HSBC RIF SRI DYNAMIC EUR Share Class A Monthly Report June 2025 Strategic Allocation 80% Equities PDF Free Download
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Monthly Report
June 2025
HSBC RIF!
SRI DYNAMIC
EUR Share Class A
Strategic Allocation
80% Equities
HSBC RIF!
SRI DYNAMIC
We assign a rating: an Environmental Rating (E), a Social Rating (S), a Governance Rating (G), and finally an Overall Portfolio’s Rating (ESG).
The scale of rating ranges from 0 to 10, 10 being the best rating.
The overall rating is calculated based on the weight of the pillars E, S and G inherent in each sector according to our internal rating process.!
The overall portfolio's ESG rating is the weighted average of the ESG ratings by the weight of each rated stock and each rated issuer of the portfolio. ESG
rating of the investment universe is the weighted average ESG ratings by the weight of each rated stock and each rated issuer of the investment universe.
For more details on the portfolio, the methodologies used and the ESG approach, please refer to the transparency code by clicking here. https://services.assetmanagement.hsbc.fr/documents/Code_de_Transparence_HSBC_RIF.pdf
https://services.assetmanagement.hsbc.fr/documents/Code_de_Transparence_HSBC_RIF.pdf
ESG Rating
30/06/2025
(1) Source : HSBC Global Asset Management (France)
(2) 20% Bloomberg Euro Aggregate 500 MM + 75% MSCI EMU + 5% MSCI World
EUR Share Class A
GSEESG
Coverage rate (1)ESG Rating (1)
99.77% 6.83 6.18 7.67
99.24% 6.28 5.52 6.80
Portfolio
Investment Universe (2)
6.86
6.17
9.40 8.40
10.00 6.90
8.80 8.80
9.30 7.30
10.00 7.60
8.58
8.48
8.24
8.22
8.08
1.40%
2.11%
4.08%
1.03%
1.35%
Holdings Weight ESG
Top holdings with the best ESG rating (3)
SE
6.80
8.60
6.00
7.90
7.60
G
EDP SA
RELX PLC
IBERDROLA SA
CRH PLC
ELISA OYJ
4.40 5.40
7.60 4.10
7.90 3.20
5.80 5.70
7.40 2.40
5.26
5.71
5.81
5.86
5.87
1.66%
1.08%
0.80%
1.20%
0.45%
Holdings Weight ESG
Top holdings with the worst ESG rating (3)
E S
MICHELIN (CGDE)
COMPAGNIE DE SAINT GOBAIN
BAYERISCHE MOTOREN WERKE AG
ALSTOM
AKZO NOBEL N.V.
(3) Scope of rated holdings excluding government bonds.
7.20
4.80
4.50
6.10
7.30
G
(Coverage rate of rated companies, expressed as a percentage of net assets)
Portfolio (99.77%)
Investment Universe** (99.24%)
7.80
5.90
6.67
6.58
4.20
8.16
7.81
7.44
7.40
7.14
5.84% 9.23
4.07% 10.00
4.56% 10.00
9.78% 9.08
2.42% 10.00
Main Industry Sectors with the best ESG rating (2)
Industry Sector ESGE S
Utilities
Commercial & Professional Services
Telecommunication Services
Insurance
Diversified Financials
6.00
7.23
6.97
6.82
7.50
Weight G
6.15
5.40
10.00
8.00
6.09
4.30
4.60
4.00
3.50
5.81
5.54
5.88
5.95
6.09
6.22
2.46%
1.28%
1.95%
1.49%
11.52%
Main Industry Sectors with the worst ESG rating (2)
Industry Sector Weight ESGSE
Automobiles & Components
Health Care Equipment & Services
Media & Entertainment
Transportation
Capital Goods
5.85
7.40
6.50
5.20
6.81
G
Monthly Report
30 June 2025
Region: Malta
Non contractual document
HSBC RIF!
SRI DYNAMIC
Carbon Intensity
The Carbon Intensity corresponds to the volume of CO2 emitted for 1 million dollars of turnover achieved. To calculate this intensity, we take into account
not only the direct emissions related to the company's operations (Scope 1) but also those related to the supply of the necessary energy (Scope 2).
