HSBC Closet Indexing Class Action

Investigation Counsel P.C. and Paul Bates, Barrister (collectively, “Class Counsel”) have filed a class action in Vancouver, British Columbia against HSBC Global Asset Management (Canada) Limited (“HSBC GAM”) and HSBC Investment Funds (Canada) Inc. (“HSBC IS”) regarding the HSBC Equity Fund (the “Equity Fund”).

This action was filed on behalf of all persons, wherever they reside or are domiciled, who hold or held directly, or indirectly (via HSBC “portfolio” or “fund of funds” products”), units of the Equity Fund at any time from January 1, 2005 to present.

The plaintiff alleges that assets of the Equity Fund, and the assets of other mutual funds known as HSBC “World Selection” funds, which held the Equity Fund, have been depleted by excessive fees that HSBC GAM (and HSBC IS prior to December 2010) as trustee of those funds paid to itself as manager of the Equity Fund.

HSBC GAM (and previously HSBC IS) received fees for conducting an investment strategy based on active management when, it is alleged, the investment strategy used was “closet indexing”, which closely tracks or replicates the fund’s benchmark index, the S&P/TSX Capped Composite Index. The plaintiff alleges that the true investment objective and strategies of the Equity Fund were not adequately disclosed to investors.

The class action alleges that the excessive fees paid to the HSBC defendants over many years has significantly reduced the returns of investors and that investors are entitled to damages including restitution of excessive management fees.

Inquiries regarding these proposed class proceedings can be directed to Investigation Counsel at 1-800-887-5611 or hsbcclosetindexing@investigationcounsel.com.

In order for Investigation Counsel P.C. to notify you of important developments in this action when permitted or required to do so by the Court, please fill out the Contact Form below.

* This Is Not A Claim Form You are not obligated to fill in this form and, if you choose to do so, you are not retaining Investigation Counsel P.C. to act on your behalf. Your personal information will not be disclosed to a third party without your consent or unless it is required by law.

Name*
First Last
Address*
Street Address Address Line 2 City Province Postal Code
Email*
Phone
Please confirm whether you hold or have held the HSBC Equity Fund directly or indirectly in a World Selection fund anytime since January 1, 2005*
- Directly
- In A HSBC World Selection Fund
- Both
- Not Applicable
Please confirm whether you hold or have held the HSBC Equity Fund directly or indirectly in a World Selection fund anytime since January 1, 2005
* HSBC World Selection funds that may currently contain, or might have contained the HSBC Equity Fund during the class period, include HSBC World Selection Diversified Conservative Fund; HSBC World Selection Diversified Moderate Conservative Fund; HSBC World Selection Diversified Balanced Fund; HSBC World Selection Diversified Growth Fund; and HSBC World Selection Diversified Aggressive Growth Fund.