HSBC Essentiel

There are two types of HSBC Essentiel policies: HSBC Essentiel Projets and HSBC Essentiel Générations.

HSBC Essentiel Projets

The HSBC Essentiel Projets policy is available to anyone over the age of 18 and is particularly aimed at young professionals. It gives first-time savers the tools to build up capital to buy a house, complete a personal or professional project, plan for retirement etc.

HSBC Essentiel Générations

HSBC Essentiel Génération is reserved exclusively for minors and lets you plan for your children's or grandchildren's future and projects. You can steadily build up capital through scheduled payments or one-off payments on special occasions ⁽¹⁾.

Through the 'Donation' option, the HSBC Essentiel Générations policy allows you to manage your gift through a cash gift agreement whilst benefiting from all the tax advantages of assurance vie. This means that you can leave an inheritance to your children and grandchildren within a well-managed framework.

Manage your policy the simple way with online banking (additional payments, scheduled payments, fund transfers between plans etc)⁽²⁾.

HSBC Essentiel is a euro-denominated collective assurance vie policy with variable capital, subject to personal and optional subscription taken out by HSBC France with HSBC Assurances Vie (France), a company governed by the French Insurance Code. Subject to the conditions set out in the policy information leaflet.

(1) Additional deposits made into this plan may be considered as customary gifts. Customary gifts are gifts for special occasions (birth, birthdays, weddings, etc) and must be of modest value compared to the overall wealth of the donor. If these conditions are met, the customary gift will be exempt from the civil and tax rules pertaining to donations. Scheduled payments made into this plan are liable to fall under the civil and tax rules pertaining to donations. It is therefore advisable to limit the payment amounts.
(2) This service is not available in all HSBC brand branches. Please contact your personal advisor for further information. Subject to the terms and conditions set out in the policy information leaflet and the specific terms governing online assurance vie transactions.

HSBC Essentiel Projets is the simple way to help you to plan ahead for the things that matter to you most: saving up capital to buy property, building up financial assets for a personal or professional project, planning for retirement, etc. And if your plans change over time, HSBC Essentiel adapts with you!

An affordable policy

You can take out the Essentiel Projets policy with a minimum deposit of € 150⁽¹⁾ and scheduled monthly payments starting at € 45 per month. Once you have taken out the policy, you can use online banking to deposit sums and transfer funds between plans directly⁽²⁾.

A policy to plan ahead

To protect yourself and your loved ones, HSBC Essentiel Projets offers you :

• The Garantie Plancher⁽⁴⁾ (minimum guarantee) can be taken out when you sign up. This guarantee ensures that your designated beneficiaries receive a minimum amount in the event of your death.

Scheduled payments starting at € 45 per month

• Simple: Your payments are made by direct debit
• Manageable: Chose the amount to pay in (starting at € 45 per month)
• Flexible: You can change the amount paid in at any time⁽⁵⁾
• Avantageous: Benefit from payment charges that are reduced over time to reward your loyalty⁽⁶⁾

You can also make extra payments at any time (€ 150 minimum sum).

(1) If you do not set up scheduled payments, the initial deposit is € 225.
(2) This service is not available in all HSBC brand branches. Please contact your personal advisor for further information. Subject to the specific terms and conditions set out in the policies and the specific terms governing online life insurance transactions.
(3) Before subscribing to a UCITS (collective investment in transferable securities), it is imperative that you thoroughly read the simplified prospectus (a regulatory document accredited by the MFA, available in HSBC branches or by consulting the www.hsbc.fr/supports-assurancevie web page) together with the assurance vie policy information leaflet and its financial supplement setting out the available financial funds for the policy and the applicable charges. Past performances are no guarantee of future performances. Investments are subject to stock market fluctuations and may increase or decrease in value. Capital losses may also be incurred.
(4) The sum of additional capital paid in through the Garantie Plancher is limited to 50% of non-redeemed premiums paid out after charges, within the limit of € 50,000.
(5) According to the terms and conditions of the policy.
(6) As of the 2nd anniversary of setting up scheduled payments, charges reduced on a sliding scale are also applied to one-off payments for policies with ongoing scheduled payments.

HSBC Essentiel Générations lets you prepare today for the future plans of your children or grandchildren: support them through their studies or help them set up home or buy their first property.

An affordable policy

You can open a HSBC Essentiel Générations policy in the child's name with as little as € 150⁽¹⁾ and scheduled monthly payments starting at € 45⁽²⁾.

A policy to plan ahead

To protect your loved ones, HSBC Essentiel offers you the option of the 'Garantie Plancher'. This guarantee ensures that your designated beneficiaries will receive a minimum sum⁽⁴⁾ in the event of your death.

The HSBC Essentiel Générations policy is opened in your children's or grandchildren's name. Once they reach the age of majority, the policy automatically becomes a 'Projets' policy, while maintaining the tax benefits.