Company Carbon Intensity (tons of CO2/USD M of turnover) = (Scope 1 + Scope 2) / USD M of turnover
Scope 1: Greenhouse gas emissions generated from burning fossil fuels and production processes which are owned or controlled by the company
Scope 2: Greenhouse gas emissions from consumption of energy by the company
The overall carbon portfolio's intensity is the sum of the firm's carbon intensities multiplied by the amounts held in the portfolio divided by the sum of
amounts held with carbon intensities. Carbon data is provided by Trucost, a leader in carbon and environmental risk and data analysis and a subsidiary of
S&P Dow Jones Indices.
(2) 20% Bloomberg Euro Aggregate 500 MM + 75% MSCI EMU + 5% MSCI World !
(3) Carbon intensity expressed in tons of CO2/USD M of turnover.
Source: TRUCOST, world leader in measuring companies' carbon footprint. Trucost is a supplier of extra-financial data related to environmental impacts and
GHG emissions published by companies.
(4) Source : HSBC Global Asset Management (France). Coverage rate of companies with carbon intensity, expressed as a percentage of net assets.
EUR Share Class A
Carbon Intensity (3) Coverage rate (4)
67.1 93.52%
98.8 84.86%
Portfolio
Investment Universe (2)
1!274.0 1.18%
884.1 1.03%
260.7 1.40%
231.5 4.08%
222.6 1.24%
Holdings
Top holdings with highest intensity carbon (5)
Weight
(5) Scope of covered holdings.
Carbon Intensity
AIR LIQUIDE SA
CRH PLC
EDP SA
IBERDROLA SA
LEG IMMOBILIEN SE
1.75% 0.5
2.73% 0.7
3.23% 1.1
1.21% 1.4
0.85% 1.5
Holdings Weight
Top holdings with lowest intensity carbon (5)
Carbon Intensity
ASR NEDERLAND NV
AXA SA
MUENCHENER RUECKVER AG-REG
ALLIANZ SE-REG
GENERALI
9.78% 1.0
1.95% 2.5
11.82% 3.8
2.42% 5.2
1.64% 7.0
Main industry sectors with low carbon intensity (4)
Industry Sector Weight
Carbon Intensity
Insurance
Media & Entertainment
Banks
Diversified Financials
Consumer Durables & Apparel
2.66% 726.5
1.24% 222.6
5.84% 168.4
1.49% 100.4
1.09% 71.2
Main industry sectors with high carbon intensity (4)
Industry Sector Weight
Carbon Intensity
Materials
Real Estate
Utilities
Transportation
Pharmaceuticals, Biotechnology & Life Sciences
Monthly Report
30 June 2025
Region: Malta
Non contractual document
HSBC RIF!
SRI DYNAMIC EUR Share Class A
The performance figures relate to the past performance which should not be seen as an indication of
future returns. The capital invested in the fund can increase or decrease and is not guaranted. Future
returns will depend, inter alia, on market conditions, fund manager’s skill, fund risk level and fees.
Monthly Report
30 June 2025
Region: Malta
Sharpe ratio
Fund's volatility 13.82%
0.39
11.80%
0.48
13.15%
0.40
15.46%
0.24
30/09/2019*5 years3 years1 year
Investment Universe**
**for comparison only
Net performance by calendar year
6.94%
9.58%
6.89%
8.95%
10.95%
16.55%
-15.22%
-13.31%
14.64%
17.28%
3.73%
0.93%
Portfolio
202020212022202320242025
Investment Universe**
**for comparison only
3.35%
3.61%
Portfolio
2019
Net monthly performance by calendar year
3.33%
2.41%
-3.36%
1.35%
3.90%
-0.70%
0.74%
1.21%
2.99%
-1.82%
2.87%
-1.48%
2.04%
1.13%
0.93%
-2.82%
0.88%
0.18%
7.30%
1.74%
-1.47%
0.77%
-2.25%
3.03%
1.34%
-1.87%
-3.16%
-3.58%
6.33%
2.92%
-1.59%
-6.27%
-1.57%
-0.77%
-0.33%
-8.23%
4.93%
-4.58%
-5.40%
5.83%
5.39%
-2.61%
-0.14%
1.61%
5.92%
1.15%
2.63%
0.01%
0.21%
1.64%
-3.05%
2.68%
-2.97%
4.45%
-0.68%
-5.70%
-12.88%
5.49%
3.09%
4.41%
-0.60%
2.13%
-1.02%
-3.67%
14.54%
0.98%
0.42%
2.33%
0.57%
2019
January
February
March
April
May
June
July
August
September
October
November
December
202020212022202320242025
Fund Details
Non contractual document
(AC)(EUR) 132.14(AC)(EUR) 132.14
Total Asset
EUR 50,050,299.89
Performance and risk analysis
Base 100 Performances
Fund's performance
30/09/19
30/09/20
30/09/21
30/09/22
30/09/23
30/09/24
30/09/25
70
80
90
100
110
120
130
140
Legal Form
SICAV regulated under French law
Investment horizon
5 years
Investment Universe
20% Bloomberg Euro Aggregate 500 MM +
75% MSCI EMU (EUR) NR + 5% MSCI
World (EUR)
Dividend Policy
(AC): Accumulation Shares
*Start Date of Management
30/09/2019
Base 100 Performances
over 1 year
(1) : Bloomberg Barclays Euro Aggregate 500 MM
28/06/24
28/08/24
28/10/24
28/12/24
28/02/25
28/04/25
28/06/25
88
92
96
100
104
108
