# EDGAR Filing Document

**Accession Number:** 0000798290
**File Stem:** 0001206774-23-000008
**Filing Date:** 2023-1
**Character Count:** 318239
**Document Hash:** f58f7118b36da222fdfd585bb7af9106
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001206774-23-000008.hdr.sgml**: 20230105

**ACCESSION NUMBER**: 0001206774-23-000008

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 9

**CONFORMED PERIOD OF REPORT**: 20221031

**FILED AS OF DATE**: 20230105

**DATE AS OF CHANGE**: 20230104

**EFFECTIVENESS DATE**: 20230105

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** HSBC FUNDS
- **CENTRAL INDEX KEY:** 0000798290
- **IRS NUMBER:** 043084306
- **STATE OF INCORPORATION:** MA
- **FISCAL YEAR END:** 1031

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-04782
- **FILM NUMBER:** 23508451

**BUSINESS ADDRESS:**
- **STREET 1:** C/O HSBC FUNDS
- **STREET 2:** 452 FIFTH AVENUE
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 11108
- **BUSINESS PHONE:** 614-470-8000

**MAIL ADDRESS:**
- **STREET 1:** C/O CITI
- **STREET 2:** 4400 EASTON COMMONS, SUITE 200
- **CITY:** COLUMBUS
- **STATE:** OH
- **ZIP:** 43219-3035

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** HSBC INVESTOR FUNDS
- **DATE OF NAME CHANGE:** 20010531

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** REPUBLIC FUNDS
- **DATE OF NAME CHANGE:** 19941013

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FUNDTRUST /NY
- **DATE OF NAME CHANGE:** 19920703

## Series and Classes Contracts Data

### HSBC RadiantESG U.S. Smaller Companies Fund (Series ID: S000005038)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000013749 | A Shares     | HSOAX           |
| C000013751 | C Shares     | HOPCX           |

### HSBC U.S. Government Money Market Fund (Series ID: S000005047)

| Class ID   | Class Name                 | Ticker Symbol   |
|:---|:---|:---|
| C000013783 | A Shares                   | FTRXX           |
| C000013784 | Y Shares                   | RGYXX           |
| C000013786 | C Shares                   | HUMXX           |
| C000013787 | D Shares                   | HGDXX           |
| C000013788 | I Shares                   | HGIXX           |
| C000081883 | E Shares                   |  |
| C000167214 | Intermediary Class         |  |
| C000167215 | Intermediary Service Class |  |

### HSBC U.S. Treasury Money Market Fund (Series ID: S000005052)

| Class ID   | Class Name                 | Ticker Symbol   |
|:---|:---|:---|
| C000013808 | A Shares                   | HWAXX           |
| C000013809 | Y Shares                   | HTYXX           |
| C000013811 | C Shares                   | HUCXX           |
| C000013812 | D Shares                   | HTDXX           |
| C000013813 | I Shares                   | HBIXX           |
| C000081886 | E Shares                   |  |
| C000167218 | Intermediary Class         |  |
| C000167219 | Intermediary Service Class |  |

### HSBC RadiantESG U.S. Smaller Companies Fund Class I (Series ID: S000053727)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000168898 | Class I      |  |

### HSBC RadiantESG U.S. Smaller Companies Portfolio (Series ID: S000055061)

| Class ID   | Class Name       | Ticker Symbol   |
|:---|:---|:---|
| C000173143 | Master Portfolio |  |

UNITED STATES<br>SECURITIES AND EXCHANGE COMMISSION<br>Washington, D.C. 20549

**FORM N-CSR**

**CERTIFIED SHAREHOLDER REPORT OF REGISTERED<br>MANAGEMENT INVESTMENT COMPANIES**

Investment Company Act file number: 811-04782

HSBC FUNDS<br>(Exact name of registrant as specified in charter)

452 FIFTH AVENUE<br>NEW YORK, NY 10018<br>(Address of principal executive offices) (Zip code)

CITI FUND SERVICES<br>4400 EASTON COMMONS, SUITE 200<br>COLUMBUS, OH 43219<br>(Name and address of agent for service)

Registrant's telephone number, including area code: 1-800-782-8183

Date of fiscal year end: October 31 <br> Date of reporting period: October 31, 2022<br>

------

**Item 1. Reports to Stockholders.**

![](hsbc4137231-ncsrx1x1.jpg)

**HSBC Funds**

Annual Report

October 31, 2022

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **MONEY MARKET FUNDS** | **Class A** | **Class C** | **Class D** | **Class E** | **Class I** | **Intermediary<br> Class** | **Intermediary<br> Service Class** | **Class Y** |
| HSBC U.S. Government<br> Money Market Fund | FTRXX | HUMXX | HGDXX | HGEXX | HGIXX | HGGXX | HGFXX | RGYXX |
| HSBC U.S. Treasury<br> Money Market Fund | HWAXX | HUCXX | HTDXX | HTEXX | HBIXX | HTGXX | HTFXX | HTYXX |

---

------

**Table of Contents**

**HSBC Family of Funds**

**Annual Report - October 31, 2022**

---

| | |
|:---|:---|
| Glossary of Terms | 2 |
| Commentary From the Investment Manager | 3 |
| Portfolio Reviews | 4 |
| Portfolio Composition | 6 |
| **Schedules of Portfolio Investments** |  |
| &nbsp;&nbsp;&nbsp;HSBC U.S. Government Money Market Fund | 7 |
| &nbsp;&nbsp;&nbsp;HSBC U.S. Treasury Money Market Fund | 11 |
| Statements of Assets and Liabilities | 12 |
| Statements of Operations | 13 |
| Statements of Changes in Net Assets | 14 |
| Financial Highlights | 15 |
| Notes to Financial Statements | 17 |
| Report of Independent Registered Public Accounting Firm | 28 |
| Other Federal Income Tax Information | 30 |
| Table of Shareholder Expenses | 31 |
| Board of Trustees and Officers | 33 |
| Other Information | 35 |

---

------

**Glossary of Terms**

**Basis points (BPS)** refers to a common unit of measure for interest rates and other percentages in finance. One basis point is equal to 1/100<sup>th</sup> of 1%, or 0.01%, or 0.0001, and is used to denote the percentage change in a financial instrument.

**Bloomberg Global Aggregate Index** is an index that is the measure of the global investment-grade debt from 24 local currency markets, which include treasury, government-related, corporate, and securitized fixed-rate bonds from both developed and emerging markets issuers.

**Bloomberg U.S. Aggregate Bond Index** is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market. This includes Treasuries, government-related and corporate securities, mortgage-backed securities, asset-backed securities and collateralized mortgage-backed securities.

**Bloomberg U.S. Corporate High Yield Bond Index** measures the USD-denominated, high-yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody's, Fitch and S&P is Ba1/BB+/ BB+ or below. Bonds from issuers with an emerging markets (EM) country of risk, based on Barclays EM country definition, are excluded.

**Duration** is a measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates. The longer a security's duration, the more sensitive it will be to changes in interest rates. A bond's duration is easily confused with its term or time to maturity because they are both measured in years. However, a bond's term is a linear measure of the years until repayment of principal is due; it does not change with the interest rate environment. Duration, on the other hand, is non-linear and accelerates as time to maturity lessens.

**ICE BofA Merrill Lynch U.S. High Yield Index** is an index that tracks the performance of U.S. dollar-denominated below investment-grade corporate debt publicly issued in the U.S. domestic market.

**Gross Domestic Product ("GDP")** is the value of goods and services produced in a given country in a given year.

**London Interbank Offered Rate ("LIBOR")** is an interest rate at which banks can borrow funds, in marketable size, from other banks in the London interbank market. The LIBOR is fixed on a daily basis by the British Bankers' Association. The LIBOR is derived from a filtered average of the world's most creditworthy banks' interbank deposit rates for larger loans with maturities between overnight and one full year.

**MSCI Europe Australasia and Far East ("MSCI EAFE") Index** is an equity index which captures the large- and mid-cap representation across 21 developed markets countries, excluding the U.S. and Canada.

**MSCI Emerging Markets Index** is a float-adjusted market capitalization index that is designed to measure equity market performance in global emerging markets.

**Russell 1000<sup>®</sup> Index** measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000<sup>®</sup> Index and includes approximately 1000 of the largest securities based on a combination of their market cap and current index membership. The Russell 1000 represents approximately 92% of the U.S. market.

**Russell 2000<sup>®</sup> Index** measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000<sup>®</sup> Index is a subset of the Russell 3000<sup>®</sup> Index representing approximately 8% of the total market capitalization of that index. It includes approximately 2000 of the smallest securities based on a combination of their market cap and current index membership.

**Secured Overnight Financing Rate ("SOFR")** is a broad measure of the cost of borrowing cash overnight collateralized by Treasury securities. The SOFR includes all trades in the Broad General Collateral Rate plus bilateral Treasury repurchase agreement (repo) transactions cleared through the Delivery-versus-Payment (DVP) service offered by the Fixed Income Clearing Corporation (FICC), which is filtered to remove a portion of transactions considered specials.

*Securities indices are unmanaged and assume reinvestment of all distributions and interest payments and do not take in account brokerage fees or expenses. Securities in the Funds do not match those in the indices and performance of the Funds will differ. Investors cannot invest directly in an index.*

---

| | |
|:---|:---|
| **2** | **HSBC FAMILY OF FUNDS** |

---

------

**Commentary From the Investment Manager** **(Unaudited)**

**HSBC Global Asset Management (USA) Inc.**

**Global Economic Review**

During the 12-month period ending October 31, 2022, major economies including the U.S. and China experienced slower economic growth. These economies faced a variety of headwinds, including China's zero-COVID policies, the war in Ukraine, and persistently high inflation. Central banks around the world, including the U.S. Federal Reserve (the Fed), moved to normalize bank policy as a check on rising inflation. These factors, along with a surge in energy prices triggered by the Ukraine conflict, drove concerns among investors about potential recessions in the UK and Europe, and, to a lesser degree, in the U.S. as well. Inflation and efforts by central banks to bring inflation under control dominated the period under review.

The 12-month period began with supply-side constraints that continued to pose challenges to global economies. Strong demand from U.S. consumers continued to outstrip supply for many goods in the final months of 2021, which fueled a rise in inflation. Ongoing coronavirus containment efforts in many emerging markets countries, including China, worsened the demand-supply imbalance. High inflation was also a factor in the UK and some emerging markets, such as Russia and several Eastern European countries.

These factors persisted into early 2022 when they began to drag on economic growth. The U.S. economy grew at an annualized rate of 6.9% in the fourth quarter of 2021 but declined by 1.6% in the first quarter of 2022 and by 0.6% in the second quarter. A strong labor market and solid fundamentals helped support U.S. equity markets through the end of 2021, but investors lost their appetite for risk in early 2022 amid Russia's invasion of Ukraine and the Fed's announcement that it was accelerating its plans to tighten monetary policy.

The conflict in Ukraine sent oil prices higher, adding to already high inflation metrics. High energy prices generated headwinds for the Eurozone and India, which offset the growth the regions were expecting as they began to ease COVID restrictions. The UK economy faced headwinds from higher energy prices and lingering trade tensions from the country's departure from the EU. For its part, Japan continued to suffer from a weaker yen and higher commodity prices, which overshadowed that country's post-pandemic return to growth.

Amid persistent inflation and downgraded economic growth forecasts in economies around the world, the Fed raised its target for short-term interest rates by 75 basis points in June 2022. The move was larger than markets expected and was the largest rate increase in nearly 30 years. But the tone of the Fed comments that accompanied the hike, along with better-than-expected quarterly corporate earnings, helped buoy investor confidence that a recession in the U.S. could still be avoided.

Central banks maintained their hawkish approach through the summer despite signs of slowing global economic growth. Investors took a second interest rate hike by the Fed in July in stride. But a late-August speech by Fed Chair Jerome Powell, in which he indicated there would be "some pain to households and businesses" before inflation could be reined in, triggered a flight to safety. A higher-than-expected reading of U.S. inflation in mid-September kept downward pressure on investor confidence throughout much of the rest of the period.

Amidst these challenges, however, economic growth rebounded in the U.S., with the advance estimate putting third-quarter GDP growth at an annualized rate of 2.6%. Japan also posted stronger growth in the third quarter, and it managed to post positive quarterly economic growth through all three quarters of 2022 covered by the period under review—a departure from most other developed economies. Easing COVID restrictions helped the nation grow its economy, even as its inflation rate crept higher.

In China, ongoing COVID challenges, a downturn in the domestic property market, and falling global demand kept that nation's economy from recovering. Tightening financial conditions were also a factor in slowing India's cyclical recovery. In the Eurozone, meanwhile, signs of a looming recession grew more pronounced as winter approached and energy prices remained high. The UK also continued to face economic headwinds in the form of high inflation and high energy costs.

Emerging markets economies largely struggled amid rising inflation. Growth in Latin American economies remained strong through the summer, largely due to strength in commodity prices. But economic headwinds in the form of tightening monetary policy and fears of a global slowdown began to drag on emerging markets economies near the end of the period under review.

The Fed raised rates by 25 basis points in March and 50 basis points in May. Additional 75-basis-point hikes came in June, July, and September, respectively. Inflation in the U.S. remained high across the 12-month period, however, measuring 6.8% on an annualized basis in November 2021 and 7.7% for October 2022.

**Market review**

Global equity markets fell for the 12-month period due to inflation and the combined efforts by various central banks to cool their respective economies to bring inflation under control. The conflict in Ukraine also shocked markets in early 2022 and led investors to seek out less risky areas of the stock markets. Equities managed to rebound several times throughout the period, but never enough to erase the overall losses that were primarily accrued in the first half of the period.

In the U.S., small- and mid-cap stocks generally underperformed their large-cap counterparts for the period. The Russell 2000 Index<sup>1</sup> of small-cap stocks returned -18.54% for the 12 months under review, compared to a -16.38% return for the Russell 1000 Index<sup>1</sup> of large-cap stocks. Value stocks generally outperformed growth-oriented companies as fears of economic slowdowns persisted.

International equities fared worse than U.S. equities, with emerging markets underperforming other developed international markets. The MSCI EAFE Index<sup>1</sup> of developed-market international stocks lost 23.00% (NR), while the MSCI Emerging Markets Index<sup>1</sup> returned -31.03% (NR).

Global fixed income markets generally struggled due to inflation concerns, which helped push U.S. and European bond yields higher and prices lower. The Bloomberg U.S. Aggregate Bond Index<sup>1</sup>, which tracks investment-grade bonds in the U.S. market, returned -15.68% for the 12 months under review. By comparison, the Bloomberg Global Aggregate Bond Index<sup>1</sup>, which tracks the broader global investment-grade fixed income market, returned -20.79% for the same period. Amid rising interest rates, U.S. high-yield bonds generally fared better than investment grade bonds, but still lost ground. The ICE BofA Merrill Lynch U.S. High Yield Index<sup>1</sup>, which tracks high-yield bonds in the U.S. market, returned -11.45% for the 12 months under review.

1 For additional information, please refer to the Glossary of Terms.

**HSBC FAMILY OF FUNDS**<sub>3</sub>

------

**Portfolio Reviews** **(Unaudited)**

---

| | |
|:---|:---|
| **HSBC U.S. Government Money Market Fund** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |
| **(Class A Shares, Class C Shares, Class D Shares, Class E Shares, Class I Shares,** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |
| **Intermediary Class, Intermediary Service Class and Class Y Shares)** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |
|  | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |
| *by John Chiodi* | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |
| *Senior Portfolio Manager* | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and <br> "AAAm" rating to the <br> HSBC U.S. Government <br> Money Market Fund.<sup>1</sup> |

---

**Investment Concerns**

*You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not a deposit of HSBC Bank USA, N.A. and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund's sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.*

For a complete description of these and other risks associated with investment in a mutual fund, please refer to the Fund's prospectus.

**Portfolio Performance**

Yields on U.S. government money market securities rose significantly during the 12-month period ended October 31, 2022. At the beginning of the period, the Federal Reserve (Fed) signaled that rate hikes intended to curb rising inflation were imminent. Ultimately, the Fed raised rates five times during the period for a total increase of 300 basis points<sup>‡</sup>.

Liquidity remained high during the period. The federal reverse repurchase agreement facility rose from $1.4 trillion at the beginning of the period to $2.3 trillion at the end of the period.

The large amount of liquidity in overnight positions supported yields in those markets and depressed yields on the longer-duration Treasury bills available for investment by the Fund, even as interest rates rose. Yields on repurchase agreements remained more attractive than yields on the longer-duration Treasury bills available to the Fund.

As a result, the Fund maintained heavy positions in floating-rate notes and repurchase agreements throughout the period. This positioning kept our weighted average maturity short and positioned the Fund to take advantage of the steepening yield curve as resets repeatedly captured the higher rates generated by the Fed's actions. <sup>†</sup> 

Asset flows were positive during the period but volatile. The Fund experienced periodic inflows as investors sought shorter-maturity investments ahead of expected rate hikes. Then, in the weeks following rate hikes, the Fund experienced outflows as investors withdrew assets to take advantage of higher-yielding securities at newly established higher rates.

*†* *Portfolio composition is subject to change.* 

*‡* *For additional information, please refer to the Glossary of Terms.* 

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | **Average Annual**<br>**Total Return (%)** | **Average Annual**<br>**Total Return (%)** | **Average Annual**<br>**Total Return (%)** | **Average Annual**<br>**Total Return (%)** | | **Expense**<br> **Ratio (%)<sup>3</sup>** | **Expense**<br> **Ratio (%)<sup>3</sup>** |
| **Fund Performance**<br>**As of October 31, 2022** | <br>**Inception**<br> **Date** | **1 Year** | **5 Year** | **10 Year** | **Since**<br> **Inception** | **Yield (%)<sup>2</sup>**<br>**7-Day**<br> **Average** | **Gross** | **Net** |
| Class A | 5/3/90 | 0.68 | 0.77 | 0.41 | 2.24 | 2.59 | 0.64 | 0.64 |
| Class C<sup>4</sup> | 11/20/06 |  |  |  | 1.39 |  | 1.24 | 1.24 |
| Class D | 4/1/99 | 0.76 | 0.85 | 0.47 | 1.42 | 2.74 | 0.49 | 0.49 |
| Class E<sup>5</sup> | 7/12/16 |  |  |  | 0.34 |  | 0.24 | 0.24 |
| Class I<sup>6</sup> | 12/24/03 | 0.98 | 1.09 | 0.64 | 1.00 | 3.09 | 0.14 | 0.14 |
| Intermediary Class | 7/12/16 | 0.95 | 1.06 |  | 0.96 | 3.07 | 0.29 | 0.18 |
| Intermediary Service Class | 7/12/16 | 0.94 | 1.04 |  | 0.94 | 3.05 | 0.34 | 0.20 |
| Class Y | 7/1/96 | 0.90 | 1.01 | 0.58 | 1.93 | 2.99 | 0.24 | 0.24 |

---

**Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Total return figures include change in share price, reinvestment of dividends and capital gains and do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. Investment return and principal value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please call 1-800-782-8183.**

The performance above reflects any fee waivers that have been in effect during the applicable periods, as well as any expense reimbursements that have periodically been made. Absent such waivers and reimbursements, returns would have been lower. Currently, contractual fee waivers and/or expense reimbursements are in effect for the Fund through March 1, 2023 for the Class E Shares, Class I Shares, Intermediary Class Shares and Intermediary Service Class Shares. In addition, during portions of the applicable periods above, HSBC Global Asset Management (USA) Inc. (the "Adviser"), working in conjunction with the Fund's other service providers, had voluntarily agreed to waive or limit net operating expenses in excess of the Fund's daily yield. These and other temporary waivers and expense limitation efforts may be terminated by the Adviser at any time and shareholders should not expect any temporary waiver and expense limitation efforts to continue indefinitely.

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| | |
|:---|:---|
| *1* | *The "Aaa-mf " and "AAAm" money market fund rating is historical and reflects Moody's and Standard & Poor's opinion as to the quality of the Fund's investments, liquidity management, and operations and trading support. Periodic reviews are conducted to ensure a secure operations environment. Moody's and Standard & Poor's ratings represent an opinion only, not a recommendation to buy or sell. Obligations rated A-1+, A-1 or P-1 are rated in the highest short-term rating category by Standard & Poor's (A-1+ or A-1) or Moody's Investor Service (P-1). The obligor's capacity to meet its financial commitments on these obligations is regarded to be "extremely strong" (A-1+), "strong" (A-1) or "superior" (P-1).* |
| *2* | *The seven-day yield quotation more closely reflects the current earnings of the money market fund than the total return quotation. The seven-day yield reflects voluntary fee waivers/expense reimbursements. Without the voluntary fee waivers/expense reimbursements, the yields would have been -0.20%, -0.05%, 0.30%, 0.15%, 0.10% and 0.20% for Class A Shares, Class D Shares, Class I Shares, Intermediary Class, Intermediary Service Class, and Class Y Shares, respectively.* |
| *3* | *Reflects the expense ratio as reported in the prospectus dated February 28, 2022. The Adviser has entered into a contractual expense limitation agreement with the Fund under which it will limit total expenses of the Fund (excluding interest, taxes, brokerage commissions, extraordinary expenses and estimated indirect expenses attributable to the Fund's investments in investment companies) to an annual rate of 0.25%, 0.14%, 0.18%, and 0.20% for Class E Shares, Class I Shares, Intermediary Class Shares, and Intermediary Service Class Shares, respectively. The expense limitation shall be in effect until March 1, 2023. Additional information pertaining to the October 31, 2022 expense ratios can be found in the financial highlights.* |
| *4* | *Reflects the applicable contingent deferred sales charge, maximum of 1.00%, for returns presented. Class C Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 346, 362 and 351 days during the years ended October 31, 2006, 2009 and 2010, respectively. The Class was not operational during the entire fiscal years ended October 31, 2007, 2008, and 2011 through 2022. No returns are presented for the one-year, five-year and 10-year periods with non-continuous operations.* |
| *5* | *Class E Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 112 and 283 days during the years ended October 31, 2016 and 2017, respectively. The Class was not operational during the entire fiscal years ended October 31, 2018 through 2022. No return is presented for the one-year period with non-continuous operations.* |
| *6* | *Class I Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 10, 89,136 and 357 days during the years ended October 31, 2004, 2005, 2006 and 2007, respectively. The Class was operational during the entire fiscal years ended October 31, 2008 through 2022.* |

---

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| | |
|:---|:---|
| **4** | **HSBC FAMILY OF FUNDS** |

---

------

**Portfolio Reviews** **(Unaudited)**

---

| | |
|:---|:---|
| **HSBC U.S. Treasury Money Market Fund** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |
| **(Class A Shares, Class C Shares, Class D Shares, Class E Shares, Class I Shares, Intermediary Class,** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |
| **Intermediary Service Class and Class Y Shares)** | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |
|  | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |
| *by John Chiodi* | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |
| *Senior Portfolio Manager* | &nbsp;&nbsp;Moody's and Standard & Poor's<br> have assigned an "Aaa-mf" and<br> "AAAm" rating to the<br> HSBC U.S. Treasury<br> Money Market Fund.<sup>1</sup> |

---

**Investment Concerns**

*You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not a deposit of HSBC Bank USA, N.A. and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund's sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.*

For a complete description of these and other risks associated with investment in a mutual fund, please refer to the Fund's prospectus.

**Portfolio Performance**

Yields on U.S. government money market securities rose significantly during the 12-month period ended October 31, 2022. At the beginning of the period, the Federal Reserve (Fed) signaled that rate hikes, intended to curb rising inflation, were imminent. Ultimately, the Fed raised rates five times during the period for a total increase of 300 basis points<sup>‡</sup>.

Liquidity remained high during the period. The federal reverse repurchase agreement facility rose from $1.4 trillion at the beginning of the period to $2.3 trillion at the end of the period.

The large amount of liquidity in overnight positions supported yields in those markets and depressed yields on the longer-duration Treasury bills available for investment by the Fund, even as interest rates rose.

As a result, the Fund maintained a heavy position in floating-rate notes. This positioning kept our weighted average maturity short and positioned the Fund to take advantage of the steepening yield curve as resets captured the higher rates generated by the Fed's actions.<sup>†</sup> 

Asset flows were positive during the period, but volatile. The Fund experienced periodic inflows as investors sought shorter-maturity investments ahead of expected rate hikes. Then, in the weeks following rate hikes, the Fund experienced outflows as investors withdrew assets to take advantage of higher-yielding securities at newly established higher rates.

