HSBC Global Asset Management today announced the closure of the HSBC Vision Private Equity 2020 Fund, the second in an annual programme of Vision funds offering exposure to a global diversified portfolio by geography, sector and strategy.
Building on the success of last year's programme which raised USD250m globally, the HSBC Vision Private Equity 2020 Fund closed at just over $260m, with commitments from international investors, including the clients of HSBC Private Banking and HSBC Global Asset Management's institutional clients. The fund will invest in a number of private equity opportunities ranging from primaries and secondaries to direct co-investments.
The Vision programme was designed in partnership by HSBC Global Asset Management and HSBC Private Banking. The programme benefits from the large scale of HSBC Global Asset Management's institutional mandate platform which committed $1.7bn of capital in 2019 to private equity investments on behalf of its clients.
During these turbulent times, we have harnessed the fundamental characteristics of private equity such as active management, access to capital and manager skill that allow it as an asset class to provide downside protection."
Steven Ward, head of alternative products at HSBC Global Asset Management, said: "The scale of our capability combined with our experience in identifying and sourcing opportunities through a highly selective investment process allows us to provide a range of exclusive opportunities for our clients globally."
"During these turbulent times, we have harnessed the fundamental characteristics of private equity such as active management, access to capital and manager skill that allow it as an asset class to provide downside protection. We believe there is a strong crop of private equity managers to choose from in this period of lower valuations."
Henry Lee, head of managed investment solutions at HSBC Private Banking, added: "The ability for our clients to allocate to hard-to-access private equity names and gain meaningful exposure to well-researched and cost-effective direct deals and secondary transactions in a highly institutional and scalable format adds tremendous value to our proposition. It also ensures that HSBC Private Banking's investment offering is competitive, scalable, professional and sustainable."
The next in a series of annual Vision funds is expected to launch in 4Q2020.
HSBC Global Asset Management's alternatives team has $52.6bn of assets, with $25.6bn across private market funds and mandates.