| Important Risk Warning |
| 1. |
Some of the investment products are Structured Investment Products that may involve derivatives. The investment decision is yours but you should not invest unless the intermediary who sells it to you has explained to you that the product is suitable for you having regard to your financial situation, investment experience and investment objectives. |
| 2. |
Unit Trusts, Bonds, Certificates of Deposit (CDs) and Structured Investment Products (including Equity-linked Investments, Structured Notes, Deposit Plus, Structured Investment Deposits and Capital Protected Investment Deposits) are NOT equivalent to time deposits. Unit Trusts are investment products and some may involve derivatives. |
| 3. |
The return in relation to Deposit Plus will depend upon market conditions prevailing at the relevant fixing times during or in respect of the relevant investment period. The level of the underlying asset may go up or down during such period and this will affect the return, which may result in losses in the principal amount. For details on Deposit Plus, please refer to the Deposit Plus Important Facts Statement, Time Deposits-Supplemental Terms and Conditions for Deposit Plus and the Important Notice for Deposit Plus, all of which are available at branches of the Bank from time to time. |
| 4. |
The price of securities may move up or down and may become valueless. Losses may be incurred as well as profits made as a result of buying and selling securities. |
| 5. |
In the worst case scenario, the value of the funds may be worth substantially less than the original amount you invested (and in an extreme case could be worth nothing). |
| 6. |
Issuer’s Risk – you rely on the issuer’s credit worthiness. Bonds, CDs and Structured Investment Products are subject to both the actual and perceived measures of credit worthiness of the issuer. There is no assurance of protection against a default by the issuer in respect of the repayment obligations. In the worst case scenario (e.g. insolvency of the issuer), you might not be able to recover the principal and interes/coupon, if applicable, and the potential maximum loss could be 100% of invested amount and no interest/coupon received. |
| 7. |
Investors should not only base on this material alone to make investment decisions. |
| 8. |
Investment involves risks. Past performance of investment products are no guide to future performance. For details of the investment products, their related fees and charges and risk factors, please refer to the individual product materials/offering materials. |
| 9. |
Currency conversion risk –The value of your RMB deposit will be subject to the risk of exchange rate fluctuation. If you choose to convert your RMB deposit to other currencies at an exchange rate that is less favorable than the exchange rate in which you made your original conversion to RMB, you may suffer loss in principal. |
| 10. |
RMB is currently not freely convertible and subject to regulatory restrictions (which might be changed from time to time). For personal customers who are Hong Kong residents, conversions conducted through RMB deposit accounts with banks in Hong Kong are subject to the limit of up to RMB20,000 per person per day. Personal customers who are Hong Kong residents should allow time for conversion of RMB from/to another currency of an amount exceeding the daily limit. Non-Hong Kong residents are not required to observe the corresponding limits and requirements regarding Renminbi conversions for Hong Kong residents. |
| 11. |
RMB denominated products are subject to liquidity risk as there may be no regular trading and active secondary market for RMB Income Instruments. The bid and offer spread of the price of RMB Income Instruments may be large, so investors may incur significant trading and realisation costs and may suffer losses accordingly. |
| 12. |
Additional risks are disclosed in the "Risk Disclosure" section. Please refer to "Risk Disclosure" section for details. |
|
Structured Investment Products (except for Callable Fixed Deposits), Deposit Plus and CDs are not protected deposits and are not protected by the Deposit Protection Scheme in Hong Kong.
