HSBC Global Liquidity Funds plc...HSBC Global Liquidity Funds plc Unaudited Interim Financial...

HSBC Global Liquidity Funds plc Unaudited Interim Financial Statements for the financial period ended 31 October 2017

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HSBC GLOBAL LIQUIDITY FUNDS PLC

(A variable capital umbrella investment company with segregated liability between the sub-funds with registered number 306643)

HSBC Sterling Liquidity Fund HSBC US Dollar Liquidity Fund

HSBC Euro Liquidity Fund HSBC Canadian Dollar Liquidity Fund

Unaudited Interim Financial Statements for the financial period ended 31 October 2017

Contents

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General Information ................................................................................................................................................. 3

Investment Managers’ Reports ............................................................................................................................... 4

Statement of Financial Position ............................................................................................................................. 12

Statement of Comprehensive Income ................................................................................................................... 17

Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares .................... 20

Statement of Cash Flows ...................................................................................................................................... 23

Notes to the Financial Statements ........................................................................................................................ 26

Portfolio Statements .............................................................................................................................................. 45

Statement of Significant Portfolio Changes ......................................................................................................... 60

Company’s Remuneration Policy ......................................................................................................................... 64

Securities Financing Transactions Regulation (SFTR) Interim Report Disclosures ............................................. 66

General Information

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Directors: Irish Legal Advisers: Peter Blessing, Chairman (Irish)* A & L Goodbody Desmond Miller (Irish)* 25/28 North Wall Quay Angus Schumacher (Australian)** IFSC Dublin 1 * Independent non-executive director Ireland ** Non-executive director Registered Office: Sponsoring Broker: Goodbody Secretarial Limited Matheson 25/28 North Wall Quay 70 Sir John Rogerson’s Quay IFSC Dublin 2 Dublin 1 Ireland Ireland Global Distributor/Global Service Independent Auditor: Provider/United Kingdom Representative: KPMG HSBC Global Asset Management (UK) Limited 1 Harbourmaster Place 78 St James’s Street IFSC London SW1A 1EJ Dublin 1 United Kingdom Ireland Investment Managers: Administrator and Registrar: For HSBC Sterling Liquidity Fund and HSBC BNY Mellon Fund Services (Ireland) Designated Euro Liquidity Fund: Activity Company HSBC Global Asset Management (France) One Dockland Central Immeuble Coeur Défense - Tour A Guild Street 110 Esplanade du Général de Gaulle - La Défense 4 IFSC 75419 Paris Dublin 1 France Ireland For HSBC US Dollar Liquidity Fund and HSBC Depositary: Canadian Dollar Liquidity Fund: BNY Mellon Trust Company (Ireland) Limited HSBC Global Asset Management (USA) Inc. One Dockland Central 452 Fifth Avenue Guild Street 7th Floor IFSC New York NY 10018 Dublin 1 USA Ireland Secretary: Swiss Paying Agent: Goodbody Secretarial Limited HSBC Private Bank (Suisse) SA 25/28 North Wall Quay Quai des Bergues 9-17 IFSC P.O. Box 2888 Dublin 1 CH-1211 Genève 1 Ireland Switzerland Swiss Representative: HSBC Global Asset Management (Switzerland) Ltd Gartenstrasse 26 P.O. Box CH-8002, Zurich Switzerland

Investment Managers’ Reports

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HSBC Sterling Liquidity Fund

Market review:

The six-month period was generally a positive one for global economies and markets. Most core government bond yields rose (moving inversely to prices), amid a fair amount of volatility. The hunt for yield meant that higher-risk fixed-income assets, such as corporate bonds, outperformed government issues, but with higher levels of volatility.

In August, tensions with North Korea drove investors in search of less risky assets, particularly gold and high-quality fixed-income investments. While this ‘flight to quality’ was short-lived, geopolitical factors were very much in focus globally in the second half of the period. Central banks were in the spotlight as well, and were perceived as becoming more hawkish over the period: the US Federal Reserve raised its rates in June and announced it would begin to reduce the size of its balance sheet; the ECB indicated it would wind down its quantitative easing programme; and futures markets priced in a rate hike from the BoE at its November meeting. While most regions struggled with low inflation, the UK was the notable exception – inflation rose to 3.0% by the end of the period, well above the BoE’s target rate of 2.0%.

In the UK, Prime Minister Theresa May called a general election for June in the hope of consolidating her party’s majority. However, the gamble backfired − the Conservatives failed to keep their majority, and agreed to a controversial deal with Northern Ireland’s Democratic Unionist Party, while Mrs May was left facing a possible leadership challenge within her party amid stalled Brexit negotiations with the EU. While far from robust, quarterly GDP figures remained in positive territory, rather than sliding into the recession expected immediately following the EU referendum last summer.

Overall, UK bonds recovered through much of the first half of the period, before yields moved materially higher in the final months. The BoE’s monthly corporate bond purchasing scheme, which began in September 2016, buying up to £10 billion per month in corporate bonds, helped to underpin that market. High-yield and investment-grade bonds followed government bonds higher, and only towards the end of the period did the rhetoric from the BoE change. The central bank kept interest rates unchanged but prospects of an interest rate hike and/or the scaling back of the quantitative easing programme led to UK bond markets selling off and yields rising. With stagflation (falling growth/rising inflation) a real prospect in the UK, bond markets were weak at the end of the period, while sterling rallied.

Portfolio review

At the beginning of the semester, markets had been expecting the BoE to leave interest rates and QE unchanged. The reasoning being the uncertainty surrounding Brexit negotiations and the knock-on effects that this would have in terms of lower investment and below trend growth in the years ahead. The Bank was also thought to take a rather benign look at inflation as this was driven mainly by external factors and from the FX effect. However, this position became less evident to support as the economy posted reasonably strong, albeit weakening growth, and unemployment dropped to a 45 year low of 4.3%. In this context, the Bank changed its rhetoric in September and started to clearly signal that a rate hike was on the cards in the months ahead.

Our investment strategy during the past six months was largely based on the premise that the Bank would not move on interest rates this year. This meant that at the start of the period we had been terming out investments and running a barbell type strategy. However, following the change in the Bank’s guidance, we looked to shorten the WAM as much as possible, and from mid-September onwards we looked to build cash balances using short term instruments.

During the period under review, there has been little change in the asset type profile of the sub-fund. Fixed rate commercial paper and certificate of deposits component of the sub-fund has fluctuated in a relatively narrow band of between 60% and 70% of assets. The tenor of these holdings has been stable out to a maximum maturity of 12 months with a large percentage of assets held in short dates and sizeable portions of holdings being termed out to the beginning of 2018 so as to avoid having assets over the turn. Where we have termed out investments, in many instances this has been done using Libor indexed securities.

There have been very few changes to our credit lists during the past six months in terms of both recommendations, maximum tenors, deletions and additions. However, a number of changes were made due to issuers being temporarily frozen, mainly due to geopolitical considerations.

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The trend we have seen over previous periods of more issuers looking to attract funding only in longer dated maturities continued in the period under review. This phenomenon, combined with an ever narrower universe of investable names (for instance, due to actions undertaken by rating agencies) has made investing more troublesome, particularly at month end or quarter end.

We continue to use Asset Backed Commercial Paper (ABCP) as a means to manage short dated holdings (mainly one month and under) as these products offer an attractive yield pick-up compared to banks in this space. However, this asset class is monitored closely and we have a “soft cap” in place and investments are limited to 10% of the sub-fund.

The WAM was maintained at a relatively stable level throughout of around 51 days whilst dropping to a low of 43 days at the end of the period. The WAL of the sub-fund has decreased slightly from 61 days to 53 days at the end of October.

HSBC Global Asset Management (France) – 17 November 2017

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HSBC US Dollar Liquidity Fund Market review:

The US dollar moved lower over the six-month period relative to a basket of currencies, with the notable exception of the euro. Yields on the benchmark US Treasury ended the period incrementally higher, after a volatile six months that saw yields dip to nearly 2.0% in September. The hunt for yield meant that higher-risk fixed-income assets, such as corporate bonds, outperformed government issues, but with higher levels of volatility. Overall, the US economy remained sound; annualised GDP growth as of the second quarter of 2017 was revised up to 3.1%, beating the original estimate of 3.0%. Unemployment remained low, at 4.2% for September, its lowest level since 2000. Inflation dropped to 1.6% in June, before edging back up to 2.2% for September.

The Fed voted for another 25-basis-point interest-rate increase in June, its second of the year, to bring the target rate to 1.25%, and is expected to hike rates once more this year, at its December meeting. The Fed further announced that, in October, it would begin to scale down its massive balance sheet, which had been inflated by the bank bailouts that accompanied the global economic crisis nearly 10 years ago, and subsequent quantitative easing. The incumbent Fed chair, Janet Yellen, was one of the candidates in the running as President Trump announced he had begun interviewing for the position; shortly after the period under review ended, the job went to Fed governor Jerome Powell. Also making headlines was the news that Congressional Republicans would finally be introducing long-awaited tax-reform legislation, which, if passed, is expected to significantly cut the tax bill for US corporations.

At several points over the second half of the reporting period, tensions between the US president and North Korea sent investors in search of less risky assets, particularly gold and high-quality fixed-income investments, such as US Treasuries. While these ‘flights to quality’ were short-lived, geopolitical factors were back on the radar. In addition to the Fed’s actions, other central banks were perceived as becoming more hawkish over the period, with the ECB indicating that it would wind down its quantitative easing programme, and futures markets pricing in a rate hike from the BoE at its November meeting.

Portfolio review:

The industry continues to evolve in this new era of money market reform. Following the epic migration out of Prime money market funds into Government money market funds in 2016, assets have been trickling back into the prime space. As of the end of October 2017, Prime money market funds have grown by $74.3 billion, or 20.1% on a year-to-date basis. Total on-shore Prime fund assets are now up to $637.2 billion, while off-shore US Dollar Prime Funds have now reached $453.4 billion. The yield spread between Prime and Government money market funds has remained in a fairly stable range of between 25 – 35 basis points.

During the reporting period the Fed raised interest rates once in mid- June, making this a total of two rate hikes so far in this calendar year with one more generally expected at the December FOMC. The Fed decided to raise the target range of the federal funds rate by 25bp to 1.00% - 1.25% in mid-June in what is now the customary well telegraphed approach. At the time, The FOMC indicated that it will tighten monetary policy further this year by unwinding some of the quantitative easing that it had put in place during the financial crisis and its aftermath. Fed Chair Janet Yellen mentioned that ‘if the economy evolves as expected,” then balance sheet disinvestment could commence ‘relatively soon”. It was our belief that the FOMC would not want to commit to tightening rates in September while introducing this second monetary tool. For that reason, we felt that the next expected rate hike would be postponed until December, and that appears to be the appropriate investment stance at this point

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The portfolio has spent much of the third and fourth quarters positioning for a December interest rate hike with the potential for several more to take place in 2018, as both growth and inflation start to perform in the direction that the Fed has been overly-anticipating for quite some time now. In order to achieve this, the sub-fund maintained it heavy weighting in floating rate securities, specifically Libor based agency floating rate issuance. Although spreads continued to narrow on this product throughout a prolonged period following the fall-out from money market reform, the relative value remained strong due to slightly elevated Libor levels. When the Fed raised rates, first in mid-December 2016 and then twice in 2017, once in mid-March, and again in mid-June the sub-fund was well positioned between short time deposit maturities (overnight to one week) and monthly Libor floaters that were resetting at higher levels throughout the periods leading up to the interest rate tightening. Additionally, any fixed rate term investments that were placed beyond and anticipated periods of interest rate tightening, were only done when the sub-fund was being paid accordingly (meaning the projected rate hike was being priced into the interest rate being offered on that security).

HSBC Global Asset Management (USA) Inc. – 17 November 2017

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HSBC Euro Liquidity Fund

Market review

The six-month period was generally a positive one for global economies and markets. Most core government bond yields rose (moving inversely to prices), amid a fair amount of volatility. The hunt for yield meant that higher-risk fixed-income assets, such as corporate bonds, outperformed government issues, but with higher levels of volatility.

In August, tensions with North Korea drove investors in search of less risky assets, particularly gold and high-quality fixed-income investments. While this ‘flight to quality’ was short-lived, geopolitical factors were very much in focus globally during the second half of the period. Central banks were in the spotlight as well, and were perceived as becoming more hawkish (in favour of measures to slow economic growth): the US Federal Reserve (Fed) raised interest rates in June and announced it would begin to reduce the size of its balance sheet; futures markets priced in a rate hike from the Bank of England (BoE) at its November meeting; and the European Central Bank (ECB) indicated it would wind down its quantitative easing (QE) programme.

This announcement from the ECB signalled a move towards ‘normalisation’ following years of massive economic stimulus after the global financial crisis, one that will involve the scaling down of QE in the form of reduced bond purchases. Although the exact details were not announced until shortly after the period under review ended, investors were assured by the ECB that any changes would be slow and measured.

Eurozone economic growth came in at 0.6% for the second quarter, driven by household consumption and exports, although inflation remained low at between 1.3−1.5% during the six months under review. The euro ended the period slightly higher, though it fell from its high versus sterling in September as political risk again rose to the fore. German chancellor Angela Merkel retained her job in September, albeit in an election that was far closer than had been predicted. The far-right ‘AfD’ party took 13% of the vote and will become the third-largest party in the Bundestag, bookending a six-month period that began with the elation regarding French President Emmanuel Macron’s victory over his extremist right-wing opponent. The Catalan independence movement in Spain dealt a further blow to the currency’s relative value.

Portfolio review

During the period under review, the investment profile of the sub-fund has remained conservative. The Investment Manager’s priority continues to be the preservation of capital and to maintain a high degree of liquidity at all times.

Excess liquidity surplus has continued to increase, more or less following the pace of ECB QE. In this context, credit spread has continued to tighten and the performance of the sub-fund have moved in step and have slightly decreased over the period under review. As QE has been recently extended until September 2018, we are not expecting this situation to change in a near future.

We have maintained our policy of restricting most of the investments to a six month maximum limit with a large percentage of assets held in even shorter dates. However, as the appetite from issuers for very short maturities has decreased (with more and more issuers not looking at all for any maturities below 6 months) we have slightly changed our strategy by keeping more cash in overnight and increasing our longer exposure in higher credit quality names.

When we extend investments beyond 6 month, we continue to favour high quality internally rated issuers. Over the reporting period, there have only been minor changes to our credit lists.

In terms of asset mix, the investment managers tend to hold between 30% and 40% of the sub-fund between natural overnight liquidity and ultra-liquid assets (agencies, T-bills, supranational). For the remaining portion of the sub-fund, investments have been mainly in bonds, certificates of deposit and commercial paper.

The Euro Over Night Index Average (EONIA) is still under pressure as excess liquidity remains ample in the market. The EONIA has fluctuated between -0.33% and -0.37% during the period under review.

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The sub-fund’s Weighted Average Life (WAL) increased from 64 days at the end of April 2017 to 67 days on 31 October 2017, but was on averaged 62 days over the reporting period, while the Weighted Average Maturity (WAM) was on average at 45 days.

HSBC Global Asset Management (France) – 17 November 2017

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HSBC Canadian Dollar Liquidity Fund

Market review:

The Canadian dollar surged relative to the US dollar over the period under review, owing to Canada’s growing economy and rising interest rates, as well as weakness in the US currency. In July, the Bank of Canada (BoC) raised its target overnight rate to 0.75%, a 25-basis-point (bps) jump, the first such increase in seven years. That move had been well signalled, but in September, the central bank surprised observers with a second 25 bps hike, bringing the benchmark lending rate to 1.0%. The statement from the BoC cited stronger-than-expected economic growth and the view that the country’s economy growth had become more self-sustaining.

Although Canada’s inflation rate ticked up to 1.6% for September, it remains below the bank’s 2.0% target; however, investors are expecting another rate hike before the end of 2018.

Yields on Canadian 10-year bonds moved higher against the backdrop of rising interest rates. The consumer price inflation print for September marks the highest rate in five months, as transportation and shelter costs moved higher. However, the annual core inflation rate, which is calculated by the BoC and does not include fuel, remained at 1.1%. With the BoC leaving the target interest rate unchanged at its October meeting, the Canadian dollar fell back to a three-month low relative to the US dollar. GDP growth for the second quarter of 2017 was up by 1.1% (4.5% annualised), marking the most robust quarterly gain in six years, driven by household consumption and exports, while the unemployment rate fell to 6.2% for August and September.

