HSBC adds gilt fund to passive range

HSBC Global Asset Management plans to add two new trackers to its growing range of passive funds.

The HSBC UK Gilt Index fund will look to track the FTSE-A British Government Gilt All Stocks Index. The fund, which subject to regulatory approval will launch in June, will aim to track the index on a total return basis before charges and tax are deducted. It will have a total expense ratio of 0.25% and minimum investment of £1,000 lump sum or £50 of monthly savings. HSBC is also considering a global bond index tracker but says the product is still in the early stages of development. The group has made a number of passive additions in recent weeks, including the FTSE 250 ETF.