This document does not constitute an offer for the purchase or sale of any investment products. You should carefully consider whether any investment products or service mentioned herein are appropriate for you in view of your investment experience, objectives, financial resources and relevant circumstances. The contents of this document have not been reviewed by the Securities and Futures Commission. |
Promotional Terms and Conditions
| General Terms and Conditions |
| 1. |
The promotional period is from 10 September to 30 November 2012, both dates inclusive (the "Promotional Period"). |
| 2. |
The various offers under this promotion (collectively, the “Offers”) are exclusive to selected accountholders of The Integrated Account – HSBC Premier of The Hongkong and Shanghai Banking Corporation Limited, Hong Kong (the “Bank”) to whom this direct mailer is specifically addressed (the “Customers”). The offers apply to any Integrated Account – HSBC Premier of which the Customer is the sole or principal accountholder (“Applicable Account”). A Customer who has successfully applied for the designated product(s)/service(s) or executed the specified amount(s) of the designated transaction(s) via the applicable account(s) as referred to in these Terms and Conditions during the Promotional Period will be entitled to the Offers as mentioned in this direct mailer (the “Eligible Customers”). |
| 3. |
Unless specified below, Eligible Customer shall receive Sogo cash coupon(s) (the “Shopping Coupons”). The Shopping Coupons will be mailed on or before 31 March 2013 to the Eligible Customer's local correspondence address according to the Bank’s record at the time of mailing. Shopping Coupons are not replaceable in the event of any loss or damage, including without
limitation in any lost in transit after being mailed out by the Bank. |
| 4. |
Eligible Customers who cancel the designated product(s)/service(s) or terminate or convert their Applicable Account to an Integrated Account – HSBC Advance/SmartVantage through which the designated transaction was conducted before the Coupons are mailed out will not be eligible for the promotional offers. |
| 5. |
The Shopping Coupons are available while stock lasts. The Bank reserves the right to replace the Shopping Coupons with alternative gifts without prior notice. The Shopping Coupons offered under this promotion (or any alternative gifts) cannot be converted to cash. The Bank is not responsible for and shall have no liability in respect of the quality of the products and services provided by the supplier of the Shopping Coupons in this promotion. |
| 6. |
The Offers are provided subject to the prevailing regulatory requirements. In the event of a dispute arising out of this promotion, the decision of the Bank shall be final and conclusive. |
| 7. |
If there is more than one prevailing promotional offer with respect to the same product, (including an offer made available under a Direct Mailer programme), an Eligible Customer will only be entitled to the offer under the Direct Mailer programme unless otherwise specified. If the Eligible Customer is entitled to more than one Direct Mailing promotional offer, the Direct Mailing offer with the highest value (as determined in the sole discretion of the Bank) will be granted. |
| 8. |
The Bank reserves the right to change these Terms and Conditions at any time and the Offers may be withdrawn by the Bank at its discretion without prior notice. |
| 9. |
Employees of the Bank are not eligible for the promotional offers. |
| 10. |
All remarks and footnotes stated in the direct mailer are intended to serve as part of the promotional Terms and Conditions. If there is any discrepancy between the remarks and footnotes and the Terms and Conditions set out below, the Terms and Conditions set out below shall apply. |
| 11. |
If there is any discrepancy between the Chinese and English versions of these Terms and Conditions, the English version shall prevail. |
| 12. |
All the Terms and Conditions listed above are governed by and construed in accordance with the laws of Hong Kong Special Administrative Region. |
| (A) |
Specific Terms and Conditions for New-to-Product Category Take-Up Offers (“Take-Up Offers”) |
| 13. |
To enjoy the Take-Up Offers, Eligible Customers must -
Have no holdings or have never conducted any transaction in any of the following product categories (each of (a) to (e) below is a “product category”) between 1 September 2011 and 9 September 2012(both dates inclusive):
| (a) |
Lump-sum subscriptions of Unit Trusts (including Unit Trust Monthly Investment Plans and switching of Unit Trusts) |
| (b) |
Purchase of Bonds/Certificates of Deposit (including IPO) |
| (c) |
Subscription of Deposit Plus (DPS)/ Structured Investment Deposits (SID)/Capital Protected Investment Deposits/Equity-linked Investment/Structured Notes |
| (d) |
Placement of foreign currency/RMB time deposits |
| (e) |
Life insurance (excluding investment-linked insurance) |
| AND successfully apply for a product in the following corresponding product category* (each of (f) to (j) is a “product category”) during the Promotional Period: |
| (f) |
Lump-sum subscriptions of Unit Trusts (excluding Unit Trust Monthly Investment Plans and switching of Unit Trusts) |