*<sup>†</sup>* *Portfolio composition is subject to change.* <br> *<sup>‡</sup>* *For additional information, please refer to the Glossary of Terms.*

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | **Average Annual**<br> **Total Returns (%)** | **Average Annual**<br> **Total Returns (%)** | **Average Annual**<br> **Total Returns (%)** | **Average Annual**<br> **Total Returns (%)** | | **Expense**<br> **Ratio (%)<sup>3</sup>** | **Expense**<br> **Ratio (%)<sup>3</sup>** |
| **Fund Performance**<br>**As of October 31, 2022** | <br>**Inception**<br> **Date** | **1 Year** | **5 Year** | **10 Year** | **Since**<br> **Inception** | **Yield (%)<sup>2</sup>**<br>**7-Day**<br> **Average** | **Gross** | **Net** |
| Class A<sup>4</sup> | 5/24/01 |  |  |  | 1.08 |  | 0.66 | 0.66 |
| Class C<sup>5</sup> | 12/24/03 |  |  |  | 0.04 |  | 1.26 | 1.26 |
| Class D | 5/14/01 | 0.73 | 0.83 | 0.44 | 0.92 | 3.00 | 0.51 | 0.51 |
| Class E<sup>6</sup> | 7/12/16 |  |  |  | 0.37 |  | 0.26 | 0.25 |
| Class I<sup>7</sup> | 12/30/03 | 0.94 | 1.06 | 0.60 | 1.07 | 3.37 | 0.16 | 0.14 |
| Intermediary Class | 7/12/16 | 0.93 | 1.04 |  | 0.91 | 3.35 | 0.31 | 0.18 |
| Intermediary Service Class | 7/12/16 | 0.92 | 1.03 |  | 0.92 | 3.33 | 0.36 | 0.20 |
| Class Y | 5/11/01 | 0.87 | 0.98 | 0.55 | 1.05 | 3.25 | 0.26 | 0.26 |

---

**Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Total return figures include change in share price, reinvestment of dividends and capital gains and do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. Investment return and principal value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please call 1-800-782-8183.**

The performance above reflects any fee waivers that have been in effect during the applicable periods, as well as any expense reimbursements that have periodically been made. Absent such waivers and reimbursements, returns would have been lower. Currently, contractual fee waivers and/or expense reimbursements are in effect for the Fund through March 1, 2023 for the Class E Shares, Class I Shares, Intermediary Class Shares and Intermediary Service Class Shares. In addition, during portions of the applicable periods above, HSBC Global Asset Management (USA) Inc. (the "Adviser"), working in conjunction with the Fund's other service providers, had voluntarily agreed to waive or limit net operating expenses in excess of the Fund's daily yield. These and other temporary waivers and expense limitation efforts may be terminated by the Adviser at any time and shareholders should not expect any temporary waiver and expense limitation efforts to continue indefinitely.

---

| | |
|:---|:---|
| *1* | *The "Aaa-mf and "AAAm" money market fund rating is historical and reflects Moody's and Standard & Poor's opinion as to the quality of the Fund's investments, liquidity management, and operations and trading support. Periodic reviews are conducted to ensure a secure operations environment. Moody's and Standard & Poor's ratings represent an opinion only, not a recommendation to buy or sell. Obligations rated A-1+, A-1 or P-1 are rated in the highest short-term rating category by Standard & Poor's (A-1+ or A-1) or Moody's Investor Service (P-1). The obligor's capacity to meet its financial commitments on these obligations is regarded to be "extremely strong" (A-1+), "strong" (A-1) or "superior" (P-1).* |
| *2* | *The seven-day yield quotation more closely reflects the current earnings of the money market fund than the total return quotation. Without the voluntary fee waivers/expense reimbursements, the yields would have been -0.05%, 0.30%, 0.15%, 0.10%, and 0.20% for the Class D Shares, Class I Shares, Intermediary Class, Intermediary Service Class, and Class Y Shares, respectively.* |
| *3* | *Reflects the expense ratio as reported in the prospectus dated February 28, 2022. The Adviser has entered into a contractual expense limitation agreement with the Fund under which it will limit total expenses of the Fund (excluding interest, taxes, brokerage commissions, extraordinary expenses and estimated indirect expenses attributable to the Fund's investments in investment companies) to an annual rate of 0.25%, 0.14%, 0.18%, and 0.20% for Class E Shares, Class I Shares, Intermediary Class Shares, and Intermediary Service Class Shares, respectively. The expense limitation shall be in effect until March 1, 2023. Additional information pertaining to the October 31, 2022 expense ratios can be found in the financial highlights.* |
| *4* | *Class A Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 201 days during the year ended October 31, 2014 and the entire fiscal years ended October 31, 2001 through 2013. The Class was not operational during the entire fiscal years ended October 31, 2015 through 2022. No returns are presented for the one-year, five-year and 10-year periods with non-continuous operations.* |
| *5* | *Reflects the applicable contingent deferred sales charge, maximum of 1.00%, for returns presented. Class C Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 26 and 351 days during the years ended October 31, 2008 and 2010, respectively. The Class was operational during the entire fiscal years ended October 31, 2005, 2006, 2007 and 2009. The Class was not operational during the entire fiscal years ended October 31, 2011 through 2022. No returns are presented for the one-year, five-year and 10-year periods with non-continuous operations.* |
| *6* | *Class E Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 112 and 283 days during the fiscal years ended October 31, 2016 and 2017, respectively. The Class was not operational during the entire fiscal years ended October 31, 2018 through 2022. No return is presented for the one-year period with non-continuous operations.* |
| *7* | *Class I Shares were operational during a portion of the periods presented. Amounts reflect performance for the period of time the Class had operations, which was 13 and 280 days during the fiscal years ended October 31, 2004 and 2005, respectively. The Class was operational during the entire fiscal years ended October 31, 2006 through 2022.* |

---

**HSBC FAMILY OF FUNDS**<sub>5</sub>

------

**Portfolio Reviews**

**Portfolio Composition\***

**October 31, 2022 (Unaudited)**

---

| | |
|:---|:---|
| **HSBC U.S. Government Money Market Fund** | **HSBC U.S. Government Money Market Fund** |
| **Investment Allocation** | **Percentage of Investments**<br> **at Value (%)** |
| Repurchase Agreements | 57.7 |
| U.S. Treasury Obligations | 20.7 |
| U.S. Government and Government<br>Agency Obligations | 15.5 |
| Investment Companies | 6.1 |
| **Total** | **100.0** |
| **HSBC U.S. Treasury Money Market Fund** | **HSBC U.S. Treasury Money Market Fund** |
| **Investment Allocation** | **Percentage of Investments**<br> **at Value (%)** |
| U.S. Treasury Obligations | 100.0 |
| **Total** | **100.0** |

---

\* Portfolio composition is subject to change.

---

| | |
|:---|:---|
| **6** | **HSBC FAMILY OF FUNDS** |

---

------

**HSBC U.S. GOVERNMENT MONEY MARKET FUND**

**Schedule of Portfolio Investments—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
| **U.S. Government and Government Agency Obligations — 15.8%** | | |
|  |<br>**Principal<br> Amount ($)** |<br>**Value ($)** |
| **Federal Farm Credit Bank — 5.5%** |  |  |
| 0.13%, 4/13/2023 | 106000000 | 104751368 |
| 2.92%, 4/21/2023 | 140500000 | 140486011 |
| 3.08% (FCPR DLY - 317 bps), <br>2/15/2023(a) | 200000000 | 199975861 |
| 3.08% (FCPR DLY - 317 bps),<br>4/21/2023(a) | 150000000 | 149997153 |
| 3.09% (FCPR DLY - 316 bps),<br>7/26/2023(a) | 42000000 | 41978146 |
| 3.09% (FCPR DLY - 316 bps),<br>10/12/2023(a) | 100000000 | 99953731 |
| 3.11% (FCPR DLY - 315 bps),<br>3/15/2023(a) | 175000000 | 174996741 |
| 3.11% (SOFR + 6 bps),<br>1/10/2024(a) | 54000000 | 54000000 |
| 3.11% (FEDL01 + 3 bps),<br>12/8/2023(a) | 154000000 | 153975855 |
| 3.11% (SOFR + 6 bps), <br>12/13/2023(a) | 49000000 | 49000000 |
| 3.11% (SOFR + 6 bps), <br>12/27/2023(a) | 80000000 | 80000000 |
| 3.12% (FEDL01 + 4 bps), <br>10/20/2023(a) | 250000000 | 249992652 |
| 3.12% (FCPR DLY - 313 bps), <br>5/24/2024(a) | 50000000 | 50000000 |
| 3.13% (FCPR DLY - 312 bps), <br>1/8/2024(a) | 67000000 | 67000000 |
| 3.13% (FEDL01 + 6 bps), <br>1/19/2023(a) | 50000000 | 49999453 |
| 3.13% (SOFR + 9 bps), <br>7/1/2024(a) | 10000000 | 10000000 |
| 3.14% (SOFR + 9 bps), <br>8/26/2024(a) | 45000000 | 45000000 |
| 3.15% (PRIME - 310 bps), <br>12/2/2022(a) | 60000000 | 60003971 |
| 3.15% (FCPR DLY - 310 bps), <br>9/26/2023(a) | 100000000 | 100000000 |
| 3.15% (SOFR + 10 bps), <br>8/8/2024(a) | 45000000 | 45000000 |
| 3.16% (FCPR DLY - 310 bps), <br>10/27/2023(a) | 175000000 | 174995632 |
| 3.16% (FEDL01 + 8 bps), <br>9/9/2024(a) | 100000000 | 100000000 |
| 3.18% (SOFR + 14 bps), <br>11/6/2023(a) | 40800000 | 40831466 |
| 3.79%, 3/14/2023(b) | 100000000 | 98607194 |
| 3.95% (USBMMY3M - 9 bps), <br>4/30/2024(a) | 250000000 | 249953093 |
| 3.97% (USBMMY3M - 7 bps), <br>3/22/2023(a) | 100000000 | 99998069 |
| 4.06% (USBMMY3M + 2 <br>bps), 3/20/2023(a) | 175000000 | 175000000 |
| 4.08% (USBMMY3M + 4 <br>bps), 5/3/2023(a) | 175000000 | 175000000 |
| 4.10% (USBMMY3M + 6 <br>bps), 1/31/2023(a) | 150000000 | 150118146 |
|  |  | 3190614542 |
| **Federal Home Loan Bank — 10.3%** |  |  |
| 1.50%, 12/12/2022 | 187750000 | 187710881 |
| 1.52%, 12/19/2022(b) | 326000000 | 325326267 |
| 1.56%, 12/23/2022(b) | 350000000 | 349196167 |
| 1.69%, 1/3/2023(b) | 350000000 | 348952625 |
| 1.73%, 1/24/2023(b) | 699626000 | 696777334 |
| 1.82%, 1/6/2023 | 262000000 | 261991112 |
| 1.95%, 2/6/2023 | 150000000 | 150000000 |
| 1.98%, 3/27/2023 | 100000000 | 100000000 |
| 2.03%, 11/3/2022(b) | 250000000 | 249957639 |
| 2.08%, 2/13/2023 | 150000000 | 150000000 |
| 2.46%, 7/11/2023 | 150000000 | 150000000 |
| 2.93%, 2/16/2023(b) | 300000000 | 297387417 |
| 3.04%, 6/16/2023(b) | 3000000 | 2943250 |
| 3.07%, 2/21/2023(b) | 700000000 | 693314222 |
| 3.09% (SOFR + 4 bps), <br>1/30/2023(a) | 500000000 | 500000000 |
| 3.11% (SOFR + 6 bps), <br>11/18/2022(a) | 50000000 | 50000000 |
| 3.12% (SOFR + 7 bps), <br>11/10/2022(a) | 50000000 | 50000000 |
| 3.14%, 2/28/2023(b) | 300000000 | 296896083 |
| 3.19%, 7/13/2023(b) | 400000000 | 391166445 |
| 3.81%, 3/15/2023(b) | 200000000 | 197186000 |
| 3.84%, 12/28/2022(b) | 495000000 | 491955131 |
|  |  | 5940760573 |
| **TOTAL U.S. GOVERNMENT <br>AND GOVERNMENT <br>AGENCY OBLIGATIONS <br>(Cost $9,131,375,115)** |  | **9131375115** |
| **U.S. Treasury Obligations — 21.1%** |  |  |
| **U.S. Treasury Bills — 4.7%** |  |  |
| 2.66%, 1/12/2023(b) | 150000000 | 149196750 |
| 2.89%, 2/2/2023(b) | 300000000 | 297750563 |
| 3.48%, 3/16/2023(b) | 300000000 | 296101875 |
| 3.63%, 12/20/2022(b) | 1000000000 | 994987708 |
| 3.79%, 12/27/2022(b) | 1000000000 | 994034444 |
|  |  | 2732071340 |
| **U.S. Treasury Notes — 16.4%** |  |  |
| 3.97% (USBMMY3M - 8 bps), <br>4/30/2024(a) | 480000000 | 479755066 |
| 4.03% (USBMMY3M - 2 bps), <br>1/31/2024(a) | 1480000000 | 1480732215 |
| 4.07% (USBMMY3M + 3 bps), <br>7/31/2023(a) | 695500000 | 696170275 |
| 4.07% (USBMMY3M + 3 bps), <br>4/30/2023(a) | 2922000000 | 2924780807 |
| 4.08% (USBMMY3M + 4 bps), <br>10/31/2023(a) | 1170000000 | 1170815751 |
| 4.09% (USBMMY3M + 5 bps), <br>1/31/2023(a) | 2647828700 | 2649467710 |
|  |  | 9401721824 |
| **TOTAL U.S. TREASURY <br>OBLIGATIONS (Cost <br>$12,133,793,164)** |  | **12133793164** |
| **Investment Companies — 6.2%** |  |  |
|  | **Shares** |  |
| BlackRock Liquidity Funds <br>FedFund Portfolio, <br>Institutional Shares, <br>2.89%(c) | 1104557339 | 1104557339 |
| Dreyfus Government <br>Cash Management, <br>Institutional Shares, <br>2.92%(c) | 1102000025 | 1102000025 |

---

---

| | |
|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS**<sub>7</sub> |

---

------

**HSBC U.S. GOVERNMENT MONEY MARKET FUND**

**Schedule of Portfolio Investments—as of October 31, 2022 (continued)**

---

| | | |
|:---|:---|:---|
| **Investment Companies, continued** | | |
|  |<br>**Shares** |<br>**Value ($)** |
| Federated Hermes <br>Government Obligations <br>Fund, Institutional <br>Shares, 2.90%(c) | 1356649180 | 1356649180 |
| &nbsp;&nbsp;&nbsp;&nbsp;**TOTAL INVESTMENT<br>COMPANIES<br> (Cost $3,563,206,544)**  |  | **3563206544** |
| **Repurchase Agreements — 58.9%** |  |  |
|  | **Principal<br> Amount ($)** |  |
| Bank of Montreal, 3.050%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $300,025,417, Collateralized by various <br>U.S. Government <br>Agency Obligations, <br>(2.50% - 5.00%), (9/1/51<br> - 9/1/52), fair value of <br>$306,000,000) | 300000000 | 300000000 |
| Bank of Montreal, 3.000%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $15,001,250, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.13% <br>- 3.63%), (4/15/28 -<br> 2/15/52), fair value of<br> $15,300,000) | 15000000 | 15000000 |
| Bank of Montreal, 2.900%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $325,026,181, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.38%<br> - 2.75%), (7/31/23 - <br>2/15/25), fair value of <br>$331,500,002) | 325000000 | 325000000 |
| BNP Paribas SA, 3.000%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $15,001,250, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.00%<br> - 1.50%), (10/31/24 - <br>8/15/29), fair value of <br>$15,300,001) | 15000000 | 15000000 |
| Canadian Imperial Bank, <br>3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$475,040,243, <br>Collateralized by various <br>U.S. Government <br>Agency Obligations, <br>(1.50% - 6.50%), (11/1/27 <br>- 1/1/60), fair value of <br>$484,500,000) | 475000000 | 475000000 |
| Citigroup Global Markets, <br>3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$500,042,361, <br>Collateralized by various <br>U.S. Government Agency <br>Obligations, (2.00% <br>- 4.00%), (1/20/52 - <br>2/20/52), fair value of <br>$510,000,385) | 500000000 | 500000000 |
| Deutsche Bank Securities, <br>Inc., 3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$500,042,361, <br>Collateralized by various <br>U.S. Government <br>Agency Obligations and <br>Cash, (0.00% - 5.50%), <br>(11/1/22 - 10/1/52), fair <br>value of $509,046,887) | 500000000 | 500000000 |
| Federal Reserve Bank NY, <br>3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$25,202,135,000, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.75% <br>- 2.38%), (4/30/26 - <br>2/15/30), fair value of <br>$25,202,135,005) | 25200000000 | 25200000000 |
| Fixed Income Clearing <br>Corporation (Bank of <br>New York Mellon), <br>3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$2,000,169,444, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.38% <br>- 4.50%), (9/30/27 - <br>8/15/39), fair value of <br>$2,040,000,008) | 2000000000 | 2000000000 |
| Fixed Income Clearing <br>Corporation (Northern <br>Trust Corp.), 3.050%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $500,042,361, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (1.75% <br>- 2.88%), (1/31/29 - <br>5/15/32), fair value of <br>$510,000,200) | 500000000 | 500000000 |

---

---

| | | |
|:---|:---|:---|
| **8** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC U.S. GOVERNMENT MONEY MARKET FUND**

**Schedule of Portfolio Investments—as of October 31, 2022 (continued)**

---

| | | |
|:---|:---|:---|
| **Repurchase Agreements, continued** | | |
|  |<br>**Principal<br> Amount ($)** |<br>**Value ($)** |
| Fixed Income Clearing <br>Corporation (State <br>Street Bank & Trust <br>Co.), 2.950%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$400,032,778, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (2.00% - <br>3.00%), (6/30/24), fair <br>value of $408,000,024) | 400000000 | 400000000 |
| Fixed Income Clearing <br>Corporation (State <br>Street Bank & Trust <br>Co.), 3.020%, 11/1/22, <br>(Purchased on <br>10/31/22, proceeds at <br>maturity $15,001,258, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (3.00%), <br>(6/30/24), fair value of <br>$15,300,029) | 15000000 | 15000000 |
| Mizuho Securities USA, <br>Inc., 3.050%, 11/1/22, <br>(Purchased on <br>10/31/22, proceeds at <br>maturity $100,008,472, <br>Collateralized by U.S. <br>Treasury Obligations, <br>(2.38%), (5/15/29), fair <br>value of $102,000,072) | 100000000 | 100000000 |
| Societe' Generale NY, <br>3.050%, 11/1/22, <br>(Purchased on <br>10/31/22, proceeds at <br>maturity $550,046,597, <br>Collateralized by various <br>U.S. Government Agency <br>Obligations, (0.00% <br>- 5.00%), (2/14/23 -<br> 10/1/52), fair value of <br>$561,000,057) | 550000000 | 550000000 |
| Societe' Generale NY, <br>3.050%, 11/3/22, <br>(Purchased on 10/25/22, <br>proceeds at maturity <br>$500,381,250, <br>Collateralized by <br>various U.S. Treasury <br>Obligations, (0.13% <br>- 3.63%), (4/15/28 -<br> 2/15/52), fair value of <br>$510,000,035) | 500000000 | 500000000 |
| Standard Chartered Bank, <br>3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$1,000,084,722, <br>Collateralized by various <br>U.S. Government Agency <br>Obligations, (0.13% <br>- 6.25%), (7/31/23 - <br>10/20/52), fair value of <br>$1,020,000,018) | 1000000000 | 1000000000 |
| Standard Chartered Bank, <br>3.010%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$250,020,903, <br>Collateralized by various <br>U.S. Government Agency <br>Obligations, (1.25% <br>- 5.50%), (11/30/26 - <br>10/1/52), fair value of <br>$255,000,000) | 250000000 | 250000000 |
| Standard Chartered Bank, <br>3.050%, 11/1/22, <br>(Purchased on <br>10/31/22, <br>proceeds at <br>maturity $100,008,472, <br>Collateralized by U.S.<br> Treasury Obligations, <br>(2.00%), (8/15/51), fair <br>value of $102,000,004) | 100000000 | 100000000 |
| Toronto Dominion Bank <br>NY, 3.050%, 11/1/22, <br>(Purchased on 10/31/22, <br>proceeds at maturity <br>$500,042,361, <br>Collateralized by various <br>U.S. Treasury Obligations, <br>(0.75% - 7.13%), (2/15/23 <br>- 2/15/43), fair value of <br>$510,000,007) | 500000000 | 500000000 |
| Wells Fargo Co., 3.060%, <br>11/1/22, (Purchased on <br>10/31/22, proceeds at <br>maturity $600,051,000 <br>, Collateralized by <br>various U.S. Government <br>Agency Obligations, <br>(1.50% - 6.00%), (4/1/23 <br>- 9/1/57), fair value of <br>$612,000,000) | 600000000 | 600000000 |
| &nbsp;&nbsp;&nbsp;&nbsp;**TOTAL REPURCHASE <br>AGREEMENTS<br> (Cost $33,845,000,000)**  |  | **33845000000** |
| &nbsp;&nbsp;&nbsp;&nbsp;**TOTAL INVESTMENTS IN <br>SECURITIES<br> (Cost $58,673,374,823) <br>— 102.0%**  |  | **58673374823** |
| **Other Assets (Liabilities) - <br>(2.0)%** |  | **(1177780511)** |
| **NET ASSETS - 100%** |  | **$57495594312** |

---

---

| | |
|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS**<sub>9</sub> |

---

------

**HSBC U.S. GOVERNMENT MONEY MARKET FUND**

**Schedule of Portfolio Investments—as of October 31, 2022 (continued)**

(a) Floating or variable rate security linked to the referenced benchmark. The rate presented represents
 the rate in effect on October 31, 2022. These securities are deemed to have a maturity remaining until the next adjustment
 of the interest rate or the longer of the demand period or time to the next readjustment.

(b) Discount note. Rate presented represents the effective yield at time of purchase.

(c) The rate represents the annualized 7-day yield that was in effect on October 31, 2022.

bps - Basis Points<br> FCPR DLY - Federal Reserve Bank Prime Rate Loan US<br> FEDL01 - Effective Federal Funds Rate<br> SOFR - Secured Overnight Financing Rate<br> USBMMY3M - 3 Month Treasury Bill Rate

---

| | | |
|:---|:---|:---|
| **10** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC U.S. TREASURY MONEY MARKET FUND**

**Schedule of Portfolio Investments—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
| **U.S.Treasury Obligations — 118.7%** | | |
|  |<br>**Principal<br> Amount ($)** |<br>**Value ($)** |
| **U.S. Treasury Bills — 85.9%** |  |  |
| –%, 11/1/2022(a) | 777400000 | 777400000 |
| 1.48%, 11/03/2022(a) | 250000000 | 249969167 |
| 2.80%, 11/8/2022(a) | 806100000 | 805691353 |
| 2.84%, 11/22/2022(a) | 150000000 | 149740125 |
| 3.02%, 11/15/2022(a) | 616000000 | 615226707 |
| 3.63%, 12/20/2022(a) | 1000000000 | 994987710 |
| 3.79%, 12/27/2022(a) | 1000000000 | 994034444 |
|  |  | 4587049506 |
| **U.S. Treasury Notes — 32.8%** |  |  |
| 4.03% (USBMMY3M - 2 bps), <br>1/31/2024(b) | 50000000 | 50037410 |
| 4.07% (USBMMY3M + 3 <br>bps), 7/31/2023(b) | 60000000 | 60034049 |
| 4.07% (USBMMY3M + 3 <br>bps), 4/30/2023(b) | 553000000 | 553596269 |
| 4.08% (USBMMY3M + 4 <br>bps), 10/31/2023(b) | 65000000 | 65033215 |
| 4.09% (USBMMY3M + 5 <br>bps), 1/31/2023(b) | 1025000000 | 1025652108 |
|  |  | 1754353051 |
| **TOTAL U.S. TREASURY <br>OBLIGATIONS (Cost <br>$6,341,402,557)** |  | **6341402557** |
| &nbsp;&nbsp;&nbsp;&nbsp;**TOTAL INVESTMENTS IN <br>SECURITIES<br>(Cost $6,341,402,557) <br>—118.7%**  |  | **6341402557** |
| **Other Assets (Liabilities) - <br>(18.7)%** |  | **(998424492)** |
| **NET ASSETS - 100%** |  | **$5342978065** |

---

(a) Discount note. Rate presented represents the effective yield at time of purchase.

(b) Floating or variable rate security linked to the referenced benchmark. The rate presented represents the rate in
 effect on October 31, 2022. These securities are deemed to have a maturity remaining until the next adjustment of the
 interest rate or the longer of the demand period or time to the next readjustment.

