Global Private Banking Disclosure concerning sustainable investments Important notice not necessarily reflect the views and opinions of “Sustainable investments” include investment The following may be subject to local requirements. other market participants and are subject to change approaches or instruments which consider without notice. Actual results may differ materially environmental, social, governance and/or other This is a marketing communication issued by from the forecasts/estimates. When an investment sustainability factors (collectively, “sustainability”) HSBC Private Banking. This document does not is denominated in a currency other than your to varying degrees. Certain instruments we include constitute independent investment research under local or reporting currency, changes in exchange within this category may be in the process of the European Markets in Financial Instruments rates may have an adverse effect on the value of changing to deliver sustainability outcomes. Directive (‘MiFID’), or other relevant law or that investment. There is no guarantee of positive regulation, and is not subject to any prohibition trading performance. There is no guarantee that sustainable investments on dealing ahead of its distribution. HSBC Private Foreign securities carry particular risks, such as will produce returns similar to those which don’t Banking is the principal private banking business exposure to currency fluctuations, less developed consider these factors. Sustainable investments of the HSBC Group. Private Banking may be or less efficient trading markets, political instability, may diverge from traditional market benchmarks. carried out internationally by different HSBC legal a lack of company information, differing auditing In addition, there is no standard definition of, or entities according to local regulatory requirements. and legal standards, volatility and, potentially, less measurement criteria for sustainable investments, Different companies within HSBC Private Banking liquidity. or the impact of sustainable investments or the HSBC Group may provide the services listed (“sustainability impact”). Sustainable investment in this document. Some services are not available in Investment in emerging markets may involve and sustainability impact measurement criteria are certain locations. Members of the HSBC Group may certain additional risks, which may not be typically (a) highly subjective and (b) may vary significantly trade in products mentioned in this publication. associated with investing in more established across and within sectors. This document is provided to you for your economies and/or securities markets. Such risks information purposes only and should not be include (a) the risk of nationalization or expropriation HSBC may rely on measurement criteria devised relied upon as investment advice. The information of assets; (b) economic and political uncertainty; and/or reported by third party providers or issuers. contained within this document is intended for (c) less liquidity in so far of securities markets; (d) HSBC does not always conduct its own specific general circulation to HSBC Private Banking fluctuations in currency exchange rate; (e) higher due diligence in relation to measurement criteria. clients and it has not been prepared in light of rates of inflation; (f) less oversight by a regulator There is no guarantee: (a) that the nature of the your personal circumstances (including your of local securities market; (g) longer settlement sustainability impact or measurement criteria of specific investment objectives, financial situation periods in so far as securities transactions and (h) an investment will be aligned with any particular or particular needs) and does not constitute a less stringent laws in so far the duties of company investor’s sustainability goals; or (b) that the stated personal recommendation, nor should it be relied officers and protection of Investors. level or target level of sustainability impact will be upon as a substitute for the exercise of independent You should contact your Relationship Manager achieved. judgement. This document does not constitute and if you wish to enter into a transaction for an Sustainable investing is an evolving area and new should not be construed as legal, tax or investment investment product. You should not make any regulations may come into effect which may affect advice or a solicitation and/or recommendation investment decision based solely on the content of how an investment is categorised or labelled. An of any kind from the Bank to you, nor as an offer any document. investment which is considered to fulfil sustainable or invitation from the Bank to you to subscribe to, Some HSBC Offices listed may act only as criteria today may not meet those criteria at some purchase, redeem or sell any financial instruments, representatives of HSBC Private Banking, and point in the future. or to enter into any transaction with respect to such are therefore not permitted to sell products and instruments. The content of this document may not services, or offer advice to customers. They serve Greenwashing risk is defined as giving a false be suitable for your financial situation, investment impression or misleading information of a product’s experience and investment objectives, and the as points of contact only. Further details are climate and environmental friendly credentials Bank does not make any representation with available on request. and, whilst not considered a standalone risk, can respect to the suitability or appropriateness to you In the United Kingdom, this document has been manifest through sales outcomes, marketing of any financial instrument or investment strategy approved for distribution by HSBC UK Bank plc materials, product design and external disclosures presented in this document. whose Private Banking office is located at 8 Cork at product and firm level. Street, London W1S 3LJ and whose registered If you have concerns about any investment or are office is at 1 Centenary Square, Birmingham, B1 Alternative Investments uncertain about the suitability of an investment decision, you should contact your Relationship 1HQ. HSBC UK Bank plc is registered in England Investors in Hedge Funds and Private Equity should Manager or seek such financial, legal or tax advice under number 09928412. Clients should be aware bear in mind that these products can be highly from your professional advisers as appropriate. that the rules and regulations made under the speculative and may not be suitable for all clients. Financial Services and Markets Act 2000 for the Investors should ensure they understand the Market data in this document is sourced from protection of investors, including the protection features of the products and fund strategies and Bloomberg unless otherwise stated. While this of the Financial Services Compensation Scheme, the risks involved before deciding whether or not information has been prepared in good faith do not apply to investment business undertaken to invest in such products. Such investments are including information from sources believed to be with the non-UK offices of the HSBC Group. generally intended for experienced and financially reliable, no representation or warranty, expressed This publication is a Financial Promotion for the sophisticated investors who are willing to bear the or implied, is or will be made by HSBC Private purposes of Section 21 of the Financial Services risks associated with such investments, which can Banking or any part of the HSBC Group or by any & Markets Act 2000 and has been approved for include: loss of all or a substantial portion of the of their respective officers, employees or agents as distribution in the United Kingdom in accordance investment, increased risk of loss due to leveraging, to or in relation to the accuracy or completeness of with the Financial Promotion Rules by HSBC UK short-selling, or other speculative investment this document. Bank plc, which is authorised by the Prudential practices; lack of liquidity in that there may be no Regulation Authority and regulated by the Financial secondary market for the fund and none expected It is important to note that the capital value of, and Conduct Authority and the Prudential Regulation to develop; volatility of returns; prohibitions and/ income from, any investment may go down as well Authority. or material restrictions on transferring interests as up and you may not get back the original amount in the fund; absence of information regarding invested. Past performance is not a guide to future In Guernsey, this material is distributed by HSBC valuations and pricing; delays in tax reporting; - key performance. Forward-looking statements, views Private Banking (C.I.) a division of HSBC Bank plc, man and adviser risk; limited or no transparency and opinions expressed and estimates given Guernsey Branch which is licensed by the Guernsey to underlying investments; limited or no regulatory constitute HSBC Private Banking’s best judgement Financial Services Commission for Banking, oversight and less regulation and higher fees than at the time of publication, are solely expressed Insurance Intermediary and Investment Business. mutual funds. as general commentary and do not constitute In Jersey, this material is issued by HSBC Private investment advice or a guarantee of returns and do Banking (Jersey) which is a division of HSBC Bank 41