| (g) |
Purchase of Bonds/Certificates of Deposit (excluding IPO) |
| (h) |
Subscription of Deposit Plus (DPS)/Structured Investment Deposits (SID)/Capital Protected Investment Deposits/Equity-linked Investment/Structured Notes |
| (i) |
Placement of foreign currency/RMB time deposits with new funds# |
| (j) |
Life insurance (excluding investment-linked insurance)† |
| THAT with a transaction amount/annualized premium of at least HK$200,000. An Eligible Customer is entitled to HK$100 worth of Shopping Coupons for each transaction/policy. |
| * |
(f) is the corresponding product category for (a), (g) for (b), (h) for (c), (i) for (d) and (j) for (e). It follows that an Eligible Customer who has holdings in (a) during the specified period and successfully applies for (f), (g) or (h) that meets with the minimum requirement above mentioned will still be eligible for the Take-Up Offers but not for (f). Likewise for the other product categories. |
| # |
Please refer to Clause 14 for details of the New Fund Balance. Time deposit renewal and placement of time deposit with Existing Funds do not qualify. Existing Funds refer to funds (whatever currencies they are in) that the customer currently maintains with the Bank. |
| † |
Please refer to Clause 15 for additional terms and conditions that apply to product category - life insurance. |
|
| 14. |
The New Fund Balance refers to the net growth in the Eligible Customer’s Total Relationship Balance (“TRB”) by comparing the TRB in the month of August 2012 with the same in the month of December 2012, according to the Bank’s record.
TRB is the daily average balance taking into account the following:
| - | Hong Kong dollar/Renminbi/foreign currency deposits |
| - | Market value of the following investments: Local and Overseas Securities, Unit Trusts, Bonds, Certificates of Deposit, Equity-linked Investments, Structured Notes, Stock/Unit Trust Monthly Investment Plan as well as Wayfoong Statement Gold |
| - | Deposit amounts of Deposit Plus and Structured Investment Deposits (including Capital Protected Investment Deposits) |
| - | Utilised lending facilities (excluding mortgages and amounts outstanding on credit cards) |
| - | Saving and investment portions of life insurance policies, HSBC MPF balances and HSBC ORSO Defined Contribution Scheme balances |
To determine your overall TRB in sole capacity, the applicable TRB of all your personal sole account(s) held or registered under the same name and identity number, and all your joint account(s) held or registered with the same joint accountholder(s) under the same name(s) and identity number(s) will be included in the calculation. To determine your overall TRB in joint capacity, the applicable TRB of all your joint account(s), held or registered under the same name(s) and identity number(s), held with the same joint accountholder(s) will be included in the calculation. There may be a time lag before the value of certain investment transactions (i.e. Initial Public Offering subscriptions for Securities, Bonds, Open-end Funds and Certificates of Deposits) and life insurance policies will be included in the TRB due to the processing time required and therefore may affect the TRB in the Bank's record.
|
| 15. |
The following terms and conditions are applicable to product category – Life Insurance mentioned in Clause 13 and 18:
| (i) |
The application date for the designated category of insurances in respect of the Offer set out in Clause 13 and 18 should be within the Promotional Period and the relevant policy must be effected on or before 31 January 2013 in order to be eligible for the Offer. Any change to existing insurance policy(ies) will not be considered as a new purchase or take up of insurance and therefore will not be eligible for the Offer. |
| (ii) |
The relevant Offer(s) will be offered after the policy becomes effective. Eligible Customers who cancel the policy before the Shopping Coupons are mailed out will no longer be eligible for the Offers. |
| (iii) |
Customers who have withdrawn or cancelled an application/a policy for the same insurance product within six months before the Promotional Period or cancels his/her policy prior to the Shopping Coupons being mailed will not be entitled to any offer under this promotion. |
| (iv) |
The date appearing in the Bank's records will be conclusive as to the date on which the application/policy of the relevant insurance product was filed, withdrawn or cancelled. |
| (v) |
All insurance applications are subject to final approval by HSBC Life (International) Limited. |
|
| 16. |
An Eligible Customer is entitled to the Take-Up Offers once per each of product category (f) to (j). Each Eligible Customer is entitled to this offer once under each product category irrespective of the number of product take-up under the same product category. |
| 17. |
Eligible Customers who are entitled to the Take-Up Offers will receive up to a maximum of HK$500 worth of Shopping Coupons. |
| (B) |
Specific Terms and Conditions for Wealth Management Products Take-Up Offers (“Special Offers”) |
| 18. |
An Eligible Customer is entitled to the Special Offer once per each of the product take-up under the following product categories.