112
116
120
(1) (2) (3)
(2) : MSCI EMU Net
Indices performances
(3) : MSCI World Net
Net asset value
Investment Objective
The subfund’s investment objective is to
maximise a performance corresponding to a
diversified investment with a high exposure to
equity risk over a recommended investment
period of at least 5 years. This investment is
made by selecting securities of companies or
countries selected for their good environmental,
social, governmental practices and financial
quality. The long-term strategic allocation is
composed of 80% equities and 20%
international bonds with a euro bias. This sub-
fund promotes environmental or social
characteristics (Article 8 of Regulation (EU)
2019/2088 known as Sustainable Finance
Disclosure (SFDR)).!!
HRIF - SRI Dynamic is actively managed without
reference to a benchmark.
HRIF - SRI Dynamic is a profiled subfund within
a multi-asset SRI range composed of several
profiles. With a strategic allocation consisting of
80% equities on average, it constitutes an
investment with a high exposure to equity
market risk:!!
The subfund’s sources of performance are the
tactical allocation of asset classes, the selection
of securities meeting non-financial and financial
criteria, the active management of interest rate
risk and credit risk, the active management of
currency risk, and the choice of investment
vehicles.!!
The SRI selection is done using a best-in-class
approach and consists in assigning an SRI
score according to ESG criteria by classifying
the stocks into quartiles within each sector.
Stocks in the top two quartiles have no
restrictions, those in the third quartile are limited
to 15%, and those in the bottom quartile are
excluded. Up to 10% of the subfund’s holdings
may consist of stocks not rated according to
ESG criteria.
This subfund has adopted the AFG/FIR/Eurosif
Transparency Code for SRI UCIs open to the
public. This Transparency Code is available on
the Management Company’s website.
Net Cumulated performance
Indicators & ratios (weekly)
**for comparison only.
-0.70%
-0.53%
9.39%
11.86%
30.46%
45.49%
38.01%
57.18%
32.14%
47.91%
30/09/2019*
Investment Universe**
Portfolio
5 years3 years1 year1 month
HSBC RIF!
SRI DYNAMIC
Index Disclaimers"
Bloomberg Barclays indices and associated data, Copyright © 2025 Bloomberg Index Services
Limited, Bloomberg Finance L.P., their affiliates and/or third party licensors («Licensors»). Used with
permission. All rights reserved. Licensors make no warranties regarding use of or reliance upon such
index data and shall have no liability in connection therewith.!
!
Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced
or redisseminated in any form and may not be used as basis for or a component of any financial
instruments or products or indices. None of the MSCI information is intended to constitute investment
advice or a recommendation to make (or refrain for making) any kind of investment decision and may
not be relied on as such. Historical data and analysis should not be taken as an indication or
guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided
as an as is basis and the user of this information assumes the entire risk of any use made of this
information. MSCI, each of its affiliates and each other person involved in or related to compiling,
computing or creating any MSCI information (collectively 'the MSCI Parties') expressly disclaims all
warranties (including, without limitation, all warranties of originality, accuracy, completeness,
timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this
information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability
for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost
profits) or any other damages. (www.mscibarra.com). If you have any doubts about the suitability of
this investment, you should contact an independent financial adviser.!
!
The Investment Advisor will use its discretion to invest in securities not included in the reference
benchmark based on active investment management strategies and specific investment opportunities.
It is foreseen that a significant percentage of the Fund's investments will be components of the
reference benchmark. However, their weightings may deviate materially from those of the reference
benchmark.