A year ago, after the election of Donald Trump, the North American Free Trade Agreement (NAFTA) appeared to be under threat; the protectionist president-elect had campaigned on a promise to secure more favourable terms for the US or scrap the deal. Starting in August, representatives from Canada, the US, and Mexico began a series of meetings around the renegotiation of NAFTA’s terms, but by late October, lack of progress led to the talks being extended to 2018. Approximately 76% of Canada’s exports go the United States, mostly in the form of automobiles; thus, the outcome of the renegotiations will be a closely watched story, as they could have a profound effect on the Canadian economy.

Portfolio review

During the period under review, the sub-fund maintained an asset mix that has consisted predominantly of fixed-rate banker acceptances and fixed and floating rate bonds with maximum maturity tenors of one year. The primary maturity range during the reporting period was limited to the 1-3 month range, with some opportunistic extensions in 3-12 month securities within a select group of issuers in order to provide strong liquidity.

The sub-fund invests in high-quality global banking, financial, corporate, provincial and Canadian government debt issuers. Canadian government, agency and provincial obligations, including Canadian Treasuries, represented roughly 45% of the sub-fund’s assets at throughout most of the reporting period. Canadian issuers continue to show strong credit fundamentals and market liquidity.

The sub-fund’s WAM was around 45 days at the start of the reporting period as a neutral market stance was maintained. However the prevailing sentiment quickly shifted towards the end of the second quarter as the BoC Governor Stephen Poloz, as well as other central bank staff, began to send out signals that a rate hike might be pending. July saw the BoC raise its policy rate by 25 basis points to 0.75%, and again in September by another 25 basis points to a rate of 1.00%. As a result, the Bank essentially reversed the emergency 50 basis points of rate cuts from 2015 in response to the decline in oil prices. The tone of the July and September statements were hawkish and seems consistent with a central bank in the early stages of a more extensive tightening cycle. The sub-fund ended the reporting period with a modestly shorter WAM of 29 days as a shorter investment strategy was adopted to take advantage of a rising rate environment.

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The portfolio continued to be managed as if there was a mild chance that rates would be raised one more time at some point late in 2017. Banking and corporate issuance has started to expand on the front-end in order to meet as the increased demand for shorter dated maturities as portfolios attempt to shorten their maturity horizon. One of the investment tools that is useful as rates start to rise is to hold floating rate securities. The reset on these type of securities usually take place in either one or three month intervals that are generally pegged to the CDOR index. This helps capture a potential rate hike on a timelier basis, rather than having to move an entire portfolio to select dates when attempting to anticipate central bank actions. The Investment Manager continues to monitor the market’s overall health and to manage the sub-fund accordingly whilst maintaining the focus on safety and liquidity.

HSBC Global Asset Management (USA) Inc. – 17 November 2017

Statement of Financial Position

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)

As at As at As at As at 31 October 2017 30 April 2017 31 October 2017 30 April 2017



HSBC US Dollar Liquidity Fund


Note Stg£ Stg£ US$ US$ Assets 0 Transferable securities 0 5,179,052,666 5,230,552,483 18,747,560,062 19,887,022,578Deposits with credit institutions 0 1,048,100,000 1,668,800,000 6,170,000,000 6,042,000,000Financial assets at fair value through profit or loss 2(c),6,7 6,227,152,666 6,899,352,483 24,917,560,062 25,929,022,578Cash and cash equivalents 3 74,519 703,594 384,822 874,721Accrued interest income 3,023,537 1,653,504 12,519,272 15,815,255Total assets 0 6,230,250,722 6,901,709,581 24,930,464,156 25,945,712,554 0 Liabilities 0 Due to broker 0 – – (499,542,416) (34,896,925)Accrued management fees 5 (791,711) (801,118) (2,200,162) (2,263,571)Distributions payable 2(e) (906,012) (1,175,891) (23,941,203) (20,308,582)Total liabilities 0 (1,697,723) (1,977,009) (525,683,781) (57,469,078) 0 Net assets attributable to holders of redeemable participating shares 0 6,228,552,999 6,899,732,572 24,404,780,375 25,888,243,476

The accompanying notes form an integral part of the Financial Statements.

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As at

31 October 2017As at

30 April 2017As at


30 April 2017





Stg£ Stg£ US$ US$Redeemable participating shares in issue

- A Shares 4 1,451,873,896 1,657,159,777 4,310,583,593 5,895,555,408- B Shares 4 458,719 1,843,340 74,579,615 74,865,856- C Shares 4 138,108,303 98,519,287 134,720,399 227,802,174- D Shares 4 101,543,225 101,515,061 22,471,414 86,251,883- E Shares 4 5,027,728 407,427 237,974,207 173,476,334- F Shares 4 605,790,633 537,587,856 3,027,645,666 3,534,744,568- G Shares 4 760,540,710 514,052,646 928,391,257 860,114,508- H Shares 4 2,548,549,330 3,266,058,631 9,796,380,770 9,433,192,130- I Shares 4 – – 28,836 28,836

- K Shares 4 6,728,111 93,882,373 1,277 1,277- L Shares 4 139,896,261 168,324,323 750,375,652 533,336,124- Y Shares 4 52,337,545 105,042,352 270,431,891 381,422,159- Z Shares 4 325,510,419 278,479,665 4,802,759,655 4,613,421,126

Net asset value per redeemable participating share

- A Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- B Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- C Shares 12 Stg£1.40 Stg£1.40 US$1.24 US$1.23- D Shares 12 Stg£1.36 Stg£1.36 US$1.19 US$1.18- E Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- F Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- G Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- H Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- I Shares 12 – – US$1.01 US$1.01

- K Shares 12 Stg£1.01 Stg£1.01 US$1.02 US$1.01- L Shares 12 Stg£1.01 Stg£1.01 US$1.02 US$1.01- Y Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00- Z Shares 12 Stg£1.00 Stg£1.00 US$1.00 US$1.00


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As at As at As at As at 31 October 2017 30 April 2017 31 October 2017 30 April 2017

HSBC Euro

Liquidity Fund HSBC Euro

Liquidity Fund

HSBC Canadian Dollar Liquidity

Fund


Fund Note € € CAD$ CAD$ Assets 0 Transferable securities 0 3,960,398,209 3,827,299,629 109,689,892 143,403,854Deposits with credit institutions 0 1,122,300,000 1,648,495,000 37,300,000 26,700,000Financial assets at fair value through profit or loss 2(c),6,7 5,082,698,209 5,475,794,629 146,989,892 170,103,854Cash and cash equivalents 3 40,777 55,653 60,461 53,467Accrued interest income 4,871,425 3,924,711 66,525 40,957Due from brokers 50,217,382 69,078,573 – –Total assets 0 5,137,827,793 5,548,853,566 147,116,878 170,198,278 0 Liabilities 0 Due to broker 0 (46,810,556) (34,017,785) – –Accrued management fees 5 (404,431) (426,444) (12,876) (14,332)Distributions payable 2(e) – – (104,189) (69,120)Total liabilities 0 (47,214,987) (34,444,229) (117,065) (83,452) 0 Net assets attributable to holders of redeemable participating shares 0 5,090,612,806 5,514,409,337 146,999,813 170,114,826


15

As at


30 April 2017As at


30 April 2017

HSBC Euro

Liquidity FundHSBC Euro

Liquidity Fund


Fund


Fund € € CAD$ CAD$Redeemable participating shares in issue

- A Shares 4 1,385,683,668 1,808,192,952 34,130,932 27,696,719- B Shares 4 984,401 986,904 – –- C Shares 4 81,023,447 78,422,797 2,000,000 –- D Shares 4 9,870,929 8,215,433 – –- E Shares 4 39,949,694 – – –- F Shares 4 187,481,171 229,827,934 36,062,619 35,961,035- G Shares 4 544,329,119 558,655,475 2,839,894 2,136,411- H Shares 4 2,690,271,232 2,551,563,277 20,218,063 55,198,916- K Shares 4 2,010,165 – 8,000,200 –- L Shares 4 122,278,932 247,784,595 2,474,171 6,885,106- Z Shares 4 6,669,521 11,703,569 41,216,266 42,181,181

Net asset value per redeemable participating share

- A Shares 12 €1.00 €1.00 CAD$1.00 CAD$1.00- B Shares 12 €1.00 €1.00 – –- C Shares 12 €1.23 €1.24 CAD$1.00 –- D Shares 12 €1.21 €1.21 – –- E Shares 12 €1.00 – – –- F Shares 12 €1.00 €1.00 CAD$1.00 CAD$1.00- G Shares 12 €1.00 €1.00 CAD$1.00 CAD$1.00- H Shares 12 €1.00 €1.00 CAD$1.00 CAD$1.00- K Shares 12 €1.00 – CAD$1.00 –- L Shares 12 €0.99 €1.00 CAD$1.01 CAD$1.01- Z Shares 12 €1.00 €1.00 CAD$1.00 CAD$1.00


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As at As at 31 October 2017 30 April 2017 Combined1 Combined1

Note Stg£ Stg£Assets 0 Transferable securities 0 22,834,976,153 23,926,053,454Deposits with credit institutions 0 6,700,662,431 7,749,392,761Financial assets at fair value through profit or loss 2(c),6,7 29,535,638,584 31,675,446,215Cash and cash equivalents 3 435,396 1,457,455Accrued interest income 16,763,276 17,223,793Due from brokers 44,052,244 58,333,539Total assets 0 29,596,889,500 31,752,461,002 0 Liabilities 0 Due to broker 0 (417,239,092) (55,718,635)Accrued management fees 5 (2,810,822) (2,920,185)Distributions payable 2(e) (18,995,559) (16,923,420)Total liabilities 0 (439,045,473) (75,562,240) 0 Net assets attributable to holders of redeemable participating shares 0 29,157,844,027 31,676,898,762

Note: 1. The combined figures use the closing rate exchange rates for the financial period (see Note 8 for rates). The accompanying notes form an integral part of the Financial Statements.

Statement of Comprehensive Income

17

n

Six MonthFinancial

Period ended

Six MonthFinancial

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Six MonthFinancial

Period ended 31 October 2017 31 October 2016 31 October 2017 31 October 2016

HSBC SterlingLiquidity Fund




Note Stg£ Stg£ US$ US$Income Interest income 2(d) 11,273,890 18,690,457 164,772,785 78,563,541Negative yield expense 2(m) – – – –Total income 0 11,273,890 18,690,457 164,772,785 78,563,541 0 Operating expenses 0 Management fees 2(i),5 (4,938,548) (5,711,867) (14,073,246) (15,109,120)Total operating expenses 0 (4,938,548) (5,711,867) (14,073,246) (15,109,120) 0 Finance costs 0 Distribution to holders of redeemable participating shares paid 0 (5,046,450) (10,345,746) (121,367,877) (49,992,314)Distribution to holders of redeemable participating shares payable 0 (906,012) (1,607,455) (23,941,203) (11,299,206)Total finance costs 0 (5,952,462) (11,953,201) (145,309,080) (61,291,520) 0 Changes in net assets attributable to holders of redeemable participating shares 0 382,880 1,025,389 5,390,459 2,162,901

There are no recognised gains or losses for the financial period other than those set out in the above Statement of Comprehensive Income. All activities relate to continuing operations. The accompanying notes form an integral part of the Financial Statements.

18

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

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HSBC Euro


Liquidity Fund


Fund


Fund Note € € CAD$ CAD$Income Interest income 2(d) 250,073 301,673 620,037 707,022Negative yield expense 2(m) (10,051,379) (5,792,759) – –Total income 0 (9,801,306) (5,491,086) 620,037 707,022 0 Operating expenses 0 Management fees 2(i),5 (2,265,031) (1,355,059) (83,485) (135,325)Total operating expenses 0 (2,265,031) (1,355,059) (83,485) (135,325) 0 Finance costs 0 Distribution to holders of redeemable participating shares paid 0 – – (391,086) (477,267)Distribution to holders of redeemable participating shares payable 0 – – (104,189) (81,413)Total finance costs 0 – – (495,275) (558,680) 0 Changes in net assets attributable to holders of redeemable participating shares 0 (12,066,337) (6,846,145) 41,277 13,017

There are no recognised gains or losses for the financial period other than those set out in the above Statement of Comprehensive Income. All activities relate to continuing operations. The accompanying notes form an integral part of the Financial Statements.

19

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended 31 October 2017 31 October 2016 Combined1 Combined1

Note Stg£ Stg£Income Interest income 2(d) 138,281,806 78,166,730Negative yield expense 2(m) (8,904,175) (4,842,943)Total income 0 129,377,631 73,323,787 0 Operating expenses 0 Management fees 2(i),5 (17,792,126) (18,234,177)Total operating expenses 0 (17,792,126) (18,234,177) 0 Finance costs 0 Distribution to holders of redeemable participating shares paid 0 (98,395,211) (48,047,488)Distribution to holders of redeemable participating shares payable 0 (19,336,278) (10,113,571)Total finance costs 0 (117,731,489) (58,161,059) 0 Changes in net assets attributable to holders of redeemable participating shares 0 (6,145,984) (3,071,449)

Note: 1. The combined figures use the average exchange rates for the financial period (see Note 8 for rates). There are no recognised gains or losses for the financial period other than those set out in the above Statement of Comprehensive Income. All activities relate to continuing operations. The accompanying notes form an integral part of the Financial Statements.

Statement of Changes in Net Assets Attributable to Holders of

Redeemable Participating Shares

20

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial



HSBC SterlingLiquidity Fund



Note Stg£ Stg£ US$ US$ 0 Change in net assets attributable to holders of redeemable participating shares 0 382,880 1,025,389 5,390,459 2,162,901 0 Capital transactions Issue of redeemable participating shares 2(g) 21,535,708,683 26,109,592,279 71,416,021,094 57,418,220,603Redemption of redeemable participating shares 2(g) (22,210,914,918) (26,432,152,589) (73,012,053,132) (58,665,522,115)Dividends reinvested 2(e) 3,643,782 6,338,444 107,178,478 46,500,479Net decrease from capital transactions 0 (671,562,453) (316,221,866) (1,488,853,560) (1,200,801,033) 0 Net assets attributable to holders of redeemable participating shares at the start of the financial period 6,899,732,572 6,956,853,195 25,888,243,476 21,818,583,035 0 0 Net assets attributable to holders of redeemable participating shares at the end of the financial period 6,228,552,999 6,641,656,718 24,404,780,375 20,619,944,903


21

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial


HSBC Euro


Liquidity Fund


Fund


Fund Note € € CAD$ CAD$ 0 Change in net assets attributable to holders of redeemable participating shares 0 (12,066,337) (6,846,145) 41,277 13,017 0 Capital transactions Issue of redeemable participating shares 2(g) 14,098,490,542 13,789,921,030 94,626,731 135,042,384Redemption of redeemable participating shares 2(g) (14,510,220,736) (12,426,107,076) (118,216,790) (183,980,774)Dividends reinvested 2(e) – – 433,769 532,006Net (decrease)/increase from capital transactions 0 (411,730,194) 1,363,813,954 (23,156,290) (48,406,384) 0 Net assets attributable to holders of redeemable participating shares at the start of the financial period 5,514,409,337 3,442,998,987 170,114,826 247,394,979 0 0 Net assets attributable to holders of redeemable participating shares at the end of the financial period 5,090,612,806 4,799,966,796 146,999,813 199,001,612


22

led

Six MonthFinancial

Period ended

Six MonthFinancial


Note Stg£ Stg£ 0 Change in net assets attributable to holders of redeemable participating shares 0 (6,145,984) (3,071,449) 0 Capital transactions Issue of redeemable participating shares 2(g) 88,872,981,335 80,703,261,494Redemption of redeemable participating shares 2(g) (91,151,515,680) (80,847,539,477)Dividends reinvested 2(e) 86,131,735 41,457,380Net decrease from capital transactions 0 (2,192,402,610) (102,820,603) 0 Net assets attributable to holders of redeemable participating shares at the start of the financial period 31,676,898,762 24,689,876,986 0 Currency adjustment 2(b) (320,506,141) 3,378,158,472 0 Net assets attributable to holders of redeemable participating shares at the end of the financial period 29,157,844,027 27,962,143,406

Note: 1. The combined figures use the average exchange rates for the financial period (see Note 8 for rates). The accompanying notes form an integral part of the Financial Statements.