| (a) |
Lump-sum subscriptions of Unit Trusts (excluding Unit Trust Monthly Investment Plans and switching of Unit Trusts) |
| (b) |
Purchase of Bonds/Certificates of Deposit (excluding IPO) |
| (c) |
Subscription of Deposit Plus (DPS)/Structured Investment Deposits (SID)/Capital Protected Investment Deposits/Equity-linked Investment/Structured Notes |
| (d) |
Placement of foreign currency/RMB time deposits with new funds# |
| (e) |
Life insurance† (excluding investment-linked insurance) |
An Eligible Customer is entitled to the Special Offer once per each of product category (a) to (e) and enjoy HK$200 worth of Shopping Coupons for a transaction with a transaction amount/a policy with an annualised premium of at least HK$500,000.
| # |
Please refer to Clause 14 for details of the New Fund Balance. Time deposit renewal and placement of time deposit with Existing Funds do not qualify. Existing Funds refer to funds (whatever currencies they are in) that the customer currently maintains with the Bank. |
| † |
Please refer to Clause 15 for additional terms and conditions that apply to product category - life insurance. |
|
| 19. |
Each Eligible Customer who is entitled to the Special Offer will receive up to a maximum of HK$1,000 worth of Shopping Coupons. |
| 20 . |
An Eligible Customer can enjoy up to a maximum of HK$300 worth of Shopping Coupons for each take-up that meets the requirement of both Take-Up Offers and Special Offers. |
| Risk Disclosures |
| Unit Trusts |
| 1. |
Funds which are invested in certain markets and companies (e.g. emerging, commodity markets and smaller companies etc) may also involve a higher degree of risk and are usually more sensitive to price movements. |
| 2. |
Credit Risk/Interest Rate Risk – a fund that invests in fixed income securities may fall in value if interest rates change, and is subject to the credit risk that issuers may not make payments on such securities. Price of the fund may have a high volatility due to investment in financial derivative instruments and may involve a greater degree of risk than in the case with conventional securities. |
| 3. |
Counterparty Risk – a fund will be exposed to credit risk on the counterparties with which it trades in relation to financial derivative instrument contracts that are not traded on a recognised exchange. Such instruments are not afforded the same protections as may apply to participants trading financial derivative instruments on organised exchanges, such as the performance guarantee of an exchange clearing house. A fund will be subject to the possibility of insolvency, bankruptcy or default of a counterparty with which a fund trades such instruments, which could result in substantial loss to a fund. |
| Bonds / Certificates of Deposits (CDs) |
| 1. |
Bonds/CDs are mainly for medium to long term investment, not for short term speculation. You should be prepared to invest your funds in bonds/CDs for the full investment tenor; you could lose part or all of your investment if you choose to sell your bonds/CDs prior to maturity. |
| 2. |
It is the issuer to pay interest and repay principal of bonds/CDs. If the issuer defaults, the holder of bonds/CDs may not be able to receive back the interest and principal. The holder of bonds/CDs bears the credit risk of the issuer and has no recourse to HSBC unless HSBC is the issuer itself. |
| 3. |
Indicative bond/CD prices are available and bond/CD prices do fluctuate when market changes. Factors affecting market price of bonds/CDs include, and are not limited to, fluctuations in interest rates, credit spreads, and liquidity premiums. The fluctuation in yield generally has a greater effect on prices of longer tenor bonds/CDs. There is an inherent risk that losses may be incurred rather than profit made as a result of buying and selling bonds/CDs. |
| 4. |
If you wish to sell the bonds/CDs purchased through HSBC, HSBC may repurchase them based on the prevailing market price under normal market circumstances, but the buying price may differ from the original selling price due to changes in market conditions. |
| 5. |
There may be exchange rate risks if you choose to convert payments made on the bonds/CDs to your home currency. |
| 6. |
The secondary market for bonds/CDs may not provide significant liquidity or may trade at prices based on the prevailing market conditions and may not be in line with the expectations of the bond/CD holders. |
| 7. |
If a bond/CD is early redeemed, you may not be able to enjoy the same rates of return when you re-invest the funds in other investments. |
|
| (C) |
Specific Terms and Conditions for Life Insurance Offer |
| 21. |