EUR Share Class A
Monthly Report
30 June 2025
Region: Malta
Non contractual document
Analysis of the investment strategy
Portfolio Composition
Asset Type Allocation (1) as at 06/30/2025
Non contractual document
Region: Malta
79.11%
15.83%
5.06% 5.08%
30/06/2025
100.00% 100.00% 1.09
Variation*
% TNA
Europe
Global
Europe
* There is a change over the period if the difference in weighting is greater than 0.5% in absolute value terms.
** Including fixed income and equity market exposure via derivatives.
Bonds: issues in euro.
0.00
15.77
79.16%
75.95% 75.93%
3.16% 3.22%
15.77%
15.83% 15.77%
30/05/2025
% TNA
Equities**
Bonds**
Money Market & Cash
Total
100.00%
Equities
Equities
Equity Mutual Fund
Bonds
Fixed Income Mutual Fund
Money Market & Cash
Cash
Money Market Mutual Fund
Total
(1) except derivative products' off-balance-sheet commitment.
80.29%
3.22%
15.77%
0.69%
0.02%
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Monthly Report
30 June 2025
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Non contractual document
Monthly Report
30 June 2025
Region: Malta
Europe 96.60%
Global 3.40%
Total: 100.00%
Regional Allocation***
as at 30/06/2025
***except cash
Equities 79,2 %
Bonds & Money Market 20,8 %
Total: 100,0 %
Asset Allocation
as at 30/06/2025
Equity
Regional Allocation
as at 30/06/2025
Europe 96.14%
Global 3.86%
Total: 100.00%
Ethical 100.00%
Total: 100.00%
as at 30/06/2025
Bonds
Strategy Allocation
HSBC RIF!
SRI DYNAMIC
Main Lines
Main decisions taken during the month
EUR Share Class A
Non contractual document
-0.12% -0.02%
-2.91% -0.14%
1.31% 0.05%
2.01% 0.07%
-3.64% -0.12%
1
2
3
4
5
31.05%
Weight
Monthly
Performance*
Performance
Contribution**
Bonds
Equities
Equities
Equities
Equities
Total
* Monthly return in Euro of underlying funds is based on HSBC RESPONSIBLE INVESTMENT FUNDS - SRI DYNAMIC portfolio at the end of 06/30/2025 and
05/30/2025. The return is calculated with the following formula : end of month valuation ÷ preceding end of month valuation -1.
** The performance contribution is calculated as follows : monthly return x monthly average weight.
15.77%
4.61%
4.08%
3.35%
3.23%
Asset Class
HSBC Responsible Investment Funds - SRI Euro Bond
ZC
SAP SE
IBERDROLA SA
SCHNEIDER ELECTRIC SE
MUENCHENER RUECKVER AG-REG
New positions Asset Class Regional Zone
No new position over the period
Positions liquidated
Equities EuropeGERRESHEIMER AG
Positions added
Equities Europe
Money Market & Cash Europe
INFINEON TECH
HSBC SRI MONEY ZC
Positions reduced
Equities Europe
Equities Europe
Equities Europe
Equities Europe
Equities Europe
SAP SE
MICHELIN
MUENCHENER RUE-R
INDITEX
LVMH MOET HENNE
Monthly Report
30 June 2025
Region: Malta
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Non contractual document
Michelin (ML) is a French tire manufacturer with an international presence. With a 13% global market
share, it is one of the leading players in the sector. Europe accounts for 36% of sales, North America
39%, and Asia 20%.!
The group's activities are divided into three segments: tires for light vehicles and motorcycles, which
represent 54% of sales; tires for heavy goods vehicles and buses, which represent 24% of sales; and
specialty tires (for aviation, construction, agriculture, and mining) and certain "off-road" diversifications
(high-tech materials), which represent 22% of sales.!
With 128 production plants, the group has 129,800 employees in 63 countries globally. In FY24,
Michelin generated €27.2bn in revenue and reported NP of €1.9bn.
Stock of the Month
COMPAGNIE GENERALE DES ETABLISSEMENTS
MICHELIN
Environmental Pillar
In the Environmental pillar (50% of the rating), company scores higher, at 4.4 vs 3.8 for the sector. ML
has an integrated sustainability statement which lists down its environmental goals, targets and
initiatives. Its FY30 targets are: 47% reduction in Scope 1+2 emissions (90% by FY50), 10% reduction
in rolling resistance of tires, improve production plant energy efficiency by 24% versus 2019, recycle
>2mn t of PET waste every yr and 100% renewable or recycled materials in its tires (by 2050).!
