HSBC Global Asset Management has launched its Asia Focused Income Fund, targeted at retail investors in Hong Kong, with a minimum holding of 70 per cent in Asian income-orientated assets.

The fund - available in US and Hong Kong dollar share classes - is the first within HSBC’s Managed Solutions range, and is adjustable among various asset classes, including dividend-paying stocks, bonds, real estate investment trusts and cash.

Last year, gross sales of bond funds within Hong Kong’s retail sector hit a record $16.6 billion, according to Eric Fu, head of wealth development, Hong Kong, retail banking and wealth management.

Accordingly, the majority holding in Asian income enables the fund to tap the growth potential in Asia “without missing other opportunities elsewhere,” the firm said.

“The recent market corrections have created a potentially attractive entry point for riskier assets, such as Asian high dividend equities, Asia high yield and local currency bonds, as well as global emerging market bonds, which currently offer attractive yields relative to their global peers,” added Denis Gould, chief investment officer, Hong Kong, multi asset and wealth.

The fund's initial public offering began yesterday and runs until 25 May, with a minimum investment of $1,000.

HSBC Global Asset Management manages $400.2 billion in assets, as of 31 December 2011.