Statement of Cash Flows

23

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial


HSBC Sterling

Liquidity FundHSBC SterlingLiquidity Fund



Stg£ Stg£ US$ US$Cash flows from operating activities 0 Purchase of financial assets 0 (247,536,451,688) (226,845,590,263) (755,782,073,228) (639,800,590,470)Proceeds from sale of financial instruments 0 248,213,389,908 227,195,663,373 757,299,545,256 640,994,734,335Interest income received 0 5,165,454 11,018,074 126,704,747 74,901,488Management fees paid 0 (4,947,955) (5,841,159) (14,136,655) (15,713,580)Net cash inflow from operating activities 0 677,155,719 355,250,025 1,630,040,120 1,253,331,773 Cash flows from financing activities 0 Proceeds from redeemable participating shares issued 0 21,535,708,683 26,109,592,279 71,416,021,094 57,418,220,603Cost of redeemable participating shares redeemed 0 (22,210,914,918) (26,432,152,589) (73,012,053,132) (58,665,522,115)Distributions paid 0 (2,578,559) (6,347,796) (34,497,981) (12,354,795)Net cash (outflow) from financing activities 0 (677,784,794) (328,908,106) (1,630,530,019) (1,259,656,307) 0 Net (decrease)/increase in cash and cash equivalents 0 (629,075) 26,341,919 (489,899) (6,324,534) 0 Cash and cash equivalents at the beginning of the financial period 0 703,594 1,347,296 874,721 7,729,329 0 Effects of exchange rate changes on the balance of cash held in foreign currencies and other foreign currency transactions 0 – – – – 0 Cash and cash equivalents at the end of the financial period 0 74,519 27,689,215 384,822 1,404,795


24

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended

Six MonthFinancial


HSBC Euro


Liquidity Fund


Fund


Fund € € CAD$ CAD$Cash flows from operating activities 0 Purchase of financial assets 0 (229,647,289,614) (155,658,201,690) (4,845,232,288) (6,324,478,195)Proceeds from sale of financial instruments 0 230,061,382,081 154,299,565,661 4,868,673,416 6,372,994,700Interest income received 0 (90,105) (3,932,592) 267,303 504,177Management fees paid 0 (2,287,044) (1,262,319) (84,941) (140,393)Net cash inflow/(outflow) from operating activities 0 411,715,318 (1,363,830,940) 23,623,490 48,880,289 Cash flows from financing activities 0 Proceeds from redeemable participating shares issued 0 14,098,490,542 13,789,921,030 94,626,731 135,042,384Cost of redeemable participating shares redeemed 0 (14,510,220,736) (12,426,107,076) (118,216,790) (183,980,774)Distributions paid 0 – – (26,437) (45,010)Net cash (outflow)/inflow from financing activities 0 (411,730,194) 1,363,813,954 (23,616,496) (48,983,400) 0 Net (decrease)/increase in cash and cash equivalents 0 (14,876) (16,986) 6,994 (103,111) 0 Cash and cash equivalents at the beginning of the financial period 0 55,653 54,015 53,467 107,897 0 Effects of exchange rate changes on the balance of cash held in foreign currencies and other foreign currency transactions 0 – – – – 0 Cash and cash equivalents at the end of the financial period 0 40,777 37,029 60,461 4,786


25

Six MonthFinancial

Period ended

Six MonthFinancial


Stg£ Stg£Cash flows from operating activities 0 Purchase of financial assets 0 (1,033,714,205,097) (839,611,498,630)Proceeds from sale of financial instruments 0 1,035,936,202,777 839,747,578,598Interest income received 0 102,454,970 64,096,236Management fees paid 0 (17,870,551) (18,741,385)Net cash inflow from operating activities 0 2,306,582,099 181,434,819 Cash flows from financing activities 0 Proceeds from redeemable participating shares issued 0 88,872,981,335 80,703,261,494Cost of redeemable participating shares redeemed 0 (91,151,515,680) (80,847,539,477)Distributions paid 0 (29,061,686) (15,623,300)Net cash (outflow) from financing activities 0 (2,307,596,031) (159,901,283) 0 Net (decrease)/increase in cash and cash equivalents 0 (1,013,932) 21,533,536 0 Cash and cash equivalents at the beginning of the financial period 0 1,457,455 6,729,007 0 Effects of exchange rate changes on the balance of cash held in foreign currencies and other foreign currency transactions 0 (8,127) 613,467 0 Cash and cash equivalents at the end of the financial period 0 435,396 28,876,010

Note: 1. The combined figures use the average exchange rates for the financial period (see Note 8 for rates). The accompanying notes form an integral part of the Financial Statements.

Notes to the Financial Statements

26

1. General Information

HSBC Global Liquidity Funds plc (the “Company”) was incorporated in the Republic of Ireland as a public limited company on 13 May 1999 under the Companies Act 2014.

The Company is an open-ended investment company with variable capital which has been authorised by the Central Bank of Ireland under the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations.

The Company is organised in the form of an umbrella fund with segregated liability between sub-funds. Each sub-fund has a distinct portfolio of investments. There are currently eleven approved sub-funds, four of which were active at the financial period end.

The Directors suspended applications for shares in HSBC Euro Government Liquidity Fund with effect from 15 June 2012 by way of a resolution and all of the shares were redeemed on 15 July 2012. This sub-fund has not yet been formally liquidated nor has an application for termination of approval been made to the Central Bank.

The Company has eighteen main classes of shares, thirteen of which are active as at 31 October 2017. All active share classes with the exception of share classes Y and Z are listed on the Irish Stock Exchange.

The Company’s investment objective is to seek to provide investors with security of capital together with a competitive investment return and liquidity by investing in a diversified portfolio of short term securities, instruments and obligations which the Global Service Provider (HSBC Global Asset Management (UK) Limited) considers to be of high quality.

2. Significant Accounting Policies (for pagination)

The principal accounting policies adopted by the Company and applied consistently to all periods presented in the Financial Statements are as follows:

(a) Basis of accounting

Fair value accounting has been applied to derivatives and also to other financial assets designated at fair value through profit or loss, as permitted under company law. All other assets and liabilities are stated at cost or amortised cost as appropriate or redemption amount (redeemable shares).

Standards and amendments to existing standards effective 1 May 2017

There are no standards, interpretations or amendments to existing standards that are effective for the first time for the financial period beginning 1 May 2017 had a material impact on the Company.

New standards, amendments and interpretations effective after 1 May 2017 that have not been early adopted.

There were no new standards adopted in the current period. The following standards and amendments to existing standards that may be relevant to investment funds, have been issued to date and are not yet effective for the financial statements of the Company for the financial period ended 31 October 2017 and have not been applied or early adopted in preparing these financial statements.

IFRS 9, Financial Instruments

IFRS 9, published in July 2014 will replace the existing guidance in IAS 39. It includes revised guidance on the classification and measurement of financial instruments, including a new expected credit loss model for calculating impairment of financial assets, and the new general hedge accounting requirements. It also carries forward the guidance on recognition and derecognition of financial instruments from IAS 39. IFRS 9 is effective for annual reporting periods beginning on or after 1 January 2018. Based on the initial assessment, this standard is not expected to have a material impact on the Company.

27

(b) Foreign currency translation

The functional and presentational currency of the Company is British Pound (Stg£). The assets and liabilities at the date of the Financial Statements of HSBC US Dollar Liquidity Fund and HSBC Canadian Dollar Liquidity Fund are denominated in US Dollar (US$) and Canadian Dollar (CAD$) respectively and in Euro (€) for HSBC Euro Liquidity Fund. For the purpose of foreign exchange rate determination these sub-funds are considered to be foreign operations of the Company. Monetary assets and liabilities denominated in other currencies are translated at the exchange rates prevailing at the Statement of Financial Position date. Non monetary assets and liabilities that are measured at fair value are translated at the exchange rates prevailing at the dates the fair values are determined. Transactions in other currencies during the financial period are translated at the rates ruling at the date of the transaction. The resulting profits or losses are dealt with in the Statement of Comprehensive Income. The Statement of Cash Flows is prepared on a similar basis.

For the purpose of combining the Financial Statements of the HSBC Sterling Liquidity Fund, HSBC US Dollar Liquidity Fund, HSBC Euro Liquidity Fund and HSBC Canadian Dollar Liquidity Fund of the Company, amounts in the Statement of Financial Position have been translated into British Pounds at the US Dollar exchange rate of 1.327950 ruling at 31 October 2017 (30 April 2017: 1.292850), the Euro exchange rate of 1.139950 ruling at 31 October 2017 (30 April 2017: 1.184200) and the Canadian Dollar exchange rate of 1.711850 ruling at 31 October 2017 (30 April 2017: 1.765700). The amounts in the Statement of Comprehensive Income as well as proceeds from the subscription and redemption of shares in the Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares have been translated at the average US Dollar exchange rate of 1.303417 (31 October 2016: 1.340024) for the HSBC US Dollar Liquidity Fund, the average Euro exchange rate of 1.128839 (31 October 2016: 1.199047) for the HSBC Euro Liquidity Fund and the average Canadian Dollar exchange rate of 1.673980 (31 October 2016: 1.746184) for the HSBC Canadian Dollar Liquidity Fund. The method of translation has no effect on the Net Asset Value per share attributable to the individual sub-funds.

A foreign currency adjustment arises in the Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares from re-translation of the opening net assets at the financial period end exchange rate. The method of translation has no effect on the value of the net assets allocated to the individual sub-funds. This foreign currency adjustment was a loss of Stg£320,506,141 for the financial period ended 31 October 2017 (31 October 2016: gain of Stg£3,378,158,472).

(c) Financial assets and liabilities at fair value through profit or loss

(i) Classification and Recognition

IAS 39 (revised) sets out the requirements for recognition and measurement of all financial assets and financial liabilities including derivative instruments. The Company has classified all financial instruments as financial assets or financial liabilities at fair value through profit or loss in accordance with IAS 39 on the basis that the assets are managed on a fair value basis in accordance with a documented investment strategy and information about the group of assets is provided internally on that basis.

The category of financial assets and financial liabilities at fair value through profit or loss comprises:

Financial instruments designated at fair value through profit or loss. These include Bankers Acceptances, Certificates of Deposit, Commercial Papers, Corporate Bonds, Floating Rate Notes, Government Bonds, Treasury Bills, Treasury Notes/Bonds, Call Deposits and Time Deposits.

Financial assets that are categorised as loans and receivables include cash at bank which are generally short term in nature. This category also includes securities sold receivable, brokers and accounts receivable.

Financial liabilities that are not at fair value through profit or loss include securities purchased payable, redemptions payable, distributions payable, bank overdrafts, accounts payable and financial liabilities arising on redeemable shares.

The Company recognises financial assets and financial liabilities on the date it becomes a party to the contractual provisions of the instrument, and all significant rights and access to the benefits from the assets, and the exposure to the risks inherent in those benefits, are transferred to the Company.

28

A regular way purchase or sale of financial assets or financial liabilities is recognised using trade date accounting. From this date, any gains and losses, arising from changes in fair value of the financial assets or financial liabilities, classified as at fair value through profit or loss are recorded with the realised gains/losses calculated using a First-In, First Out (“FIFO”) method.

(ii) Measurement

Financial instruments are measured initially at fair value (transaction price) plus, in case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition or issue of the financial asset or financial liability. Transaction costs on financial assets and financial liabilities at fair value through profit or loss are expensed immediately.

Subsequent to initial recognition, all instruments classified at fair value through profit or loss are measured at fair value with changes in their fair value recognised in profit or loss in the Statement of Comprehensive Income.

Financial liabilities, arising from the redeemable shares issued by the Company, are carried at the redemption amount representing the shareholders’ right to a residual interest in the Company’s assets.

(iii) Estimation of fair value after initial recognition

The estimation of fair value, after initial recognition, is determined as follows:

The fair value of financial instruments is based on their quoted market prices, in an active market, at the Statement of Financial Position date without any deduction for estimated future selling costs. Financial assets and liabilities are priced at current mid prices, or quoted market prices at the close of trading on the reporting date.

If a quoted market price in an active market is not available on a recognised stock exchange or from a broker / dealer for non-exchange-traded financial instruments, the fair value of the instrument is estimated using valuation techniques, including use of recent arm’s length market transactions, reference to the current fair value of another instrument that is substantially the same, discounted cash flow techniques, option pricing models or any other valuation technique that provides a reliable estimate of prices obtained in actual market transactions.

Where discounted cash flow techniques are used, estimated future cash flows are based on management’s best estimates and the discount rate used is a market rate at the Statement of Financial Position date applicable for an instrument with similar terms and conditions. Where other pricing models are used, inputs are based on market data at the Statement of Financial Position date.

(iv) Transfers between levels of the fair value hierarchy

Transfers between levels of the fair value hierarchy are deemed to have occurred at the beginning of the reporting financial period.

(v) Impairment of assets not at fair value

Financial assets that are stated at cost or amortised cost are reviewed at each Statement of Financial Position date to determine whether there is objective evidence of impairment. If any such indication exists, an impairment loss is recognised in profit or loss in the Statement of Comprehensive Income as the difference between the asset’s carrying amount and the present value of estimated future cash flows discounted at the financial asset’s original effective interest rate.

(vi) Derecognition

A financial asset is derecognised when the contractual right to receive cash flows from the financial asset has expired or the Company has transferred substantially all risks and rewards of ownership. A financial liability is derecognised when the obligation specified in the contract has been discharged, cancelled or expired.

(vii) Offsetting

Financial assets and financial liabilities are offset and the net amount reported in the Statement of Financial Position where there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis, or realise the assets and settle the liability simultaneously.

29

(viii) Specific instruments

Cash at bank & deposits with credit institutions

Cash and cash equivalents at bank comprises cash in hand and deposits repayable on demand with any qualifying financial institution. These deposits are considered repayable on demand if they can be withdrawn at any time without notice and without penalty or if a maturity or financial period of notice of not more than 24 hours has been agreed.

Call Deposits and Time Deposits are included in financial assets at fair value through profit or loss on the Statement of Financial Position.

Reverse repurchase agreements

When the Company purchases a financial asset and simultaneously enters into an agreement to resell the same or substantially similar asset at a fixed price on a future date (‘reverse repo’), the arrangement is accounted for as a money market instrument and is recognised in the Statement of Financial Position as financial assets at fair value through profit or loss and the underlying asset is not recognised in the Company’s Financial Statements.

(d) Interest income

Interest income and expense is recognised in the Statement of Comprehensive Income as it accrues, using the original effective interest rate of the instrument calculated at the acquisition or origination date.

Interest income includes the amortisation of any discount or premium, or other differences between the initial carrying amount of an interest-bearing instrument and its amount at maturity calculated on an effective interest rate basis.

Interest income includes such income arising on debt instruments at fair value through profit or loss, accrued using the original effective interest rate and recorded in the interest income line in the Statement of Comprehensive Income.

(e) Distributions

It is the policy of the Company to declare daily dividends and distribute them on a monthly basis, out of the accumulated revenue (consisting of all revenue accrued including interest and dividends) less expenses of a sub-fund on income shares, whilst the policy on accumulation shares is not to pay dividends, but to retain the net income attributable to the accumulation shares within the relevant sub-fund. The following details the active share classes at the financial period end which are income shares and accumulation shares.

Income Shares Accumulation sharesHSBC Sterling Liquidity Fund A Shares C Shares

B Shares D SharesE Shares K SharesF Shares L SharesG Shares

H Shares Y Shares Z Shares HSBC US Dollar Liquidity Fund A Shares C Shares

B Shares D Shares E Shares I Shares F Shares K Shares G Shares L Shares H Shares Y Shares Z Shares HSBC Euro Liquidity Fund A Shares C Shares

B Shares D Shares E Shares K Shares F Shares L Shares G Shares H Shares Z Shares

30

Income Shares Accumulation sharesHSBC Canadian Dollar Liquidity Fund A Shares C Shares

F Shares K SharesG Shares L Shares

H Shares Z Shares

Holders of redeemable participating shares have the option to have distributions re-invested in a sub-fund or to receive a cash distribution. Cash distributions will be paid by electronic funds transfer.

(f) Cash flow statement

The Company has prepared a Statement of Cash Flows using the direct method, whereby major classes of cash receipts and payments related to operating activities are disclosed.

(g) Redeemable shares

The Company has issued thirteen classes of redeemable shares. All redeemable shares issued by the Company provide the investors with the right of redemption for cash at the value proportionate to the investor’s share in the Company’s net assets at the redemption date. Such instruments give rise to a financial liability for the present value of the redemption amount.

Redeemable shares are issued and redeemed at the holder’s option at prices based on the sub-funds’ net asset value per share at the time of issue or redemption. The sub-fund’s net asset value per share is calculated by dividing the net assets attributable to the holders of each class of redeemable shares with the total number of outstanding redeemable shares for each respective class. In accordance with the provisions of the Company’s regulations, investment positions are valued based on the last traded market price for the purpose of determining the net asset value per share for subscriptions and redemptions.