In FY24, Michelin achieved 37% reduction in Scope 1+2 emissions in FY24 vs. 28% in FY23.
Additionally, 4.3% rolling resistance was reduced by Michelin its tires in FY24 (vs. 2.9% in FY23).
Circular economy forms a critical part of the environmental strategy with co. to increase % of recycled
materials in its tires (31% in FY24 vs. 28% in FY23). Investments committed to projects to support
resource circularity represented €12mn in 2024 and are budgeted at >€200mn over the next 5 years.!
Some of the circular economy projects include- i) Retreading (conserve raw materials by extending
useful life of casing), ii) BioButterfly Project (developing more environmentally friendly synthetic
rubbers), iii) Empreinte Project etc.100% of its operations are from business lines which have relatively
lower exposure to toxic emissions and waste intensities. Michelin has collected 88% of end-of-life tires
in FY24 in order to prevent harmful disposal into the environment.!
Tire manufacturing entails potential environmental risks tied to toxic emission discharges. 93% of
group’s plants are ISO 14001 certified in FY23 & it reduced VOC emissions by 31% vs FY19 level. Co.
has been involved in a severe ongoing controversy in FY24. It was amongst 13 tire manufacturers in
California allegedly accused of using a chemical “6PPD” in its tires which was poisoning watersheds in
West Coast and killing protected salmon and trout in violation of the Endangered Species Act.
Social Pillar
In the Social pillar (30% of the rating), company scores higher, at 5.4 vs 3.9 for the sector. ML has a
Supplier Code of Conduct in addition to its Sustainable and Responsible Purchasing Policy which lists
down the sustainability benchmarks and commitments to be adhered by all suppliers. The policy
requires the suppliers to perform sustainability assessments and authorise Michelin to conduct audits to
ensure compliance (including 3rd party assessments).!
Labour intensive operations of Michelin might entail relatively higher exposure to labour related risks.
The company ranks on par with its peers on best labour practices with annual engagement surveys and
performance-based pay. It undertook various projects to develop skillsets of its workers in the value
chain (helping improve living conditions thereby)- i) Cascade projects in Indonesia, ii) River project in
SL, iii) Mahakam project in Indonesia.!
Michelin has taken out specific insurance cover against the risk of product recalls and liability claims.
Business interruption insurance program provides a coverage of €1.5bn. In FY24, Michelin group had
~2 voluntary product recalls concerning 53 products (out of 200mn). It might face product liability risks
in case of quality lapses. We note that all manufacturing sites are ISO 9001 certified & detailed
contingency plans against disruptions.!
The group is involved in several moderate social controversies in FY24. In response to ML’s plans of
closing 2 plants in France, its workers went on a protest given likelihood of job losses. Additionally,
Michelin was amongst 4 tire manufacturers under investigation from the EU anti-trust regulation
commission over allegations of price fixing. It was also under a separate regulatory investigation in
India over allegations of involvement in bid-rigging in supply of tires for public vehicles.
Monthly Report
30 June 2025
Region: Malta
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Non contractual document
Michelin has one of the best ESG ratings in the automotive sector.
Governance Pillar
In the Governance pillar (20% of the rating), company scores higher, at 7.3 vs 5.0 for the sector. ML
has a two-tier board structure. Its Supervisory board consists of 11 members (45% are women and
89% being independent). It has segregated the roles of CEO and Chairperson (fully independent). Its
committees - Audit, CSR and Compensation & Appointments are fully independent.!
The company falls into the highest scoring range relative to its global peers, reflecting corporate
governance practices which appear to be aligned well with shareholder interests. It has a detailed code
of ethics called “Acting Ethically Every Day” which must be adhered to by all employees. We find
evidence of e-learning training program against corruption. Moreover, the group also has a
whistleblowing system encouraging anonymous reporting of violation of Code of Ethics.!
Michelin has an established Anti-Corruption Code of Conduct (COC) which is applicable to all
employees and indicates zero tolerance to corruption and bribery. It has an “Anti-Corruption
Compliance Program” as part of the overall Code of Conduct, designed to prevent bribery and
corruption. In FY24, ~79% of its employees receiving training on anti-corruption vs. 98% in FY23 (it
targets ~95% attendance rate by YE-26). Michelin did not report any case of violation of the anti-
corruption COC.!
However possible areas of concern arise from lack of a regular schedule of audits of ethical standards
and that its ethical standards training is only provided to permanent employees as against the best
practice of providing training to part time workers as well. We find no evidence of the company being
engaged in any governance related controversy in FY24.
Monthly Report
30 June 2025
Region: Malta
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Non contractual document
Issue of the Month
ING GROEP
ING is the leading banking group in the Netherlands in terms of balance sheet (around 1,000 billion
euros) and one of the largest banks in Europe with three main markets: the Netherlands, Belgium-
Luxembourg, where it ranks 2nd to 4th with market shares of around 15 to 30% depending on the
products (higher in retail banking) and finally, Germany, where the group is currently mainly a retail
bank (savings and investment products, mortgage loans).!
Its other international retail banking activities are concentrated in countries where ING has sufficient
critical mass, notably Poland, Romania, and Australia. In most countries, the group operates a
profitable digital banking model. ING's revenues come primarily from the retail banking segment.!
ING's corporate and investment banking (CIB) activities contributed approximately 30% of revenue in
2024 with corporate lending, payments and cash management activities in more than 35 countries.!
The credit profile is good, with an A+ rating which takes into account its diversified business mix (in
terms of geography and activities), its status as a systemic bank with improving profitability since 2022
(RoE around 13%/14%), good asset quality with a satisfactory provisioning coverage rate (NPL ratio at
1.8% for a coverage rate of 45%).!
And finally, thanks to adequate capital ratios (CET1 ratio of 13.6%), which should decrease but remain
at a satisfactory level. The bank plans to allocate its surplus capital either to its shareholders or to its
organic/external growth (development of SME banks in Germany, retail banking in Italy, etc.). On a
positive note, it is worth noting the sale of its activities in Russia to Global Development JSC (closing
Q3 2025).
With a good ESG rating, ING is eligible for the funds in our range, thanks to good environmental and
governance practices. However, improvements would be desirable regarding customer security,
including strengthening debt recovery procedures for borrowers in financial difficulty, as well as staff
training to protect consumer interests.
Environmental Pillar
ING Groep is very well positioned on the environmental front (25% of the score). The Board of Directors
fully integrates climate considerations into its long-term business strategy, demonstrating strong
commitment. All loans and financing transactions are analyzed to assess ESG risks, with credit policies
related to every sector/theme: agriculture, biodiversity, oil, etc., and the involvement of group credit risk
in ESG due diligence.!
There are, however, some controversies, such as the moderately significant and still ongoing one
concerning the alleged substantial financing of fossil fuel projects, despite climate commitments.
Social Pillar
In terms of social/societal performance (30% of the score), ING is average, leading most peers in staff
management practices, with notable initiatives regarding mangement and leadership training. The
group conducts annual employee morale and engagement surveys, and there is a grievance reporting
procedure. Employees benefit from non-salary compensation opportunities, although not all employees
are eligible for these benefits.!
Furthermore, the group is making efforts to increase public access to finance opportunities. As part of
its business, ING handles confidential information, and initiatives to improve the confidentiality and
security of sensitive data exist but appear insufficient. Like its peers, the group is exposed to
complaints, and controversies have been noted, such as regarding the reimbursement requests from
third-partyfraud victims in France. This case was concluded in 2024.!
.
Governance Pillar
In terms of governance (45% of the score), ING ranks significantly above its peers. All members of the
Board of Directors are completely independent, and the roles of Chairman of the Board and Chief
Executive Officer are clearly distinct. With a proportion of 33%, women are well represented on the
Board of Directors. It is also noted that the Board includes an independent audit committee and an
equally independent pay committee.!
ING's business ethics practices include a detailed anti-corruption policy, supported by board-level
oversight of standards. However, there are threats related to weaknesses in its anti-money laundering
procedures. On a positive note, whistleblowers are protected.
Monthly Report
30 June 2025
Region: Malta
Non contractual document
Fund Manager Commentary
For illustrative purpose only, the fund manager commentary and analysis are a global view of the
recent evolution of the economic conditions. This is a support which does not constitute neither an
investment advice nor a recommendation to buy or sell investment. This commentary is not the result of
investment research. It has not been prepared in accordance with legal requirements designed to
promote the independence of investment research and is not subject to any prohibition on dealing
ahead of its dissemination. Any forecast, projection or target where provided is indicative only and is
not guaranteed in any way. HSBC Global Asset Management (France) accepts no liability for any
failure to meet such forecast, projection or target.
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1
Economic Environment
Overall, the month of June closes with contrasting performance across asset classes. Global equity
markets are slightly positive, with different dynamics across regions. US equities outperformed, rising
by 1.5% in euros or 5.1% in dollars, following their April trough and the MSCI EMU index drop 0.73%.!
On the economic side, total inflation in the euro area slowed to 1.9% year-on-year, while the core part
is stable at 2.3%. Activity remains sluggish in industry and services with a composite purchasing
managers’ index remaining stable at 50.2, allowing the European Central Bank (ECB) to cut key
interest rates by an additional 25 basis points.!
By contrast, in the US, the Federal Reserve has maintained the status quo on policy rates,
underscoring the relative weakness of leading indicators and price uncertainty stemming from the US
administration’s tariff measures.!
In the eurozone, a yield squeeze has been observed with a 10-year German rise from 2.5% to 2.6%,
driven by the ECB’s more neutral rhetoric.
ESG-Climate Analysis
Integrating extra-financial criteria into stock-picking resulted in significantly higher exposure to ESG
criteria than in the investment universe (6.88 vs. 6.17). The lead is most marked in the E (7.67 vs. 6.8)
pillar. The fund has a smaller carbon footprint than its investment universe.
Performance & current holdings
The performance is negative in absolute and slightly lower than that of the investment universe.
Overall, the slight underweight in equities had no significant impact. Our European stock choices had a
positive contribution to the fund's relative performance.!
The sector allocation had a negative contribution to the fund's relative performance due to
overexposure to food retail, telecoms, and business services, as well as underexposure to capital
goods, energy, and semiconductors. Positive contributions came from overexposure to real estate and
underexposure to consumer staples, pharmaceuticals, and consumer durables.!
Our stock choices had a positive contribution to the fund's relative performance, particularly in capital
goods (Saint Gobain, Kion, Legrand, Rexel), banking (Erste, KBC, Société Générale), consumer
durables (Kering), telecoms (Elisa, Orange), media (Publicis), and utilities (Acciona Renovables, Edp).!
Negative contributions came from automotive (Michelin), financial services (Deutsche Boerse),
pharmaceuticals (Gerresheimer, Merck), software (SAP), consumer staples (Henkel), and specialty
retail (Inditex).!
International diversification had a positive impact on absolute performance but a negative impact on
relative performance due to our preference for European equities. The HSBC RIF Global Equity fund
underperformed international equities over the month.!
On the bond side, the absolute and relative contribution was positive, with a stronger contribution from
the private debt portion of our investments.
Outlook
The rebound in equities was fueled by progress in trade negotiations, expansionary fiscal policies, and
securities purchases by US private investors. First-quarter results remained solid, although indications
for 2025 were somewhat subdued.!
Nonetheless, the outlook for equity indices still seems very sensitive to the decisions of the US
administration, so tariffs, but also the increase in budgetary spending and the deregulation of certain
activities.!
With a moderate slowdown in global growth, a lack of political visibility, and ECB approaching the end
of its downward cycle, we keep a modest positive stance on sovereign yields and credit from the
investment grade category which offers a decent yield.
Region: Malta
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Monthly Report
30 June 2025
HSBC RIF!
SRI DYNAMIC EUR Share Class A
Monthly Report
30 June 2025
Region: Malta
Non contractual document
Fund DetailsImportant Information
Document can be intended for non professional investors as defined by MIFID
The material contained herein is for information only and does not constitute investment advice or a
recommendation to any reader of this material to buy or sell investments. There are risks involved with
this type of investment. Investors and potential investors should read and note the risk warnings in the
prospectus and relevant Key Investor Information Document (KIID). Past performance of investments
is not necessarily a guide to future performance and the value of investments and any income from
them can go down as well as up and you may not get back the amount you originally invested. The
rate of currency exchange, where applicable, may cause the value of such investments to go down as
well as up. Investments in emerging markets are by their nature higher risk and potentially more
volatile than those inherent in established markets. You should view this investment as medium to
long-term, and should plan to keep it for at least three years.!
!
