Private markets funds that provide partial liquidity have changed the face of the market, broadening the options for clients, according to HSBC, which has expanded its offering of open-ended funds recently.
‘They have been the game-changers for the industry in terms of accessibility they bring to the investors,’ Lavanya Chari, global head of products at HSBC, told Citywire.
Until recently, HSBC’s private banking clients could only access private markets through closed-ended funds, which require the expertise of managing capital calls, distributions and commitments, for example. Added to that is the complexity of measuring performance, with internal rate of return figures not always giving investors the full picture.