Instructions for redemptions received by the Administrator up to the dealing deadline on a dealing day will be dealt with on that business day. Instructions of redemptions received after the dealing deadline will be dealt with on the following dealing day. Redemption requests will not be processed until the original application form and supporting documents have been received and cleared. The Company reserves the right to determine the redemption price of shares in the sub-funds based on the Net Asset Value per Share at the valuation point on the relevant dealing day if the Company in its absolute discretion determines that a Shareholder is purchasing or selling shares in a sub-fund in order to gain an unfair advantage. A Redemption Fee of up to 3% of the Net Asset Value per Share may be charged at the discretion of the Directors. Such a Redemption Fee would only be charged in exceptional circumstances, such as during periods of severe market stress, when the cost of liquidating assets to meet redemption requests may result in material losses to the Company, to the disadvantage of shareholders who remain invested in the Company.

The Company reserves the right to charge a redemption fee of 0.10% in respect of the sub-funds if the Company in its absolute discretion determines that the shareholder is purchasing or selling shares in a sub-fund on considerations of a short term nature or for trading or arbitrage purposes.

(h) Key estimates and assumptions

The preparation of the Financial Statements requires management to make judgments, estimates and assumptions that affect the application of policies and the reported amount of assets and liabilities, income and expense. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from those estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the financial period in which the estimates are revised and in any future periods affected. Information about significant areas of estimates, uncertainty and critical judgements in applying accounting policies that have the most significant effect on amounts recognised in the Financial Statements include:

31

Fair value of financial instruments: As indicated many of the Company’s financial instruments are measured at fair value on the Statement of Financial Position and it is usually possible to determine their fair values within a reasonable range of estimates. Fair value estimates are made at a specific point in time, based on market conditions and information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgement (e.g. interest rates, volatility, estimated cash flows etc.) and therefore, cannot be determined with precision.

(i) Expenses

In accordance with the Prospectus, management fees are charged to profit or loss in the Statement of Comprehensive Income on an accruals basis.

(j) Due from/to Brokers

Amounts due from/to brokers represent payables for securities purchased and receivables for securities sold that have been contracted for but not yet delivered by the financial period end. These amounts are recognised initially at fair value and subsequently measured at amortised cost, less provision for impairment for amounts due from brokers. A provision for impairment of amounts due from brokers is established when there is objective evidence that the Company will not be able to collect all amounts due from the relevant broker. Significant financial difficulties of the broker, probability that the broker will enter bankruptcy or financial reorganisation, and default in payments are considered indicators that the amount due from brokers is impaired. Once a financial asset or a group of similar financial assets has been written down as a result of an impairment loss, interest income is recognised using the rate of interest used to discount the future cash flows for the purpose of measuring the impairment loss. There was no impairment loss in the current or prior financial period.

(k) Transaction Costs

Transaction costs are incurred on the acquisition or disposal of financial assets or liabilities at fair value through profit or loss. They include fees and commissions paid to agents, advisors, brokers and dealers. Transaction costs when incurred are expensed immediately and are included within net gain/loss on financial assets and liabilities at fair value through profit or loss in the Statement of Comprehensive Income.

(l) Unconsolidated structured entities

Pursuant to IFRS 12, “Disclosure of interests in other entities”, the Company has concluded that the non-subsidiary unconsolidated structured entities, namely Asset Backed Securities and Mortgage Related Structured Products in which it invests, but that it does not consolidate, meet the definition of structured entities because:

the voting rights in the structured entities are not dominant rights in deciding who controls them because they relate to administrative tasks only;

each structured entities activities are restricted by its prospectus; and

the structured entity’s have narrow and well-defined objectives to provide investment opportunities to investors.

(m) Negative yield expense

Negative yield expense relating to interest from a negative effective interest rate on assets held is accreted daily and is recognised in profit or loss in the Statement of Comprehensive Income and Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares over the life of the underlying instrument.

3. Cash and Bank Overdraft

All cash balances and bank overdrafts at financial period end are held at the Depositary, BNY Mellon Trust Company (Ireland) Limited.

4. Taxation

The Company qualifies as an investment undertaking as defined in Section 739B of the Taxes Consolidation Act, 1997. Therefore, the Company will not be liable to Irish tax in respect of its income and gains, other than on the occurrence of a chargeable event. Generally a chargeable event arises on any distribution, redemption, repurchase, cancellation, transfer of shares or the ending of a ‘Relevant Period’. A ‘Relevant Period’ is an eight year period beginning with the acquisition of the shares by the shareholder and each subsequent period of eight years beginning immediately after the preceding Relevant Period.

32

A gain on a chargeable event does not arise in respect of:

i) any transactions in relation to shares held in a recognised clearing system as designated by order of the Revenue Commissioners of Ireland;

ii) an exchange of shares arising on a qualifying amalgamation or reconstruction of the Company with another fund;

iii) certain exchanges of shares between spouses and former spouses;

iv) an exchange by a shareholder, effected by way of an arm’s length bargain where no payment is made to the shareholder of Shares in the Company for other Shares in the Company; and

v) a shareholder who is not an Irish resident and not ordinarily resident in Ireland at the time of the chargeable event, provided the necessary signed statutory declarations are held by the Company;

vi) certain exempted Irish tax resident shareholders who have provided the Company with the necessary signed statutory declarations.

In the absence of an appropriate declaration, the Company will be liable for Irish tax on the occurrence of a chargeable event.

There were no chargeable events in the current or preceding financial period.

Capital gains, dividends and interest received may be subject to withholding taxes imposed by the country of origin and such taxes may not be recoverable by the Company or its shareholders.

5. Related Persons and Significant Contracts

The Company is a HSBC sponsored investment vehicle. The Company has entered into an investment management agreement with HSBC Global Asset Management (France) for the management of HSBC Sterling Liquidity Fund and HSBC Euro Liquidity Fund and with HSBC Global Asset Management (USA) Inc. for the management of HSBC US Dollar Liquidity Fund and HSBC Canadian Dollar Liquidity Fund (collectively the “Investment Managers”).

HSBC Global Asset Management (UK) Limited has been appointed as Global Service Provider to the Company. Under the terms of the Prospectus, the maximum amount which the Global Service Provider shall charge to the Company shall be capped at the following percentage per annum of the Net Asset Value of each sub-fund.

Share Class Cap A Shares 0.20% B Shares 0.40% C Shares 0.20% D Shares 0.40% E Shares 0.18% F Shares 0.15% G Shares 0.12% H Shares 0.10% I Shares 0.18% K Shares 0.12% L Shares 0.10% Y Shares 0.03%

No fee is payable by the Company in relation to the Z shares of each sub-fund. From this, the Global Service Provider shall discharge all fees and expenses, including any out of pocket expenses, to the Administrator, Depositary, Investment Manager, Company Secretary or any other entity appointed to provide services to the Company.

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The Global Service Provider has followed a voluntary policy of seeking to maintain a market competitive yield in respect of the sub-funds. This is achieved through the application of fee waivers when required. The positive yield target may vary from time to time at the discretion of the Global Service Provider. Global Service Provider fees waived during the six month financial periods ended 31 October 2017 and 31 October 2016 were as follows:

Six MonthFinancial

Period ended

Six MonthFinancial

Period ended 31 October 2017 31 October 2016HSBC Sterling Liquidity Fund Stg£63,940 Stg£19HSBC US Dollar Liquidity Fund US$– US$–HSBC Euro Liquidity Fund €1,564,491 €1,945,414HSBC Canadian Dollar Liquidity Fund CAD$– CAD$–Combined Stg£1,449,869 Stg£1,622,486

The above amounts are included within the Management fees on the Statement of Comprehensive Income.

The Company’s Directors are considered to be the key management personnel of the Company. Mr. Angus Schumacher is employed by HSBC Global Asset Management (UK) Limited.

During the financial periods ended 31 October 2017 and 31 October 2016, HSBC Global Asset Management (France), a related person to HSBC Global Liquidity Funds, acted as counterparty to a number of Time Deposits.

The Company has entered into an administration agreement with BNY Mellon Fund Services (Ireland) Designated Activity Company (the “Administrator”) under which the Administrator receives an administration fee payable by the Global Service Provider monthly in arrears.

BNY Mellon Trust Company (Ireland) Limited (the “Depositary”) receives a fee from the Global Service Provider based on the Net Asset Value of each sub-fund and on the number of transactions entered into by the sub-funds.

6. Financial Instruments and Associated Risks

In pursuing its investment objectives, the Company holds the following financial instruments: Bankers Acceptances, Certificates of Deposit, Commercial Papers, Corporate Bonds, Floating Rate Notes, Government Bonds, Treasury Bills, Treasury Notes/Bonds and Time Deposits.

(a) Market risk

The main risks arising from the Company’s financial instruments are market price, interest rate, foreign currency, liquidity and credit risks.

Market risk embodies the potential for both losses and gains and includes foreign currency risk, interest rate risk and price risk.

Market risk arises mainly from uncertainty about future prices of financial instruments held. It represents the potential loss a sub-fund might suffer through holding market position in the face of price movements.

The Investment Manager considers the asset allocation of the portfolio in order to minimise the risk associated with particular market sectors whilst continuing to follow a sub-fund’s investment objectives. Each sub-fund’s overall market position is monitored on a daily basis by the Investment Manager.

Each sub-fund’s investments are susceptible to market price risk arising from uncertainties about future prices of the instruments. Each sub-fund’s market price risk is managed through diversification of the investment portfolio.

There were no amendments to the Company’s procedures in managing risk from the previous financial period.

Global Exposure

The Investment Manager applies the commitment approach to measure the global exposure of all financial instrument positions of the Company. There were no derivative instruments held at financial period end.

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(b) Interest rate risk

As the Company may invest in fixed income securities. Any change to the relevant interest rates for particular securities may result in the Investment Manager being unable to secure similar returns on the expiry of contracts or the sale of securities. In addition, changes to prevailing interest rates or changes in expectations of future rates may result in an increase or decrease in the value of the securities held. In general, if interest rates rise, the value of the fixed income securities will decline. A decline in interest rates will, in general, have the opposite effect.

(c) Other price risk

Other price risk is the risk that the value of the financial investments will fluctuate as a result of changes in market prices, other than those arising from currency risk or interest rate risk whether caused by factors specific to an individual investment, its issuer or any other factor affecting financial investments in the market.

Price risk is managed by the sub-fund’s or Company’s Investment Managers by constructing a diversified portfolio of instruments.

To reduce the possibility of risk the Company on behalf of a sub-fund may employ techniques and instruments relating to transferable securities and/or other financial instruments in which it invests for efficient portfolio management purposes.

The sub-funds are designed for investors seeking security of capital and daily liquidity together with an investment return comparable to normal money market interest rates.

(d) Foreign currency risk

The sub-funds may invest in financial instruments and enter into transactions denominated in currencies other than its base currency. The sub-funds may therefore engage in currency transactions in order to hedge such transactions or financial instruments. Consequently the Company is exposed to risks that the exchange rate of its currency relative to other foreign currencies may change in a manner that has an adverse effect on the value of that portion of the Company’s assets or liabilities.

The currency risk is reviewed and managed on a daily basis by the Investment Manager, while the overall currency positions and exposures are monitored on a monthly basis by the Board of Directors.

There were no significant foreign currency exposures on any of the sub-funds as at 31 October 2017 and 30 April 2017.

(e) Liquidity risk

The Company’s constitution provides for the daily creation and cancellation of redeemable participating shares and each sub-fund is therefore exposed to the liquidity risk of meeting shareholder redemptions at any time. Each sub-fund therefore invests the majority of its assets in investments that are listed or traded on a recognised market, thus assets comprise realisable securities, which can be readily sold. In accordance with each sub-fund’s policy, the Investment Manager monitors each sub-fund’s liquidity position on a daily basis, and the Board of Directors reviews it on a quarterly basis.

(f) Credit risk

Credit risk is the risk that an issuer or counterparty will be unable to meet a commitment that it has entered into with the sub-fund. It is the Company’s policy to enter into financial instruments with a diversity of creditworthy counterparties. Therefore, the Company does not expect to incur material credit losses on its financial instruments.

The Company proposes to invest in short-term transferable securities which at the time of purchase have a credit rating of at least A-1/P-1 (or its equivalent) from a recognised credit rating agency such as Standard & Poor’s. In addition, it is the intention of the Directors to arrange for each sub-fund to maintain a “Triple A” rating from at least one of the most recognised rating agencies. The Directors will aim to ensure that each of the sub-funds will invest in securities which are consistent with maintaining this rating.

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The Company’s maximum exposure to credit risk (not taking into account the value of any collateral or other security held) in the event that counterparties fail to perform their obligations as of 31 October 2017 in relation to each class of recognised financial assets, other than derivatives, is the carrying amount of those assets as indicated in the Statement of Financial Position. The Company’s main credit risk concentration is spread over debt securities.

Substantially all of the assets of the Company are held by the Depositary. Depending on the requirements of the jurisdictions in which the investments of the sub-funds are issued, the Depositary may use the services of one or more sub-custodians. Bankruptcy or insolvency of the Depositary may cause the sub-fund’s rights with respect to securities held to be delayed. The Bank of New York Mellon has a AA- (30 April 2017: AA-) credit rating, as rated by Standard and Poor’s.

(g) Fair values of financial assets and financial liabilities

Bankers Acceptances, Commercial Papers, Corporate Bonds, Floating Rate Notes, Government Bonds, Treasury Bills and Treasury Notes/Bonds are valued at amortised cost, as an approximation of fair value. Certificates of Deposit and other negotiable instruments are valued on a “straight line” basis, as an approximation of fair value. Time Deposits and Reverse Repurchase Agreements are valued at cost which approximates fair value.

Many of the Company’s financial instruments are carried at fair value on the Statement of Financial Position. Usually the fair value of the financial instruments can be reliably determined within a reasonable range of estimates. For certain other financial instruments, including securities sold receivable/payable, other receivables, accounts payable and accrued expenses, the carrying amounts approximate fair value due to the immediate or short term nature of these financial instruments.

Estimation of fair values

The major methods and assumptions used in estimating the fair values of financial instruments are disclosed in Note 2 (c) (iii) of the Significant Accounting Policies section and in Note 7.

(h) Segregated Liability

The Company has segregated liability between its sub-funds and accordingly any liability incurred on behalf of or attributable to any sub-fund shall be discharged solely out of the assets of that sub-fund. As of the Statement of Financial Position date the Directors are not aware of any existing or contingent liability of any sub-fund of the Company.

7. Financial Instruments at Fair Value through Profit or Loss

Fair Value Estimation

The fair values of financial instruments traded in active markets (such as publicly traded derivatives and trading securities) are based on quoted market prices at the close of trading on the financial period end date.

An active market is a market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis.

A financial instrument is regarded as quoted in an active market if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service, or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arm’s length basis.

IFRS 13 requires the Company to classify fair value measurements using a fair value hierarchy that reflects the significance of the inputs used in making the measurements.

The carrying value less impairment provision of other receivables and payables are assumed to approximate their fair values. The fair value of financial liabilities for disclosure purposes is estimated by discounting the future contractual cash flows at the current market interest rate that is available to the Company for similar financial instruments.

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The fair value hierarchy has the following levels:

Listed prices (unadjusted) in active markets for identical assets or liabilities (level 1).

Inputs other than listed prices included within level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices) (level 2).

Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs) (level 3).

The level in the fair value hierarchy within which the fair value measurement is categorised in its entirety is determined on the basis of the lowest level input that is significant to the fair value measurement in its entirety. For this purpose, the significance of an input is assessed against the fair value measurement in its entirety. If a fair value measurement uses observable inputs that require significant adjustment based on unobservable inputs, that measurement is a level 3 measurement. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgement, considering factors specific to the asset or liability.

The determination of what constitutes ‘observable’ requires significant judgement by the Company. The Company considers observable data to be that market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.

The following tables analyse within the fair value hierarchy the Company's financial assets measured at fair value at 31 October 2017 and 30 April 2017. There were no financial liabilities measured at fair value at the financial period end.