HSBC Responsible Investment Funds (the Funds) are marketed in Malta in terms of the Directive on
Undertakings for Collective Investment Schemes in Transferable Securities (UCITS). All applications
are made on the basis of the relevant and current Fund prospectus, the KIID of the related Fund and
the most recent annual and semi-annual reports (when available), which can be obtained upon request
free of charge from HSBC Bank Malta p.l.c which is licensed to conduct Investment Services business
by the Malta Financial Services Authority.!
!
The Funds are manufactured by HSBC Global Asset Management (France) (the Portfolio Management
Company) - RCS n°421 345 489 (Nanterre). The Portfolio Management Company is authorised by the
French regulatory body AMF (n° GP-99026). Postal address: 75419 Paris cedex 08. Offices: Immeuble
cœur Défense - 110, esplanade du Général de Gaulle - La Défense 4 - France. The Portfolio
Management Company has appointed HSBC Global Asset Management (Malta) Ltd, 80 Mill Street,
Qormi, QRM 3101 as the Distributor of the Fund with the right to appoint sub-distributors. In Malta, the
Funds are distributed to Investors through HSBC Bank Malta p.l.c. (a sub-distributor of HSBC Global
Asset Management (Malta) Ltd).!
!
Approved and issued by HSBC Global Asset Management (Malta) Ltd, Business Banking Centre, 80,
Mill Street, Qormi QRM 3101. Company Reg No: C26053 which is licensed to provide investment
services in Malta by the Malta Financial Services Authority under the Investment Services Act.!
!
The information contained herein is subject to change without notice. All non-authorised reproduction
or use of this commentary and analysis will be the responsibility of the user and will be likely to lead to
legal proceedings. This document has no contractual value and is not by any means intended as a
solicitation, nor an investment advice for the purchase or sale of any financial instrument in any
jurisdiction in which such an offer is not lawful. The commentary and analysis presented in this
document reflect the opinion of HSBC Global Asset Management (France) on the markets, according
to the information available to date. They do not constitute any kind of commitment from HSBC Global
Asset Management (France). For illustrative purpose only, the Fund manager commentary and
analysis are a global view of the recent evolution of the economic conditions. This is a support which
does not constitute neither an investment advice nor a recommendation to buy or sell investment. This
commentary is not the result of investment research. It has not been prepared in accordance with legal
requirements designed to promote the independence of investment research and is not subject to any
prohibition on dealing ahead of its dissemination. Any forecast, projection or target where provided is
indicative only and is not guaranteed in any way. HSBC Global Asset Management (France) accepts
no liability for any failure to meet such forecast, projection or target. Consequently, HSBC Global Asset
Management (France) will not be held responsible for any investment or disinvestment decision taken
on the basis of the commentary and/or analysis produced in this document. All data come from HSBC
Global Asset Management (France) unless otherwise specified. Any third party information has been
obtained from sources we believe to be reliable, but which we have not independently verified.!
!
Capital is not guaranteed. It is important to remember that the value of investments and any income
from them can go down as well as up and is not guaranteed. The performance figures relate to the
past performance which should not be seen as an indication of future returns. The capital invested in
the Funds can increase or decrease and is not guaranteed. Future returns will depend, inter alia, on
market conditions, Fund manager’s skill, Funds risk level and fees.!
!
Any subscription to any Fund described in this document must be made on the basis of the information
available in the Prospectus, KIID and Factsheet, which may be obtained from all branches of HSBC
Bank Malta p.l.c. or by visiting the Distributor’s website at www.assetmanagement.hsbc.com.mt
Document updated on 08/07/2025
Copyright © 2025. HSBC Global Asset Management (France). All rights reserved.
Legal Form
SICAV regulated under French law
Investment horizon
5 years
Investment univers
20% Bloomberg Euro Aggregate 500 MM + 75%
MSCI EMU (EUR) NR + 5% MSCI World (EUR)
Dividend Policy
(AC): Accumulation Shares
*Start Date of Management
30/09/2019
Base Currency
EUR
Valuation
Daily
Dealing / Payment Date
Daily - D (Business Day)
Initial Fee / Exit Fee
2.00% / Nil
Minimum Initial Investment
Thousandths of shares
Portfolio Management Company
HSBC Global Asset Management (France)
Custodian
Caceis Bank
Central Paying Agent
Caceis Bank
ISIN Code
(AC): FR0013443165
Fees
Real internal management fees!
1.35% inc. taxes !
Maximum internal management fees!
1.35% inc. taxes !
