HSBC has launched sterling retail and institutional share classes on its Ucits AdvantEdge fund of hedge funds.
The sterling classes will comply with the new reporting tax regime for offshore funds, allowing UK investors to be taxed at capital gains rather than income tax rates on disposal of their interests.
Their launch follows the HSBC UCITS AdvantEdge fund's initial launch of four share classes in October 2009: euro, US dollar, euro institutional, and US dollar institutional.
These classes are intended to cater for the non-UK market and income is therefore rolled-up within the share classes. The fund has already raised $53m since October 2009.
HSBC Alternative Investments CEO Chris Allen says: "The sterling classes will allow UK investors to gain maximum benefit from the opportunities to participate in the hedge fund sector offered by the HSBC UCITS AdvantEdge fund.
"The hedge fund industry is leaner and fitter as we enter 2010 and as weaker performers continue to withdraw we believe the remaining providers will reap the rewards from their stronger platforms in the coming months."