HSBC Sterling Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total Stg£ Stg£ Stg£ Stg£Financial assets held at fair value through profit or loss Certificates of Deposit – 2,955,395,286 – 2,955,395,286Commercial Papers – 1,766,103,595 – 1,766,103,595Corporate Bonds – 116,848,815 – 116,848,815Floating Rate Notes – 147,508,908 – 147,508,908Time Deposits – 1,048,100,000 – 1,048,100,000Treasury Bills 193,196,062 – – 193,196,062Total investments 193,196,062 6,033,956,604 – 6,227,152,666

HSBC Sterling Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total Stg£ Stg£ Stg£ Stg£Financial assets held at fair value through profit or loss Certificates of Deposit – 3,448,180,887 – 3,448,180,887Commercial Papers – 1,512,075,626 – 1,512,075,626Floating Rate Notes – 270,295,970 – 270,295,970Time Deposits – 1,668,800,000 – 1,668,800,000Total investments – 6,899,352,483 – 6,899,352,483

HSBC US Dollar Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total US$ US$ US$ US$Financial assets held at fair value through profit or loss Certificates of Deposit – 7,199,425,379 – 7,199,425,379Commercial Papers – 11,223,134,683 – 11,223,134,683Floating Rate Notes – 325,000,000 – 325,000,000Time Deposits – 6,170,000,000 – 6,170,000,000Total investments – 24,917,560,062 – 24,917,560,062

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HSBC US Dollar Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total US$ US$ US$ US$Financial assets held at fair value through profit or loss Certificates of Deposit – 10,110,745,576 – 10,110,745,576Commercial Papers – 9,561,261,635 – 9,561,261,635Floating Rate Notes – 215,015,367 – 215,015,367Time Deposits – 6,042,000,000 – 6,042,000,000Total investments – 25,929,022,578 – 25,929,022,578

HSBC Euro Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total € € € €Financial assets held at fair value through profit or loss Certificates of Deposit – 1,963,160,075 – 1,963,160,075Commercial Papers – 1,348,270,539 – 1,348,270,539Corporate Bonds – 311,811,017 – 311,811,017Floating Rate Notes – 152,123,868 – 152,123,868Government Bonds – 20,491,843 – 20,491,843Time Deposits – 1,122,300,000 – 1,122,300,000Treasury Bills 40,093,761 30,152,957 – 70,246,718Treasury Notes/Bonds – 94,294,149 – 94,294,149Total investments 40,093,761 5,042,604,448 – 5,082,698,209

HSBC Euro Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total € € € €Financial assets held at fair value through profit or loss Certificates of Deposit – 1,687,129,251 – 1,687,129,251Commercial Papers – 1,493,908,545 – 1,493,908,545Corporate Bonds – 338,910,246 – 338,910,246Floating Rate Notes – 186,904,379 – 186,904,379Time Deposits – 1,648,495,000 – 1,648,495,000Treasury Bills 120,447,208 – – 120,447,208Total investments 120,447,208 5,355,347,421 – 5,475,794,629

HSBC Canadian Dollar Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total CAD$ CAD$ CAD$ CAD$Financial assets held at fair value through profit or loss Bankers Acceptances – 20,216,433 – 20,216,433Certificates of Deposit – 15,796,991 – 15,796,991Commercial Papers – 18,477,442 – 18,477,442Corporate Bonds – 1,651,412 – 1,651,412Floating Rate Notes – 4,711,787 – 4,711,787Government Bonds – 19,353,867 – 19,353,867Time Deposits – 37,300,000 – 37,300,000Treasury Bills – 29,481,960 – 29,481,960Total investments – 146,989,892 – 146,989,892

HSBC Canadian Dollar Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total CAD$ CAD$ CAD$ CAD$Financial assets held at fair value through profit or loss Bankers Acceptances – 26,370,481 – 26,370,481Certificates of Deposit – 6,497,627 – 6,497,627Commercial Papers – 44,587,179 – 44,587,179Corporate Bonds – 2,599,938 – 2,599,938Floating Rate Notes – 5,038,101 – 5,038,101Government Bonds – 13,358,721 – 13,358,721Time Deposits – 26,700,000 – 26,700,000Treasury Bills – 44,951,807 – 44,951,807Total investments – 170,103,854 – 170,103,854

There was no transfer between levels during the financial period ended 31 October 2017 and financial year ended 30 April 2017.

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The following table analyses within the fair value hierarchy the Company’s assets and liabilities (by class) not measured at fair value at 31 October 2017 and 30 April 2017 but for which fair value is disclosed:

HSBC Sterling Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total Stg£ Stg£ Stg£ Stg£Assets Cash and cash equivalents – 74,519 – 74,519Accrued interest income – 3,023,537 – 3,023,537Total – 3,098,056 – 3,098,056 Liabilities Accrued expenses and other liabilities – (1,697,723) – (1,697,723)Net assets attributable to holders of redeemable participating shares – (6,228,552,999) – (6,228,552,999)Total – (6,230,250,722) – (6,230,250,722)

HSBC Sterling Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total Stg£ Stg£ Stg£ Stg£Assets Cash and cash equivalents – 703,594 – 703,594Accrued interest income – 1,653,504 – 1,653,504Total – 2,357,098 – 2,357,098 Liabilities Accrued expenses and other liabilities – (1,977,009) – (1,977,009)Net assets attributable to holders of redeemable participating shares – (6,899,732,572) – (6,899,732,572)Total – (6,901,709,581) – (6,901,709,581)

HSBC US Dollar Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total US$ US$ US$ US$Assets Cash and cash equivalents – 384,822 – 384,822Accrued interest income – 12,519,272 – 12,519,272Total – 12,904,094 – 12,904,094 Liabilities Due to broker – (499,542,416) – (499,542,416)Accrued expenses and other liabilities – (26,141,365) – (26,141,365)Net assets attributable to holders of redeemable participating shares – (24,404,780,375) – (24,404,780,375)Total – (24,930,464,156) – (24,930,464,156)

HSBC US Dollar Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total US$ US$ US$ US$Assets Cash and cash equivalents – 874,721 – 874,721Accrued interest income – 15,815,255 – 15,815,255Total – 16,689,976 – 16,689,976 Liabilities Due to broker – (34,896,925) – (34,896,925)Accrued expenses and other liabilities – (22,572,153) – (22,572,153)Net assets attributable to holders of redeemable participating shares – (25,888,243,476) – (25,888,243,476)Total – (25,945,712,554) – (25,945,712,554)

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HSBC Euro Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total € € € €Assets Cash and cash equivalents – 40,777 – 40,777Due from broker – 50,217,382 – 50,217,382Accrued interest income – 4,871,425 – 4,871,425Total – 55,129,584 – 55,129,584 Liabilities Due to broker – (46,810,556) – (46,810,556)Accrued expenses and other liabilities – (404,431) – (404,431)Net assets attributable to holders of redeemable participating shares – (5,090,612,806) – (5,090,612,806)Total – (5,137,827,793) – (5,137,827,793)

HSBC Euro Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total € € € €Assets Cash and cash equivalents – 55,653 – 55,653Due from broker – 69,078,573 – 69,078,573Accrued interest income – 3,924,711 – 3,924,711Total – 73,058,937 – 73,058,937 Liabilities Due to broker – (34,017,785) – (34,017,785)Accrued expenses and other liabilities – (426,444) – (426,444)Net assets attributable to holders of redeemable participating shares – (5,514,409,337) – (5,514,409,337)Total – (5,548,853,566) – (5,548,853,566)

HSBC Canadian Dollar Liquidity Fund 31 October 2017 Level 1 Level 2 Level 3 Total CAD$ CAD$ CAD$ CAD$Assets Cash and cash equivalents – 60,461 – 60,461Accrued interest income – 66,525 – 66,525Total – 126,986 – 126,986 Liabilities Accrued expenses and other liabilities – (117,065) – (117,065)Net assets attributable to holders of redeemable participating shares – (146,999,813) – (146,999,813)Total – (147,116,878) – (147,116,878)

HSBC Canadian Dollar Liquidity Fund 30 April 2017 Level 1 Level 2 Level 3 Total CAD$ CAD$ CAD$ CAD$Assets Cash and cash equivalents – 53,467 – 53,467Accrued interest income – 40,957 – 40,957Total – 94,424 – 94,424 Liabilities Accrued expenses and other liabilities – (83,452) – (83,452)Net assets attributable to holders of redeemable participating shares – (170,114,826) – (170,114,826)Total – (170,198,278) – (170,198,278)

The assets and liabilities included in the above tables are carried at amortised cost; their carrying values are a reasonable approximation of fair value.

Receivables include the contractual amounts for settlement of trades and other obligations due to the Company. Accruals represent the contractual amounts and obligations due by the Company for settlement of trades and expenses.

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The value of redeemable shares is calculated based on the net difference between total assets and all other liabilities of the Company in accordance with the Company’s prospectus. These shares are traded on an active market. The fair value is based on the amount payable on demand, discounted if applicable from the first date that the amount could be required to be paid. The impact of discounting in this instance is not material. As such, Level 2 is deemed to be the most appropriate categorisation for net assets attributable to holders of redeemable shares.

8. Exchange Rates

The combined Financial Statements of the Company are prepared in the reporting currency of the Company, British Pound (Stg£). The HSBC US Dollar Liquidity Fund, HSBC Canadian Dollar Liquidity Fund and HSBC Euro Liquidity Fund have been converted to Sterling for combination purposes on the Statement of Financial Position by using the exchange rate prevailing at the close of business at 31 October 2017.

The average exchange rate for the financial period is used in the Statement of Comprehensive Income and the Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares.

The exchange rates used were as follows:

Statement of Financial Position Statement of Comprehensive Income and Statement of Changes in Net Assets

Six Month

Financial

period ended

31 October 2017

Financial

year ended 30 April 2017

Six Month

Financial

period ended 31 October 2017

Six Month

Financial

period ended31 October 2016

US$1.327950 US$1.292850 Stg£1 US$1.303417 US$1.340024

€1.139950 €1.184200 Stg£1 €1.128839 €1.199047

CAD$1.711850 CAD$1.765700 Stg£1 CAD$1.673980 CAD$1.746184

The difference due to movements in the exchange rates used for translation from one reporting financial period to the next and from average to closing rate is disclosed as a currency adjustment in the combined Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares and has no effect on the Net Asset Value per share attributable to the individual sub-funds.

9. Efficient Portfolio Management

Repurchase Agreements

The Company may enter (for the purposes of efficient portfolio management) into securities lending arrangements and/or repurchase transactions in accordance with normal market practice. Where the Company enters into repurchase agreements, the Investment Manager shall ensure that it is able at any time to recall the full amount of cash or to terminate the reverse repurchase agreement on either an accrued basis or a mark-to-market basis. When the cash is recallable at any time on a mark-to-market basis, the mark-to-market value of the reverse repurchase agreement should be used for the calculation of the Net Asset Value of the Company.

The Company can at any time recall any securities subject to the repurchase agreement or terminate the repurchase agreement into which it has entered.

As at 31 October 2017 and 30 April 2017, there were no repurchase agreements entered into by the Company.

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10. Share Capital

Authorised

The authorised share capital of the Company is 500 billion shares of no par value initially designated as unclassified shares. Shares may only be issued as fully paid and shall have no par value. The Directors may issue any of the shares in the capital of the Company as shares in a particular sub-fund. The Company is an “umbrella fund” within the meaning of the Regulations and accordingly on or before the issue of any shares the Directors shall determine the currency and sub-fund in relation to which such shares shall be designated. Shares in a sub-fund may be divided into one or more classes which may be designated in the same currency. The Directors may from time to time issue fractions of shares. The Company is subject to a minimum capital requirement of €300,000. The classes of shares currently available are as follows:

HSBC Sterling Liquidity Fund A Shares* G Shares* P SharesB Shares* H Shares* S Shares

C Shares* I Shares T Shares D Shares* J Shares X Shares E Shares* K Shares* Y Shares* F Shares* L Shares* Z Shares* HSBC US Dollar Liquidity Fund A Shares* G Shares* P Shares

B Shares* H Shares* S Shares C Shares* I Shares* T Shares D Shares* J Shares X Shares E Shares* K Shares* Y Shares* F Shares* L Shares* Z Shares* HSBC Euro Liquidity Fund A Shares* G Shares* P Shares B Shares* H Shares* S Shares C Shares* I Shares T Shares D Shares* J Shares X Shares E Shares* K Shares* Y Shares

F Shares* L Shares* Z Shares*

HSBC Canadian Dollar Liquidity Fund A Shares* G Shares* P Shares B Shares H Shares* S Shares C Shares* I Shares T Shares

D Shares J Shares X Shares E Shares K Shares* Y Shares F Shares* L Shares* Z Shares*

*Share class active as at 31 October 2017.

A Shares, B Shares, E Shares, F Shares, G Shares, H Shares, Y Shares and Z Shares carry a right to the payment of dividends, which shall be declared daily and distributed monthly. The C Shares, D Shares, I Shares, K Shares and L Shares are accumulation shares and therefore carry no right to any dividend. There will be no fees or expenses charged to the assets attributable to the Z Shares. This is because holders of the Z Shares will be subject to fees charged separately by virtue of their existing relationship with members of the HSBC Group so there will be no payment made to the Global Service Provider in respect of the Z Shares. The fees and expenses of the Administrator and Depositary together with all other fees and operating expenses applicable to the Z Shares will be borne by the Global Service Provider, or its affiliates, and not by the holders of the Z Shares or other shareholders in the Company.

Market conditions, including but not limited to a reduction in interest rates may have a material impact on the yield payable on a class of shares in a sub-fund. Either the yield will be so low that following the deduction of the charges and expenses applicable to the shares, as outlined in Part One of the Prospectus, it will be a negative number (Negative Net Yield) or the yield will already be a negative number before the charges and expenses have been deducted (Negative Gross Yield). Such market conditions, together with any actions taken by financial institutions in response thereto (such as, for example, by way of reducing interest rates and therefore income payable on investments of a sub-fund), are outside the control of the Directors. During the six month financial period ended

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31 October 2017, HSBC Euro Liquidity Fund incurred negative yields of €10,051,379 (31 October 2016: €5,792,759).

A negative net yield and/or negative gross yield environment creates potential issues for any sub-fund and which seeks to maintain the distributing classes of shares in the sub-fund at a constant Net Asset Value per Share in that the yield of the sub-fund may be unable to pay a distribution or cover charges or expenses or other liabilities of the sub-fund, such as the fees of the Global Service Provider, the Investment Management fee or other operating costs.

Each shareholder of shares in a share class of a sub-fund which seeks to maintain a constant Net Asset Value per Share is deemed to have provided a Standing Request to the Company to automatically redeem and cancel such number of their shares on any Dealing Day, which represent the shareholder’s pro-rata share of any negative yield in respect of that sub-fund or class of shares. Accordingly, the Company may automatically redeem and cancel such shares where a negative yield applies to such shares without further consent from the shareholder and, when any such repurchase is effected, the Company will use any such redemption proceeds to discharge the shareholder’s pro-rata share of such negative yield. Accordingly, redemption proceeds in respect of the shares which are automatically redeemed and cancelled pursuant to a Standing Request will not be paid to the shareholders of the relevant sub-fund or class of shares, as applicable, and instead will be automatically retained by the relevant sub-fund to cover the Negative Yield of that sub-fund or class of shares (such as to discharge any liability, operating cost or fee attributable to the sub-fund or class of shares.

While the automatic redemption and cancellation of shares in these circumstances may enable the Company to maintain the relevant class of shares at a constant Net Asset Value per Share, the number of shares in issue in such class of shares and therefore the number of shares held by a shareholder in such class, will be decreased in line with the decrease in the assets caused by the negative yield applicable to such class of shares and the automatic redemption and cancellation of such shares. A shareholder will continue to suffer investment losses as a result of the automatic redemption and cancellation of shares where a negative yield exists and the shareholder may not get back the amount he or she invested in the class of shares.

Investors should also note that although the Directors will seek to stabilise the Net Asset Value per Share in a distributing class of shares, there can be no assurance that the Company will be able to attain this objective.

On 11 July 2016 (initial instruction 27 March 2015) and 19 December 2016, with regards to the HSBC Euro Liquidity Fund and HSBC Sterling Liquidity Fund respectively, HSBC Global Asset Management (UK) Limited, as delegated by the Board of Directors of HSBC Global Liquidity Funds plc, instructed BNY Mellon Fund Services (Ireland) Designated Activity Company to process share cancellations across all shareholders on all active share classes for each day where a negative yield is published, with effect from 30 April 2015 for the HSBC Euro Liquidity Fund and 19 December 2016 for the HSBC Sterling Liquidity Fund until further notice.

A daily published negative income factor is used to calculate the number of shares that requires cancellation on a shareholders account on a daily basis. The cancelled shares will be applied to the shareholder accounts on a T+0 basis for both the HSBC Euro Liquidity Fund and the HSBC Sterling Liquidity Fund. For the period 30 April 2015 to 12 August 2016, the cancelled shares in respect of HSBC Euro Liquidity Fund were applied to the shareholder accounts on a T+1 basis. During the six month financial period ended 31 October 2017 11,265,413 shares (31 October 2016: 6,182,375 shares) were cancelled in respect of the HSBC Euro Liquidity Fund There were positive income factors published during the financial year ended 30 April 2017 for the HSBC Sterling Liquidity Fund and therefore no share cancellations were processed.