The promotional offers are only applicable to successful applications in respect of a new purchase of RetireIncome Annuity Plan, EarlyIncome Annuity Plan or Lifestyle Wealth Protection Plus within the period of 1 January 2012 to 31 December 2012 (both dates inclusive) (“the Life Insurance Offer Promotional Period”) with policy be issued within the period of 1 January to 28 February 2013 (both dates inclusive) and shall at all times be subject to these Terms and Conditions. |
| 22. |
A customer who has withdrawn/cancelled an application/policy for the same insurance plan within the past six months will not be entitled to the promotional offer. |
| 23. |
If a customer who is entitled to receive the promotional offers under this promotion is also entitled to other offer(s) under another concurrent promotion run by the Bank in respect of the same type of designated product or service, such customer is only entitled to receive the offer of the highest value to the customer at the Bank’s discretion. |
| 24. |
Offers under this promotion are not applicable to policies applied for by a company. |
| 25. |
Premium discount/premium waiver/startup bonus offered in this promotion are not exchangeable for cash and are not transferable. |
| 26. |
“HSBC Premier Customers” are existing customers of Integrated Account – HSBC Premier with the Bank. |
| 27. |
All insurance applications are subject to approval by HSBC Life (International) Limited. |
| 28. |
Specific Product Terms and Conditions for RetireIncome Annuity Plan (RIAP)/EarlyIncome Annuity Plan (EIAP)/Lifestyle Wealth Protection Plus (LWPP) – First-year Premium Discount:
| - | The 3% First-year Premium Discount is only applicable to successful applications in respect of a new purchase of RIAP or LWPP from “HSBC Premier Customers” mentioned in Clause 26 (“Premier RIAP/LWPP Policy”) |
| - | The 2% First-year Premium Discount is only applicable to successful applications in respect of a new purchase of EIAP from “HSBC Premier Customers” mentioned in Clause 26 (“Premier EIAP Policy”) |
| - | For monthly payment of premium, customers are required to pay the first three months’ premium upfront with the discount deducted from the initial payment |
| - | For premiums paid on annual basis, the amount of premium payable in the first year will be calculated as:
- full annual premiumX0.97 (for Premier RIAP/LWPP Policy) OR
- full annual premiumX0.98 (for Premier EIAP Policy) |
|
| 29. |
Clauses 8 -12 of the General Terms and Conditions above are also applicable to the Life Insurance Offer. |
| (D) |
Specific Terms and Conditions for Deposit Plus Welcome Offer – Additional 2% p.a. Interest Rate Offer (the “Offer”) |
| 30. |
The promotional period is from 1 September 2012 to 30 November 2012, both dates inclusive (the “Promotion Period”). |
| 31. |
The Offer is only applicable to selected personal customers without any buy transactions on Deposit Plus via any personal or joint account(s) held with the Bank within the past 6 months prior to the transaction month of the First Eligible Transaction referred in Clause 33 (“Eligible Customer”). |
| 32. |
To enjoy the Offer, the Eligible Customer must successfully take up Deposit Plus with a minimum transaction amount of HK$50,000 (or the equivalent in foreign currency ) and with an investment tenor equal to or less than 14 days made through HSBC Phone Banking, HSBC Personal Internet Banking, HSBC Mobile Banking or at any HSBC branch in Hong Kong during the Promotion Period (“Eligible Transaction”). |
| 33. |
Each Eligible Customer is only entitled to receive the Offer once for the First Eligible Transaction (“First Eligible Transaction”) made during the Promotion Period. First Eligible Transaction means the first Eligible Transaction made by the Eligible Customer during the Promotion Period, or if the Eligible Customer has made more than one Eligible Transaction on the same day during the Promotion Period, the Eligible Transaction with the highest investment amount made by Eligible Customer on that day would be considered as the First Eligible Transaction. The Deposit Plus deposit date will be used to determine whether the transaction(s) is the First Eligible Transaction or being made on the same day. |
| 34. |
For joint account(s), only the primary accountholder is entitled to this Offer. If the Eligible Customer is a sole account holder and a primary joint accountholder at the same time, and places an Eligible Transaction in both of such capacities, the Offer will only be made to the First Eligible Transaction once. |
| 35. |
Each Eligible Customer shall be rewarded with an additional 2% p.a. interest rate of the investment amount of the First Eligible Transaction. |
| 36. |
The additional 2% p.a. interest rate will be rebated in Hong Kong Dollar (HKD) and will be credited to the Eligible Customer’s savings or current account at the Bank’s discretion, within 2 months from the transaction month of the First Eligible Transaction as listed in the table below.