Amounts designated as "—" are 0.00 or have been rounded to 0.00.

bps - Basis Points<br> USBMMY3M - 3 Month Treasury Bill Rate

---

| | |
|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS**<sub>11</sub> |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Assets and Liabilities—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
|  | **HSBC U.S.<br>Government<br>Money Market<br>Fund** | **HSBC U.S.<br>Treasury Money<br>Market Fund** |
| **Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments in securities, at value | $24828374823 | $6341402557 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repurchase agreements, at value | 33845000000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash | 1396945 | 131451 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest receivable | 21957453 | 198775 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other assets | 429206 | 85336 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Assets** | 58697158427 | 6341818119 |
| **Liabilities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Distributions payable | 49545526 | 4158063 |
| &nbsp;&nbsp;&nbsp;&nbsp;Payable for investments purchased | 1144152590 | 994034444 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment Management | 4012024 | 295369 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Administration | 1227851 | 100164 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Compliance Services | 8720 | 8720 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shareholder Servicing | 285636 | 22850 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting | 5592 | 5076 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Custodian fees | 31600 | 5700 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transfer Agent | 37882 | 12413 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trustee | 3000 | 3000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 2253694 | 194255 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Liabilities** | 1201564115 | 998840054 |
| **Net Assets** | $57495594312 | $5342978065 |
| **Composition of Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Paid in capital | 57496406122 | 5343089282 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributable earnings/loss | (811810) | (111217) |
| **Net Assets** | $57495594312 | $5342978065 |
| **Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | $1332085 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | 1234039007 | 93676564 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | 49455073304 | 2993946710 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | 4006165793 | 1122314678 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | 1056439762 | 793981453 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | 1742544361 | 339058660 |
|  | $57495594312 | $5342978065 |
| **Shares Outstanding:** |  |  |
| ($0.001 par value, unlimited number of shares authorized): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 1332080 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | 1233908274 | 93716839 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | 49455883417 | 2994025550 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | 4006203331 | 1122306828 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | 1056458229 | 794007504 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | 1742637138 | 339037528 |
| **Net Asset Value, Offering Price and Redemption Price per share:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | $1.00 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | $1.00 | $1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | $1.00 | $1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | $1.00 | $1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | $1.00 | $1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | $1.00 | $1.00 |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments in securities, at cost | $24828374823 | $6341402557 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repurchase agreements, at cost | $33845000000 | $— |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| **12** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Operations—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
|  | **HSBC U.S.<br>Government<br>Money<br>Market Fund** | **HSBC U.S.<br>Treasury<br>Money<br>Market Fund** |
| **Investment Income:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest | $547125105 | $39251144 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends | 12526882 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Investment Income** | 559651987 | 39251144 |
| **Expenses:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment Management | 42897699 | 3245568 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operational Support: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 1639 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | 1470334 | 131524 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | 2966851 | 432537 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | 1043167 | 695861 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | 1597740 | 375891 |
| &nbsp;&nbsp;&nbsp;&nbsp;Administration: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 514 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | 461428 | 41291 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | 11080028 | 499639 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | 901976 | 132866 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | 325983 | 217075 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | 498839 | 118205 |
| &nbsp;&nbsp;&nbsp;&nbsp;Shareholder Servicing: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 6555 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | 3675862 | 328812 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | 1483480 | 216276 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | 1043167 | 695861 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounting | 70159 | 57464 |
| &nbsp;&nbsp;&nbsp;&nbsp;Compliance Services | 104635 | 104635 |
| &nbsp;&nbsp;&nbsp;&nbsp;Custodian | 1027623 | 97140 |
| &nbsp;&nbsp;&nbsp;&nbsp;Printing | 184915 | 4577 |
| &nbsp;&nbsp;&nbsp;&nbsp;Professional | 474307 | 474367 |
| &nbsp;&nbsp;&nbsp;&nbsp;Transfer Agent | 675707 | 233795 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trustee | 294963 | 294961 |
| &nbsp;&nbsp;&nbsp;&nbsp;Registration fees | 241854 | 151274 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 2477990 | 204865 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses before fee and expense reductions | 75007415 | 8754484 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees voluntarily reduced/reimbursed by Investment Adviser | (10665375) | (72063) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees contractually reduced/reimbursed by Investment Adviser | (6058540) | (2553570) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees voluntarily reduced by Administrator | (4135362) | (299101) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees voluntarily reduced by Shareholder Servicing Agent | (4022190) | (1068914) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Custody earnings credit | (234508) | (24403) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net Expenses** | 49891440 | 4736433 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net Investment Income/(Loss)** | 509760547 | 34514711 |
| **Realized/Unrealized Gains/(Losses) from Investments:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from investments in securities | (431907) | (96300) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized/unrealized gains/(losses) on investments | (431907) | (96300) |
| **Change in Net Assets Resulting from Operations** | $509328640 | $34418411 |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | |
|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS**<sub>13</sub> |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Changes in Net Assets—as of October 31, 2022**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **HSBC U.S. Government Money<br>Market Fund** | **HSBC U.S. Government Money<br>Market Fund** | **HSBC U.S. Treasury Money Market<br>Fund** | **HSBC U.S. Treasury Money Market<br>Fund** |
|  | **Year Ended<br>October 31, 2022** | **Year Ended<br>October 31, 2021** | **Year Ended<br>October 31, 2022** | **Year Ended<br>October 31, 2021** |
| **Investment Activities:** |  |  |  |  |
| **Operations:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net investment income | $509760547 | $8362996 | $34514711 | $480971 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from investments | (431907) | 32855 | (96300) | 1808 |
| **Change in net assets resulting from operations** | 509328640 | 8395851 | 34418411 | 482779 |
| **Distributions to shareholders:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | (9913) | (161) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class D Shares | (9967905) | (202869) | (833815) | (20001) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | (431038568) | (8048385) | (18172739) | (344629) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Class Shares | (44406203) | (328257) | (5893928) | (47762) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intermediary Service Class Shares | (9733816) | (166641) | (6789863) | (58317) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class Y Shares | (14604733) | (100143) | (2823817) | (61466) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets resulting from distributions to <br>shareholders:** | (509761138) | (8846456) | (34514162) | (532175) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets resulting from capital transactions** | 22266494843 | 3314391671 | 2318487537 | (378364761) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets** | 22266062345 | 3313941066 | 2318391786 | (378414157) |
| **Net Assets:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | 35229531967 | 31915590901 | 3024586279 | 3403000436 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period | $57495594312 | $35229531967 | $5342978065 | $3024586279 |
| **CAPITALTRANSACTIONS<sup>\*</sup>:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class A Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | $1599320 | $757445 | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 9912 | 161 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (2043493) | (666093) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class A Shares capital transactions** | (434261) | 91513 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class D Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | 3526036679 | 5145054934 | 1999334374 | 803965836 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 8161543 | 168447 | 557745 | 15388 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (3980892607) | (5948814211) | (2026674946) | (830364608) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class D Shares capital transactions** | (446694385) | (803590830) | (26782827) | (26383384) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class I Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | 313315953484 | 245346401955 | 15337929175 | 10836056744 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 256314365 | 4196879 | 11257353 | 257339 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (294014049633) | (242836070440) | (13673771227) | (11796089903) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class I Shares capital transactions** | 19558218216 | 2514528394 | 1675415301 | (959775820) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Intermediary Class Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | 31888310621 | 8909982412 | 4984238432 | 975831213 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 16604371 | 29654 | 101208 | 3772 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (29135902655) | (8114713220) | (4212973143) | (890498206) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Intermediary Class Shares capital transactions** | 2769012337 | 795298846 | 771366497 | 85336779 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Intermediary Service Class Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | 5418974759 | 5177885534 | 909737934 | 1415669614 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 4295859 | 56668 | 6009149 | 54455 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (5393307461) | (4481229062) | (916183105) | (797315999) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Intermediary Service Class Shares capital transactions** | 29963157 | 696713140 | (436022) | 618408070 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class Y Shares** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | 24212883453 | 14446966452 | 2859978496 | 1439160011 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 14255437 | 95299 | 2817941 | 61430 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (23870709111) | (14335711143) | (2963871849) | (1535171847) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Class Y Shares capital transactions** | 356429779 | 111350608 | (101075412) | (95950406) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets resulting from capital transactions** | $22266494843 | $3314391671 | $2318487537 | $(378364761) |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

\* Share transactions are at net asset value of $1.00 per share.

---

| | | |
|:---|:---|:---|
| **14** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC U.S. GOVERNMENT MONEY MARKET FUND**

**Financial Highlights**

**Selected data for a share outstanding throughout the periods indicated.**

---

| | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | **Investment Activities** | **Investment Activities** | **Investment Activities** | **Distributions** | **Distributions** | **Distributions** | | | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** |
|  | <br>**Net Asset**<br>**Value,**<br>**Beginning**<br>**of Period** | **Net**<br>**Investment**<br>**Income** | **Net**<br>**Realized**<br>**and**<br>**Unrealized**<br>**Gains**<br>**(Losses)**<br>**from**<br>**Investments** | **Total from**<br>**Investment**<br>**Activities** | **Net**<br>**Investment**<br>**Income** | **Net Realized**<br>**Gains from**<br>**Investment**<br>**Transactions** | **Total**<br>**Distributions** | <br>**Net Asset**<br>**Value, End**<br>**of Period** | <br>**Total**<br>**Return**<br>**(a)** | **Net Assets at**<br>**End of Period**<br>**(000's)** | **Ratio of Net**<br>**Expense to**<br>**Average Net**<br>**Assets** | **Ratio of Net**<br>**Investment**<br>**Income to**<br>**Average Net**<br>**Assets** | **Ratio of**<br>**Expenses**<br>**to Average**<br>**Net Assets**<br>**(Excluding**<br>**Fee**<br>**Reductions)** |
| **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** | **Class A Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.68% | $1332 | 0.38% | 0.61% | 0.64% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 1766 | 0.08% | 0.01% | 0.64% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 |  |  |  |  |  |  | 1.00 | 0.38% | 1675 | 0.42% | 0.46% | 0.65% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.71% | 2923 | 0.63% | 1.70% | 0.63% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.05% | 2728 | 0.63% | 1.08% | 0.65% |
| **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** | **Class D Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.76% | $1234039 | 0.30% | 0.68% | 0.49% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 1680757 | 0.08% | 0.01% | 0.49% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 |  |  |  |  |  |  | 1.00 | 0.44% | 2484374 | 0.32% | 0.39% | 0.50% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.87% | 1910115 | 0.48% | 1.84% | 0.51% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.20% | 1648226 | 0.48% | 1.19% | 0.51% |
| **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** | **Class I Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.98% | $49455073 | 0.10% | 1.20% | 0.14% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.03% | 29897234 | 0.06% | 0.03% | 0.14% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.65% | 27383086 | 0.12% | 0.44% | 0.15% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.23% | 13988739 | 0.12% | 2.19% | 0.16% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.57% | 6400700 | 0.12% | 1.52% | 0.16% |
| **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.95% | $4006166 | 0.13% | 1.50% | 0.29% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.02% | 1237168 | 0.07% | 0.01% | 0.29% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.62% | 441888 | 0.16% | 0.63% | 0.30% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.20% | 504329 | 0.15% | 2.09% | 0.30% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.52% | 164082 | 0.16% | 1.57% | 0.31% |
| **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.94% | $1056440 | 0.14% | 0.93% | 0.34% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.02% | 1026492 | 0.07% | 0.01% | 0.34% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.60% | 329786 | 0.17% | 0.39% | 0.35% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.17% | 146441 | 0.18% | 2.15% | 0.36% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.50% | 184921 | 0.18% | 1.70% | 0.36% |
| **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** | **Class Y Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.90% | $1742544 | 0.17% | 0.91% | 0.24% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 1386114 | 0.08% | 0.01% | 0.24% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.56% | 1274781 | 0.21% | 0.63% | 0.25% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.12% | 1938856 | 0.23% | 2.10% | 0.26% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.45% | 1757925 | 0.23% | 1.43% | 0.26% |

---

(a) Not annualized for periods less than one year. Total
 return calculations do not include any sales or redemption charges.

(b) Calculated based on average shares outstanding.

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | **15** |

---

------

**HSBC U.S. TREASURY MONEY MARKET FUND**

**Financial Highlights**

**Selected data for a share outstanding throughout the periods indicated.**

---

| | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | **Investment Activities** | **Investment Activities** | **Investment Activities** | **Distributions** | **Distributions** | **Distributions** | | | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** |
|  | <br>**Net Asset**<br>**Value,**<br>**Beginning**<br>**of Period** | **Net**<br> **Investment**<br>**Income** | **Net**<br> **Realized**<br>**and**<br>**Unrealized**<br>**Gains**<br>**(Losses)**<br>**from**<br>**Investments** | **Total from**<br>**Investment**<br>**Activities** | **Net**<br> **Investment**<br>**Income** | **Net Realized**<br>**Gains from**<br>**Investment**<br>**Transactions** | **Total**<br> **Distributions** | <br>**Net Asset**<br>**Value, End**<br>**of Period** | <br>**Total**<br> **Return**<br>**(a)** | **Net Assets at**<br>**End of Period**<br>**(000's)** | **Ratio of Net**<br>**Expense to**<br>**Average Net**<br>**Assets** | **Ratio of Net**<br>**Investment**<br>**Income to**<br>**Average Net**<br>**Assets** | **Ratio of**<br>**Expenses**<br>**to Average**<br>**Net Assets**<br>**(Excluding**<br>**Fee**<br>**Reductions)** |
| **Class D Shares** |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.73% | $93677 | 0.31% | 0.63% | 0.53% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.02% | 120467 | 0.06% | 0.02% | 0.51% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 |  |  |  |  |  |  | 1.00 | 0.44% | 146852 | 0.35% | 0.42% | 0.52% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.79% | 143506 | 0.50% | 1.79% | 0.53% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.17% | 308136 | 0.50% | 1.12% | 0.53% |
| **Class I Shares** |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.94% | $2993947 | 0.12% | 1.13% | 0.18% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 1318598 | 0.06% | 0.02% | 0.16% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.64% | 2278404 | 0.14% | 0.37% | 0.16% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.16% | 879396 | 0.14% | 2.13% | 0.18% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 1.54% | 707804 | 0.14% | 1.53% | 0.18% |
| **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** | **Intermediary Class Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.93% | $1122315 | 0.14% | 1.36% | 0.33% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 350940 | 0.06% | 0.01% | 0.31% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.63% | 265607 | 0.16% | 0.48% | 0.32% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.14% | 165842 | 0.16% | 2.10% | 0.33% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.49% | 169827 | 0.16% | 1.54% | 0.33% |
| **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** | **Intermediary Service Class Shares** |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.92% | $793981 | 0.15% | 0.98% | 0.38% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 794437 | 0.06% | 0.00% | 0.36% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.61% | 176037 | 0.17% | 0.47% | 0.37% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.12% | 86073 | 0.18% | 2.10% | 0.38% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.49% | 51220 | 0.18% | 1.54% | 0.38% |
| **Class Y Shares** |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $1.00 | $0.01 (b) | $— | $0.01 | $(0.01) | $— | $(0.01) | $1.00 | 0.87% | $339059 | 0.19% | 0.75% | 0.28% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 1.00 |  |  |  |  |  |  | 1.00 | 0.01% | 440144 | 0.06% | 0.02% | 0.26% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 0.56% | 536101 | 0.22% | 0.63% | 0.27% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 1.00 | 0.02 |  | 0.02 | (0.02) |  | (0.02) | 1.00 | 2.05% | 751584 | 0.25% | 2.03% | 0.28% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 1.00 | 0.01 |  | 0.01 | (0.01) |  | (0.01) | 1.00 | 1.43% | 697972 | 0.25% | 1.37% | 0.28% |

---

(a) Not annualized for periods less than one year. Total
 return calculations do not include any sales or redemption charges.

(b) Calculated based on average shares outstanding.

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| **16** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022**

**1. Organization:**

The HSBC Funds (the "Trust"), a Delaware statutory trust organized on March 2, 2016, is registered under the Investment Company Act of 1940, as amended (the "Act"), as an open-end management investment company. As of October 31, 2022, the Trust is composed of 5 separate operational funds, each a series of the HSBC Family of Funds. The accompanying financial statements are presented for the following two diversified funds (individually a "Fund", collectively the "Funds") of the Trust:

---

| | |
|:---|:---|
| **<u>Fund</u>** | **<u>Short Name</u>** |
| HSBC U.S. Government Money Market Fund | U.S. Government Money Market Fund |
| HSBC U.S. Treasury Money Market Fund | U.S. Treasury Money Market Fund |

---

Financial statements for all other funds of the Trust are published separately.

Both of the Funds are government money market funds (as defined in Rule 2a-7) and seek to maintain a stable net asset value ("NAV") of $1.00 per share, although it is possible to lose money by investing in the Funds. The Funds are authorized to issue an unlimited number of shares of beneficial interest with a par value of $0.001 per share. Each of the Funds has eight classes of shares: Class A Shares, Class C Shares, Class D Shares, Class E Shares, Class I Shares, Intermediary Class Shares, Intermediary Service Class Shares and Class Y Shares. Class C Shares of the Funds are offered without any front-end sales charge but will be subject to a maximum CDSC of 1.00% if redeemed less than one year after purchase. Class C Shares are not offered for sale, but are offered as an exchange option for Class C shareholders of the Trust's other funds. No sales charges are assessed with respect to Class A, Class D, Class E, Class I, Intermediary Class, Intermediary Service Class or Class Y Shares of the Funds. Each class of shares in each Fund has identical rights and privileges, except with respect to arrangements pertaining to shareholder servicing and/or distribution, class- related expenses, voting rights on matters affecting a single class of shares, and exchange privileges.

Under the Trust's organizational documents, the Trust's officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Trust may enter into contracts with its service providers, which also provide for indemnifications by the Funds. The Funds' maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds. However, based on experience, the Trust believes the risk of loss to be remote.

The Funds are investment companies and follow accounting and reporting guidance under Financial Accounting Standards Board ("FASB") Accounting Standards Codification Topic 946, "Financial Services-Investment Companies."

**2. Significant Accounting Policies:**

The following is a summary of the significant accounting policies followed by the Funds in the preparation of their financial statements. The policies are in conformity with generally accepted accounting principles in the United States of America ("GAAP"). The preparation of financial statements requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

**Securities Valuation:**

Investments of the Funds, other than investments in other money market funds, are valued using the amortized cost method pursuant to Rule 2a-7 under the Act, provided that certain conditions are met. Generally, amortized cost approximates fair value. Investments in other money market funds are priced at NAV as reported by such investment companies. Repurchase agreements are valued at original cost. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **17** |

---

------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

market participants at the measurement date. The valuation techniques used to determine fair value are further described in Note 3 below.

**Investment Transactions and Related Income:**

Investment transactions are accounted for no later than one business day after trade date. However, for financial reporting purposes, investment transactions are accounted for on trade date on the last business day of the reporting period. Investment gains and losses are calculated on the identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method which adjusts for amortization of premiums and accretion of discounts. Dividend income is recorded on the ex-dividend date.

**Repurchase Agreements:**

The U.S. Government Money Market Fund may enter into repurchase agreements with an entity which is a member of the Federal Reserve System or which is a "primary dealer" (as designated by the Federal Reserve Bank of New York) in U.S. government obligations. The U.S. Government Money Market Fund may also enter into a repurchase agreement with the Federal Reserve Bank of New York, the Fixed Income Clearing Corporation, or certain counterparties approved by the Investment Adviser (as defined in Note 4). The U.S. Treasury Money Market Fund may temporarily invest in repurchase agreements collateralized by U.S. Treasury Obligations under adverse market conditions. The repurchase price generally equals the price paid by a Fund plus interest negotiated on the basis of current short-term rates, which may be more or less than the rate on the underlying portfolio securities. The seller, under a repurchase agreement, is required to maintain the collateral held pursuant to the agreement, with a fair value equal to or greater than the repurchase price (including accrued interest). Securities subject to repurchase agreements are held by the Funds' custodian or another qualified custodian or in the Federal Reserve/ Treasury book-entry system. Master Repurchase Agreements ("MRA") permit the Fund, under certain circumstances, including an event of default (such as bankruptcy or insolvency), to offset receivables under the MRA with collateral posted by the counterparty and create one net payment due to or from the Fund. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of the MRA counterparty's bankruptcy or insolvency. Pursuant to terms of the MRA, the Fund receives securities as collateral with a market value in excess of the repurchase price to be received by the Fund upon the maturity of the transaction. Upon bankruptcy or insolvency of the MRA counterparty, the Fund would recognize a liability with respect to such excess collateral to reflect the Fund's obligation under bankruptcy law to return the excess to the counterparty. There is potential for loss to a Fund in the event the Fund is delayed or prevented from exercising its rights to dispose of the collateral securities, including the risk of a possible decline in the fair value of the underlying securities during the period while the Fund seeks to assert its rights.

**Cash:**

Cash is held in deposit accounts at the Funds' custodian bank, The Northern Trust Company ("Custodian"), and may represent a significant portion of a Fund's net assets, which may exceed the amount insured by the Federal Deposit Insurance Corporation ("FDIC"). To the extent that such balances exceed FDIC insurance limits, the Funds are subject to the creditworthiness of the Custodian.

**Allocations:**

Expenses directly attributable to a Fund are charged to that Fund. Expenses not directly attributable to a Fund are allocated among the applicable series within the Trust equally to each fund, in relation to its net assets, or another appropriate basis. Class specific expenses are charged directly to the class incurring the expense. In addition, income, expenses (other than class specific expenses), and unrealized and realized gains and losses are allocated to each class based on relative net assets on a daily basis.

**Distributions to Shareholders:**

Dividends distributed to shareholders of the Funds from net investment income, if any, are declared daily and distributed monthly from each Fund. Distributions from net realized gains, if any, are declared and paid at least annually by the Funds. Additional distributions are also made to the Funds' shareholders to the extent

---

| | |
|:---|:---|
| **18** | **HSBC FAMILY OF FUNDS** |

---

------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

necessary to avoid the federal excise tax on certain undistributed income and net realized gains of regulated investment companies.

**Federal Income Taxes:**

Each Fund is a separate taxable entity for federal income tax purposes. Each Fund has qualified and intends to continue to qualify each year as a "regulated investment company" under Subchapter M of the Internal Revenue Code, as amended, and to distribute substantially all of its taxable net investment income and net realized gains, if any, to its shareholders. Accordingly, no provision for federal income or excise tax is required for the Funds, although shareholders may be taxed on distributions they receive.

Management of the Funds has reviewed tax positions taken in tax years that remain subject to examination by all major tax jurisdictions, including federal (i.e., the last four tax year ends and the interim tax period since then, as applicable). Management believes that there is no tax liability resulting from unrecognized tax benefits related to uncertain tax positions taken. Management's conclusions may be subject to future review based on changes in, or interpretation of, accounting standards or tax laws and regulations.

**3. Investment Valuation Summary**

The valuation techniques employed by the Funds, as described below, maximize the use of observable inputs and minimize the use of unobservable inputs in determining fair value. The Funds' investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs used for valuing the Funds' investments are summarized in the three broad levels listed below:

● Level 1—quoted prices (unadjusted) in active markets for identical assets

● Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayments
 speeds, credit risk, etc.)

● Level 3—significant unobservable inputs (including the Investment Adviser's own assumptions in determining
 the fair value of investments)

Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. The inputs or methodology used for valuing investments are not necessarily an indication of the risk associated with investing in those investments.

Investments of the Funds, other than investments in other money market funds, are valued using the amortized cost method pursuant to Rule 2a-7 under the Act, and are typically categorized as Level 2 in the fair value hierarchy. The amortized cost method involves valuing an instrument at its cost initially and thereafter assuming a constant amortization to maturity of any discounts or premium, regardless of the impact of fluctuating interest rates on the market value of the instrument. The amortized cost method may result in periods during which value, as determined by amortized cost, is higher or lower than the price a Fund holding the instrument would receive if it sold the instrument. The fair value of securities in the Funds can be expected to vary with changes in prevailing interest rates.

Investments in other money market funds are priced at NAV as reported by such money market funds and are typically categorized as Level 1 in the fair value hierarchy.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **19** |

---

------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

The following is a summary of the valuation inputs used as of October 31, 2022 in valuing the Funds' investments based upon the three levels defined above. The breakdown of investment categorization is disclosed in the Schedule of Portfolio Investments for each Fund.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Level 1 ($)** | **Level 2 ($)** | **Level 3 ($)** | **Total ($)** |
| **U.S. Government Money Market Fund** |  |  |  |  |
| Investment Securities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;U.S. Government and Government <br>Agency Obligations |  | 9131375115 |  | 9131375115 |
| &nbsp;&nbsp;&nbsp;&nbsp;U.S. Treasury Obligations |  | 12133793164 |  | 12133793164 |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment Companies | 3563206544 |  |  | 3563206544 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repurchase Agreements |  | 33845000000 |  | 33845000000 |
| Total Investment Securities | 3563206544 | 55110168279 |  | 58673374823 |
| **U.S. Treasury Money Market Fund** |  |  |  |  |
| Investment Securities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;U.S. Treasury Obligations |  | 6341402557 |  | 6341402557 |
| Total Investment Securities |  | 6341402557 |  | 6341402557 |

---

**4. Related Party Transactions and Other Agreements and Plans:**

**Investment Management:**

HSBC Global Asset Management (USA) Inc. ("HSBC" or the "Investment Adviser"), a wholly owned subsidiary of HSBC USA, Inc., a registered bank holding company under the laws of the United States, acts as Investment Adviser to the Funds. As Investment Adviser, HSBC manages the investments of the Funds and continuously reviews, supervises and administers the Funds' investments pursuant to an Investment Advisory Contract. For its services in this capacity, HSBC receives a fee from each Fund, accrued daily and paid monthly, based on the average daily net assets of each respective Fund, at an annual rate of 0.10%.

HSBC also provides operational support services to the Funds pursuant to an Operational Support Services Agreement in connection with the operation of certain classes of shares of the Funds. For its services in this capacity, HSBC is entitled to receive a fee, accrued daily and paid monthly, based on the average daily net assets of Class A Shares, Class C Shares, Class D Shares, Intermediary Class Shares, Intermediary Service Class Shares and Class Y Shares, at an annual rate of 0.10%.

HSBC has entered into agreements with certain financial intermediaries (the "Servicers") to provide recordkeeping, reporting and processing services to the Funds. The Servicers are paid by the Investment Adviser, and not by the Funds, for these services. Since these fees are paid for by the Investment Adviser, they do not represent an additional charge to the Funds or their shareholders and are not reflected in the Funds' expenses.

