry load is 1%, the investor will enter the fund at `101. Note: SEBI, vide circular dated June 30, 2009 has abolished entry loan and mandated that the upfront commission to distributors will be paid by the investor directly to the distributor, based on his assessment of various factors including the services rendered by the distributor. Exit load is charged at the time an investor redeems the units of a mutual fund. The exit load is deducted from the prevailing NAV at the time of redemption. For instance, if the NAV is Rs 100 and the exit load is 1%, the redemption price would be `99 per unit. Modified Duration Modified duration is the price sensitivity and the percentage change in price for a unit change in yield. Standard Deviation Standard deviation is a statistical measure of the range of an investment's performance. When a mutual fund has a high standard deviation, its means its range of performance is wide, implying greater volatility. Sharpe Ratio The Sharpe Ratio, named after its founder, the Nobel Laureate William Sharpe, is a measure of risk-adjusted returns. It is calculated using standard deviation and excess return to determine reward per unit of risk. Beta Beta is a measure of an investment's volatility vis-a-vis the market. Beta of less than 1 means that the security will be less volatile than the market.abeta of greater than 1 implies that the security's price will be more volatile than the market. AUM AUM or assets under management refers to the recent I updated cumulative market value of investments managed by a mutual fund or any investment firm. Holdings The holdings or the portfolio is a mutual fund's latest or updated reported statement of investments/securities. These are usually displayed in terms of percentage to net assets or the rupee value or both. The objective is to give investors an idea of where their money is being invested by the fund manager. Nature of Scheme The investment objective and underlying investments determine the nature of the mutual fund scheme. For instance, a mutual fund that aims at generating capital appreciation by investing in stock markets is an equity fund or growth fund. Likewise, a mutual fund that aims at capital preservation by investing in debt markets is a debt fund or income fund. Each of these categories may have sub-categories. Rating Profile Mutual funds invest in securities after evaluating their creditworthiness as disclosed by the ratings. A depiction of the mutual fund in various investments based on their ratings becomes the rating profile of the fund. Typically, this is a feature of debt funds. 43

46 Statutory Details & Disclaimers All returns have been sourced from MutualFundsIndia Explorer software unless otherwise stated. With regard to equity schemes (including the equity component of MIPs), Fund performance is calculated on a total return basis (i.e. it includes dividends re-invested) while the benchmark is calculated on a price return basis (i.e. it does not consider dividends reinvested). This document has been prepared by HSBC Asset Management (India) Private Ltd (HSBC) for information purposes only and should not be construed as an offer or solicitation of an offer for purchase of any of the funds of HSBC Mutual Fund. All information contained in this document (including that sourced from third parties), is obtained from sources HSBC, the third party believes to be reliable but which it has not independently verified and HSBC, the third party makes no guarantee, representation or warranty and accepts no responsibility or liability as to the accuracy or completeness of such information. The information and opinions contained within the document are based upon publicly available information and rates of taxation applicable at the time of publication, which are subject to change from time to time. Expressions of opinion are those of HSBC only and are subject to change without notice. It does not have regard to specific investment objectives, financial situation and the particular needs of any specific person who may receive this document. Investors should seek financial advice regarding the appropriateness of investing in any securities or investment strategies that may have been discussed or recommended in this report and should understand that the views regarding future prospects may or may not be realized. Neither this document nor the units of HSBC Mutual Fund have been registered in any jurisdiction. The distribution of this document in certain jurisdictions may be restricted or totally prohibited and accordingly, persons who come into possession of this document are required to inform themselves about, and to observe, any such restrictions. Mutual fund investments are subject to market risks. Please read the Scheme Information Document carefully before investing. Investors should not invest in the Scheme solely based on the information provided in this document and should read the Combined Scheme Information Document and, Statement of Additional Information of the Fund for details. This document does not constitute an offering document. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, on any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of HSBC Asset Management (India) Private Ltd. Mutual Fund investments are subject to market risks, read all scheme related documents carefully. HSBC Asset Management (India) Private Limited, 16, V.N. Road, Fort, Mumbai [email protected] Website: