Banking and financial investment services provider, HSBC Malaysia has unveiled the Solactive Luxury Dynamic Factors Index (Luxury Index) in addition to the standard and thematic market indices. This Luxury Index is also available as a conventional and a Shariah-compliant solution.
The Luxury Index aims to generate potential positive long-term returns and build wealth for HSBC Malaysia’s clients by capturing the luxury trends, having well-established stock selection principles and volatility control.
“To accelerate the growth of the wealth business in Asia, Global Markets continues to invest in our product manufacturing capabilities leveraging our market expertise and deliver bespoke solutions for wealthy clients.
“HSBC Global Research estimates that the luxury goods market in mainland China will likely achieve double digit growth in 2020, doubling its overall share of the global luxury market in 2020 with further growth expected through to 2025,” HSBC Bank Malaysia Berhad’s Head of Global Markets, Alvin Kong said.
Additionally, HSBC Bank Malaysia Berhad’s Head of Wealth and International, John Chivers mentioned that the Luxury Index makes prudent sense as keeping some investments in an index with protection is important due to the global Covid-19 outbreak.
“The products linked to the Luxury Index will be denominated in Asian currencies (MYR in Malaysia, RMB in Hong Kong) in either a fully or partially principal protected structured product,” John added.
HSBC is the global exclusive licensor of the Luxury Index and its performance can be tracked on the Solactive website. The Luxury Index is calculated and administered by Solactive AG, the third-party index administrator.