**Administration, Fund Accounting and Other Services:**

HSBC also serves the Funds as Administrator. Under the terms of the Administration Services Agreement, HSBC receives from the Funds (as well as other funds in the Trust combined) a fee, accrued daily and paid monthly, at an annual rate of:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0400 |
| In excess of $10 billion but not exceeding $20 billion | 0.0350 |
| In excess of $20 billion but not exceeding $50 billion | 0.0265 |
| In excess of $50 billion | 0.0245 |

---

The fee rates and breakpoints are determined on the basis of the aggregate average daily net assets of the Trust. For the year ended October 31, 2022, the effective annualized rate was 0.031%, prior to any fee waivers or expense reimbursements, based on the average daily net assets of the Trust. The total administration fee

---

| | |
|:---|:---|
| **20** | **HSBC FAMILY OF FUNDS** |

---

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

paid to HSBC is allocated to each series based upon its proportionate share of the aggregate net assets of the Trust subject to certain allocations in cases where one fund invests some or all of its assets in another fund.

Pursuant to a Sub-Administration Services Agreement with HSBC, Citi Fund Services Ohio, Inc. ("Citi"), a wholly-owned subsidiary of Citigroup, Inc., serves as the Trust's Sub-Administrator. For these services, Citi is entitled to a fee, payable by HSBC, at an annual rate equivalent to the fee rates set forth below:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0200 |
| In excess of $10 billion but not exceeding $20 billion | 0.0150 |
| In excess of $20 billion but not exceeding $50 billion | 0.0065 |
| In excess of $50 billion | 0.0045 |

---

Under a Services Agreement between the Trust and Citi (the "Services Agreement"), Citi makes an individual available to serve as the Trust's Chief Compliance Officer (the "CCO"). Citi also provides infrastructure and support in implementing the written policies and procedures comprising the Trust's compliance program, including support services to the CCO. For the services provided under the Services Agreement, the Trust paid Citi $313,915 for the year ended October 31, 2022, plus reimbursement of certain out-of-pocket expenses. Expenses incurred by each Fund are reflected on the Statements of Operations as "Compliance Services." Citi pays the salary and other compensation earned by individuals performing these services, as employees of Citi.

In addition, Citi provides fund accounting services for each Fund under the Services Agreement. As fund accountant, Citi receives an annual fee per Fund and share class, subject to certain minimums and reimbursements of certain expenses. Citi receives additional fees paid by the Trust for regulatory administration services and money market fund reporting services.

**Distribution Arrangements:**

Foreside Distribution Services, L.P. ("Foreside" or the "Distributor") serves the Trust as Distributor. The Trust has adopted a non-compensatory Distribution Plan and Agreement (the "Distribution Plan") pursuant to Rule 12b-1 of the Act. The Distribution Plan provides for reimbursement of expenses incurred by the Distributor related to distribution and marketing, at a rate not to exceed 0.25%, 1.00% and 0.25% of the average daily net assets of Class A Shares (currently not being charged), Class C Shares (currently charging 0.75%) and Class D Shares (currently not being charged) of the Funds, respectively. For the year ended October 31, 2022, Foreside received $202 in commissions from sales of the Trust.

Expenses reduced during the year ended October 31, 2022 are reflected on the Statements of Operations as "Fees voluntarily reduced by Distributor", as applicable.

**Shareholder Servicing:**

The Trust has adopted a Shareholder Services Plan, which provides for payments to shareholder servicing agents (which includes HSBC and its affiliates) for providing various shareholder services. As disclosed in the Statements of Operations, for the current fiscal period certain amounts of the Shareholder Servicing Fees have been waived by those shareholder servicing agents, including HSBC and its affiliates. Expenses reduced during the year ended October 31, 2022 are reflected on the Statements of Operations as "Fees voluntarily reduced

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **21** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

by Shareholder Servicing Agent." For performing these services, the shareholder servicing agents are entitled to receive a fee that is computed daily and paid monthly up to the following:

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| | | |
|:---|:---|:---|
| **Share Class** | **Fee Rate (%)** | **Fee Rate (%)** |
| Class A Shares | 0.60 | %\* |
| Class C Shares | 0.25 | % |
| Class D Shares | 0.25 | % |
| Class E Shares | 0.10 | % |
| Intermediary Class Shares | 0.05 | % |
| Intermediary Service Class Shares | 0.10 | % |

---

\*Currently charging 0.40%

The aggregate fees paid to the Distributor pursuant to the Distribution Plan and to shareholder servicing agents pursuant to the Shareholder Services Plan may not exceed, in the aggregate, the following:

---

| | |
|:---|:---|
| **Share Class** | **Fee Rate (%)** |
| Class A Shares | 0.60% |
| Class C Shares | 1.00% |
| Class D Shares | 0.25% |
| Class E Shares | 0.10% |
| Intermediary Class Shares | 0.05% |
| Intermediary Service Class Shares | 0.10% |

---

The Trust has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Funds will pay all or a portion of such fees earned to financial intermediaries for performing such services.

**Transfer Agency:**

DST Asset Manager Solutions, Inc. ("DST") provides transfer agency services for each Fund. As transfer agent, DST receives a fee based on the number of funds and shareholder accounts, subject to certain minimums, and reimbursement of certain expenses.

**Independent Trustees:**

The Trust pays an annual retainer to each Independent Trustee, plus additional annual retainers to each Committee Chair and the Chairman of the Board of Trustees (the "Board"). The Independent Trustees also receive a fee for each regular, special, and informational meeting of the Board attended. The aggregate amount of the fees and expenses of the Independent Trustees are allocated amongst all the funds in the Trust and are presented in the Statements of Operations.

**Fee Reductions:**

The Investment Adviser has agreed to contractually limit through March 1, 2023 the total annual expenses of certain classes of the Funds, exclusive of interest, taxes, brokerage commissions, extraordinary expenses and estimated indirect expenses attributable to each Fund's investments in investment companies, as applicable.

---

| | |
|:---|:---|
| **22** | **HSBC FAMILY OF FUNDS** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

The applicable classes of each Fund have their own expense limitations based on the average daily net assets for any full fiscal year as follows:

---

| | | |
|:---|:---|:---|
|  | **Class** | **Contractual**<br> **Expense**<br> **Limitations (%)** |
| U.S. Government Money Market Fund | E | 0.25 |
| U.S. Government Money Market Fund | I | 0.14 |
| U.S. Government Money Market Fund | Intermediary Class<br> Shares | 0.18 |
| U.S. Government Money Market Fund | Intermediary Service<br> Class Shares | 0.20 |
| U.S. Treasury Money Market Fund | E | 0.25 |
| U.S. Treasury Money Market Fund | I | 0.14 |
| U.S. Treasury Money Market Fund | Intermediary Class<br> Shares | 0.18 |
| U.S. Treasury Money Market Fund | Intermediary Service<br> Class Shares | 0.20 |

---

Any amounts contractually waived or reimbursed by the Investment Adviser will be subject to repayment by the respective Fund to the Investment Adviser within three years calculated monthly from when the waiver or reimbursement is recorded to the extent that the repayment will not cause the Fund's operating expenses to exceed the contractual expense limit that was in effect at the time of such waiver or reimbursement. As of October 31, 2022, the repayments that may potentially be made by the Funds are as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Amount Eligible Through** | **Amount Eligible Through** | **Amount Eligible Through** | **Amount Eligible Through** |
|  | **2025 ($)** | **2024 ($)** | **2023 ($)** | **Total ($)** |
| U.S. Government Money Market Fund | 6058540 | 3148724 | 1881829 | 11089093 |
| U.S. Treasury Money Market Fund | 2553570 | 1813309 | 649884 | 5016763 |

---

In addition to the contractual expense limitation agreement with the Funds, in an effort to avoid a negative yield for the Funds, the Investment Adviser, working in conjunction with the Funds' other service providers, has from time to time voluntarily undertaken through a combination of waivers and reductions in fees and expenses, including shareholder servicing fees, to temporarily limit net operating expenses in excess of each Fund's daily yield. Once started, the Investment Adviser may terminate these temporary waiver and expense limitation efforts at any time and shareholders should not expect these temporary waiver and expense limitation efforts to continue indefinitely.

In addition, Citi may voluntarily waive/reimburse fees to help support the expense limits of the Funds. In addition, HSBC, in its role as Investment Adviser and Administrator, may waive/reimburse additional fees at its discretion. Any voluntary fee waivers/reimbursements are not subject to recoupment in subsequent fiscal periods. Voluntary waivers/reimbursements may be eliminated or changed at any time. Amounts waived/ reimbursed by the Investment Adviser, Administrator and Citi as Sub-Administrator are reported separately on the Statements of Operations, as applicable.

During the year ended October 31, 2022, the following amounts of expenses were voluntarily and contractually waived:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Class A ($)** | **Class C ($)** | **Class D ($)** | **Class Y ($)** | **Intermediary**<br> **Class ($)** | **Intermediary**<br> **Service ($)** | **Total ($)** |
| U.S. Government <br>Money Market Fund | 4342 |  | 2779773 – 14116574 | 1098871 | 4767608 | 2114299 | 24881467 |
| U.S. Treasury <br>Money Market Fund |  |  | 296547 – 926775 | 340760 | 829226 | 1600340 | 3993648 |

---

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **23** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

The Funds have entered into an arrangement with their Custodian whereby credits realized as a result of uninvested cash balances are used to reduce the Custodian's expenses. Expenses reduced during the year ended October 31, 2022 are reflected on the Statements of Operations as "Custody earnings credits," as applicable.

**Overdraft Facility:**

The Funds have entered into an arrangement with the Custodian whereby an uncommitted, secured overdraft facility is made available to meet unanticipated end-of-day liquidity needs of the Funds which cannot be fulfilled by trading activities. The interest rate on overdraft amounts is calculated at an annual rate of 0.50% plus the Federal Funds Rate. The overdraft facility is limited to $750,000,000 and $50,000,000 for the U.S. Government Money Market Fund and the U.S. Treasury Money Market Fund, respectively. As of October 31, 2022, the Funds did not have any overdrafts outstanding. Fees incurred during the year ended October 31, 2022 by the Funds on overdrafts are reflected on the Statements of Operations within the "Custodian" expenses, and were as follows:

---

| | |
|:---|:---|
|  | **Total ($)** |
| U.S. Government Money Market Fund | 27178 |
| U.S. Treasury Money Market Fund | 24728 |

---

**Affiliated Securities Transactions:**

The Funds are permitted to effect purchase and sale transactions with affiliated funds under procedures adopted by the Board. The procedures have been designed to seek to ensure that any such security transaction complies with certain conditions of Rule 17a-7 of the Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended October 31, 2022, the Funds did not engage in 17a-7 transactions.

**5. Investment Risks:**

The risks are presented in an order intended to facilitate readability, and their order does not imply that the realization of one risk is likely to occur more frequently than another risk, nor does it imply that the realization of one risk is likely to have a greater adverse impact than another risk.

*Interest Rate Risk:* Fluctuations in interest rates may affect the yield, volatility, liquidity and value of investments in income-producing or debt instruments. Generally, if interest rates rise, the value of such investments will fall. In addition, rising interest rates could lead to heightened investment volatility and decreased liquidity. During periods of falling interest rates, borrowers may pay off their debt sooner than expected, forcing the reinvestment of principal proceeds at lower interest rates, resulting in less interest income. Conversely, during periods of rising interest rates, borrowers may pay off their debt later than expected, thereby preventing reinvestment of principal proceeds at higher interest rates, increasing a Fund's sensitivity to changes in interest rates and resulting in less income to the Fund than potentially available. A low interest rate environment poses additional risks to the Funds, which are heightened in a very low or negative interest rate environment. Low or negative yields on a Fund's portfolio holdings may have an adverse impact on the Fund's ability to provide a positive yield to shareholders, pay expenses out of current income, or, at times, maintain a stable $1.00 share price and/or achieve its investment objective. Interest rate changes can be sudden and unpredictable, and a Fund may lose money if these changes are not anticipated by the Investment Adviser. A wide variety of factors can cause interest rates or yields to rise or fall (e.g., central bank monetary policies, inflationary or deflationary pressures, changing inflation or real growth rates, general market and economic conditions, etc.). The risks associated with changing interest rates may have unpredictable effects on the markets and a Fund's investments. Recently, the interest rates in the United States are rising from historically low levels and the U.S. Federal Reserve and other countries' central banks have increased interest rates in response to global

---

| | |
|:---|:---|
| **24** | **HSBC FAMILY OF FUNDS** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

inflation. Accordingly, the Funds currently face a heightened level of risk associated with rising interest rates. It is unclear whether interest rates will continue to rise in the future, or continue to rise at current levels.

*Market Risk:* The value of a Fund's investments may decline due to changing economic, political, social, regulatory or market conditions. Market risk may affect a single issuer, industry or section of the economy or it may affect the economy as a whole. Events such as war, acts of terrorism, social unrest, natural disasters, the spread of infectious illness or other public health threats could also significantly impact a Fund and its investments.

*U.S. Government Securities Risk:* There are different types of U.S. Government Securities with different levels of credit risk. U.S. Government Securities issued or guaranteed by the U.S. Treasury and/or supported by the full faith and credit of the United States have the lowest credit risk. A U.S. government-sponsored entity, although chartered or sponsored by an Act of Congress, may issue securities that are neither insured nor guaranteed by the U.S. Treasury and are riskier than those that are.

**6. Federal Income Tax Information:**

As of the tax year ended October 31, 2022, the cost basis of investments for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation and net unrealized appreciation/(depreciation) were as follows:

---

| | | |
|:---|:---|:---|
|  | **Tax Cost ($)** | **Net Unrealized**<br> **Appreciation/**<br> **(Depreciation)**<br> **($)<sup>\*</sup>** |
| U.S. Government Money Market Fund | 58673425789 – (50966) | (50966) |
| U.S. Treasury Money Market Fund | 6341411641 – (9084) | (9084) |

---

\* The difference between book-basis and tax-basis unrealized appreciation/(depreciation) is attributable primarily to tax deferral of losses on wash sales.

The tax character of distributions paid by the Funds for the tax year ended October 31, 2022, was as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** |
|  | **Ordinary Income**<br> **($)** | **Total Taxable**<br> **Distributions ($)** | **Total**<br> **Distributions**<br> **Paid ($)<sup>(1)</sup>** |
| U.S. Government Money Market Fund | 460509934 | 460509934 | 460509934 |
| U.S. Treasury Money Market Fund | 30360082 | 30360082 | 30360082 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Total distributions paid may differ from that disclosed in the Statements of Changes
in Net Assets because distributions are recognized when actually paid for tax purposes.

The tax character of distributions paid by the Funds for the tax year ended October 31, 2021, was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** |
|  | **Ordinary Income**<br> **($)** | **Net Long-Term**<br> **Capital Gains ($)** | **Total Taxable**<br> **Distributions ($)** | **Total**<br> **Distributions**<br> **Paid ($)<sup>(1)</sup>** |
| U.S. Government Money Market Fund | 8870719 | 38174 | 8908893 | 8908893 |
| U.S. Treasury Money Market Fund | 532807 |  | 532807 | 532807 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Total distributions paid may differ
 from that disclosed in the Statements of Changes in Net Assets because distributions are recognized when actually paid for
 tax purposes.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **25** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

As of the tax year ended October 31, 2022, the components of accumulated earnings/(deficit) on a tax basis for the Funds were as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Undistributed**<br> **Ordinary**<br> **Income ($)** | **Accumulated**<br> **Earnings ($)** | **Distributions**<br> **Payable ($)** | **Accumulated**<br> **Capital and**<br> **Other Losses**<br> **($)** | **Unrealized**<br> **Appreciation/**<br> **(Depreciation)**<br> **($)<sup>(1)</sup>** | **Total**<br> **Accumulated**<br> **Earnings/**<br> **(Deficit) ($)** |
| U.S. Government <br>Money Market <br>Fund | 49548903 | 49548903 | (49545526) | (764221) | (50966) | (811810) |
| U.S. Treasury <br>Money Market <br>Fund | 4155336 | 4155336 | (4158063) | (99406) | (9084) | (111217) |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The differences between book-basis and tax-basis unrealized appreciation/depreciation
 are attributable primarily to: tax deferral of losses on wash sales.

As of the tax year ended October 31, 2022, the Funds had net capital loss carryforwards ("CLCFs") not subject to expiration as summarized in the table below. The Board does not intend to authorize a distribution of any realized gain for the Funds until any applicable CLCF has been offset or expires.

---

| | | | |
|:---|:---|:---|:---|
|  | **Short Term**<br> **Amount ($)** | **Long Term**<br> **Amount ($)** | **Total ($)** |
| U.S. Government Money Market Fund | 467350 | 296871 | 764221 |
| U.S. Treasury Money Market Fund | 99406 |  | 99406 |

---

The amount and character of net investment income and net realized gains distributed are determined in accordance with federal income tax regulations, which may differ from GAAP. These "book/tax" differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature (e.g., reclassification of market discounts, certain gain/loss, and certain distributions), such amounts are reclassified within the composition of net assets based on their federal tax-basis treatment; temporary differences (e.g., wash losses and post-October loss deferrals) do not require reclassification. To the extent distributions to shareholders from net investment income and net realized gains exceed net investment income and net realized gains for tax purposes, they are reported as distributions of capital.

**7. Significant Shareholders:**

Shareholders, including other funds, individuals, and accounts, as well as each Fund's investment manager(s) and/or investment personnel, may from time to time own (beneficially or of record) a significant percentage of the Fund's Shares and can be considered to "control" the Fund when that ownership exceeds 25% of the Fund's assets (and which may differ from control as determined in accordance with GAAP).

The following list includes the Funds which had individual shareholder accounts with ownership of voting securities greater than 10% of the total outstanding voting securities but less than 25% and/or accounts with ownership of voting securities greater than 25% of the total outstanding voting securities. Significant transactions by these shareholder accounts may negatively impact the Funds' performance.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Number of**<br> **shareholders with**<br> **ownership of**<br> **voting securities**<br> **of the Fund**<br> **greater than 10%**<br> **and less than 25%**<br> **of the total Fund's**<br> **outstanding**<br> **voting securities** | **Percentage owned**<br> **in aggregate**<br> **by 10% - 25%**<br> **shareholders (%)** | **Number of**<br> **shareholders with**<br> **ownership of**<br> **voting securities**<br> **of the Fund**<br> **greater than 25%**<br> **of the total Fund's**<br> **outstanding**<br> **voting securities** | **Percentage owned**<br> **in aggregate by**<br> **greater than 25%**<br> **shareholders (%)** |
| U.S. Government Money Market Fund | 2 | 32 |  |  |
| U.S. Treasury Money Market Fund | 3 | 62 |  |  |

---

---

| | |
|:---|:---|
| **26** | **HSBC FAMILY OF FUNDS** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

**8. Subsequent Events**

Management has evaluated subsequent events through the date these financial statements were issued. Based on the evaluation, no adjustments or additional disclosures were required to the financial statements as of October 31, 2022, other than the following:

Effective as of November 7, 2022, State Street Bank and Trust Company ("State Street") replaced The Northern Trust Company ("Northern") as the custodian of the Trust. As of that date, the Funds' overdraft facility with Northern terminated. State Street provides custodial services pursuant to a Master Services Agreement with the Trust. Under this Master Services Agreement, State Street also provides fund accounting, fund administration, regulatory administration and certain other services. Citi Fund Services Ohio, Inc. will no longer provide services to, or serve as the sub-administrator of, the Trust. For its services, State Street is entitled to a fee, payable by the Funds, based primarily on a Fund's net assets, subject to per Fund fees, miscellaneous fees and reimbursements of certain expenses. Effective as of November 7, 2022, State Street also replaced DST Asset Manager Solutions, Inc. ("DST") as the transfer agent of the Trust, although State Street has delegated its responsibilities to DST and DST continues to provide transfer agency services to the Trust. As of November 7, 2022, pursuant to a Fund PFO/Treasurer, CCO, Secretary and AMLO Agreement between Foreside Fund Officer Services, LLC ("Foreside") and the Trust, Foreside makes individuals available to serve as the Trust's Chief Compliance Officer, Treasurer and Secretary. In light of these changes, effective as of November 7, 2022, the fees payable to HSBC Global Asset Management (USA) Inc. ("HSBC") as the Administrator to the Funds were modified. Under the terms of the Amended and Restated Administration Services Agreement, HSBC receives from the Funds (as well as other funds in the Trust combined) a fee, computed daily and paid monthly (or at such times as HSBC shall request), equal on an annual basis to two basis points (0.02%) of average daily net assets. The fee rate is determined on the basis of the aggregate average daily net assets of the Trust.

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| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **27** |

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**Report of Independent Registered Public Accounting Firm**

To the Board of Trustees of HSBC Funds and Shareholders of HSBC U.S. Government Money Market Fund and HSBC U.S. Treasury Money Market Fund

**Opinions on the Financial Statements**

We have audited the accompanying statements of assets and liabilities, including the schedules of portfolio investments, of HSBC U.S. Government Money Market Fund and HSBC U.S. Treasury Money Market Fund (two of the funds constituting HSBC Funds, hereafter collectively referred to as the "Funds") as of October 31, 2022, the related statements of operations for the year ended October 31, 2022, the statements of changes in net assets for each of the two years in the period ended October 31, 2022, including the related notes, and the financial highlights for each of the five years in the period ended October 31, 2022 (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of October 31, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended October 31, 2022 and each of the financial highlights for each of the five years in the period ended October 31, 2022 in conformity with accounting principles generally accepted in the United States of America.

**Basis for Opinions**

These financial statements are the responsibility of the Funds' management. Our responsibility is to express an opinion on the Funds' financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

---

| | |
|:---|:---|
| **28** | **HSBC FAMILY OF FUNDS** |

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------

**Report of Independent Registered Public Accounting Firm (continued)**

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of October 31, 2022 by correspondence with the custodian, transfer agents and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/ PricewaterhouseCoopers LLP<br> New York, New York<br> December 23, 2022

We have served as the auditor of one or more investment companies in the HSBC Funds since 2015.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **29** |

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**HSBC FAMILY OF FUNDS**

**Other Federal Income Tax Information—as of October 31, 2022 (Unaudited)**

During the year ended October 31, 2022, the following Funds designated the maximum amount allowable as interest-related dividends for certain non-U.S. resident investors:

---

| | |
|:---|:---|
|  | **Qualified<br> Interest Income<br> %** |
| U.S. Government Money Market Fund | 100.00% |
| U.S. Treasury Money Market Fund | 100.00% |

---

---

| | |
|:---|:---|
| **30** | **HSBC FAMILY OF FUNDS** |

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**HSBC FAMILY OF FUNDS**

**Table of Shareholder Expenses—as of October 31, 2022 (Unaudited)**

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchases, redemption fees and exchange fees; and (2) ongoing costs, including management fees, distribution fees and other Fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

**Actual Expenses**

The actual examples are based on an investment of $1,000 invested at the beginning of a six-month period beginning May 1, 2022 and held through the period ended October 31, 2022.

The columns below under the heading entitled "Actual" provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled "Actual Expenses Paid During the Period" to estimate the expenses you paid on your account during this period.

**Hypothetical Example for Comparison Purposes**

The hypothetical expense examples are based on an investment of $1,000 invested at the beginning of a six-month period and held throughout the period ended October 31, 2022.

The columns below under the heading entitled "Hypothetical" provide information about hypothetical account values and hypothetical expenses based on each Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not each Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the columns under the heading entitled "Hypothetical" are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

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| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **31** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Table of Shareholder Expenses—as of October 31, 2022 (Unaudited)** |

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Actual** | **Actual** | **Hypothetical<br> (5% return before expenses)** | **Hypothetical<br> (5% return before expenses)** |
|  |<br>**Annualized<br> Expense<br> Ratio During<br> Period** |<br>**Beginning<br> Account<br> Value<br> 5/1/22** | **Ending<br> Account<br> Value<br> 10/31/22** | **Expenses**<br> **Paid During**<br> **Period<sup>(1)</sup>** | **Ending<br> Account<br> Value<br> 10/31/22** | **Expenses**<br> **Paid During**<br> **Period<sup>(1)</sup>** |
| U.S. Government Money Market <br>Fund - Class A | 0.63% | $1000.00 | $1006.80 | $3.19 | $1022.03 | $3.21 |
| U.S. Government Money Market <br>Fund - Class D | 0.48% | 1000.00 | 1007.50 | 2.43 | 1022.79 | 2.45 |
| U.S. Government Money Market <br>Fund - Class I | 0.13% | 1000.00 | 1009.30 | 0.66 | 1024.55 | 0.66 |
| U.S. Government Money Market <br>Fund - Intermediary Class | 0.16% | 1000.00 | 1009.20 | 0.81 | 1024.40 | 0.82 |
| U.S. Government Money Market <br>Fund - Intermediary Service Class | 0.18% | 1000.00 | 1009.10 | 0.91 | 1024.30 | 0.92 |
| U.S. Government Money Market <br>Fund - Class Y | 0.23% | 1000.00 | 1008.80 | 1.16 | 1024.05 | 1.17 |
| U.S. Treasury Money Market Fund - <br>Class D | 0.50% | 1000.00 | 1007.20 | 2.53 | 1022.68 | 2.55 |
| U.S. Treasury Money Market Fund - <br>Class I | 0.14% | 1000.00 | 1009.00 | 0.71 | 1024.50 | 0.71 |
| U.S. Treasury Money Market Fund - <br>Intermediary Class | 0.16% | 1000.00 | 1008.90 | 0.81 | 1024.40 | 0.82 |
| U.S. Treasury Money Market Fund - <br>Intermediary Service Class | 0.18% | 1000.00 | 1008.80 | 0.91 | 1024.30 | 0.92 |
| U.S. Treasury Money Market Fund - <br>Class Y | 0.25% | 1000.00 | 1008.50 | 1.27 | 1023.95 | 1.28 |

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(1) Expenses are equal to the average account value
 over the period multiplied by the Fund's annualized expense ratio, multiplied by 184/365 (the number of days in the
 most recent fiscal half-year divided by the number of days in the fiscal year.)