Transaction Period for taking up
First Eligible Transaction |
Rebate to the Eligible Customer
will be made on or before |
| 1 Sep 2012 to 30 Sep 2012 |
30 Nov 2012 |
| 1 Oct 2012 to 31 Oct 2012 |
31 Dec 2012 |
| 1 Nov 2012 to 30 Nov 2012 |
31 Jan 2013 |
|
| 37. |
Where the First Eligible Transaction made is denominated in a currency other than HKD, the investment amount of the transaction will be converted to HKD at the prevailing exchange rate as designated by the Bank from time to time, and the rebate amount will be calculated by the Bank based on the converted HKD amount. |
| 38. |
Eligible Customers who terminate his/her account through which the Eligible Transaction was conducted and if such an account is not in place at the time of rebate will for all purposes have forfeited his/her entitlement to the Offer and hence, the rebate amount will also be forfeited. |
| 39. |
Clauses 6-12 of the General Terms and Conditions above are also applicable to this offer. |
| (E) |
Specific Terms and Conditions for Preferential Initial Charge Offer for Open-end Funds (the “Offer”) |
| 40. |
This offer is applicable to HSBC Premier customers ("Eligible Customer") who successfully make a lump-sum subscription order of open-end funds (excluding CapitALL funds and funds in the ‘No Subscription Fee Series”) via a HSBC Premier investment services account. |
| 41. |
Determination of the open-end funds preferential initial charge that shall apply to each subscription order is based on the relevant fund type, account type and subscription amount in accordance with the above open-end funds preferential initial charge offer pricing table. |
| 42. |
The actual amount of initial charge imposed on an open-end funds subscription order is calculated based on the relevant open-end funds preferential initial charge offer in accordance with the respective fund house’s fee calculation logic, which varies from fund house to fund house. This may be different from the amount derived from multiplying the subscription amount by the relevant open-end funds preferential initial charge offer. |
| 43. |
This offer is not applicable to subscriptions made under Unit Trust Monthly Investment Plan and FundMax Account. |
| 44. |
All other fees/charges applicable to the relevant fund (including switching fees, redemption fees, management fees and other fees) still apply. |
| 45. |
Other promotional offers on open-end funds initial charge may be available from time to time. Eligible Customer may or may not enjoy the preferential initial charge offer set out above with the prevailing promotional offers. Please refer to the Terms and Conditions for the respective promotional offers for details. |
| 46. |
The open-end funds preferential initial charge offer may be changed from time to time at the discretion of the Bank without prior notice. |
| 47. |
The Bank reserves the right to change these Terms and Conditions at any time with reasonable notice and the offer may be withdrawn by the Bank at its discretion without prior notice. In case of dispute, the decision of the Bank shall be final and conclusive. |
| All life insurance plans are underwritten by HSBC Life (International) Limited. HSBC Life (International) Limited is authorised and regulated by the Commissioner of Insurance of the Hong Kong SAR. The Hongkong and Shanghai Banking Corporation Limited is an insurance agent authorised by HSBC Life (International) Limited. The information shown is intended as a general summary. For charges and details, please refer to the relevant Product Brochures and policies or contact any HSBC branches or staff for offer details |
|
The contents of this document have not been reviewed by the Securities and Futures Commission.
Issued by The Hongkong and Shanghai Banking Corporation Limited
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