Capital Management The redeemable shares issued by each sub-fund provide an investor with the right to request redemption for cash at a value proportionate to the investor’s share in the net assets at each redemption date. The Company’s objectives in managing the redeemable shares are to ensure a stable base to maximise returns to all investors, and to manage liquidity risk arising from redemptions.

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11. Significant Events During the Financial Period End

Launch of new share class

During the financial period the following share class launched.

Share Class Launch Date

HSBC Euro Liquidity Fund E SharesK Shares

23 May 201723 June 2017

Share classes re-activated

During the financial period the following share classes were re-activated.

Share Class Re-activation Date

HSBC Canadian Dollar Liquidity Fund K Shares 17 May 2017 C Shares 13 July 2017 HSBC US Dollar Liquidity Fund E Shares 10 October 2017

Share class redeemed During the financial period the following share class was fully redeemed.

Share Class Redemption Date HSBC US Dollar Liquidity Fund E Shares 29 September 2017

New Sub-Funds

On 5 May 2017, HSBC Australian Dollar Liquidity Fund was approved by the Central Bank of Ireland.

Changes to the Prospectus

A revised Prospectus was filed and approved by the Central Bank of Ireland on 5 May 2017. A number of updates were implemented to reflect certain administrative changes.

A revised Prospectus was filed and approved by the Central Bank of Ireland on 29 June 2017 to update information for Isle of Man shareholders.

There have been no other significant events during the financial period.

12. Employees

The Company had no employees during the financial period.

13. Significant Events Since the Financial Period End

There have been no significant events since the financial period end.

14. Commitments and Contingencies

The Company had no commitments and contingencies as at 31 October 2017 and 30 April 2017.

15. Transaction with Connected Persons

Regulation 41 of the Central Bank UCITS Regulations “Restrictions of transactions with connected persons” states that “a responsible person shall ensure that any transaction between a UCITS and a connected person is conducted a) at arm’s length; and b) in the best interest of the unitholders of the UCITS”.

As required by Regulation 78 (4) of Central Bank UCITS Regulations, the Directors, as responsible persons are satisfied that there are arrangements in place, evidenced by written procedures, to ensure that the obligations that are prescribed by Regulation 41(1) are applied to all transactions with a connected person; and all transactions with

44

connected persons that were entered into during the financial period to which the report relates complied with the obligations that are prescribed by Regulation 41(1).

16. Soft Commissions

No soft commission arrangements were entered into during the financial period.

17. Approval of Financial Statements

The Directors approved the Financial Statements on 12 December 2017.

Portfolio Statements

45


Nominal

Value Security Description Fair Value Stg£ % of Net

Assets

Transferable securities admitted to official stock exchange listing

Corporate Bonds 1.87% (30 April 2017: –%) (a) 96,976,000 European Investment Bank 1.38% 15/01/2018 97,191,363 1.56

19,600,000 Landeskreditbank Baden-Wuerttemberg Foerderbank 1.00% 10/04/2018 19,657,452 0.31

Total Corporate Bonds 116,848,815 1.87

Floating Rate Notes 2.37% (30 April 2017: 3.92%) (a) 8,000,000 Bank of Nova Scotia/The FRN 07/02/2018 7,999,570 0.13

50,000,000 Commonwealth Bank of Australia FRN 14/12/2017 49,999,706 0.80

1,500,000 GE Capital UK Funding Unlimited Co FRN 16/01/2018 1,501,192 0.03

43,000,000 Royal Bank of Canada/London FRN 19/01/2018 43,008,440 0.69

15,000,000 Royal Bank of Canada/London FRN 20/07/2018 15,000,000 0.24

30,000,000 Westpac Banking Corp FRN 07/02/2018 30,000,000 0.48 Total Floating Rate Notes 147,508,908 2.37

Transferable securities admitted to official stock exchange listing 4.24% (30 April 2017: 3.92%) 264,357,723 4.24

Transferable securities dealt on another regulated market

Commercial Papers 28.36% (30 April 2017: 21.91%) (b) 56,000,000 Acoss 0.21% 13/12/2017 55,985,830 0.90

30,000,000 Acoss 0.30% 08/01/2018 29,983,259 0.48

50,000,000 Acoss 0.29% 29/01/2018 49,964,696 0.80

30,000,000 Acoss 0.28% 02/02/2018 29,978,627 0.48

50,000,000 Bank of China Ltd 0.47% 13/11/2017 49,991,627 0.80

7,500,000 Bank of China Ltd 0.45% 14/11/2017 7,498,719 0.12

25,000,000 Bank of China Ltd 0.48% 11/12/2017 24,986,455 0.40

23,000,000 Bayerische Motoren Werke AG 0.25% 29/11/2017 22,995,414 0.37

35,000,000 Caisse Des Depots Et Consignations 0.25% 12/12/2017 34,989,789 0.56


19,000,000 Collateralized Commercial Paper Co LLC 0.41% 17/11/2017 18,996,344 0.31



50,000,000 Danske 0.22% 06/12/2017 49,988,979 0.80

120,000,000 DZ Bank 0.29% 15/12/2017 119,956,668 1.93

43,000,000 DZ Bank 0.27% 29/01/2018 42,971,716 0.69

30,000,000 DZ Bank 0.27% 06/03/2018 29,972,297 0.48

35,000,000 DZ Bank 0.29% 19/03/2018 34,961,680 0.56

47,500,000 Erste Abwicklungsanstalt 0.23% 13/11/2017 47,496,100 0.76



50,000,000 Federation des caisses Desjardins du Quebec 0.25% 27/11/2017 49,990,922 0.80

95,000,000 FMS Wertmanagement AoeR 0.21% 09/03/2018 94,930,110 1.53

50,000,000 FMS Wertmanagement AoeR 0.28% 20/03/2018 49,946,759 0.80

90,000,000 Government of Canada 0.25% 04/01/2018 89,960,593 1.45

25,000,000 LMA S.A. 0.24% 09/11/2017 24,998,522 0.40

50,000,000 LMA S.A. 0.26% 07/12/2017 49,986,694 0.80

22,000,000 Matchpoint Finance Plc 0.32% 14/11/2017 21,997,338 0.35

10,000,000 Matchpoint Finance Plc 0.41% 19/01/2018 9,990,922 0.16

40,000,000 MetLife Short Term Funding 0.18% 02/11/2017 39,999,595 0.64

11,000,000 MetLife Short Term Funding 0.30% 08/12/2017 10,996,549 0.18

70,000,000 Nordea Bank 0.24% 21/11/2017 69,990,417 1.13

43,000,000 Nordea Bank 0.30% 19/02/2018 42,961,182 0.69

46

Nominal


Assets

Commercial Papers 28.36% (30 April 2017: 21.91%) (b) 28,000,000 Nordea Bank 0.37% 19/02/2018 27,968,866 0.45

10,000,000 OP Corporate Bank 0.33% 13/11/2017 9,998,819 0.16

28,000,000 OP Corporate Bank 0.51% 29/03/2018 27,942,244 0.45

75,000,000 Oversea-Chinese Banking Corp 0.30% 09/01/2018 74,956,824 1.20

44,024,000 Regency Assets Ltd 0.22% 09/11/2017 44,021,588 0.71

14,000,000 Toyota Finance Australia 0.29% 19/03/2018 13,984,673 0.23

32,000,000 Toyota Kreditbank GmbH 0.28% 15/01/2018 31,981,283 0.51

18,000,000 Toyota Motor Finance 0.30% 30/11/2017 17,995,502 0.29


20,000,000 Unilever NV 0.24% 01/12/2017 19,995,892 0.32

30,000,000 Unilever NV 0.25% 08/12/2017 29,992,097 0.48 Total Commercial Papers 1,766,103,595 28.36

Treasury Bills 3.10% (30 April 2017: –%) (b) 130,000,000 United Kingdom Treasury Bill 0.00% 02/01/2018 129,944,828 2.09

63,285,000 United Kingdom Treasury Bill 0.00% 15/01/2018 63,251,234 1.01 Total Treasury Bills 193,196,062 3.10

Transferable securities dealt on another regulated market 31.46% (30 April 2017: 21.91%) 1,959,299,657 31.46

Other Transferable Securities

Certificates of Deposit 47.45% (30 April 2017: 49.97%) (c) 100,000,000 Abbey National Treasury Plc 0.23% 08/12/2017 100,000,000 1.61

70,000,000 Agricultural Bank of China 0.48% 23/11/2017 69,978,931 1.13



74,700,000 Australia & New Zealand Banking Group Ltd 0.27% 17/11/2017 74,690,519 1.20


15,000,000 Bank of China Ltd 0.15% 02/11/2017 14,999,873 0.24

10,000,000 Bank of Tokyo Mitsubishi UFJ Ltd 0.22% 03/11/2017 10,000,014 0.16


25,000,000 Banque Fédérative Du Crédit Mutuel 0.42% 19/01/2018 25,000,000 0.40

70,000,000 BNP Paribas SA 0.15% 03/11/2017 69,999,118 1.13

60,000,000 BNP Paribas SA 0.20% 06/11/2017 59,998,028 0.97

75,000,000 BNP Paribas SA 0.25% 16/11/2017 75,000,000 1.20

50,000,000 BNP Paribas SA 0.44% 02/03/2018 50,000,000 0.80

60,000,000 BRED 0.34% 03/11/2017 60,000,000 0.96

23,000,000 Canadian Imperial Bank of Commerce 0.37% 05/12/2017 23,000,000 0.37



70,000,000 China Construction Bank Corp 0.25% 01/11/2017 70,000,000 1.12




28,000,000 CIC 0.43% 13/11/2017 28,000,000 0.45

30,000,000 CIC 0.41% 12/01/2018 29,975,492 0.48

45,000,000 CIC 0.37% 20/02/2018 44,948,779 0.72

30,000,000 Commonwealth Bank of Australia 0.46% 08/02/2018 30,000,000 0.48


25,000,000 Cooperatieve Rabobank UA 0.40% 05/02/2018 24,973,778 0.40


95,000,000 Danske 0.24% 21/11/2017 95,000,000 1.53

40,000,000 DZ Bank 0.25% 07/12/2017 39,989,748 0.65

100,000,000 ING Bank 0.30% 01/12/2017 100,000,000 1.61

47

Nominal


Assets

Certificates of Deposit 47.45% (30 April 2017: 49.97%) (c) 50,000,000 Lloyds Bank Plc 0.25% 10/11/2017 50,000,000 0.80

50,000,000 Mitsubishi UFJ Trust and Banking Corporation 0.40% 06/11/2017 50,000,000 0.80


30,000,000 Mizuho Corporate Bank Ltd 0.27% 06/12/2017 30,000,000 0.48

25,000,000 National Australia Bank Ltd 0.50% 12/01/2018 25,000,000 0.40


97,000,000 National Bank of Abu Dhabi 0.22% 03/11/2017 97,000,000 1.56

120,000,000 Nationwide Building Society 0.24% 07/12/2017 120,034,232 1.93

40,000,000 Nordea Bank 0.30% 06/12/2017 40,000,000 0.64

30,000,000 Nordea Bank 0.37% 12/02/2018 30,000,000 0.48

50,000,000 Nordea Bank 0.36% 21/03/2018 50,000,000 0.80

45,000,000 Norinchukin Bank 0.24% 30/11/2017 44,991,067 0.73



50,000,000 Rabobank Nederland NV 0.43% 23/07/2018 50,000,000 0.80


55,000,000 Societe Generale 0.35% 26/02/2018 55,000,000 0.88

60,000,000 Standard Chartered Bank 0.40% 08/01/2018 60,000,000 0.96


80,000,000 Sumitomo Mitsui Banking Corporation 0.27% 20/11/2017 79,988,140 1.29

50,000,000 Sumitomo Mitsui Trust Bank Ltd 0.24% 06/11/2017 50,000,000 0.80


18,000,000 Svenska Handelsbanken 0.23% 11/12/2017 18,000,492 0.29



60,000,000 Toronto - Dominion Bank 0.37% 07/02/2018 60,000,000 0.96

65,000,000 Toronto - Dominion Bank 0.36% 16/02/2018 65,000,000 1.04

50,000,000 UBS AG 0.43% 09/02/2018 50,000,000 0.80

45,000,000 UBS AG 0.49% 12/02/2018 45,000,000 0.72 Total Certificates of Deposit 2,955,395,286 47.45

Other Transferable Securities 47.45% (30 April 2017: 49.97%) 2,955,395,286 47.45

Deposits with Credit Institutions

Time Deposits 16.83% (30 April 2017: 24.19%) (d) 560,000,000 BRED 0.22% 01/11/2017 560,000,000 8.99


100,000,000 Mizuho Corporate Bank Ltd 0.21% 01/11/2017 100,000,000 1.61

140,000,000 Sumitomo Mitsui Banking Corporation 0.21% 01/11/2017 140,000,000 2.25

170,000,000 Sumitomo Mitsui Trust Bank Ltd 0.22% 02/11/2017 170,000,000 2.73 Total Time Deposits 1,048,100,000 16.83

Total Deposits with Credit Institutions 16.83% (30 April 2017: 24.19%) 1,048,100,000 16.83

Total Financial Assets at Fair Value through Profit or Loss 99.98% (30 April 2017: 99.99%) (Cost Stg£6,227,152,666) 6,227,152,666 99.98

Other Net Assets 1,400,333 0.02

Total Net Assets Attributable to Holders of Redeemable Participating Shares 6,228,552,999 100.00

48

(a) Transferable securities admitted to official stock exchange listing represent 4.24% of total net assets and 4.24% of total assets. (b) Transferable securities dealt on another regulated market represent 31.46% of total net assets and 31.45% of total assets.

(c) Ancillary liquid assets and investment techniques and instruments as defined in Regulation 48 of the UCITS Regulations represent 47.45% of total net assets and 47.44% of total assets.

(d) Deposits with Credit Institutions represent 16.83% of total net assets and 16.82% of total assets.