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| | |
|:---|:---|
| **32** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Board of Trustees and Officers (Unaudited)** |

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**MANAGEMENT OF THE TRUST**

The following table contains information regarding the HSBC Family of Funds' Board of Trustees ("Trustees"). The HSBC Family of Funds' Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request by calling (888) 525-5757.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name**<br> **Address, Age\*** | **Position(s)**<br> **Held**<br> **with Funds** | **Length of**<br> **Time Served** | **Principal Occupations**<br> **During Past 5 Years** | **Portfolios in**<br> **Fund Complex**<br> **Overseen**<br> **By Trustee\*\*** | **Other**<br> **Directorships**<br> **Held by Trustee**<br> **During Past 5 Years\*\*\*** |
| **Independent Trustees** |  |  |  |  |  |
| MARCIA L. BECK<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 67 | Chairman and Trustee | 2008 to present | Private Investor (1999 – present) | 5 |  |
| SUSAN C. GAUSE<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 70 | Trustee | 2013 to present | Private Investor (2003 – present) | 5 | Metropolitan Series Fund (2012 – present); and Met Investors Series Trust<br> (2008 – present) |
| SUSAN S. HUANG<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 68 | Trustee | 2008 to present | Private Investor (2000 – present) | 5 |  |
| HUGH T. HURLEY, III<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 58 | Trustee | 2020 to present | Private Investor (2017 – present); Managing Director and Global Head of Product Strategy Active Equity, BlackRock, Inc. from 2006 to 2017. | 5 | Oakmark Funds<br> (2018 – present) |

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\* Each independent trustee may be contacted by writing to the Trustee, c/o DST Asset Manager Solutions, Inc., P.O. Box 219691, Kansas City, MO 64121-9691, Attn: Stefano R. Michelagnoli.

\*\* Includes all operational series of the HSBC Funds.

\*\*\* This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934 (i.e., "public companies") or other investment companies registered under the 1940 Act.

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| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **33** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Board of Trustees and Officers (Unaudited) (continued)** |

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| | | | |
|:---|:---|:---|:---|
| **Name, Address, Age** | **Position(s)<br> Held with Trust** | **Term of Office and<br> Length of Time Served** | **Principal Occupation(s)<br> During Past 5 Years** |
| **Officers** |  |  |  |
| STEFANO R. MICHELAGNOLI<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 52 | President | One year; <br> 2020 to present | Global Head of Client Operations, HSBC Global Asset Management (USA) Inc. (June 2020 - present); Regional Head of Product (Americas), HSBC Global Asset Management (USA) Inc.(2015-June 2020) |
| JAMES D. LEVY<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 59 | Vice President | One year; <br> 2014 to present | Vice President, Product Management, HSBC Global Asset Management (USA) Inc. (2014 – present); Vice President, Mutual Funds Product Development, GE Asset Management Inc. (2007 – 2014) |
| PATRICK KENISTON\*<br> 3 Canal Plaza, Suite 100,<br> Portland, Maine 04101<br> Age: 58 | Chief Compliance Officer and Secretary | One year; <br> 2022 to present | Senior Principal Consultant and Fund Chief Compliance Officer, ACA Global (FKA Foreside Financial Group, LLC) (2008 - present) |
| MARIA CLEM SELL\*<br> 3 Canal Plaza, Suite 100,<br> Portland, Maine 04101<br> Age: 44 | Treasurer | One year; <br> 2022 to present | Senior Principal Consultant and Fund Treasurer, ACA Global (FKA Foreside Financial Group, LLC) (June 2021 - present); Director, Franklin Templeton Investments (April 2014 – April 2021) |
| JAMES M. CURTIS<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 54 | Chief Legal Officer | One year;<br> 2018 to present | Associate General Counsel, HSBC Technology & Services (USA) Inc. <br> (2018-present); Associate General Counsel, HSBC Securities (USA) Inc.<br> (2005- 2017); |

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\* Mr. Keniston and Ms. Sell are also officers of certain other investment companies.

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| | |
|:---|:---|
| **34** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Other Information (Unaudited)** |

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Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30th is available (i) without charge, upon request, by calling 1-800-525-5757 for HSBC Bank USA and HSBC Brokerage (USA) Inc. clients and 1-800-782-8183 for all other shareholders; (ii) on the Funds' website at www.investorfunds.us.hsbc.com; and (iii) on the Security and Exchange Commission's ("SEC") website at http://www.sec.gov.

The Funds disclose on the Investment Adviser's website within five business days after the end of each month a complete schedule of portfolio holdings and certain other information, including the dollar-weighted average portfolio maturity and dollar-weighted average portfolio life. In addition, each Fund will file with the SEC on Form N-MFP, within five business days after the end of each month, more detailed portfolio holdings information. The Funds' Form N-MFP filings will be available on the SEC's website, and the Investment Adviser's website will contain a link to such filings.

An investment in a Fund is not a deposit of HSBC Bank USA, National Association, and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

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| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | **35** |

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**HSBC FAMILY OF FUNDS:**

**INVESTMENT ADVISER AND ADMINISTRATOR**

HSBC Global Asset Management (USA) Inc.<br> 452 Fifth Avenue<br> New York, NY 10018

**SHAREHOLDER SERVICING AGENTS**

**For HSBC Bank USA, N.A. and <br> HSBC Securities (USA) Inc. Clients**

HSBC Bank USA, N.A.<br> 452 Fifth Avenue<br> New York, NY 10018<br> 1-888-525-5757

**For All Other Shareholders**

HSBC Funds<br> P.O. Box 8106

Boston, MA 02266-8106<br> 1-800-782-8183

**SUB-TRANSFER AGENT**

DST Asset Manager Solutions, Inc.<br> 2000 Crown Colony Drive<br> Quincy, MA 02169

**DISTRIBUTOR**

Foreside Distribution Services, L.P.<br> Three Canal Plaza, Suite 100<br> Portland, ME 04101

![](hsbc4137231-ncsrx40x1.jpg)

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| | | |
|:---|:---|:---|
| **Investment products:** |  |  |
| **ARE NOT A BANK DEPOSIT OR OBLIGATION OF THE BANK OR ANY OF ITS AFFILIATES** | **ARE NOT FDIC INSURED** | **ARE NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY** |
| **ARE NOT GUARANTEED BY THE BANK OR ANY OF ITS AFFILIATES** | **ARE NOT GUARANTEED BY THE BANK OR ANY OF ITS AFFILIATES** | **MAY LOSE VALUE** |

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**CUSTODIAN AND TRANSFER AGENT**

State Street Bank and Trust Company<br> 1 Lincoln Street<br> Boston, MA 02111

**INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

PricewaterhouseCoopers LLP<br> 300 Madison Avenue<br> New York, NY 10017

**LEGAL COUNSEL**

Dechert LLP<br> 1900 K Street, N.W.<br> Washington, D.C. 20006

Investment products are offered by HSBC Securities (USA) Inc. (HSI), member NYSE/FINRA/SIPC. HSI is an affiliate of HSBC Bank USA, N.A. Investment products: Are not a deposit or other obligation of the bank or any of its affiliates; Not FDIC insured or insured by any federal government agency of the United States; Not guaranteed by the bank or any of its affiliates; and are subject to investment risk, including possible loss of principal invested.

**Investors should consider the investment objectives, risks, charges, and expenses of the investment company carefully before investing. The prospectus contains this and other important information about the investment company. For clients of HSBC Securities (USA) Inc., please call 1-888-525-5757 for more information. For other investors and prospective investors, please call the Funds directly at 1-800-782-8183 or visit our website at https://www.assetmanagement.us.hsbc.com/en/ individual-investor/fund-centre. Investors should read the prospectus carefully before investing or sending money.**

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| | |
|:---|:---|
| **HSB-AR-MMF-1222** | **12/22** |

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![](hsbc4137211-ncsrsx1x1.jpg)

**HSBC Funds**

Annual Report

October 31, 2022

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| | | | |
|:---|:---|:---|:---|
| **EQUITY FUNDS** | **Class A** | **Class C** | **Class I** |
| HSBC RadiantESG U.S. Smaller Companies Fund (formerly, HSBC Opportunity Fund) | HSOAX | HOPCX | RESCX |

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**Table of Contents**

**HSBC Family of Funds**

**Annual Report - October 31, 2022**

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| | |
|:---|:---|
| Glossary of Terms | 2 |
| Commentary From the Investment Manager | 3 |
| Portfolio Reviews | 4 |
| Statements of Assets and Liabilities | 6 |
| Statements of Operations | 7 |
| Statements of Changes in Net Assets | 8 |
| Financial Highlights | 10 |
| Notes to Financial Statements | 12 |
| Report of Independent Registered Public Accounting Firm | 21 |
| Other Federal Income Tax Information | 23 |
| Table of Shareholder Expenses | 24 |
| Portfolio Composition | 25 |
| **Schedule of Portfolio Investments** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;HSBC RadiantESG U.S. Smaller Companies Portfolio | 26 |
| Statement of Assets and Liabilities | 28 |
| Statement of Operations | 29 |
| Statement of Changes in Net Assets | 30 |
| Financial Highlights | 31 |
| Notes to Financial Statements | 32 |
| Report of Independent Registered Public Accounting Firm | 38 |
| Table of Shareholder Expenses | 40 |
| Board of Trustees and Officers | 41 |
| Other Information | 43 |

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**Glossary of Terms**

**Basis points (BPS)** refers to a common unit of measure for interest rates and other percentages in finance. One basis point is equal to 1/100<sup>th</sup> of 1%, or 0.01%, or 0.0001, and is used to denote the percentage change in a financial instrument.

**Bloomberg Global Aggregate Index** is an index that is the measure of the global investment-grade debt from 24 local currency markets, which include treasury, government-related, corporate, and securitized fixed-rate bonds from both developed and emerging markets issuers.

**Bloomberg U.S. Aggregate Bond Index** is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market. This includes Treasuries, government-related and corporate securities, mortgage-backed securities, asset-backed securities and collateralized mortgage-backed securities.

**Bloomberg U.S. Corporate High Yield Bond Index** measures the USD-denominated, high-yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody's, Fitch and S&P is Ba1/BB+/ BB+ or below. Bonds from issuers with an emerging markets (EM) country of risk, based on Barclays EM country definition, are excluded.

**ICE BofA Merrill Lynch U.S. High Yield Index** is an index that tracks the performance of U.S. dollar-denominated below investment-grade corporate debt publicly issued in the U.S. domestic market.

**Gross Domestic Product ("GDP")** is the value of goods and services produced in a given country in a given year.

**MSCI Europe Australasia and Far East ("MSCI EAFE") Index** is an equity index which captures the large- and mid-cap representation across 21 developed market countries, excluding the U.S. and Canada.

**MSCI Emerging Markets Index** is a float-adjusted market capitalization index that is designed to measure equity market performance in global emerging markets.

**NR** refers to Net Return.

**Russell 1000<sup>®</sup> Index** measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000<sup>®</sup> Index and includes approximately 1000 of the largest securities based on a combination of their market cap and current index membership. The Russell 1000 represents approximately 92% of the U.S. market.

**Russell 2000<sup>®</sup> Index** measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000<sup>®</sup> Index is a subset of the Russell 3000<sup>®</sup> Index representing approximately 8% of the total market capitalization of that index. It includes approximately 2000 of the smallest securities based on a combination of their market cap and current index membership.

**Russell 2500<sup>TM</sup> Growth Index** is an index that measures the performance of the small- to mid-cap growth segment of the U.S. equity universe. It includes those Russell 2500 companies with higher price-to-book ratios and higher forecasted growth values.

*Securities indices are unmanaged and assume reinvestment of all distributions and interest payments and do not take in account brokerage fees or expenses. Securities in the Funds do not match those in the indices and performance of the Funds will differ. Investors cannot invest directly in an index.*

**2** **HSBC FAMILY OF FUNDS**

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**Commentary From the Investment Manager** **(Unaudited)**

**HSBC Global Asset Management (USA) Inc.**

**Global Economic Review**

During the 12-month period ending October 31, 2022, major economies including the U.S. and China experienced slower economic growth. These economies faced a variety of headwinds, including China's zero-COVID policies, the war in Ukraine, and persistently high inflation. Central banks around the world, including the U.S. Federal Reserve (the Fed), moved to normalize bank policy as a check on rising inflation. These factors, along with a surge in energy prices triggered by the Ukraine conflict, drove concerns among investors about potential recessions in the UK and Europe, and, to a lesser degree, in the U.S. as well. Inflation and efforts by central banks to bring inflation under control dominated the period under review.

The 12-month period began with supply-side constraints that continued to pose challenges to global economies. Strong demand from U.S. consumers continued to outstrip supply for many goods in the final months of 2021, which fueled a rise in inflation. Ongoing coronavirus containment efforts in many emerging markets countries, including China, worsened the demand-supply imbalance. High inflation was also a factor in the UK and some emerging markets, such as Russia and several Eastern European countries.

These factors persisted into early 2022 when they began to drag on economic growth. The U.S. economy grew at an annualized rate of 6.9% in the fourth quarter of 2021 but declined by 1.6% in the first quarter of 2022 and by 0.6% in the second quarter. A strong labor market and solid fundamentals helped support U.S. equity markets through the end of 2021, but investors lost their appetite for risk in early 2022 amid Russia's invasion of Ukraine and the Fed's announcement that it was accelerating its plans to tighten monetary policy.

The conflict in Ukraine sent oil prices higher, adding to already high inflation metrics. High energy prices generated headwinds for the Eurozone and India, which offset the growth the regions were expecting as they began to ease COVID restrictions. The UK economy faced headwinds from higher energy prices and lingering trade tensions from the country's departure from the EU. For its part, Japan continued to suffer from a weaker yen and higher commodity prices, which overshadowed that country's post-pandemic return to growth.

Amid persistent inflation and downgraded economic growth forecasts in economies around the world, the Fed raised its target for short-term interest rates by 75 basis points in June 2022. The move was larger than markets expected and was the largest rate increase in nearly 30 years. But the tone of the Fed comments that accompanied the hike, along with better-than-expected quarterly corporate earnings, helped buoy investor confidence that a recession in the U.S. could still be avoided.

Central banks maintained their hawkish approach through the summer despite signs of slowing global economic growth. Investors took a second interest rate hike by the Fed in July in stride. But a late-August speech by Fed Chair Jerome Powell, in which he indicated there would be "some pain to households and businesses" before inflation could be reined in, triggered a flight to safety. A higher-than-expected reading of U.S. inflation in mid-September kept downward pressure on investor confidence throughout much of the rest of the period.

Amidst these challenges, however, economic growth rebounded in the U.S., with the advance estimate putting third-quarter GDP growth at an annualized rate of 2.6%. Japan also posted stronger growth in the third quarter, and it managed to post positive quarterly economic growth through all three quarters of 2022 covered by the period under review—a departure from most other developed economies. Easing COVID restrictions helped the nation grow its economy, even as its inflation rate crept higher.

In China, ongoing COVID challenges, a downturn in the domestic property market, and falling global demand kept that nation's economy from recovering. Tightening financial conditions were also a factor in slowing India's cyclical recovery. In the Eurozone, meanwhile, signs of a looming recession grew more pronounced as winter approached and energy prices remained high. The UK also continued to face economic headwinds in the form of high inflation and high energy costs.

Emerging markets economies largely struggled amid rising inflation. Growth in Latin American economies remained strong through the summer, largely due to strength in commodity prices. But economic headwinds in the form of tightening monetary policy and fears of a global slowdown began to drag on emerging markets economies near the end of the period under review.

The Fed raised rates by 25 basis points in March and 50 basis points in May. Additional 75-basis-point hikes came in June, July, and September, respectively. Inflation in the U.S. remained high across the 12-month period, however, measuring 6.8% on an annualized basis in November 2021 and 7.7% for October 2022.

**Market review**

Global equity markets fell for the 12-month period due to inflation and the combined efforts by various central banks to cool their respective economies to bring inflation under control. The conflict in Ukraine also shocked markets in early 2022 and led investors to seek out less risky areas of the stock markets. Equities managed to rebound several times throughout the period, but never enough to erase the overall losses that were primarily accrued in the first half of the period.

In the U.S., small- and mid-cap stocks generally underperformed their large-cap counterparts for the period. The Russell 2000 Index<sup>1</sup> of small-cap stocks returned -18.54% for the 12 months under review, compared to a -16.38% return for the Russell 1000 Index<sup>1</sup> of large-cap stocks. Value stocks generally outperformed growth-oriented companies as fears of economic slowdowns persisted.

International equities fared worse than U.S. equities, with emerging markets underperforming other developed international markets. The MSCI EAFE Index<sup>1</sup> of developed-market international stocks lost 23.00% (NR)<sup>1</sup>, while the MSCI Emerging Markets Index<sup>1</sup> returned -31.03% (NR)<sup>1</sup>.

Global fixed income markets generally struggled due to inflation concerns, which helped push U.S. and European bond yields higher and prices lower. The Bloomberg U.S. Aggregate Bond Index<sup>1</sup>, which tracks investment-grade bonds in the U.S. market, returned -15.68% for the 12 months under review. By comparison, the Bloomberg Global Aggregate Bond Index<sup>1</sup>, which tracks the broader global investment-grade fixed income market, returned -20.79% for the same period. Amid rising interest rates, U.S. high-yield bonds generally fared better than investment grade bonds, but still lost ground. The ICE BofA Merrill Lynch U.S. High Yield Index<sup>1</sup>, which tracks high-yield bonds in the U.S. market, returned -11.45% for the 12 months under review.

1 For additional information, please refer to the Glossary of Terms.

**HSBC FAMILY OF FUNDS** **3**

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&nbsp;&nbsp;**Portfolio Reviews** **(Unaudited)**

**HSBC RadiantESG U.S. Smaller Companies Fund**

**(Class A Shares, Class C Shares and Class I Shares)**

*Investment decisions for the Portfolio are made by the investment team at the Subadviser which is led by Kathryn McDonald, co-founder and Head of Investments and Sustainability, and Harry Prabandham, Chief Investment Officer. Mr. Prabandham and Kevin Lin, CFA, Senior Portfolio Manager, are responsible for day-to-day management of the Portfolio. The RadiantESG Investment Forum, which is chaired by Ms. McDonald, provides oversight of research and investment activities of the investment strategy for the Fund. Ms. McDonald and Messrs. Prabandham and Lin have been managers of the Portfolio since June 2022.*

*RadiantESG Global Investors LLC, subadviser to the HSBC RadiantESG U.S. Smaller Companies Portfolio*

The HSBC RadiantESG U.S. Smaller Companies Fund (the "Fund") seeks long-term growth of capital by investing, under normal circumstances, at least 80% of its net assets, plus borrowings for investment purposes, in U.S. equity securities of small and mid-cap companies that meet RadiantESG Global Investors LLC's fundamental and environmental, social, and governance ("ESG") criteria (measured at the time of purchase). The Fund employs a two-tier structure, commonly referred to as a "master-feeder" structure, in which the Fund invests all of its investable assets in the HSBC RadiantESG U.S. Smaller Companies Portfolio (the "Portfolio").

In June 2022, the Fund underwent a change in subadvisor and principal investment strategy, shifting toward use of proprietary models that target companies with attractive fundamentals that meet key ESG criteria. To reflect these changes, the Fund's name changed from the HSBC Opportunity Fund to the HSBC RadiantESG U.S. Smaller Companies Fund. The Fund's objective of seeking long-term growth of capital remains the same moving forward, as does its focus on small- and mid-cap companies. The Fund's new subadvisor is RadiantESG Global Investors LLC.

**Investment Concerns**

There is no assurance that a fund will achieve its investment objective or will work under all market conditions. The value of investments may go down as well as up and you may not get back the amount originally invested. Funds may be subject to certain additional risks, which should be considered carefully along with their investment objectives and fees. **Equity** investments fluctuate in value based on changes to an individual company's financial condition and overall market conditions. The Fund is also subject to **market risk**, which is the risk that the value of the Fund's portfolio investments may decline due to changing market conditions. Market conditions may be negatively impacted by events such as war, acts of terrorism, social unrest, natural disasters, the spread of infectious illness, or other public health threats. Investing in **smaller companies** is more risky and volatile than investing in large companies. **Growth investment** style may fall out of favor in the marketplace and result in significant declines in the value of the Portfolio's securities. Securities of companies considered growth investments may have rapid price swings in the event of earnings disappointments or during periods of market, political, regulatory, and economic uncertainty. Using **ESG criteria** will cause the Fund to forgo investment opportunities in certain companies and sectors that are available to other mutual funds that do not use these criteria, which could affect the Fund's performance. The use of proprietary **quantitative models** in selecting investments could be adversely impacted by unforeseeable software or hardware malfunctions and other technological risks, and the data used in the models may cause the models to perform differently than expected.

For a complete description of these and other risks associated with investment in a mutual fund, please refer to the Fund's prospectus.

**Market Commentary**

For the 12-month period ended October 31, 2022, the Fund returned -25.80% for its Class A shares (no load). That compared to a -27.38% return for the Russell 2500 Growth Index<sup>1</sup>, the Fund's primary benchmark.

**Portfolio Performance**

U.S. equities lost significant value during the 12-month period under review. In the final months of 2021, as the worries surrounding the Omicron variant of COVID-19 subsided and a return to pre-pandemic normalcy appeared on the horizon, crude oil prices shot up and supply chain disruptions affected many industries. In the second quarter of 2022, the Federal Reserve (the Fed) announced the first in a series of aggressive rate hikes to bring inflation under check. Energy price increases, persistent inflation, and the Russian invasion of Ukraine contributed to increased volatility in equity markets during the remainder of the period under review. Tighter monetary policy from the Fed tended to favor inflation-sensitive asset classes such as commodities and value-oriented securities, while longer-duration growth equities struggled. Large-cap stocks slightly outperformed small-cap stocks in this environment. During the 12-month period ended October 31, 2022, only the Energy sector had positive returns, while growth-oriented sectors such as Information Technology, Healthcare, and Consumer Discretionary significantly declined.

The Fund (without sales load) outperformed its primary benchmark on a gross basis for the period under review. Stock selection within Healthcare, Financials, Technology, and Communication Services helped drive the Fund's relative performance. In particular, the Fund benefitted from its investments in a property and casualty insurer that experienced lower loss ratios during the period, and in a cloud-based network management, security, and analytics company that benefitted from increased business-to-business demand for its products. <sup>†</sup> 

The Fund's below-benchmark exposure to the Energy sector was the largest detractor to relative performance. Stock selection in the Information Technology sector also weighed on relative results, most notably holdings of a cloud-based CRM platform company and a cloud-based contact center software company. These names underperformed as investors shifted away from high-growth companies in favor of value companies in response to Fed policy.

*†* *Portfolio composition is subject to change.* 

**Past performance does not guarantee future results. The performance data quoted represents past performance (including prior to the date on which the Fund changed its name, principal investment strategies and sub-adviser) and current returns may be lower or higher. Total return figures include change in share price, reinvestment of dividends and capital gains and do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. Investment return and principal value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost.To obtain performance information current to the most recent month end, please call 1-800-782-8183.**

**4** **HSBC FAMILY OF FUNDS**

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&nbsp;&nbsp;**Portfolio Reviews** **(Unaudited)**

**HSBC RadiantESG U.S. Smaller Companies Fund**

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|:---|
| &nbsp;&nbsp;**Value of an Investment** |
| &nbsp;&nbsp;![](hsbc4137211-ncsrsx7x1.jpg) |

---

The charts above represent a historical 10-year performance comparison of a hypothetical investment in the indicated share class versus a similar investment in the Fund's benchmark and represents the reinvestment of dividends and capital gains in the Fund.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Average Annual** <br> **Total Returns (%)<sup>4</sup>** | **Average Annual** <br> **Total Returns (%)<sup>4</sup>** | **Average Annual** <br> **Total Returns (%)<sup>4</sup>** | **Expense** <br> **Ratio (%)<sup>5</sup>** | **Expense** <br> **Ratio (%)<sup>5</sup>** |
| **Fund Performance**<br>**As of October 31, 2022** |<br>**Inception <br> Date** | **1 Year** | **5 Year** | **10 Year** | **Gross** | **Net** |
| HSBC RadiantESG U.S. Smaller Companies Fund Class A<sup>1</sup> | 9/23/96 | -29.69 | 7.25 | 9.91 | 6.80 | 1.45 |
| HSBC RadiantESG U.S. Smaller Companies Fund Class C<sup>2</sup> | 11/4/98 | -26.66 | 7.59 | 10.08 | 7.55 | 2.20 |
| HSBC RadiantESG U.S. Smaller Companies Fund Class I<sup>†</sup> | 9/3/96 | -25.05 | 9.00 | 11.09 | 1.68 | 0.90 |
| Russell 2500 Growth<sup>TM</sup> Index<sup>3</sup> |  | -27.38 | 7.41 | 11.38 | N/A | N/A |

---

**Past performance does not guarantee future results. The performance data quoted represents past performance (including prior to the date on which the Fund changed its name, principal investment strategies and sub-adviser) and current returns may be lower or higher. Total return figures include change in share price, reinvestment of dividends and capital gains and do not reflect the taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. Investment return and principal value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please call 1-800-782-8183.**

The performance above reflects any fee waivers that have been in effect during the applicable periods, as well as any expense reimbursements that have periodically been made. Absent such waivers and reimbursements, returns would have been lower. Currently, contractual fee waivers and/or expense reimbursements are in effect for the Fund through June 30, 2023.