This means that, during the year after they turn 18, the now grown-up child can:

• Continue to make regular payments and carry on investing
• Redirect their investment, if they wish, according to their medium- or long-term plans
• Make additional one-off payments
• Subscribe to the Garantie Capital Majoré ⁽⁵⁾ option and guarantee additional capital for their designated beneficiaries in the event of accidental death
• Access their funds⁽⁶⁾

Scheduled payments starting at € 45 per month

• Simple:  Your payments are made by direct debit
• Manageable:  Choose the amount to pay in (starting at € 45 per month)
• Flexible:  You can change the amount paid in at any time⁽⁷⁾
• Avantageous:   Benefit from payment charges that are reduced over time as a courtesy⁽⁸⁾

You can also make extra payments at any time (€ 150 minimum sum).

(1) If you do not set up scheduled payments, the initial deposit is € 225.
(2) Additional deposits made into this plan may be considered as customary gifts. Customary gifts are gifts for special occasions (birth, birthdays, weddings etc) and must be of modest value compared to the overall wealth of the donor. If these conditions are met, the customary gift will be exempt from the civil and tax rules pertaining to donations. Scheduled payments made into this plan are liable to fall under the civil and tax rules pertaining to donations. It is therefore advisable to limit the payment amounts.
(3) Before subscribing to a UCITS (collective investment in transferable securities), it is imperative that you thoroughly read the simplified prospectus (a regulatory document accredited by the MFA, available in HSBC branches or by consulting the www.hsbc.fr/supports-assurancevie web page) together with the assurance vie policy information leaflet and its financial supplement setting out the available financial funds for the policy and the applicable charges. Past performances are no guarantee of future performances. Investments are subject to stock market fluctuations and may increase or decrease in value. Capital losses may also be incurred .
(4) The sum of additional capital paid in through the Garantie Plancher is limited to 50 per cent of non-redeemed premiums paid out after charges, within the limit of € 50,000.
(5) The Garantie Capital Majoré option can be subscribed to under the 'Projets' policy on condition that scheduled payments have been set up. An extra contribution of € 1 per month entitles you to additional capital of € 10,000, whereas an extra € 2 entitles you to an additional € 20,000. The two guarantee levels are mutually exclusive.
(6) Within the limits of prevailing tax legislation
(7) According to the terms and conditions of the policy.
⁽⁸⁾ As of the 2nd anniversary of setting up scheduled payments, charges reduced on a sliding scale are also applied to one-off payments for policies with ongoing scheduled payments.

The HSBC Essentiel Générations 'donations' option assists you in managing your individual gifts, allowing you to pass on part of your wealth within a well-managed framework.

This assurance vie policy, available for gifts of over € 5,000, is ideal for helping your children or grandchildren to achieve their future plans (financing their studies, helping them set up home, or buy property etc) It can then be used to hold and manage further gifts if you wish^(1).

A tailored policy for gifts

To give your children or grandchildren the best start in life:

• Make an individual gift, which must be registered with the beneficiary's local tax office
• Protect your gift with a cash gift agreement. Protect your gift with a cash gift agreement. This document defines, according to your wishes, the terms on how the sum is distributed to the beneficiary including the age when the child is eligible to access the funds (25 years of age maximum)

A policy that comes with tax benefits

HSBC Essentiel combines the advantages associated with gift giving with the tax benefits of assurance vie:

• Benefit from property transfer tax exemption within the limits of legal allowances
• Your children and grandchildren become HSBC Essential policy holders, enjoying all the advantages of assurance vie⁽²⁾

Based on promotion of labour, employment and purchasing power (La loi en faveur du travail, de l'emploi et du pouvoir d'achat ) (known as the TEPA law) there are more tax advantages than ever when giving to a loved one, as tax abatements have been significantly increased.

The six-year abatements, since 22 August 2007, are as follows:

• Children: € 150,000 (instead of € 50,000)
• Grandchildren: € 30,000

A policy to plan ahead

To protect your loved ones, HSBC Essentiel offers you the option of the 'Garantie Plancher'. This guarantee ensures that your designated beneficiaries will receive a minimum amount⁽⁴⁾ in the event of your death.

An evolving policy

The HSBC Essentiel Générations policy is opened in your children's or grandchildren's name. Once they reach the age of majority, the policy automatically becomes a 'Projets' policy, while maintaining the same tax benefits.

This means that, during the year after they turn 18, the now grown-up child can:

• Set up scheduled payments to continue investing
• Redirect their investment, if they wish, according to their medium- or long-term plans
• Make additional one-off payments.
• Access their funds⁽²⁾

(1) An individual gift made by the same donor(s) to the same beneficiary with the same level of cash gift agreement as for the initial donation.
(2) Within the limits of prevailing tax legislation..
(3) Before subscribing to a UCITS (collective investment in transferable securities), it is imperative that you thoroughly read the simplified prospectus (a regulatory document accredited by the MFA, available in HSBC branches or by consulting the www.hsbc.fr/supports-assurancevie web page) together with the assurance vie policy information leaflet and its financial supplement setting out the available financial funds for the policy and the applicable charges. Past performances are no guarantee of future performances. Investments are subject to stock market fluctuations and may increase or decrease in value. Capital losses may also be incurred .
(4) The sum of additional capital paid in through the Garantie Plancher is limited to 50 per cent of non-redeemed premiums paid out after charges, within the limit of € 50,000.
(5) As of the second anniversary of setting up scheduled payments, charges reduced on a sliding scale are also applied to one-off payments for policies with ongoing scheduled payments.