HSBC-Link Asia Equity Fund

Fund managers now see Asian countries as well placed to exploit the acceleration in global demand that is expected. The region's economies now look considerably brighter.

Are looking for potential growth opportunities from top Asian companies.

Prefer broader diversification from Singapore into other Asian markets (excluding Japan) like China, Hong Kong, India, Indonesia, Korea, Malaysia, the Philippines, Thailand or Taiwan.

Are prepared to take short-term market swings and greater volatility for potentially higher long-term returns.

The HSBC-Link Asia Equity Fund feeds into DWS Asia Premier Trust*.

This is an insurance-linked policy fund and can be invested only through our investment-linked plans.

The objective of the fund is to achieve long-term capital growth through investing in equities throughout Asia excluding Japan.

The investment manager selects stocks that have a competitive product or service, with improving growth prospects and cash generative businesses.

1. Healthy structural changes
   Healthy consolidations after the Asian economic crisis in 1997-98 give rise to leaner, more competitive companies. Structural reforms in the economy improved efficiency and competency.
   
   
2. Growing domestic demand
   Large, growing populations especially in China, India and South Korea increase domestic demand. At the same time, falling poverty levels are boosting consumer spending.
   
   
3. Higher up the value chain
   The populace in Asia is now better educated, and industries are moving up the value chain. South Korea and Taiwan house the world's largest chip-makers. Greater emphasis on the knowledge economy is evident.
   
   
4. Abundant liquidity
   High savings rates provide long-term liquidity for business growth.
   
   
5. Diversity
   Different countries in Asia are in different stages of growth as developing nations - constantly offering fresh opportunities and potential access to areas of business & industry not always available to local investors.
   
   
6. Economic Co-operation
   China and Taiwan's entry into the World Trade Organisation marks a new beginning towards more easing of trade barriers. The Asia-Pacific Economic Conference fosters better co-operation for broad-based growth with broader vision.

Your money is not tied to any fixed term when you invest in this fund through our investment-linked policy. You can choose to withdraw your investment at any time^#.

In the event of death, your loved ones will receive a minimum death benefit regardless of the value of the fund. This benefit is not embedded within the fund but is provided for when you select any of our investment-linked plans.

You can have unlimited switches between funds. This is to ensure your portfolio objective is aligned with your investment objective, which may change along the way.

Under the current Singapore tax laws, proceeds of a personal life insurance policy are not subjected to income tax.

HSBC-Link Asia Equity Fund can be invested using Cash or SRS. You can start from as little as S$100 cash per month or a single premium of S$10,000. You can even top-up your investment over time. Speak to our financial planner or appointed distributor to find out more about the fund.

Please note that HSBC-Link Asia Equity Fund will cease to be included under the CPF Investment Scheme (the "CPFIS") with effect from 28 June 2010. As such, HSBC-Link Asia Equity Fund will no longer be able to accept new CPF subscriptions.

If you wish to subscribe to further units or switch into the HSBC-Link Asia Equity Fund using Ordinary Account monies, your application form must reach us by 14 June 2010.

For more enquiries, please contact your Financial Consultant or call our Customer Service Hotline on (65) 6225 6111, Mondays to Fridays, 9 am to 5 pm.

Note:
^* Underlying fund name was changed in March 2006. Formerly known as Deutsche Asia Premier Trust.
^# Full or partial withdrawal can be made provided there is enough cash value in your investment-linked policy plan at the time of surrender. Your surrender value will be based on the next determined bid price of the fund. An early termination of the policy will usually involve high costs and the surrender value payable may be less than total premium paid.
^{^} For all Single Premium (Asset Manager series) and Recurring Single Premium (Accumulation Manager) investment-linked plans, bonus units of 2.11% will be given. Net sales charge of 3% applies.