Certain returns shown include monies received by the Portfolio, in which the Fund invests, in respect of one-time class action settlements and monies received by the Fund from a one-time reimbursement from HSBC Global Asset Management (USA) Inc. (the "Adviser") related to past marketing arrangements. As a result, the Fund's total returns for those periods were higher than they would have been had the Portfolio and the Fund not received the payments.

---

| | |
|:---|:---|
| *†* | *The Class I Shares are issued by a separate series of the HSBC Funds.* |
| *1* | *Reflects the maximum sales charge of 5.00%.* |
| *2* | *Reflects the applicable contingent deferred sales charge, maximum of 1.00%.* |
| *3* | *For additional information, please refer to the Glossary of Terms.* |
| *4* | *Reflects actual NAV at the end of the period.* |
| *5* | *Reflects the expense ratio as reported in the prospectus dated April 28, 2022, as supplemented to date. HSBC Global Asset Management (USA) Inc., the Adviser, has entered into a contractual expense limitation agreement with the Fund under which it will limit total expenses of the Fund (excluding interest, taxes, brokerage commissions, extraordinary expenses and estimated indirect expenses attributable to the Fund's investments in investment companies other than the Portfolio) to an annual rate of 1.45%, 2.20% and 0.90% for Class A Shares, Class C and Class I Shares, respectively. The expense limitations shall be in effect until June 30, 2023. Additional information pertaining to the October 31, 2022 expense ratios can be found in the financial highlights.* |

---

The Fund's performance is measured against the Russell 2500<sup>TM</sup> Growth Index, an unmanaged index that measures the performance of the small- to mid-cap growth segment of the U.S. equity universe. It includes those Russell 2500 companies with higher price-to-book ratios and higher forecasted growth values. The performance for the index does not reflect the deduction of expenses associated with a mutual fund, such as investment management and fund accounting fees. The Fund's performance reflects the deduction of fees for these value-added services. Investors cannot invest directly in an index.

**HSBC FAMILY OF FUNDS** **5**

------

**HSBC FAMILY OF FUNDS**

**Statements of Assets and Liabilities—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
| | **HSBC RadiantESG<br> U.S. Smaller<br> Companies Fund** | **HSBC RadiantESG<br> U.S. Smaller<br> Companies Fund<br> (Class I)** |
| **Assets:** | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments in Affiliated Portfolio | 8175190 | 17023582 |
| &nbsp;&nbsp;&nbsp;&nbsp;Receivable from Investment Adviser | 74801 | 143714 |
| &nbsp;&nbsp;&nbsp;&nbsp;Receivable from Sub-administrator |  | 6242 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other assets | 8929 | 15646 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Assets** | 8258920 | 17189184 |
| **Liabilities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payable for capital shares redeemed |  | 156082 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other payables: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Administration | 101 | 291 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Distribution fees | 12 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shareholder Servicing | 550 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting | 1588 | 1166 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Printing | 1849 | 3284 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional | 21460 | 21460 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transfer Agent | 13509 | 11200 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 1461 | 1830 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Liabilities** | 40530 | 195313 |
| **Net Assets** | $8218390 | $16993871 |
| **Composition of Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Paid in capital | $9444715 | $20921194 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributable earnings/(loss) | (1226325) | (3927323) |
| **Net Assets** | $8218390 | $16993871 |
| **Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | $8199492 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | 18898 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares |  | 16993871 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $8218390 | $16993871 |
| **Shares Outstanding:** |  |  |
| ($0.001 par value, unlimited number of shares authorized): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 1133846 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | 15341 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares |  | 2655843 |
| **Net Asset Value, Offering Price (Class C and Class I) and Redemption Price per share:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | $7.23 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Class C Shares<sup>(a)</sup> | $1.23 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares | $— | $6.40 |
| **Maximum Sales Charge:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 5.00% | —% |
| **Maximum Offering Price per share (Net Asset Value / (100%-maximum sales charge))** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | $7.61 | $— |

---

Amounts designated as "—" are 0.00 or have been rounded to 0.00.

(a) Redemption price per share varies by length of
 time shares are held.

---

| | | |
|:---|:---|:---|
| **6** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Operations - For the year ended October 31, 2022**

---

| | | |
|:---|:---|:---|
| | **HSBC<br> RadiantESG<br> U.S. Smaller<br> Companies<br> Fund** | **HSBC<br> RadiantESG<br> U.S. Smaller<br> Companies<br> Fund (Class I)** |
| **Net Investment Income Allocated from Affiliated Portfolio:** | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment income from Affiliated Portfolio | 83982 | 470802 |
| &nbsp;&nbsp;&nbsp;&nbsp;Expenses from Affiliated Portfolio | (326175) | (1317622) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net Investment Income from Affiliated Portfolio | (242193) | (846820) |
| **Expenses:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Administration: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 1568 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | 4 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class I Shares |  | 8507 |
| &nbsp;&nbsp;&nbsp;&nbsp;Distribution: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | 202 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Shareholder Servicing: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | 22972 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | 59 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounting | 18586 | 13585 |
| &nbsp;&nbsp;&nbsp;&nbsp;Printing | 9575 | 27248 |
| &nbsp;&nbsp;&nbsp;&nbsp;Professional | 20896 | 23101 |
| &nbsp;&nbsp;&nbsp;&nbsp;Transfer Agent | 224024 | 189131 |
| &nbsp;&nbsp;&nbsp;&nbsp;Registration fees | 20465 | 22880 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 2336 | 1365 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses before fee and expense reductions | 320687 | 285817 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees voluntarily reduced/reimbursed by Investment Adviser | (10003) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees contractually reduced/reimbursed by Investment Adviser | (487707) | (1033366) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net Expenses** | (177023) | (747549) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net Investment Income/(Loss)** | (65170) | (99271) |
| **Realized/Unrealized Gains/(Losses) on Investments Allocated from Affiliated Portfolio:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from Affiliated Portfolio | (1486716) | (4652078) |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in unrealized appreciation/depreciation on investments from Affiliated Portfolio | (1648501) | (18029576) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized/unrealized gains/(losses) on investments from Affiliated Portfolio | (3135217) | (22681654) |
| **Change in Net Assets Resulting from Operations** | $(3200387) | $(22780925) |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**7** |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Changes in Net Assets**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **HSBC RadiantESG U.S. Smaller<br> Companies Fund** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund (Class I)** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund (Class I)** |
|  | **For the year ended<br> October 31, 2022** | **For the year ended<br> October 31, 2021** | **For the year ended<br> October 31, 2022** | **For the year ended<br> October 31, 2021** |
| **Investment Activities:** |  |  |  |  |
| **Operations:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net investment income/(loss) | $(65170) | $(97661) | $(99271) | $(415393) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from investments | (1486716) | 3921511 | (4652078) | 46102447 |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in unrealized appreciation/depreciation on <br>investments | (1648501) | 81612 | (18029576) | (6145310) |
| **Change in net assets resulting from operations** | (3200387) | 3905462 | (22780925) | 39541744 |
| **Distributions to shareholders:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares | (3766491) | (591303) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class C Shares | (27849) | (4962) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class I Shares |  |  | (45436904) | (10024994) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets resulting from distributions <br>to shareholders** | (3794340) | (596265) | (45436904) | (10024994) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets resulting from capital <br>transactions** | 2654398 | (12016) | (3597262) | (62666721) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Change in net assets** | (4340329) | 3297181 | (71815091) | (33149971) |
| **Net Assets:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | 12558719 | 9261538 | 88808962 | 121958933 |
| &nbsp;&nbsp;&nbsp;&nbsp;End of period | $8218390 | $12558719 | $16993871 | $88808962 |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| **8** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC FAMILY OF FUNDS**

**Statements of Changes in Net Assets (continued)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **HSBC RadiantESG U.S. Smaller<br> Companies Fund** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund (Class I)** | **HSBC RadiantESG U.S. Smaller<br> Companies Fund (Class I)** |
|  | **For the year ended<br> October 31, 2022** | **For the year ended<br> October 31, 2021** | **For the year ended<br> October 31, 2022** | **For the year ended<br> October 31, 2021** |
| **CAPITAL TRANSACTIONS:** |  |  |  |  |
| **Class A Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued | $1230933 | $269188 | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 3689980 | 566123 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (2282301) | (841668) |  |  |
| **Class A Shares capital transactions** | 2638612 | (6357) |  |  |
| **Class C Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested | 27849 | 4962 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed | (12063) | (10621) |  |  |
| **Class C Shares capital transactions** | 15786 | (5659) |  |  |
| **Class I Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from shares issued |  |  | 13910403 | 3553293 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends reinvested |  |  | 44902419 | 9848822 |
| &nbsp;&nbsp;&nbsp;&nbsp;Value of shares redeemed |  |  | (62410084) | (76068836) |
| **Class I Shares capital transactions** |  |  | (3597262) | (62666721) |
| **Change in net assets resulting from capital <br>transactions** | $2654398 | $(12016) | $(3597262) | $(62666721) |
| **SHARE TRANSACTIONS:** |  |  |  |  |
| **Class A Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issued | 153638 | 20601 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Reinvested | 407733 | 46026 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Redeemed | (291396) | (63754) |  |  |
| **Change in Class A Shares** | 269975 | 2873 |  |  |
| **Class C Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Reinvested | 17967 | 904 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Redeemed | (8944) | (1857) |  |  |
| **Change in Class C Shares** | 9023 | (953) |  |  |
| **Class I Shares:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issued |  |  | 2222072 | 206182 |
| &nbsp;&nbsp;&nbsp;&nbsp;Reinvested |  |  | 5676665 | 607577 |
| &nbsp;&nbsp;&nbsp;&nbsp;Redeemed |  |  | (9876855) | (4494614) |
| **Change in Class I Shares** |  |  | (1978118) | (3680855) |

---

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**9** |

---

------

&nbsp;&nbsp;**HSBC RADIANTESG U.S. SMALLER COMPANIES FUND**

**Financial Highlights**

**Selected data for a share outstanding throughout the periods indicated.\***

---

| | | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | **Investment Activities** | **Investment Activities** | **Investment Activities** | **Investment Activities** | **Distributions** | **Distributions** | **Distributions** | | | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** |
| |<br>**Net Asset**<br> **Value,**<br> **Beginning**<br> **of Period** | **Net**<br> **Investment**<br> **Income/**<br> **(Loss)(a)** | **Net**<br> **Investment**<br> **Income/**<br> **(Loss)(a)** | **Net Realized**<br> **and**<br> **Unrealized**<br> **Gains**<br> **(Losses)**<br> **from**<br> **Investments** | **Total from**<br> **Investment**<br> **Activities** | **Net**<br> **Investment**<br> **Income** | **Net Realized**<br> **Gains from**<br> **Investment**<br> **Transactions** | **Total**<br> **Distributions** |<br>**Net Asset**<br> **Value, End**<br> **of Period** |<br>**Total Return**<br> **(b)** | **Net Assets**<br> **at End**<br> **of Period**<br> **(000's)** | **Ratio of Net**<br> **Expense to**<br> **Average Net**<br> **Assets** | **Ratio of Net**<br> **Investment**<br> **Income to**<br> **Average Net**<br> **Assets** | **Ratio of**<br> **Expenses**<br> **to Average**<br> **Net Assets**<br> **(Excluding**<br> **Fee**<br> **Reductions)** | **Portfolio**<br> **Turnover(c)** |
| **Class A Shares** | **Class A Shares** | **Class A Shares** |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $14.49 |  | $(0.05) (d) | $(2.80) | $(2.85) | $— | $(4.41) | $(4.41) | $7.23 (e) | (25.80)% | $8200 | 1.49 %(f) | (0.65) %(d) | 6.47% | 120% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 10.71 |  | (0.11) | 4.57 | 4.46 |  | (0.68) | (0.68) | 14.49 | 42.81% | 12518 | 1.55% | (0.83) % | 7.00% | 78% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 9.42 |  | (0.09) | 2.10 | 2.01 |  | (0.72) | (0.72) | 10.71 | 22.05% | 9224 | 1.55% | (0.91) % | 7.29% | 94% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 10.70 |  | (0.07) | 0.59 | 0.52 |  | (1.80) | (1.80) | 9.42 | 8.77% | 8449 | 1.55% | (0.79) % | 5.77% | 81% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 11.24 |  | (0.10) | 0.82 | 0.72 |  | (1.26) | (1.26) | 10.70 | 6.46% | 9352 | 1.55% | (0.84) % | 5.37% | 77% |
| **Class C Shares** | **Class C Shares** | **Class C Shares** |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $6.43 |  | $(0.02) (d) | $(0.77) | $(0.79) | $— | $(4.41) | $(4.41) | $1.23 | (26.47)% | $19 | 2.25 %(f) | (1.46) %(d) | 6.82% | 120% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 5.10 |  | (0.09) | 2.10 | 2.01 |  | (0.68) | (0.68) | 6.43 | 41.77% | 41 | 2.30% | (1.60) % | 7.74% | 78% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 4.85 |  | (0.08) | 1.05 | 0.97 |  | (0.72) | (0.72) | 5.10 | 21.29% | 37 | 2.30% | (1.65) % | 8.13% | 94% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 6.53 |  | (0.08) | 0.20 | 0.12 |  | (1.80) | (1.80) | 4.85 | 8.07% | 77 | 2.30% | (1.54) % | 6.60% | 81% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 7.38 |  | (0.11) | 0.52 | 0.41 |  | (1.26) | (1.26) | 6.53 | 5.52% | 116 | 2.30% | (1.60)% | 6.08% | 77% |

---

\* The per share amounts and percentages reflect income and expenses assuming inclusion of the Fund's proportionate share of the income and expenses of the HSBC RadiantESG U.S. Smaller Companies Portfolio (the "Portfolio")

(a) Calculated based on average shares outstanding.

(b) Total return calculations do not include any sales or redemption
 charges.

(c) Portfolio turnover rate is calculated on the basis of the Portfolio,
 in which the Fund invests all of its investable assets. Portfolio turnover is calculated on the basis of the Fund as
 a whole without distinguishing between the classes of shares issued.

(d) Reflects special dividends paid out during the year by several of
 the Portfolio's holdings. Had the Portfolio, in which the Fund invests all of its investable assets, not received the special
 dividends, the net investment income/(loss) per share would have been $(0.08) and $(0.05) for Class A and Class C Shares,
 respectively, and the net investment income/(loss) ratio would have been (0.97)% and (1.78)% for Class A and Class C Shares,
 respectively.

(e) The net asset value per share ("NAV") for financial reporting
 purposes differs from the NAV reported due to adjustments made in accordance with accounting principles generally accepted
 in the United States of America.

(f) The net expense ratio shown for the period reflects the expense limitation
 agreement in effect as of June 28, 2022 and the higher limit in effect prior to that date.

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| **10** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

&nbsp;&nbsp;**HSBC RADIANTESG U.S. SMALLER COMPANIES FUND (CLASS I)**

**Financial Highlights**

**Selected data for a share outstanding throughout the periods indicated.\***

---

| | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | **Investment Activities** | **Investment Activities** | **Investment Activities** | **Distributions** | **Distributions** | **Distributions** | | | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** |
| |<br>**Net Asset**<br> **Value,**<br> **Beginning**<br> **of Period** | **Net**<br> **Investment**<br> **Income/**<br> **(Loss)(a)** | **Net Realized**<br> **and**<br> **Unrealized**<br> **Gains**<br> **(Losses)**<br> **from**<br> **Investments** | **Total from**<br> **Investment**<br> **Activities** | **Net**<br> **Investment**<br> **Income** | **Net Realized**<br> **Gains from**<br> **Investment**<br> **Transactions** | **Total**<br> **Distributions** |<br>**Net Asset**<br> **Value, End**<br> **of Period** |<br>**Total Return**<br> **(b)** | **Net Assets**<br> **at End**<br> **of Period**<br> **(000's)** | **Ratio of Net**<br> **Expense to**<br> **Average Net**<br> **Assets** | **Ratio of Net**<br> **Investment**<br> **Income to**<br> **Average Net**<br> **Assets** | **Ratio of**<br> **Expenses**<br> **to Average**<br> **Net Assets**<br> **(Excluding**<br> **Fee**<br> **Reductions)** | **Portfolio**<br> **Turnover(c)** |
| **Class I Shares** | **Class I Shares** | **Class I Shares** |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | $19.16 | $(0.02) (d) | $(2.84) | $(2.86) | $— | $(9.90) | $(9.90) | $6.40 (e) | (24.77)% | $16993 | 1.07 %(f) | (0.19) %(d) | 3.02% | 120% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 14.67 | (0.07) | 6.13 | 6.06 |  | (1.57) | (1.57) | 19.16 (e) | 43.23% | 88809 | 1.10% | (0.39) % | 1.88% | 78% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 12.79 | (0.06) | 2.85 | 2.79 |  | (0.91) | (0.91) | 14.67 | 22.58% | 121959 | 1.10% | (0.46) % | 1.63% | 94% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 14.38 | (0.04) | 0.81 | 0.77 |  | (2.36) | (2.36) | 12.79 | 9.25% | 115924 | 1.10% | (0.34) % | 1.44% | 81% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 15.40 | (0.06) | 1.12 | 1.06 |  | (2.08) | (2.08) | 14.38 | 6.96% | 136640 | 1.10% | (0.40)% | 1.39% | 77% |

---

\* The per share amounts and percentages reflect income and expenses assuming inclusion of the Fund's proportionate share of the income and expenses of the HSBC RadiantESG U.S. Smaller Companies Portfolio (the "Portfolio")

(a) Calculated based on average shares outstanding.

(b) Total return calculations do not include any sales or redemption
 charges.

(c) Portfolio turnover rate is calculated on the basis of the Portfolio,
 in which the Fund invests all of its investable assets. Portfolio turnover is calculated on the basis of the Fund as
 a whole without distinguishing between the classes of shares issued.

(d) Reflects special dividends paid out during the year by several of
 the Portfolio's holdings. Had the Portfolio, in which the Fund invests all of its investable assets, not received the special
 dividends, the net investment income/(loss) per share would have been $(0.05) for Class I Shares and the net investment income/(loss)
 ratio would have been (0.59)% for Class I Shares.

(e) The net asset value per share ("NAV") for financial reporting
 purposes differs from the NAV reported due to adjustments made in accordance with accounting principles generally accepted
 in the United States of America.

(f) The net expense ratio shown for the period reflects the expense limitation
 agreement in effect as of June 28, 2022 and the higher limit in effect prior to that date.

Amounts designated as "—" are $0.00 or have been rounded to $0.00.

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**11** |

---

------

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022** |

---

**1.** **Organization:**

The HSBC Funds (the "Trust"), a Delaware statutory trust organized on March 2, 2016, is registered under the Investment Company Act of 1940, as amended (the "Act"), as an open-end management investment company. As of October 31, 2022, the Trust is composed of 5 separate operational funds, each a series of the HSBC Family of Funds. The accompanying financial statements are presented for the following two diversified funds (individually a "Fund", collectively the "Funds") of the Trust. The Funds changed their name on June 28, 2022.

---

| | |
|:---|:---|
| **Fund** | **<u>Short Name</u>** |
| HSBC RadiantESG U.S. Smaller Companies Fund (formerly HSBC Opportunity Fund) | RadiantESG U.S. Smaller Companies Fund |
| HSBC RadiantESG U.S. Smaller Companies Fund (Class I) (formerly HSBC Opportunity Fund (Class I)) | RadiantESG U.S. Smaller Companies Fund (Class I) |

---

Financial statements for all other funds of the Trust are published separately.

Each Fund is a feeder fund in a master-feeder fund structure and seeks to achieve its investment objectives by investing all of its investable assets in the HSBC RadiantESG U.S. Smaller Companies Portfolio (formerly, HSBC Opportunity Portfolio) (the "Portfolio"), which is a diversified series of the Trust with the same investment objective as the Funds. The Portfolio operates as the master fund in a master-feeder arrangement in which the feeder funds invest all or part of their investable assets in the Portfolio. The Funds' proportionate ownership of the Portfolio was as follows:

---

| | |
|:---|:---|
| **Fund** | **Proportionate<br> Ownership<br> Interest on <br>October 31, 2022 <br>(%)** |
| RadiantESG U.S. Smaller Companies Fund | 32.4 |
| RadiantESG U.S. Smaller Companies Fund (Class I) | 67.6 |

---

The financial statements of the Portfolio, including the Schedule of Portfolio Investments, are included in the attached financial statements. The financial statements of the Portfolio should be read in conjunction with the financial statements of the Funds.

The Funds are authorized to issue an unlimited number of shares of beneficial interest with a par value of $0.001 per share. The RadiantESG U.S. Smaller Companies Fund offers two classes of shares: Class A Shares and Class C Shares. The RadiantESG U.S. Smaller Companies Fund (Class I) offers one class of shares: Class I Shares. Class A Shares of the RadiantESG U.S. Smaller Companies Fund have a maximum sales charge of 5.00% as a percentage of the offering price. Class C Shares of the RadiantESG U.S. Smaller Companies Fund are offered without any front-end sales charge but will be subject to a maximum CDSC of 1.00% if redeemed less than one year after purchase. No sales charges are assessed with respect to Class I Shares of the RadiantESG U.S. Smaller Companies Fund (Class I). Each class of shares in the Funds has identical rights and privileges except with respect to arrangements pertaining to shareholder servicing and/or distribution, class-related expenses, voting rights on matters affecting a single class of shares, and exchange privileges of each class of shares.

Under the Trust's organizational documents, the Trust's officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Trust enters into contracts with its service providers, which also provide for indemnifications by the Funds. The Funds' maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds. However, based on experience, the Trust believes the risk of loss to be remote.

---

| | |
|:---|:---|
| **12** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

The Funds are investment companies and follow accounting and reporting guidance under Financial Accounting Standards Board Accounting Standards Codification Topic 946, "Financial Services-Investment Companies."

**2.** **Significant Accounting Policies:**

The following is a summary of the significant accounting policies followed by the Funds in the preparation of their financial statements. The policies are in conformity with generally accepted accounting principles in the United States of America ("GAAP"). The preparation of financial statements requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

**Securities Valuation:**

The Funds record their investments in the Portfolio at fair value. The notes to the Portfolio's financial statements included elsewhere in this report provide information about the Portfolio's valuation policy and its period-end security valuations.

**Investment Transactions and Related Income:**

The Funds record investments in the Portfolio on a trade date basis. The Funds record daily their proportionate share of income, expenses, changes in unrealized appreciation and depreciation and realized gains and losses derived from the Portfolio. In addition, the Funds accrue their own expenses daily as incurred.

**Foreign Currency Translation:**

The accounting records of the Funds are maintained in U.S. dollars. Foreign currency amounts, if any, are translated into U.S. dollars at the current rate of exchange to determine the value of investments, assets and liabilities at the close of each business day. Purchases and sales of securities, and income and expenses are, as applicable, translated at the prevailing rate of exchange on the respective dates of such transactions. The Funds do not isolate the portion of the results of operations resulting from changes in foreign exchange rates on investments from fluctuations arising from changes in market prices of securities held. If applicable, any such fluctuations are included with the net realized and unrealized gain or loss from investments in securities and foreign currency translations.

**Allocations:**

Expenses directly attributable to a Fund are charged to that Fund. Expenses not directly attributable to a Fund are allocated among the applicable series within the Trust equally to each fund, in relation to its net assets, or another appropriate basis. Because the Funds operate in a master-feeder structure, in which the Funds invest all of their investable assets in the Portfolio, certain expenses are allocated solely to the Portfolio rather than the Funds. Class specific expenses are charged directly to the class incurring the expense. In addition, income, expenses (other than class specific expenses), and unrealized and realized gains and losses are allocated to each class based on relative net assets on a daily basis.

**Distributions to Shareholders:**

Dividends distributed to shareholders of the Funds from net investment income, if any, are declared and distributed semiannually for the Funds.

Distributions from net realized gains, if any, are declared and paid at least annually by the Funds. Additional distributions are also made to the Funds' shareholders to the extent necessary to avoid the federal excise tax on certain undistributed income and net realized gains of regulated investment companies.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**13** |

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------

---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

**Federal Income Taxes:**

Each Fund is a separate taxable entity for federal income tax purposes. Each Fund has qualified and intends to continue to qualify each year as a "regulated investment company" under Subchapter M of the Internal Revenue Code, as amended, and to distribute substantially all of its taxable net investment income and net realized gains, if any, to its shareholders. Accordingly, no provision for federal income or excise tax is required for the Funds, although shareholders may be taxed on distributions they receive.

Management of the Funds has reviewed tax positions taken in tax years that remain subject to examination by all major tax jurisdictions, including federal (i.e., the last four tax year ends and the interim tax period since then, as applicable). Management believes that there is no tax liability resulting from unrecognized tax benefits related to uncertain tax positions taken. Management's conclusions may be subject to future review based on changes in, or interpretation of, accounting standards or tax laws and regulations.

**3.** **Investment Valuation Summary**

The valuation techniques employed by the Funds, as described below, maximize the use of observable inputs and minimize the use of unobservable inputs in determining fair value. The Funds' investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs used for valuing the Funds' investments are summarized in the three broad levels listed below:

● Level 1—quoted prices (unadjusted) in active
 markets for identical assets

● Level 2—other significant observable inputs (including quoted
 prices for similar securities, interest rates, prepayments speeds, credit risk, etc.)