49

es und


Nominal

Value Security Description Fair Value US$ % of Net

Assets


Floating Rate Notes –% (30 April 2017: 0.48%) (a) Transferable securities dealt on another regulated market

Commercial Papers 45.99% (30 April 2017: 36.93%) (b) 68,860,000 Antalis 1.03% 07/11/2017 68,846,228 0.28

30,670,000 Antalis 1.32% 06/12/2017 30,629,447 0.13

40,000,000 Antalis 1.33% 11/12/2017 39,939,556 0.16

26,000,000 Antalis 1.33% 14/12/2017 25,957,764 0.11




95,000,000 Bank of Nova Scotia 1.49% 20/04/2018 95,000,000 0.39

125,000,000 Bank of Nova Scotia 1.37% 11/05/2018 125,000,000 0.51

75,000,000 Banque ET Caisse D'Epargne DE 1.31% 04/12/2017 74,907,187 0.31






75,000,000 BNP Paribas 0.00% 01/11/2017 75,000,000 0.31

150,000,000 BNP Paribas 1.36% 02/01/2018 149,643,500 0.61

45,000,000 BNZ International Funding 1.42% 18/04/2018 45,000,000 0.18
















200,000,000 Danske Corporation 1.26% 12/12/2017 199,706,167 0.82

100,000,000 DBS Bank Ltd 1.21% 14/11/2017 99,953,056 0.41

200,000,000 DBS Bank Ltd 1.39% 30/01/2018 199,300,000 0.82

45,000,000 DBS Bank Ltd 1.40% 02/02/2018 44,836,669 0.18

100,000,000 DZ Bank 1.26% 28/11/2017 99,901,750 0.41






50,000,000 Government of Canada 1.12% 27/11/2017 49,958,111 0.21

125,000,000 JPMorgan Securities LLC 1.31% 30/11/2017 124,864,062 0.51

50

Nominal


Assets

Commercial Papers 45.99% (30 April 2017: 36.93%) (b) 90,000,000 JPMorgan Securities LLC 1.44% 27/02/2018 89,572,250 0.37

45,000,000 JPMorgan Securities LLC 1.43% 01/03/2018 44,784,000 0.18

210,000,000 Kingdom of the Netherlands 1.05% 07/11/2017 209,957,300 0.86




60,000,000 LMA S.A. 1.28% 04/12/2017 59,927,400 0.25

100,000,000 LMA S.A. 1.28% 05/12/2017 99,875,333 0.41

100,000,000 Macquarie Bank 1.32% 01/12/2017 99,886,667 0.41

150,000,000 Macquarie Bank 1.33% 04/12/2017 149,811,625 0.61

30,000,000 Macquarie Bank 1.32% 07/12/2017 29,959,500 0.12

28,000,000 Macquarie Bank 1.43% 17/01/2018 27,913,760 0.11

50,000,000 Macquarie Bank 1.43% 23/01/2018 49,834,000 0.20

105,000,000 Manhattan Asset Funding Company LLC 1.34% 02/01/2018 104,754,067 0.43

105,000,000 Manhattan Asset Funding Company LLC 1.34% 03/01/2018 104,750,100 0.43



325,000,000 Mizuho Corporate Bank 1.02% 07/11/2017 324,935,812 1.33




75,000,000 National Bank of Canada 1.27% 11/12/2017 74,891,667 0.31

250,000,000 Nedelandse Waterschapsbank 1.03% 06/11/2017 249,957,292 1.02

225,000,000 Nedelandse Waterschapsbank 1.15% 13/11/2017 224,907,000 0.92

64,550,000 Nordea Bank AB 1.20% 14/11/2017 64,519,930 0.26

100,000,000 NRW Bank 1.27% 04/12/2017 99,879,917 0.41

175,000,000 NRW Bank 1.27% 05/12/2017 174,783,486 0.72

95,000,000 NRW Bank 1.29% 19/12/2017 94,834,067 0.39

69,000,000 NRW Bank 1.44% 26/02/2018 68,674,837 0.28

24,985,000 Old Line Funding LLC 1.16% 13/11/2017 24,974,506 0.10



25,000,000 Ontario Teachers Finance Trust 1.29% 11/12/2017 24,963,333 0.10

50,000,000 Ontario Teachers Finance Trust 1.38% 13/03/2018 49,747,000 0.20







145,000,000 Toronto-Dominion Bank 1.29% 03/01/2018 144,667,587 0.59


150,000,000 Toyota Finance Australia 1.41% 02/02/2018 150,000,000 0.61


100,000,000 UBS AG 0.63% 02/11/2017 99,996,528 0.41

100,000,000 UBS AG 1.28% 01/12/2017 99,890,000 0.41

70,000,000 UBS AG 1.33% 15/12/2017 69,883,644 0.29

100,000,000 UBS AG 1.44% 06/04/2018 100,000,000 0.41

100,000,000 UBS AG 1.51% 02/10/2018 100,000,000 0.41

95,000,000 United Overseas Bank 1.34% 05/01/2018 94,766,722 0.39

100,000,000 United Overseas Bank 0.00% 02/02/2018 99,635,750 0.41

100,000,000 Westpac Banking Corp 1.61% 02/11/2017 100,000,000 0.41




51

Nominal


Assets

Commercial Papers 45.99% (30 April 2017: 36.93%) (b) 150,000,000 Westpac Banking Corp 1.40% 27/07/2018 150,000,000 0.61


40,000,000 Westpac Banking Corp 1.43% 06/09/2018 40,000,000 0.16 Total Commercial Papers 11,223,134,683 45.99

Floating Rate Notes 1.33% (30 April 2017: 0.35%) (b) 250,000,000 Barclays Bank PLC FRN 30/04/2018 250,000,000 1.02

75,000,000 Westpac Banking Corp FRN 28/09/2018 75,000,000 0.31 Total Floating Rate Notes 325,000,000 1.33



Certificates of Deposit 29.50% (30 April 2017: 39.06%) (c) 150,000,000 Bank of Montreal 1.23% 06/11/2017 150,000,000 0.61

197,000,000 Bank of Montreal 1.37% 20/11/2017 197,004,379 0.81

100,000,000 Bank of Montreal 1.36% 03/04/2018 100,000,000 0.41

164,700,000 Bank of Montreal 1.42% 02/05/2018 164,700,000 0.67



105,000,000 Bank of Tokyo-Mitsubishi UFJ Ltd 1.30% 07/12/2017 105,000,000 0.43

180,000,000 BNP Paribas SA 1.64% 23/03/2018 180,000,000 0.74









250,000,000 Credit Industriel et Commercial 1.36% 03/01/2018 250,000,000 1.02






150,000,000 DNB Bank ASA 1.32% 11/01/2018 150,000,000 0.61

98,000,000 DNB Bank ASA 1.33% 12/02/2018 98,000,000 0.40

140,000,000 DZ Bank 1.31% 11/12/2017 140,000,000 0.57

198,000,000 DZ Bank 1.33% 11/12/2017 197,999,989 0.82

120,000,000 DZ Bank 1.33% 21/12/2017 120,000,000 0.49

250,000,000 Industrial & Commercial Bank of China Ltd 1.50% 16/11/2017 250,000,000 1.02

165,000,000 JPMorgan Chase Bank NA 1.64% 05/01/2018 165,000,000 0.68

100,000,000 Landesbank Hessen-Thueringen Giroze 1.12% 10/11/2017 99,969,032 0.41

40,000,000 Mitsubishi UFJ Trust & Banking Corp 1.44% 26/04/2018 40,000,000 0.16

100,000,000 Nordea Bank 1.30% 19/12/2017 100,000,000 0.41

50,000,000 Nordea Bank AB 1.29% 17/11/2017 49,998,208 0.21

100,000,000 Nordea Bank AB 1.30% 14/12/2017 100,000,000 0.41





120,000,000 Royal Bank of Canada 1.62% 19/12/2017 120,000,000 0.49





52

Nominal


Assets

Certificates of Deposit 29.50% (30 April 2017: 39.06%) (c) 100,000,000 Standard Chartered Bank 1.41% 04/12/2017 100,000,000 0.41

100,000,000 Sumitomo Mitsui Banking Corp 1.40% 29/01/2018 100,000,000 0.41

100,000,000 Sumitomo Mitsui Banking Corp 1.42% 05/03/2018 100,000,000 0.41



240,000,000 Svenska Handelsbanken AB 1.27% 09/11/2017 240,000,266 0.99




100,000,000 UBS AG 1.64% 07/03/2018 100,000,000 0.41

120,000,000 UBS AG 1.49% 02/05/2018 120,000,000 0.49

100,000,000 Wells Fargo Bank NA 1.80% 22/11/2017 100,000,000 0.41









100,000,000 Westpac Banking Corp 1.40% 14/08/2018 100,000,000 0.41 Total Certificates of Deposit 7,199,425,379 29.50



Time Deposits 25.28% (30 April 2017: 23.34%) (d) 550,000,000 ABN Amro Bank 1.14% 01/11/2017 550,000,000 2.25



955,000,000 Crédit Agricole 1.07% 01/11/2017 955,000,000 3.91

300,000,000 DZ Bank 1.08% 01/11/2017 300,000,000 1.23

930,000,000 Industrial & Commercial Bank of China Ltd 1.20% 01/11/2017 930,000,000 3.81

105,000,000 National Bank of Abu Dhabi 1.10% 01/11/2017 105,000,000 0.43

105,000,000 National Bank of Kuwait 1.10% 01/11/2017 105,000,000 0.43

900,000,000 Natixis 1.09% 01/11/2017 900,000,000 3.69

650,000,000 Nordea Bank 1.07% 01/11/2017 650,000,000 2.66 Total Time Deposits 6,170,000,000 25.28


Total Financial Assets at Fair Value through Profit or Loss 102.10% (30 April 2017: 100.16%) (Cost US$24,917,560,062) 24,917,560,062 102.10

Other Net Liabilities (512,779,687) (2.10)


53

(b) Transferable securities dealt on another regulated market represent 47.32% of total net assets and 46.32% of total assets.



54

&


Nominal

Value Security Description Fair Value € % of Net

Assets


Corporate Bonds 6.12% (30 April 2017: 6.15%) (a)


900,000 Banque Federative du Credit Mutuel SA 1.63% 11/01/2018 903,319 0.02

8,543,000 BNP Paribas SA 1.50% 12/03/2018 8,596,983 0.17

46,499,000 BNZ International Funding Ltd/London 1.25% 23/05/2018 46,899,581 0.92




10,000,000 European Financial Stability Facility 1.25% 31/07/2018 10,131,906 0.20

9,705,000 GE Capital European Funding Unlimited Co 5.38% 16/01/2018 9,819,326 0.19

50,458,000 Nordea Bank AB 1.38% 12/04/2018 50,839,197 1.00

21,686,000 Sanofi 1.00% 14/11/2017 21,696,659 0.43

4,750,000 Santander UK Plc 1.75% 15/01/2018 4,770,805 0.09

40,093,000 Westpac Banking Corp 4.13% 25/05/2018 41,089,756 0.81 Total Corporate Bonds 311,811,017 6.12

Floating Rate Notes 2.99% (30 April 2017: 3.39%) (a) 34,000,000 Bank of Nova Scotia/The FRN 17/03/2018 34,111,422 0.67

7,000,000 Bank of Nova Scotia/The FRN 20/04/2018 7,027,822 0.14

2,000,000 Bank of Nova Scotia/The FRN 10/09/2018 2,006,855 0.04

400,000 Banque Federative du Credit Mutuel SA FRN 19/01/2018 400,244 0.01

5,000,000 Cooperatieve Rabobank UA FRN 15/01/2018 5,004,514 0.10

52,428,000 JPMorgan Chase Bank NA FRN 14/06/2018 52,537,521 1.03

46,993,000 National Australia Bank Ltd FRN 16/01/2018 47,025,839 0.92

4,000,000 Toyota Motor Credit Corp FRN 20/07/2018 4,009,651 0.08 Total Floating Rate Notes 152,123,868 2.99

Government Bonds 0.40% (30 April 2017: –%) (a) 20,400,000 SNCF Reseau 0.05% 23/10/2018 20,491,843 0.40 Total Government Bonds 20,491,843 0.40

Treasury Bills 0.79% (30 April 2017: 2.18%) (a) 40,000,000 France Treasury Bill BTF 0.00% 14/03/2018 40,093,761 0.79 Total Treasury Bills 40,093,761 0.79

Treasury Notes/Bonds 1.85% (30 April 2017: –%) (a) 94,000,000 Netherlands Government Bond 0.00% 15/04/2018 94,294,149 1.85 Total Treasury Notes/Bonds 94,294,149 1.85



Commercial Papers 26.49% (30 April 2017: 27.09%) (b) 200,000,000 Acoss (0.37)% 06/11/2017 200,012,223 3.93

46,000,000 Agricultural Bank of China (0.25)% 28/11/2017 46,008,803 0.90

17,500,000 Antalis (0.20)% 03/11/2017 17,500,291 0.34

11,000,000 Antalis (0.28)% 13/11/2017 11,001,101 0.22

13,000,000 Antalis (0.33)% 20/11/2017 13,002,402 0.26

7,500,000 Antalis (0.28)% 13/12/2017 7,502,539 0.15

34,500,000 Antalis (0.29)% 18/12/2017 34,513,520 0.68

22,000,000 Collateralized Commercial Paper Co LLC (0.29)% 13/11/2017 22,002,277 0.43




17,000,000 DH Europe Finance (0.24)% 03/11/2017 17,000,340 0.33

55

Nominal


Assets

Commercial Papers 26.49% (30 April 2017: 27.09%) (b) 2,000,000 DH Europe Finance (0.34)% 20/11/2017 2,000,380 0.04




50,000,000 DZ Bank (0.40)% 03/09/2018 50,170,685 0.99

58,000,000 DZ Bank (0.40)% 21/09/2018 58,209,634 1.14

22,000,000 General Electric Capital Funding (0.41)% 28/12/2017 22,014,645 0.43

80,000,000 General Electric Capital Funding (0.41)% 29/12/2017 80,054,179 1.57

15,000,000 Honeywell International Inc (0.39)% 19/01/2018 15,012,850 0.29

20,000,000 Linde AG (0.36)% 20/12/2017 20,010,082 0.39

8,000,000 LMA S.A. (0.35)% 06/12/2017 8,002,803 0.16

12,000,000 LMA S.A. (0.36)% 29/12/2017 12,007,160 0.24

18,000,000 LMA S.A. (0.36)% 08/01/2018 18,012,592 0.36

15,000,000 LMA S.A. (0.37)% 15/01/2018 15,011,574 0.29

26,000,000 LMA S.A. (0.37)% 17/01/2018 26,020,596 0.51

5,000,000 LMA S.A. (0.37)% 19/01/2018 5,004,064 0.10

26,000,000 LMA S.A. (0.37)% 22/01/2018 26,021,933 0.51

42,000,000 Magenta Funding St. S.A. (0.19)% 02/11/2017 42,000,444 0.82



42,000,000 Magenta Funding St. S.A. 0.00% 02/02/2018 42,039,751 0.83

6,500,000 Matchpoint Finance Plc (0.25)% 07/11/2017 6,500,314 0.13









33,500,000 Office Nationale de Securite Sociale ("ONSS") (0.35)% 27/12/2017 33,518,777 0.66

4,000,000 Procter & Gamble International (0.36)% 07/12/2017 4,001,481 0.08









45,000,000 SFIL (0.42)% 10/11/2017 45,000,000 0.88

8,000,000 SFIL (0.36)% 08/01/2018 8,005,534 0.16

30,000,000 Unilever NV (0.41)% 11/12/2017 30,013,845 0.59

14,500,000 Unilever NV (0.40)% 07/02/2018 14,516,004 0.28

37,800,000 United Parcel Service Inc (0.43)% 20/11/2017 37,808,984 0.74

20,000,000 United Parcel Service Inc (0.43)% 22/01/2018 20,019,618 0.39 Total Commercial Papers 1,348,270,539 26.49

Treasury Bills 0.59% (30 April 2017: –%) (b) 30,000,000 Kingdom of Belgium Treasury Bill 0.00% 13/09/2018 30,152,957 0.59 Total Treasury Bills 30,152,957 0.59


56

Nominal


Assets Other Transferable Securities

Certificates of Deposit 38.56% (30 April 2017: 30.60%) (c) 27,000,000 Agricultural Bank of China (0.25)% 13/12/2017 27,008,038 0.53

15,000,000 Bank of China (0.16)% 09/11/2017 15,000,617 0.29

32,000,000 Bank of China (0.20)% 11/12/2017 32,007,293 0.63

58,000,000 Bank of China (0.19)% 02/01/2018 58,019,488 1.14

29,000,000 Banque Federative du Credit Mutuel (0.27)% 01/03/2018 29,000,000 0.57




35,000,000 BNP Paribas (0.33)% 02/01/2018 35,000,000 0.69

17,000,000 BNP Paribas (0.35)% 02/01/2018 17,000,000 0.33

15,000,000 BNP Paribas (0.27)% 08/03/2018 15,000,000 0.29

22,000,000 BNP Paribas (0.27)% 28/03/2018 22,000,000 0.43

11,000,000 BNP Paribas (0.27)% 29/03/2018 11,000,000 0.22

51,000,000 BNP Paribas (0.31)% 02/07/2018 51,000,000 1.00

13,000,000 BNP Paribas (0.31)% 04/07/2018 13,000,000 0.26

180,000,000 BRED 0.00% 01/11/2017 180,000,000 3.53

64,000,000 BRED (0.34)% 14/11/2017 64,008,559 1.26

2,500,000 BRED (0.37)% 19/12/2017 2,501,268 0.05

12,500,000 China Construction Bank Corp (0.15)% 30/11/2017 12,501,511 0.25



20,000,000 Credit Suisse Group AG (0.42)% 03/01/2018 20,015,063 0.39

15,000,000 Industrial & Commercial Bank of China Ltd (0.17)% 01/12/2017 15,002,251 0.29




140,000,000 KBC Bank NV (0.38)% 07/11/2017 140,010,268 2.75

112,000,000 KBC Bank NV (0.39)% 02/01/2018 112,077,222 2.20

75,000,000 Mitsubishi UFJ Trust and Banking Corporation (0.35)% 07/11/2017 75,005,130 1.47



40,000,000 Mizuho Corporate Bank Ltd (0.39)% 04/01/2018 40,028,117 0.79



50,000,000 Nordea Bank (0.34)% 02/03/2018 50,057,336 0.98

7,000,000 Nordea Bank (0.40)% 12/04/2018 7,012,630 0.14

28,000,000 Rabobank Nederland NV (0.19)% 01/11/2017 28,000,000 0.55




35,000,000 Societe Generale (0.35)% 31/01/2018 35,000,000 0.69

14,000,000 Sumitomo Mitsui Banking Corporation (0.40)% 03/01/2018 14,009,934 0.27

95,000,000 Sumitomo Mitsui Banking Corporation (0.39)% 05/01/2018 95,068,711 1.86

37,000,000 Sumitomo Mitsui Trust Bank Ltd (0.39)% 09/01/2018 37,028,396 0.73

104,000,000 Svenska Handelsbanken (0.36)% 16/01/2018 104,080,292 2.04



57

Nominal


Assets

Certificates of Deposit 38.56% (30 April 2017: 30.60%) (c) 100,000,000 Zuercher Kantonalbank (0.37)% 05/01/2018 100,066,990 1.97 Total Certificates of Deposit 1,963,160,075 38.56



Time Deposits 22.05% (30 April 2017: 29.89%) (d)

149,000,000 Banque Federative du Credit Mutuel ("BFCM") (0.44)% 02/11/2017 149,000,000 2.93

464,300,000 Caisse D'amortissement De La Dette (0.47)% 01/11/2017 464,300,000 9.12

509,000,000 HSBC France Eonia (0.40)% 01/11/2017* 509,000,000 10.00 Total Time Deposits 1,122,300,000 22.05


Total Financial Assets at Fair Value through Profit or Loss 99.84% (30 April 2017: 99.30%) (Cost €5,082,698,209) 5,082,698,209 99.84

Other Net Assets 7,914,597 0.16


* Related party to HSBC Global Liquidity Funds plc.




