HSBC closes abs funds

“We exposed, said the expenditure and cancelling from portions to the protection of the investors” HSBC Trinkaus counsel Norbert Stabenow of the FTD. Abs funds invest into forderungsbesicherte securities (ate Backed Securities, ABS), which are tradable to high price discounts in the current liquidity crisis at the credit markets partly only.

The market is so illiquide that no fair selling price calculation is possible at present, said Leonhard Fröhling, director/conductor of the institutional business with HSBC Investments. “The soil quality of the papers is uncritical according to our opinion. But we do not want that the Illiquidität determines the evaluation.” The fund is invested to approximately four per cent in the market for soil quality-weak US uS-Hypotheken (Subprime Mortgages) - “however only in the better classes 2005 and before it”, Fröhling said. The soil quality of the securities in the fund is solid with the average note A/BBB+.