● Level 3—significant unobservable inputs (including the Investment
 Adviser's own assumptions in determining the fair value of investments)

Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. The inputs or methodology used for valuing investments are not necessarily an indication of the risk associated with investing in those investments.

The Funds record their investments in the Portfolio at fair value, which represents their proportionate ownership of the value of the Portfolios' net assets. These investments are typically categorized as Level 2 in the fair value hierarchy. The underlying securities of the Portfolio are recorded at fair value, as discussed more fully in the Notes to Financial Statements of the Portfolio included in the attached financial statements.

As of October 31, 2022, all investments by the Funds were categorized as Level 2 in the fair value hierarchy.

**4.** **Related Party Transactions and Other Agreements and Plans:**

**Investment Management:**

HSBC Global Asset Management (USA) Inc. ("HSBC" or the "Investment Adviser"), a wholly-owned subsidiary of HSBC USA, Inc., a registered bank holding company under the laws of the United States, acts as Investment Adviser to the Portfolio pursuant to an Investment Advisory Contract. As Investment Adviser, HSBC manages the investments of the Portfolio and continuously reviews, supervises, and administers the Portfolios' investments. The Funds are not directly charged any investment management fees.

**Administration, Fund Accounting and Other Services:**

HSBC also serves the Funds as Administrator. Under the terms of the Administration Services Agreement, HSBC receives from the Funds (as well as other funds in the Trust combined) a fee, accrued daily and paid monthly, at an annual rate of:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0400 |

---

---

| | |
|:---|:---|
| **14** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

---

| | |
|:---|:---|
| In excess of $10 billion but not exceeding $20 billion | 0.035 |
| In excess of $20 billion but not exceeding $50 billion | 0.0265 |
| In excess of $50 billion | 0.0245 |

---

The fee rates and breakpoints are determined on the basis of the aggregate average daily net assets of the Trust. For the year ended October 31, 2022, the effective annualized rate was 0.031%, prior to any fee waivers or expense reimbursements, based on the average daily net assets of the Trust. The total administration fee paid to HSBC is allocated to each series based upon its proportionate share of the aggregate net assets of the Trust subject to certain allocations in cases where one fund invests some or all of its assets in another fund. For assets invested in the Portfolio by the Funds, the Portfolio pays half of the administration fee and the Funds pay half, for a combination of the total fee rate set forth above.

Pursuant to a Sub-Administration Services Agreement with HSBC, Citi Fund Services Ohio, Inc. ("Citi"), a wholly-owned subsidiary of Citigroup, Inc., serves as the Trust's Sub-Administrator. For these services, Citi is entitled to a fee, payable by HSBC, at an annual rate equivalent to the fee rates set forth below:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0200 |
| In excess of $10 billion but not exceeding $20 billion | 0.0150 |
| In excess of $20 billion but not exceeding $50 billion | 0.0065 |
| In excess of $50 billion | 0.0045 |

---

Under a Services Agreement between the Trust and Citi (the "Services Agreement"), Citi makes an individual available to serve as the Trust's Chief Compliance Officer (the "CCO"). Citi also provides infrastructure and support in implementing the written policies and procedures comprising the Trust's compliance program, including support services to the CCO. For the services provided under the Services Agreement, the Trust paid Citi $313,915 for the year ended October 31, 2022, plus reimbursement of certain out-of-pocket expenses. Citi pays the salary and other compensation earned by individuals performing these services, as employees of Citi.

In addition, Citi provides fund accounting services for each Fund under the Services Agreement. As fund accountant, Citi receives an annual fee per Fund and share class, subject to certain minimums and reimbursements of certain expenses. Citi receives additional fees paid by the Trust for regulatory administration services.

**Distribution Arrangements:**

Foreside Distribution Services, L.P. ("Foreside" or the "Distributor") serves the Trust as Distributor. The Trust, on behalf of the RadiantESG U.S. Smaller Companies Fund, has adopted a non-compensatory Distribution Plan and Agreement (the "Distribution Plan") pursuant to Rule 12b-1 of the Act. The Distribution Plan provides for reimbursement of expenses incurred by the Distributor related to distribution and marketing, at a rate not to exceed 0.25% and 1.00% of the average daily net assets of Class A Shares (currently not being charged) and Class C Shares (currently charging 0.75%) of the applicable funds, respectively. For the year ended October 31, 2022, Foreside received $202 in commissions from sales of the Trust.

**Shareholder Servicing:**

The Trust has adopted a Shareholder Services Plan, which provides for payments to shareholder servicing agents for providing various shareholder services. For performing these services, the shareholder servicing agents receive a fee that is computed daily and paid monthly up to 0.25% of the average daily net assets of Class A Shares and Class C Shares of the RadiantESG U.S. Smaller Companies Fund. The fees paid to the Distributor pursuant to the Distribution Plan and to shareholder servicing agents pursuant to the Shareholder Services Plan may not exceed in the aggregate 0.50% annually of the average daily net assets of Class A Shares, and 1.00% of the average daily net assets of Class C Shares.

The Trust has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**15** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

invest in the Funds under which the Funds will pay all or a portion of such fees earned to financial intermediaries for performing such services.

**Transfer Agency:**

DST Asset Manager Solutions, Inc. ("DST") provides transfer agency services for each Fund. As transfer agent, DST receives a fee based on the number of funds and shareholder accounts, subject to certain minimums, and reimbursement of certain expenses.

**Independent Trustees:**

The Trust pays an annual retainer to each Independent Trustee, plus additional annual retainers to each Committee Chair and the Chairman of the Board of Trustees (the "Board"). The Independent Trustees also receive a fee for each regular, special, and informational meeting of the Board attended. The aggregate amount of the fees and expenses of the Independent Trustees are allocated amongst all the funds in the Trust (except that these fees and expenses are allocated to the Portfolio rather than the Funds).

**Other:**

The Funds pay fees to certain intermediaries or financial institutions for record keeping, sub-accounting services, transfer agency and other administrative services as reflected on the Statements of Operations as "Administration."

The Funds may use related party broker-dealers. For the year ended October 31, 2022, there were no brokerage commissions paid to broker-dealers affiliated with the Adviser.

The Adviser and its affiliates may have lending, banking, brokerage, underwriting, or other business relationships with the issuers of the securities in which the Portfolio invests.

**Fee Reductions:**

The Investment Adviser has agreed to contractually limit through June 30, 2023 the total annual expenses of the Funds, including the allocated expenses from the Portfolio, exclusive of interest, taxes, brokerage commissions, extraordinary expenses, and estimated indirect expenses attributable to the Funds' investments in investment companies. Each Fund Class has its own expense limitations based on the average daily net assets for any full fiscal year as follows:

---

| | | |
|:---|:---|:---|
|  | **Class** | **Contractual<br> Expense<br> Limitations (%)** |
| RadiantESG U.S. Smaller Companies Fund | A | 1.45 \* |
| RadiantESG U.S. Smaller Companies Fund | C | 2.20 \* |
| RadiantESG U.S. Smaller Companies Fund (Class I) | I | 0.90 \* |

---

\*Effective June 28, 2022. Prior to June 28, 2022, the contractual expense limitations for Class A, C and I shares were 1.65%, 2.40% and 1.10%, respectively.

Any amounts contractually waived or reimbursed by the Investment Adviser will be subject to repayment by the respective Fund to the Investment Adviser within three years calculated monthly from when the waiver or reimbursement is recorded to the extent that the repayment will not cause the Fund's operating expenses to exceed the contractual expense limit that was in effect at the time of such waiver or reimbursement. During the year ended October 31, 2022, the Investment Adviser did not recapture any of its prior contractual waivers or reimbursements.

As of October 31, 2022, the repayments that may potentially be made by the Funds are as follows:

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| | |
|:---|:---|
| **16** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Amount Eligible Through** | **Amount Eligible Through** | **Amount Eligible Through** | **Amount Eligible Through** |
|  | **2025 ($)** | **2024 ($)** | **2023 ($)** | **Total ($)** |
| RadiantESG U.S. Smaller Companies <br>Fund | 487707 | 623917 | 491640 | 1603264 |
| RadiantESG U.S. Smaller Companies <br>Fund (Class I) | 1033366 | 821503 | 605184 | 2460053 |

---

Citi may voluntarily waive/reimburse fees to help support the expense limits of the Funds. In addition, HSBC, in its role as Investment Adviser and Administrator, may waive/reimburse additional fees at its discretion. Any voluntary fee waivers/reimbursements are not subject to recoupment in subsequent fiscal periods. Voluntary waivers/reimbursements may be eliminated or changed at any time. Amounts waived/ reimbursed by the Investment Adviser, Administrator and Citi as Sub-Administrator are reported separately on the Statements of Operations, as applicable.

**5. Affiliated Investment Transactions:**

A summary of each Fund's investment in the Portfolio for the year ended October 31, 2022 is as follows:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Value<br> 10/31/2021<br> ($)** | **Contributions<br> ($)** | **Withdrawals<br> ($)** | **Net<br> Realized<br> Gains/<br> (Losses)<br> ($)** | **Change in<br> Unrealized<br> Appreciation<br> /Depreciation <br> ($)** | **Value<br> 10/31/2022<br> ($)** | **Net<br> Income/<br> (Loss)<br> ($)** |
| **RadiantESG U.S. Smaller <br>Companies Fund** |  |  |  |  |  |  |  |
| RadiantESG U.S. Smaller <br>Companies Portfolio | 12564869 | 5198086 | (6210355) | (1486716) | (1648501) | 8175190 | (242193) |
| Total | 12564869 | 5198086 | (6210355) | (1486716) | (1648501) | 8175190 | (242193) |
| **RadiantESG U.S. Smaller <br>Companies Fund (Class I)** |  |  |  |  |  |  |  |
| RadiantESG U.S. Smaller <br>Companies Portfolio | 88794579 | 58876145 | (107118668) | (4652078) | (18029576) | 17023582 | (846820) |
| Total | 88794579 | 58876145 | (107118668) | (4652078) | (18029576) | 17023582 | (846820) |

---

**6.** **Investment Risks:**

The risks are presented in an order intended to facilitate readability, and their order does not imply that the realization of one risk is likely to occur more frequently than another risk, nor does it imply that the realization of one risk is likely to have a greater adverse impact than another risk.

*Equity Securities Risk:* The prices of equity securities fluctuate from time to time based on changes in a company's financial condition or overall market and economic conditions. As a result, the value of equity securities may fluctuate drastically from day to day.

*Market Risk:* The value of a Fund's investments may decline due to changing economic, political, social, regulatory or market conditions. Market risk may affect a single issuer, industry or sector of the economy or it may affect the economy as a whole. Moreover, the conditions in one country or geographic region could adversely affect the Fund's investments in a different country or geographic region. Events such as war, acts of terrorism, social unrest, natural disasters, the spread of infectious illness or other public health threats could also significantly impact a Fund and its investments.

*Model and Data Risk:* RadiantESG Global Investors LLC, the investment sub-adviser ("RadiantESG") employs proprietary quantitative models in selecting investments for the Fund. Investments selected using these models may perform differently than expected as a result of the factors used in the models, the weight placed on each factor, changes in a factor's historical trends, and technical issues in the construction, implementation, and maintenance of the models (including, for example, problems with data sourced by

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**17** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

RadiantESG or supplied by third parties, software issues, or other types of errors). There are limitations inherent in every quantitative model and there is no guarantee that quantitative models will perform as expected or result in effective investment decisions for the Funds. Additionally, commonality of holdings across quantitative asset managers may amplify losses.

*ESG Investing Risk:* The incorporation of ESG criteria, including ESG and Impact scores and the identification of controversial business lines and other screens, into the investment process will cause the Fund to forgo investment opportunities available to other mutual funds that do not use these criteria, or to increase or decrease its exposure to certain sectors or certain types of companies. For example, the Fund will generally not seek to invest in companies that operate in, or derive a specific amount of revenue from, controversial business lines (e.g., tobacco, nuclear armaments and other controversial weapons, and thermal coal extraction), or companies with severe controversies (e.g., severe violators of human rights and liberties). As a result, the Fund could underperform other mutual funds that do not consider ESG criteria in their investment processes. RadiantESG's ESG criteria and ESG-related investment processes may be changed periodically without shareholder approval or notice.

**7.** **Federal Income Tax Information:**

As of the tax year ended October 31, 2022, the cost basis of investments for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation and net unrealized appreciation/(depreciation) were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Tax Cost ($)** | **Tax Unrealized<br> Appreciation ($)** | **Tax Unrealized<br> Depreciation ($)** | **Net Unrealized** **<br> Appreciation/<br> (Depreciation)<br> ($)<sup>\*</sup>** |
| RadiantESG U.S. Smaller Companies <br>Fund | 7861697 | 313493 | – | 313493 |
| RadiantESG U.S. Smaller Companies <br>Fund (Class I) | 16230846 | 792736 | – | 792736 |

---

\* The difference between book-basis and tax-basis unrealized appreciation/(depreciation) is attributable primarily to tax deferral of losses on wash sales.

The tax character of distributions paid by the Funds for the tax year ended October 31, 2022, was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** |
|  | **Ordinary Income<br> ($)** | **Net Long-Term<br> Capital Gains ($)** | **Total Taxable<br> Distributions ($)** | **Total**<br> **Distributions**<br> **Paid ($)<sup>(1)</sup>** |
| RadiantESG U.S. Smaller Companies Fund | 1311809 | 2482531 | 3794340 | 3794340 |
| RadiantESG U.S. Smaller Companies Fund <br>(Class I) | 16743166 | 28693738 | 45436904 | 45436904 |

---

(1) Total distributions paid
 may differ from that disclosed in the Statements of Changes in Net Assets because distributions are recognized when actually
 paid for tax purposes.

The tax character of distributions paid by the Funds for the tax year ended October 31, 2021, was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** | **Distributions paid from** |
|  | **Ordinary Income<br> ($)** | **Net Long-Term<br> Capital Gains ($)** | **Total Taxable<br> Distributions ($)** | **Total**<br> **Distributions**<br> **Paid ($)<sup>(1)</sup>** |
| RadiantESG U.S. Smaller Companies Fund | 106753 | 489512 | 596265 | 596265 |
| RadiantESG U.S. Smaller Companies Fund <br>(Class I) | 2927949 | 7097045 | 10024994 | 10024994 |

---

(1) Total distributions paid
 may differ from that disclosed in the Statements of Changes in Net Assets because distributions are recognized when actually
 paid for tax purposes.

---

| | |
|:---|:---|
| **18** | **HSBC FAMILY OF FUNDS** |

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| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

As of the tax year ended October 31, 2022, the components of accumulated earnings/(deficit) on a tax basis for the Funds were as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Accumulated<br> Capital and<br> Other Losses<br> ($)** | **Unrealized**<br> **Appreciation/**<br> **(Depreciation)**<br> **($)<sup>(1)</sup>** | **Total<br> Accumulated<br> Earnings/<br> (Deficit) ($)** |
| RadiantESG U.S. Smaller Companies Fund | (1539818) | 313493 | (1226325) |
| RadiantESG U.S. Smaller Companies Fund (Class I) | (4720059) | 792736 | (3927323) |

---

(1) The
 differences between
 book-basis and tax-basis
 unrealized appreciation/depreciation
 are attributable
 primarily to: tax
 deferral of losses
 on wash sales.

As of the tax year ended October 31, 2022, the Funds had net capital loss carryforwards ("CLCFs") not subject to expiration as summarized in the table below. The Board does not intend to authorize a distribution of any realized gain for the Funds until any applicable CLCF has been offset or expires.

---

| | | | |
|:---|:---|:---|:---|
|  | **Short Term<br> Amount ($)** | **Long Term<br> Amount ($)** | **Total ($)** |
| RadiantESG U.S. Smaller Companies Fund | 1479847 | – | 1479847 |
| RadiantESG U.S. Smaller Companies Fund (Class I) | 4620788 | – | 4620788 |

---

The amount and character of net investment income and net realized gains distributed are determined in accordance with federal income tax regulations, which may differ from GAAP. These "book/tax" differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature (e.g., certain gain/loss and certain distributions), such amounts are reclassified within the composition of net assets based on their federal tax-basis treatment; temporary differences (e.g., wash losses) do not require reclassification. To the extent distributions to shareholders from net investment income and net realized gains exceed net investment income and net realized gains for tax purposes, they are reported as distributions of capital.

On the Statements of Assets and Labilities, as a result of permanent book-to-tax differences, reclassification adjustments were made as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Accumulated** **<br> Net Investment<br> Income/<br> (Distributions<br> in Excess of<br> Net Investment<br> Income) ($)<sup>\*</sup>** | **Accumulated** **<br> Net Realized<br> Gains/(Losses)<br> ($)<sup>\*</sup>** | **Paid in Capital<br> ($)** |
| RadiantESG U.S. Smaller Companies Fund | 5199 |  | (5199) |
| RadiantESG U.S. Smaller Companies Fund (Class I) |  | 5 | (5) |

---

\* These components of capital are presented together as "Total distributable earnings/(loss)" on the Statements of Assets and Liabilities.

**8.** **Significant Shareholders:**

Shareholders, including other funds, individuals, and accounts, as well as each Fund's investment manager(s) and/or investment personnel, may from time to time own (beneficially or of record) a significant percentage of the Fund's shares and can be considered to "control" the Fund when that ownership exceeds 25% of the Fund's assets (and which may differ from control as determined in accordance with GAAP).

The following list includes the Funds which had individual shareholder accounts with ownership of voting securities greater than 10% of the total outstanding voting securities but less than 25% and/or accounts with ownership of voting securities greater than 25% of the total outstanding voting securities. Significant transactions by these shareholder accounts may negatively impact the Funds' performance.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**19** |

---

------

---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Notes to Financial Statements—October 31, 2022 (continued)** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Number of<br> shareholders with<br> ownership of <br> voting securities<br> of the Fund<br> greater than 10%<br> and less than 25% <br> of the total Fund's<br> outstanding<br> voting securities** | **Percentage owned<br> in aggregate <br>by 10% - 25%<br> shareholders (%)** | **Number of<br> shareholders with<br> ownership of<br> voting securities<br> of the Fund<br> greater than 25%<br> of the total Fund's<br> outstanding<br> voting securities** | **Percentage owned <br> in aggregate by<br> greater than 25%<br> shareholders (%)** |
| RadiantESG U.S. Smaller Companies <br>Fund | 1 | 15 | 1 | 58 |
| RadiantESG U.S. Smaller Companies <br>Fund (Class I) | 2 | 24 | 1 | 61 |

---

**9.** **Subsequent Events:**

Management has evaluated subsequent events through the date these financial statements were issued. Based on the evaluation, no adjustments or additional disclosures were required to the financial statements as of October 31, 2022, other than the following:

Effective as of November 7, 2022, State Street Bank and Trust Company ("State Street") replaced The Northern Trust Company as the custodian of the Trust. State Street provides custodial services pursuant to a Master Services Agreement with the Trust. Under this Master Services Agreement, State Street also provides fund accounting, fund administration, regulatory administration and certain other services. Citi Fund Services Ohio, Inc. will no longer provide services to, or serve as the sub-administrator of, the Trust. For its services, State Street is entitled to a fee, payable by the Funds, based primarily on a Fund's net assets, subject to per Fund fees, miscellaneous fees and reimbursements of certain expenses. Effective as of November 7, 2022, State Street also replaced DST Asset Manager Solutions, Inc. ("DST") as the transfer agent of the Trust, although State Street has delegated its responsibilities to DST and DST continues to provide transfer agency services to the Trust. As of November 7, 2022, pursuant to a Fund PFO/Treasurer, CCO, Secretary and AMLO Agreement between Foreside Fund Officer Services, LLC ("Foreside") and the Trust, Foreside makes individuals available to serve as the Trust's Chief Compliance Officer, Treasurer and Secretary. In light of these changes, effective as of November 7, 2022, the fees payable to HSBC Global Asset Management (USA) Inc. ("HSBC") as the Administrator to the Funds were modified. Under the terms of the Amended and Restated Administration Services Agreement, HSBC receives from the Funds (as well as other funds in the Trust combined) a fee, computed daily and paid monthly (or at such times as HSBC shall request), equal on an annual basis to two basis points (0.02%) of average daily net assets. The fee rate is determined on the basis of the aggregate average daily net assets of the Trust.

---

| | |
|:---|:---|
| **20** | **HSBC FAMILY OF FUNDS** |

---

------

**Report of Independent Registered Public Accounting Firm**

To the Board of Trustees of HSBC Funds and Shareholders of HSBC RadiantESG U.S. Smaller Companies Fund and HSBC RadiantESG U.S. Smaller Companies Fund (Class I)

**Opinions on the Financial Statements**

We have audited the accompanying statements of assets and liabilities of HSBC RadiantESG U.S. Smaller Companies Fund and HSBC RadiantESG U.S. Smaller Companies Fund (Class I) (two of the funds constituting HSBC Funds, hereafter collectively referred to as the "Funds") as of October 31, 2022, the related statements of operations for the year ended October 31, 2022, the statement of changes in net assets for each of the two years in the period ended October 31, 2022, including the related notes, and the financial highlights for each of the five years in the period ended October 31, 2022 (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of October 31, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended October 31, 2022 and each of the financial highlights for each of the five years in the period ended October 31, 2022 in conformity with accounting principles generally accepted in the United States of America.

**Basis for Opinions**

These financial statements are the responsibility of the Funds' management. Our responsibility is to express an opinion on the Funds' financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**21** |

---

------

**Report of Independent Registered Public Accounting Firm (continued)**

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of October 31, 2022 by correspondence with the sub-administrator of the Funds. We believe that our audits provide a reasonable basis for our opinions.

/s/ PricewaterhouseCoopers LLP<br> New York, New York<br> December 23, 2022

We have served as the auditor of one or more investment companies in the HSBC Funds since 2015.

---

| | |
|:---|:---|
| **22** | **HSBC FAMILY OF FUNDS** |

---

------

**HSBC FAMILY OF FUNDS**

**Other Federal Income Tax Information—as of October 31, 2022 (Unaudited)**

During the year ended October 31, 2022, the following Funds declared capital gain distributions:

---

| | | |
|:---|:---|:---|
|  | **Short Term <br> Capital Gain <br> Distributions ($)** | **Long Term <br> Capital Gain <br> Distributions ($)** |
| HSBC RadiantESG U.S. Smaller Companies Fund | 1311809 | 2482531 |
| HSBC RadiantESG U.S. Smaller Companies Fund (Class I) | 16743166 | 28693738 |

---

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**23** |

---

------

**HSBC FAMILY OF FUNDS**

**Table of Shareholder Expenses—as of October 31, 2022 (Unaudited)**

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchases, redemption fees and exchange fees; and (2) ongoing costs, including management fees, distribution fees and other Fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

**Actual Expenses**

The actual examples are based on an investment of $1,000 invested at the beginning of a six-month period beginning May 1, 2022 and held through the period ended October 31, 2022.

The columns below under the heading entitled "Actual" provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled "Actual Expenses Paid During the Period" to estimate the expenses you paid on your account during this period.

**Hypothetical Example for Comparison Purposes**

The hypothetical expense examples are based on an investment of $1,000 invested at the beginning of a six-month period and held throughout the period ended October 31, 2022.

The columns below under the heading entitled "Hypothetical" provide information about hypothetical account values and hypothetical expenses based on each Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not each Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the columns under the heading entitled "Hypothetical" are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Actual** | **Actual** | **Hypothetical <br> (5% return before expenses)** | **Hypothetical <br> (5% return before expenses)** |
|  |<br>**Annualized <br> Expense <br> Ratio During <br> Period** |<br>**Beginning <br> Account <br> Value <br> 5/1/22** | **Ending <br> Account <br> Value <br> 10/31/22** | **Expenses <br> Paid During <br> Period<sup>(1)</sup>** | **Ending <br> Account <br> Value <br> 10/31/22** | **Expenses <br> Paid During <br> Period<sup>(1)</sup>** |
| RadiantESG U.S. Smaller Companies <br>Fund - Class A | 1.41% | $1000.00 | $949.90 | $6.93 | $1018.10 | $7.17 |
| RadiantESG U.S. Smaller Companies <br>Fund - Class C | 2.17% | 1000.00 | 946.20 | 10.64 | 1014.27 | 11.02 |
| RadiantESG U.S. Smaller Companies <br>Fund - Class I | 1.01% | 1000.00 | 959.40 | 4.99 | 1020.11 | 5.14 |

---

(1) Expenses are equal to the average account value over the period
 multiplied by the Fund's annualized expense ratio, multiplied by 184/365 (the number of days in the most recent fiscal half-year
 divided by the number of days in the fiscal year.)