58


Nominal

Value Security Description Fair Value CAD$ % of Net

Assets


Corporate Bonds 1.12% (30 April 2017: 1.53%) (a) 1,650,000 Toyota Credit Canada Inc 1.90% 22/01/2018 1,651,412 1.12 Total Corporate Bonds 1,651,412 1.12

Floating Rate Notes –% (30 April 2017: 1.08%) (a)

Government Bonds 6.81% (30 April 2017: 5.89%) (a) 10,000,000 Canada Housing Trust No 1 1.51% 15/03/2018 10,012,115 6.81 Total Government Bonds 10,012,115 6.81



Bankers Acceptances 13.75% (30 April 2017: 15.50%) (b) 4,000,000 Bank of Nova Scotia 1.16% 21/11/2017 3,997,341 2.72

775,000 Bank of Nova Scotia 1.00% 14/12/2017 774,067 0.53


2,900,000 CitiBank NA 1.09% 07/11/2017 2,899,393 1.97

4,850,000 JPMorgan Chase & Co 1.17% 15/11/2017 4,847,677 3.30

4,900,000 Toronto - Dominion Bank 1.06% 10/11/2017 4,898,582 3.33 Total Bankers Acceptances 20,216,433 13.75

Commercial Papers 12.57% (30 April 2017: 26.21%) (b) 3,400,000 Caisse De Depot Et Placement Du Quebec 1.03% 29/11/2017 3,397,191 2.31

2,700,000 Honda Canada Finance Inc. 1.28% 14/12/2017 2,695,784 1.83

4,000,000 Municipal Finance Authority of British Columbia Bills 0.92% 29/11/2017 3,997,034 2.72

2,880,000 Ontario Teacher Finance Trust 1.21% 17/01/2018 2,872,493 1.96

2,500,000 Province Of Alberta 1.07% 14/12/2017 2,496,731 1.70

3,020,000 Province of Saskatchewan 0.97% 22/11/2017 3,018,209 2.05 Total Commercial Papers 18,477,442 12.57

Floating Rate Notes 3.21% (30 April 2017: 1.88%) (b) 1,500,000 GE Capital Canada Funding Co FRN 31/05/2018 1,511,787 1.03

3,200,000 Royal Bank of Canada FRN 11/04/2018 3,200,000 2.18 Total Floating Rate Notes 4,711,787 3.21

Government Bonds 6.35% (30 April 2017: 1.96%) (b) 6,000,000 Financement-Quebec 1.73% 01/06/2018 6,019,794 4.09

3,321,000 Province of Ontario Canada 1.55% 23/11/2017 3,321,958 2.26 Total Government Bonds 9,341,752 6.35

Treasury Bills 20.06% (30 April 2017: 26.42%) (b) 5,000,000 Canadian Treasury Bill 0.00% 16/11/2017 4,998,875 3.40

2,000,000 Canadian Treasury Bill 0.00% 30/11/2017 1,998,560 1.36




100,000 Canadian Treasury Bill 0.00% 08/02/2018 99,706 0.07

1,460,000 Manitoba T-Bill 0.00% 01/11/2017 1,460,000 0.99

59

Nominal

Value Security Description Fair Value CAD$ % of Net

Assets

Treasury Bills 20.06% (30 April 2017: 26.42%) (b) 1,200,000 Manitoba T-Bill 0.00% 15/11/2017 1,199,533 0.82

2,500,000 Manitoba T-Bill 0.00% 20/12/2017 2,496,444 1.70

2,250,000 Newfoundland T-Bill 0.00% 02/11/2017 2,249,937 1.53 Total Treasury Bills 29,481,960 20.06

Transferable securities dealt on another regulated market 55.94% (30 April 2017: 71.97%) 82,229,374 55.94


Certificates of Deposit 10.75% (30 April 2017: 3.82%) (c) 1,350,000 BNP Paribas 1.22% 22/11/2017 1,348,994 0.92

3,400,000 BNP Paribas 1.29% 03/01/2018 3,392,224 2.31


1,350,000 Manulife Bank of Canada 1.25% 03/01/2018 1,347,000 0.92

1,350,000 Manulife Bank of Canada 1.54% 02/04/2018 1,341,239 0.91

2,800,000 Nestle Capital Canada 0.98% 15/11/2017 2,798,860 1.90

2,880,000 Sumitomo Mitsui Banking Corporation 1.37% 23/01/2018 2,870,800 1.95 Total Certificates of Deposit 15,796,991 10.75

Other Transferable Securities 10.75% (30 April 2017: 3.82%) 15,796,991 10.75


Time Deposits 25.37% (30 April 2017: 15.70%) (d) 11,000,000 Crédit Agricole 0.85% 01/11/2017 11,000,000 7.48

13,000,000 National Bank of Canada 0.90% 01/11/2017 13,000,000 8.84

13,300,000 Societe Generale 0.90% 01/11/2017 13,300,000 9.05 Total Time Deposits 37,300,000 25.37

Total Deposits with Credit Institutions 25.37% (30 April 2017: 15.70%) 37,300,000 25.37

Total Financial Assets at Fair Value through Profit or Loss 99.99% (30 April 2017: 99.99%) (Cost CAD$146,989,892) 146,989,892 99.99

Other Net Assets 9,921 0.01

Total Net Assets Attributable to Holders of Redeemable Participating Shares 146,999,813 100.00




Statement of Significant Portfolio Changes

60


Significant Purchases – Top 1%* Nominal Value Cost Stg£

HSBC Bank Plc 0.20% 12/07/2017 1,100,000,000 1,100,000,000

HSBC Bank Plc 0.20% 17/07/2017 1,000,000,000 1,000,000,000

HSBC Bank Plc 0.20% 11/07/2017 970,000,000 970,000,000

HSBC Bank Plc 0.20% 13/07/2017 900,000,000 900,000,000

HSBC Bank Plc 0.19% 14/07/2017 850,000,000 850,000,000

HSBC Bank Plc 0.19% 18/07/2017 800,000,000 800,000,000

HSBC Bank Plc 0.19% 20/07/2017 800,000,000 800,000,000

HSBC Bank Plc 0.19% 19/07/2017 750,000,000 750,000,000

Societe Generale 0.20% 20/06/2017 670,000,000 670,000,000





BRED 0.22% 06/06/2017 650,000,000 650,000,000

BRED 0.22% 07/06/2017 650,000,000 650,000,000

HSBC Bank Plc 0.18% 21/07/2017 650,000,000 650,000,000




BRED 0.22% 22/09/2017 600,000,000 600,000,000

Significant Sales – Top 1%* Nominal Value Proceeds Stg£

HSBC Bank Plc 0.20% 12/07/2017 1,100,000,000 1,100,000,000

HSBC Bank Plc 0.20% 17/07/2017 1,000,000,000 1,000,000,000

HSBC Bank Plc 0.20% 11/07/2017 970,000,000 970,000,000

HSBC Bank Plc 0.20% 13/07/2017 900,000,000 900,000,000

HSBC Bank Plc 0.19% 14/07/2017 850,000,000 850,000,000

HSBC Bank Plc 0.19% 18/07/2017 800,000,000 800,000,000

HSBC Bank Plc 0.19% 20/07/2017 800,000,000 800,000,000

HSBC Bank Plc 0.19% 19/07/2017 750,000,000 750,000,000






BRED 0.22% 06/06/2017 650,000,000 650,000,000

BRED 0.22% 07/06/2017 650,000,000 650,000,000

HSBC Bank Plc 0.18% 21/07/2017 650,000,000 650,000,000




BRED 0.22% 15/09/2017 600,000,000 600,000,000

HSBC Bank Plc is a related party to HSBC Global Liquidity Funds Plc.

* In accordance with UCITS Regulations, the interim report is required to disclose all the material changes that occurred in the disposition of the assets. A material change is defined as aggregate purchases/disposals of a security exceeding 1% of the total value of the purchases/sales. If there are fewer than 20 purchase/sales that met the material changes definition at least 20 purchases/sales are required to be disclosed.

61


Significant Purchases – Top 1%* Nominal Value Cost US$

Natixis 1.08% 01/08/2017 1,040,000,000 1,040,000,000

Natixis 0.00% 25/09/2017 1,000,000,000 999,870,000

China Construction Bank Corp 1.20% 02/08/2017 975,000,000 975,000,000












Industrial & Commercial Bank of China Ltd 1.20% 02/08/2017 975,000,000 975,000,000





Crédit Agricole 1.07% 01/11/2017 955,000,000 955,000,000

Significant Sales – Top 1%* Nominal Value Proceeds US$

Natixis 1.08% 01/08/2017 1,040,000,000 1,040,000,000

DZ Bank 0.00% 01/05/2017 1,035,030,000 1,035,030,000

Natixis 0.00% 25/09/2017 1,000,000,000 1,000,000,000



















62


Significant Purchases – Top 1%* Nominal Value Cost €

HSBC France Eonia (0.40)% 04/10/2017 607,490,000 607,490,000






Crédit Agricole (0.45)% 04/10/2017 575,500,000 575,500,000






KBC Bank NV (0.44)% 03/05/2017 571,000,000 571,000,000








Significant Sales – Top 1%* Nominal Value Proceeds €







Crédit Agricole (0.45)% 04/10/2017 575,500,000 575,500,000






KBC Bank NV (0.44)% 03/05/2017 571,000,000 571,000,000








HSBC France Eonia is a related party to HSBC Global Liquidity Funds Plc.


63


Significant Purchases – Top 1%* Nominal Value Cost CAD$

Societe Generale (Cayman Islands) 0.65% 11/08/2017 17,100,000 17,100,000

National Bank of Canada 0.65% 17/07/2017 17,000,000 17,000,000



















Significant Sales – Top 1%* Nominal Value Proceeds CAD$






















Company’s Remuneration Policy

64

The Company, which is authorised as an undertaking for collective investment in transferable securities pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011 (S.I. No. 352 of 2011) as amended (the Regulations), is required by the European Communities (Undertakings for Collective Investment in Transferable Securities) (Amendment) Regulations 2016 (S.I. No. 143 of 2016) (the UCITS V Regulations) to establish, implement and maintain a remuneration policy (the Remuneration Policy) which is in accordance with the requirements of the Regulations.

The following regulations, guidelines and requirements are/shall be of relevance of the Company with regards to the Remuneration Policy:

1. the UCITS V Regulations; and 2. the ESMA's Guidelines on Sound Remuneration Policies (the ESMA Remuneration Guidelines).

This Remuneration Policy is aimed at ensuring that any relevant conflicts of interest can be managed appropriately at all times and sets out practices that are consistent with and promote sound and effective risk management and do not encourage risk-taking which is inconsistent with the risk profile of the funds of the Company (the Funds) or the prospectus or memorandum and articles of association of the Company and is in line with the business strategy, objectives, values and interests of the Company and its investors.

Identified staff

The Regulations require the Company to identify the categories of staff including senior management, risk takers, control functions, and any employees receiving total remuneration that takes them into the same remuneration bracket as senior management and risk takers, whose professional activities have a material impact on the risk profile of the Funds.

The Company is controlled and managed by the Board, but does not currently have any staff. Accordingly, the identified staff for the purpose of this Remuneration Policy is the Board. As of the date of this document, the Board consist of Peter Blessing, Desmond Miller and Angus Schumacher.

Variable remuneration

The directors who are employees of HSBC Group do not receive any remuneration in respect of their services as directors of the Company. The other directors receive fixed remuneration in respect of their services which is an amount proposed by HSBC Global Asset Management (UK) Limited who is engaged to act as the global service provider to the Company and agreed by the Board as a whole and which is not performance related. None of the directors are currently in receipt of performance based variable remuneration in respect of their services as directors of the Company. Accordingly, the detailed provisions of the Regulations in relation to variable remuneration are not applicable to the Company. None of the directors are currently in receipt of a pension from the Company.

The Company has determined that the fixed remuneration payable to the directors who are not employees of the HSBC Group is (a) consistent with sound and effective risk management and does not encourage risk-taking which is inconsistent with the risk profile of the Funds or the prospectus or memorandum and articles of association of the Company and (b) in line with the business strategy, objectives, values and interests of the Company and the investors in the Company. The nature of the directors’ remuneration (where payable), being fixed and not including any variable component and the amount being agreed by the Board as a whole, ensures that the Company appropriately manages any conflicts of interest in respect of remuneration.

Remuneration committee

The Regulations require self-managed investment companies that are significant in terms of their size, their internal organisation and the nature, scope and complexity of their activities to establish a remuneration committee. Having considered these criteria, the Company has determined, on advice of counsel, that it is not significant in these respects and has not established a remuneration committee.

65

Delegation

The Board has delegated certain activities, as specified in its business plan, in respect of the investment management and risk management of the Funds, to HSBC Global Asset Management (France), HSBC Global Asset Management (USA) Inc. and HSBC Global Asset Management (Hong Kong) Limited (the Investment Managers) who may have identified staff whose professional activities could have a material impact on the risk profile of the Funds within the meaning of the ESMA Remuneration Guidelines.

The ESMA Remuneration Guidelines require the Company to be satisfied that the Investment Managers are either subject to regulatory requirements on remuneration that are equally as effective as those applicable under the Regulations or that appropriate contractual arrangements are in place with the Investment Managers to ensure that no circumvention of the remuneration rules set out in the ESMA Remuneration Guidelines takes place. The ESMA Remuneration Guidelines provide that regulatory requirements on remuneration such as Directive 2013/36/EU (CRD IV) or Directive 2011/61/EU (AIFMD) are equally as effective for these purposes.

The Board is satisfied that the Investment Managers are subject to regulatory requirements on remuneration that are equally as effective as those applicable under the ESMA Remuneration Guidelines since the Investment Managers are subject to the HSBC's group remuneration policies that are CRD IV compliant.

The Company will rely on the remuneration policies and procedures of each delegate to ensure that their remuneration structures promote a culture of investor protection and mitigate conflicts of interest.

Disclosure

The Company will comply with the disclosure requirements set out in the Regulations. The total amount of remuneration for the financial year paid by the Company to its staff, the aggregate amount of remuneration broken down by the relevant categories of employees (i.e. the Directors), a description of how the remuneration has been calculated and any material changes to the Remuneration Policy will be disclosed in the Company's annual report.

Reporting

The Board shall seek confirmation from each of the Investment Managers (where applicable) on an annual basis that there has been no material change to its remuneration policy, or if there has been a material change, provide details of those changes to the Board.

Appropriateness of policy and conflicts of interest

Given its internal organisation and the limited nature, scale and complexity of the Company’s activities, it is considered that the policies described in this document are appropriate for the Company. Together with the Company’s conflicts of interest policy, the Board considers that there are suitable measures in place to promote effective supervision and risk management.

Annual review

On an annual basis the Board will review the terms of this Remuneration Policy and assess whether its overall remuneration system operates as intended and is compliant with the obligations on remuneration policy as set out in the Regulations. The Remuneration Policy will be updated by the Board as and when required.

Effective date

The effective date of this Policy is 10 May 2017.

Securities Financing Transactions Regulation (SFTR) Interim Report Disclosures

66

During the financial period ended 31 October 2017 to which this Report relates, the Company did not engage in transactions which are the subject of EU regulations No. 2015/2365 on the transparency of securities financing transactions of reuse. Accordingly, no global, concentration or transactions data, or information on the reuse or safekeeping of collateral is required to be reported.

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