---

| | |
|:---|:---|
| **24** | **HSBC FAMILY OF FUNDS** |

---

------

**Portfolio Reviews**

**Portfolio Composition\***

**October 31, 2022 (Unaudited)**

---

| | |
|:---|:---|
| **HSBC RadiantESG U.S. Smaller Companies Portfolio**<br>**Investment Allocation** |<br>**Percentage of Investments <br> at Value (%)** |
| Software | 12.2 |
| Health Care Providers & Services | 7.5 |
| Health Care Equipment & Supplies | 7.3 |
| Biotechnology | 7.0 |
| Specialty Retail | 6.2 |
| Electronic Equipment, Instruments <br>& Components | 6.2 |
| Building Products | 4.8 |
| Equity Real Estate Investment <br>Trusts (REITs) | 4.4 |
| Communications Equipment | 4.2 |
| Construction & Engineering | 3.8 |
| Diversified Consumer Services | 3.6 |
| Semiconductors & Semiconductor <br>Equipment | 3.3 |
| Technology Hardware, Storage & <br>Peripherals | 2.4 |
| Life Sciences Tools & Services | 2.2 |
| Thrifts & Mortgage Finance | 2.2 |
| Diversified Telecommunication <br>Services | 2.2 |
| Electrical Equipment | 2.1 |
| Commercial Services & Supplies | 2.0 |
| Trading Companies & Distributors | 2.0 |
| IT Services | 1.6 |
| Independent Power and Renewable <br>Electricity Producers | 1.5 |
| Investment Companies | 1.5 |
| Machinery | 1.4 |
| Capital Markets | 1.3 |
| Professional Services | 1.3 |
| Interactive Media & Services | 1.3 |
| Household Durables | 1.2 |
| Health Care | 0.8 |
| Pharmaceuticals | 0.7 |
| Media | 0.6 |
| Metals & Mining | 0.6 |
| Banks | 0.6 |
| **Total** | **100.0** |

---

\* Portfolio composition is subject to change. <br>

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**25** |

---

------

**HSBC RADIANTESG U.S. SMALLER COMPANIES PORTFOLIO**

**Schedule of Portfolio Investments—as of October 31, 2022**

---

| | | |
|:---|:---|:---|
| **Common Stocks — 98.9%** | | |
|  |<br>**Shares** |<br>**Value ($)** |
| **Banks — 0.6%** |  |  |
| First BanCorp | 8920 | 140847 |
| **Biotechnology — 7.0%** |  |  |
| Alkermes PLC(a) | 21060 | 478062 |
| Denali Therapeutics, Inc.(a) | 14320 | 410698 |
| Enanta Pharmaceuticals, Inc. <br>(a) | 2550 | 115031 |
| Halozyme Therapeutics, Inc.(a) | 12830 | 613402 |
| Ironwood Pharmaceuticals, <br>Inc.(a) | 3460 | 37852 |
| RAPT Therapeutics, Inc.(a) | 5570 | 121537 |
|  |  | 1776582 |
| **Building Products — 4.8%** |  |  |
| Apogee Enterprises, Inc. | 5550 | 254634 |
| Carlisle Cos., Inc. | 2090 | 499092 |
| Owens Corning | 5320 | 455445 |
|  |  | 1209171 |
| **Capital Markets — 1.3%** |  |  |
| Cboe Global Markets, Inc. | 1500 | 186750 |
| StoneX Group, Inc.(a) | 1670 | 155844 |
|  |  | 342594 |
| **Commercial Services & Supplies — 2.1%** |  |  |
| IAA, Inc.(a) | 13690 | 519262 |
| **Communications Equipment — 4.2%** |  |  |
| Extreme Networks, Inc.(a) | 24130 | 432892 |
| Harmonic, Inc.(a) | 19600 | 302820 |
| Lumentum Holdings, Inc.(a) | 4310 | 320880 |
|  |  | 1056592 |
| **Construction & Engineering — 3.8%** |  |  |
| Dycom Industries, Inc.(a) | 3860 | 456175 |
| WillScot Mobile Mini Holdings <br>Corp.(a) | 11930 | 507383 |
|  |  | 963558 |
| **Diversified Consumer Services — 3.6%** |  |  |
| Chegg, Inc.(a) | 20360 | 439165 |
| H&R Block, Inc. | 11350 | 467053 |
|  |  | 906218 |
| **Diversified Telecommunication Services — 2.2%** |  |  |
| Iridium Communications, Inc. <br>(a) | 10810 | 557039 |
| **Electrical Equipment — 2.2%** |  |  |
| Atkore, Inc.(a) | 5690 | 542257 |
| **Electronic Equipment, Instruments & Components — 6.2%** |  |  |
| Advanced Energy Industries, <br>Inc. | 4800 | 377520 |
| Jabil, Inc. | 8670 | 557048 |
| National Instruments Corp. | 8140 | 310785 |
| Vontier Corp. | 16400 | 313240 |
|  |  | 1558593 |
| **Equity Real Estate Investment Trusts (REITs) — 4.4%** |  |  |
| Iron Mountain, Inc. | 10410 | 521229 |
| Omega Healthcare Investors, <br>Inc. | 3800 | 120764 |
| Tanger Factory Outlet <br>Centers, Inc. | 18180 | 327422 |
| Uniti Group, Inc. | 18990 | 147362 |
|  |  | 1116777 |
| **Health Care — 0.8%** |  |  |
| Alphatec Holdings, Inc.(a) | 18840 | 192921 |
| **Health Care Equipment & Supplies — 7.3%** |  |  |
| Cardiovascular Systems, Inc. <br>(a) | 8690 | 125484 |
| Glaukos Corp.(a) | 6270 | 351559 |
| iRhythm Technologies, Inc.(a) | 3700 | 471713 |
| Shockwave Medical, Inc.(a) | 2140 | 627341 |
| TransMedics Group, Inc.(a) | 5510 | 265692 |
|  |  | 1841789 |
| **Health Care Providers & Services — 7.6%** |  |  |
| AMN Healthcare Services, <br>Inc.(a) | 3840 | 481920 |
| Apollo Medical Holdings, Inc. <br>(a) | 7040 | 249638 |
| Cross Country Healthcare, <br>Inc.(a) | 4820 | 178774 |
| Option Care Health, Inc.(a) | 9260 | 280208 |
| Progyny, Inc.(a) | 8540 | 379774 |
| The Ensign Group, Inc. | 3790 | 340266 |
|  |  | 1910580 |
| **Household Durables — 1.2%** |  |  |
| Installed Building Products, <br>Inc. | 3520 | 302720 |
| **Independent Power and Renewable Electricity Producers <br>— 1.5%** |  |  |
| Clearway Energy, Inc., Class <br>C | 10820 | 375887 |
| **Interactive Media & Services — 1.3%** |  |  |
| Cars.com, Inc.(a) | 9680 | 134358 |
| TripAdvisor, Inc.(a) | 8080 | 190850 |
|  |  | 325208 |
| **IT Services — 1.6%** |  |  |
| Verra Mobility Corp.(a) | 24000 | 409680 |
| **Life Sciences Tools & Services — 2.2%** |  |  |
| Bruker Corp. | 9190 | 568309 |
| **Machinery — 1.4%** |  |  |
| Hillenbrand, Inc. | 7920 | 349905 |
| **Media — 0.6%** |  |  |
| WideOpenWest, Inc.(a) | 10610 | 145463 |
| **Metals & Mining — 0.6%** |  |  |
| Constellium SE(a) | 13080 | 144142 |
| **Pharmaceuticals — 0.7%** |  |  |
| Harmony Biosciences <br>Holdings, Inc.(a) | 3280 | 170560 |
| **Professional Services — 1.3%** |  |  |
| TriNet Group, Inc.(a) | 5100 | 331398 |
| **Semiconductors & Semiconductor Equipment — 3.3%** |  |  |
| Axcelis Technologies, Inc.(a) | 4960 | 287680 |
| Lattice Semiconductor Corp. <br>(a) | 11180 | 542342 |
|  |  | 830022 |
| **Software — 12.3%** |  |  |
| Agilysys, Inc.(a) | 4060 | 260530 |
| Box, Inc., Class A(a) | 18330 | 532486 |
| Fair Isaac Corp.(a) | 710 | 339976 |
| Five9, Inc.(a) | 8910 | 536917 |
| Manhattan Associates, Inc.(a) | 2610 | 317559 |
| NortonLifeLock, Inc. | 23270 | 524273 |
| Paylocity Holding Corp.(a) | 2490 | 577157 |
|  |  | 3088898 |
| **Specialty Retail — 6.2%** |  |  |
| Dick's Sporting Goods, Inc. | 3560 | 404986 |
| Five Below, Inc.(a) | 2390 | 349776 |

---

---

| | | |
|:---|:---|:---|
| **26** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC RADIANTESG U.S. SMALLER COMPANIES PORTFOLIO**

**Schedule of Portfolio Investments—as of October 31, 2022 (continued)**

---

| | | |
|:---|:---|:---|
| **Common Stocks, continued** | | |
|  |<br>**Shares** |<br>**Value ($)** |
| **Specialty Retail, continued** |  |  |
| Hibbett, Inc. | 2950 | 184139 |
| Williams-Sonoma, Inc. | 5010 | 620388 |
|  |  | 1559289 |
| **Technology Hardware, Storage & Peripherals — 2.4%** |  |  |
| Pure Storage, Inc., Class A(a) | 19880 | 613497 |
| **Thrifts & Mortgage Finance — 2.2%** |  |  |
| Federal Agricultural Mortgage <br>Corp., Class C | 1090 | 125568 |
| Walker & Dunlop, Inc. | 4880 | 439005 |
|  |  | 564573 |
| **Trading Companies & Distributors — 2.0%** |  |  |
| McGrath RentCorp | 2730 | 256757 |
| Triton International, Ltd. | 4170 | 253077 |
|  |  | 509834 |
| **TOTAL COMMON STOCKS <br> (COST $23,390,512)(b)** |  | **24924165** |
| **Investment Company — 1.5%** |  |  |
| Northern Institutional <br>Government Select <br>Portfolio, Institutional <br>Shares, 2.48%(c) | 372644 | 372644 |
| **TOTAL INVESTMENT <br>COMPANY** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; **(Cost $372,644)** |  | **372644** |
| **TOTAL INVESTMENTS IN <br>SECURITIES** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; **(Cost $23,763,156)(b) — <br>100.4%** |  | **25296809** |
| **Other Assets (Liabilities) - (<br>0.4)%** |  | **(98037)** |
| **NET ASSETS - 100%** |  | **$25198772** |

---

(a) Represents non-income producing security.

(b) Includes a $428,697 opening balance adjustment related to tax loss reclassification due to wash sales.

(c) The rate represents the annualized 7-day yield that was in effect on October 31, 2022.

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**27** |

---

------

**HSBC FAMILY OF FUNDS**

**Statement of Assets and Liabilities—as of October 31, 2022**

---

| | |
|:---|:---|
|  | **HSBC<br> RadiantESG<br> U.S. Smaller<br> Companies<br> Portfolio** |
| **Assets:** | |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment in securities, at value | $25296809 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends receivable | 16483 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Assets** | 25313332 |
| **Liabilities:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment Management | 6410 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Sub-Advisory | 8971 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Administration | 392 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting | 4494 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Compliance Services | 8720 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Custodian | 1377 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Printing | 1450 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional | 64478 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trustee | 3000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 15268 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Liabilities** | $114560 |
| **Net Assets Applicable to investors' beneficial interest** | $25198772 |
| Investments in securities, at cost(a) | $23763156 |

---

(a) Includes a $428,697 opening balance adjustment related to tax loss reclassification
 due to wash sales.

---

| | | |
|:---|:---|:---|
| **28** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC FAMILY OF FUNDS**

**Statement of Operations - For the year ended October 31, 2022.**

---

| | |
|:---|:---|
|  | **HSBC<br> RadiantESG<br> U.S. Smaller<br> Companies<br> Portfolio** |
| **Investment Income:** | |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends | $555873 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign tax withholding | (1089) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Investment Income** | 554784 |
| **Expenses:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment Management Fees | 158445 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sub-Advisory Fees | 328703 |
| &nbsp;&nbsp;&nbsp;&nbsp;Administration | 10088 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounting | 54087 |
| &nbsp;&nbsp;&nbsp;&nbsp;Compliance Services | 104636 |
| &nbsp;&nbsp;&nbsp;&nbsp;Custodian | 23515 |
| &nbsp;&nbsp;&nbsp;&nbsp;Printing | 11686 |
| &nbsp;&nbsp;&nbsp;&nbsp;Professional | 611396 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trustee | 294958 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 46283 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Expenses** | 1643797 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net Investment Income/(Loss)** | $(1089013) |
| **Net Realized/Unrealized Gains/(Losses) from Investments in Securities:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from investment securities | (6138794) |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in unrealized appreciation/depreciation on investment securities | (19678077) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized/unrealized gains/(losses) on investments | (25816871) |
| **Change in Net Assets Resulting from Operations** | $(26905884) |

---

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**29** |

---

------

**HSBC FAMILY OF FUNDS**

**Statement of Changes in Net Assets**

---

| | | |
|:---|:---|:---|
|  | **HSBC RadiantESG U.S. Smaller<br> Companies Portfolio** | **HSBC RadiantESG U.S. Smaller<br> Companies Portfolio** |
|  | **For the year ended<br> October 31, 2022** | **For the year ended<br> October 31, 2021** |
| **Investment Activities:** |  |  |
| **Operations:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net investment income/(loss) | $(1089013) | $(625180) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gains/(losses) from investments | (6138794) | 50023958 |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in unrealized appreciation/depreciation on investments | (19678077) | (6063698) |
| **Change in net assets resulting from operations** | (26905884) | 43335080 |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from contributions | 64074231 | 4654627 |
| &nbsp;&nbsp;&nbsp;&nbsp;Value of withdrawals | (113329023) | (77915936) |
| **Change in net assets resulting from transactions in investors' beneficial interest** | (49254792) | (73261309) |
| **Change in net assets** | (76160676) | (29926229) |
| **Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | 101359448 | 131285677 |
| &nbsp;&nbsp;&nbsp;&nbsp;End of period | $25198772 | $101359448 |

---

---

| | | |
|:---|:---|:---|
| **30** | **HSBC FAMILY OF FUNDS** | *See notes to financial statements.* |

---

------

**HSBC RADIANTESG U.S. SMALLER COMPANIES PORTFOLIO**

**Financial Highlights**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** | **Ratios/Supplementary Data** |
| |<br>**Total<br> Return** | **Net Assets at<br> End of Period<br> (000's)** | **Ratio of Net<br> Expense to<br> Average Net<br> Assets** | **Ratio of Net<br> Investment<br> Income to<br> Average Net<br> Assets** | **Portfolio Turnover** |
| **HSBC RADIANTESG U.S. SMALLER COMPANIES PORTFOLIO** | **HSBC RADIANTESG U.S. SMALLER COMPANIES PORTFOLIO** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2022 | (27.12)% | $25198 | 2.60% | (1.72)%(a) | 120% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2021 | 43.07% | 101359 | 1.25% | (0.53)% | 78% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2020 | 22.50% | 131286 | 1.13% | (0.49)% | 94% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2019 | 9.31% | 124533 | 1.07% | (0.31)% | 81% |
| &nbsp;&nbsp;&nbsp;&nbsp;Year Ended October 31, 2018 | 6.99% | 146185 | 1.04% | (0.34)% | 77% |

---

(a) Reflects special dividends paid out during the year by several of the Portfolio's holdings. Had the
 Portfolio not received the special dividends, the net investment income/(loss) ratio would have been (2.11)%

---

| | | |
|:---|:---|:---|
| *See notes to financial statements.* | **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**31** |

---

------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022**

&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Organization:** 

The HSBC Funds (the "Trust"), a Delaware statutory trust organized on March 2, 2016, is registered under the Investment Company Act of 1940, as amended (the "Act"), as an open-end management investment company. As of October 31, 2022, the Trust is composed of 5 separate operational funds, each a series of the HSBC Family of Funds. The accompanying financial statements are presented for the HSBC RadiantESG U.S. Smaller Companies Portfolio (formerly HSBC Opportunity Portfolio) (the "Portfolio"). The Portfolio changed its name on June 28, 2022.

For simplicity purposes, this document may use the term "Fund" to include the Portfolio. This two-tier fund structure is commonly referred to as a "master/feeder" structure because one fund (the Fund or "feeder fund") is investing all its assets in a second fund (the Portfolio or "master fund").

The Portfolio operates as a master fund in a master-feeder arrangement, in which the feeder funds invest all or part of their investable assets in the Portfolio. The Agreement and Declaration of Trust permits the Board of Trustees (the "Board") to issue an unlimited number of beneficial interests in the Portfolio.

The Portfolio is a diversified series of the Trust. Financial statements for all other funds of the Trust are published separately.

The following represents each feeder fund's proportionate ownership interest in the Portfolio:

---

| | |
|:---|:---|
| **Feeder Fund** | **Proportionate<br> Ownership<br> Interest on<br> October 31, 2022<br> (%)** |
| RadiantESG U.S. Smaller Companies Fund | 32.4 |
| RadiantESG U.S. Smaller Companies Fund (Class I) | 67.6 |

---

Under the Trust's organizational documents, the Trust's officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Portfolio. In addition, in the normal course of business, the Trust may enter into contracts with its service providers, which also provide for indemnifications by the Portfolio. The Portfolio's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Portfolio. However, based on experience, the Trust believes the risk of loss to be remote.

The Portfolio is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board Accounting Standards Codification Topic 946, "Financial Services-Investment Companies."

&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Significant Accounting Policies:** 

The following is a summary of the significant accounting policies followed by the Portfolio in the preparation of its financial statements. The policies are in conformity with generally accepted accounting principles in the United States of America. The preparation of financial statements requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

**Securities Valuation:**

The Portfolio records its investments at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The valuation techniques used to determine fair value are further described in Note 3 below.

---

| | |
|:---|:---|
| **32** | **HSBC FAMILY OF FUNDS** |

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**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

**Investment Transactions and Related Income:**

Investment transactions are accounted for no later than one business day after trade date. However, for financial reporting purposes, investment transactions are accounted for on trade date on the last business day of the reporting period. Investment gains and losses are calculated on the identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method which adjusts for amortization of premiums and accretion of discounts.

Dividend income is recorded on the ex-dividend date. Pay-in-kind interest income and non-cash dividend income received in the form of securities in-lieu of cash, if any, are recorded at the fair value of the securities received. To the extent such information is publicly available, the Portfolio records distributions received in excess of income earned from underlying investments as a reduction of cost of investments and/or realized gain. Such amounts are based on estimates if actual amounts are not available and actual amounts of income, realized gain and return of capital may differ from the estimated amounts. The Portfolio adjusts the estimated amounts of the components of distributions (and consequently their net investment income) as necessary, once the issuers provide information about the actual composition of the distributions. The Portfolio makes an allocation of its investment income, expenses and realized gains and losses from securities transactions to its investors in proportion to their investment in the Portfolio on the date of such accrual or gain/loss.

**Foreign Currency Translation:**

The accounting records of the Portfolio are maintained in U.S. dollars. Foreign currency amounts, if any, are translated into U.S. dollars at the current rate of exchange to determine the value of investments, assets and liabilities at the close of each business day. Purchases and sales of securities, and income and expenses are, as applicable, translated at the prevailing rate of exchange on the respective dates of such transactions. The Portfolio does not isolate the portion of the results of operations resulting from changes in foreign exchange rates on investments from fluctuations arising from changes in market prices of securities held. If applicable, any such fluctuations are included with the net realized and unrealized gain or loss from investments in securities and foreign currency translations.

**Restricted Securities:**

The Portfolio may invest in restricted securities. A restricted security is a security which has been purchased through a private offering and cannot be resold to the general public without prior registration under the Securities Act of 1933, as amended (the "1933 Act") or pursuant to the resale limitations provided by Rule 144 under the 1933 Act, or another exemption from the registration requirements of the 1933 Act. Certain restricted securities may be resold in transactions exempt from registration, normally to qualified institutional buyers, and may be classified as liquid by the Investment Adviser (as defined in Note 4) under the Trust's liquidity risk management program, as approved by the Board. Therefore, not all restricted securities are considered illiquid. Disposal of restricted securities may involve time consuming negotiations and expense. Prompt sale at the current valuation may be difficult and could adversely affect the net assets of the Portfolio. As of October 31, 2022, there were no restricted securities held by the Portfolio.

**Allocations:**

Expenses directly attributable to the Portfolio are charged to the Portfolio. Expenses not directly attributable to the Portfolio are allocated among the applicable series within the Trust equally to each fund, in relation to its net assets, or another appropriate basis. Because the Portfolio operates in a master-feeder structure, in which the feeder funds invest all of their investable assets in the Portfolio, certain expenses are allocated solely to the Portfolio rather than the feeder funds.

**Federal Income Taxes:**

The Portfolio is treated as a partnership for U.S. federal income tax purposes. Accordingly, the Portfolio passes through all of its net investment income and gains and losses to its feeder funds, and is therefore not subject to U.S. federal income tax. As such, feeder funds are allocated for tax purposes their respective share of the Portfolio's ordinary income and realized gains or losses. It is intended that the Portfolio will continue to

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**33** |

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------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

be managed in such a way that its feeder funds will be able to satisfy the requirements of the Internal Revenue Code, as amended, applicable to regulated investment companies.

Management of the Portfolio has reviewed tax positions taken in tax years that remain subject to examination by all major tax jurisdictions, including federal (i.e., the last four tax year ends and the interim tax period since then, as applicable). Management believes that there is no tax liability resulting from unrecognized tax benefits related to uncertain tax positions taken. Management's conclusions may be subject to future review based on changes in, or interpretation of, accounting standards or tax laws and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Investment Valuation Summary** 

The valuation techniques employed by the Portfolio, as described below, maximize the use of observable inputs and minimize the use of unobservable inputs in determining fair value. The Portfolio's investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs used for valuing the Portfolio's investments are summarized in the three broad levels listed below:

● Level 1—quoted prices (unadjusted) in active markets for identical assets

● Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayments speeds, credit risk, etc.)

● Level 3—significant unobservable inputs (including the Investment Adviser's own assumptions in determining the fair value of investments)

Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. The inputs or methodology used for valuing investments are not necessarily an indication of the risk associated with investing in those investments.

Exchange traded domestic equity securities are valued at the last sale price on a national securities exchange (except the Nasdaq Stock Market), or in the absence of recorded sales, at the readily available closing bid price on such exchanges. Securities traded on the Nasdaq Stock Market are valued at the Nasdaq Official Closing Price on the date of valuation. Domestic equity securities that are not traded on an exchange are valued at the quoted bid price in the over-the-counter market. These securities are typically categorized as Level 1 in the fair value hierarchy.

Shares of exchange traded and closed-end registered investment companies are valued in the same manner as other equity securities and are typically categorized as Level 1 in the fair value hierarchy. Investments in other mutual funds are valued at their net asset values ("NAVs"), as reported by such mutual funds and are typically categorized as Level 1 in the fair value hierarchy.

Securities or other assets for which market quotations are not readily available, or are deemed unreliable due to a significant event or otherwise, are fair valued pursuant to procedures approved by the Board ("Procedures"). With respect to the Portfolio's investments that do not have readily available or reliable market quotations, the Board has designated the Investment Adviser as the valuation designee to perform fair valuations pursuant to Rule 2a-5 under the Act. These instruments are classified as Level 2 or Level 3 in the fair value hierarchy. Examples of potentially significant events that could affect the value of an individual security and thus require fair value pricing under the Procedures include corporate actions by the issuer, announcements by the issuer relating to its earnings or products, regulatory news, natural disasters, and litigation. Examples of potentially significant events that could affect multiple securities held by the Portfolio include governmental actions, natural disasters, and armed conflicts. Fair value pricing may require subjective determinations about the value of a security. While the Procedures are intended to result in a calculation of the Portfolio's NAV that fairly reflects security values as of the time of pricing, neither the Trust nor the Investment Adviser can ensure that fair values determined under the Procedures would accurately reflect the price that the Portfolio could obtain for a security if it were to dispose of that security as of the time of pricing. The prices used by the Portfolio may differ from the value that would be realized if the securities were sold and the differences could be material to the financial statements.

---

| | |
|:---|:---|
| **34** | **HSBC FAMILY OF FUNDS** |

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------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

As of October 31, 2022, all investments were categorized as Level 1 in the fair value hierarchy. The breakdown of investment categorization is disclosed in the Schedule of Portfolio Investments.

&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Related Party Transactions and Other Agreements and Plans:** 

**Investment Management:**

HSBC Global Asset Management (USA) Inc. ("HSBC" or the "Investment Adviser"), a wholly owned subsidiary of HSBC USA, Inc., a registered bank holding company under the laws of the United States, acts as Investment Adviser to the Portfolio. As Investment Adviser, HSBC manages the investments of the Portfolio and continuously reviews, supervises, and administers the Portfolio's investments pursuant to an Investment Advisory Contract. RadiantESG Global Investors LLC ("Radiant") serves as subadviser for the Portfolio and is paid for its services directly by the Portfolio. Effective on June 28, 2022, Radiant replaced Westfield Capital Management Company, L.P. ("Westfield") as subadviser to the Portfolio.

For their services, the Investment Adviser and Radiant receive in aggregate, a fee, accrued daily and paid monthly, at an annual rate of 0.60% of the Portfolio's average daily net assets. Prior to June 28, 2022, the Investment Adviser and Westfield received in the aggregate, a fee, accrued daily and paid monthly, at an annual rate of 0.80% of the Portfolio's average daily net assets. Currently, the Investment Adviser's contractual fee is 0.25% and Radiant's contractual fee is 0.35%. Prior to June 28, 2022, the prior subadviser's contractual fee was 0.55%.

**Administration, Fund Accounting and Other Services:**

HSBC also serves as the Portfolio's Administrator. Under the terms of the Administration Services Agreement, HSBC receives from the Portfolio (as well as other funds in the Trust combined) a fee, accrued daily and paid monthly, at an annual rate of:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0400 |
| In excess of $10 billion but not exceeding $20 billion | 0.0350 |
| In excess of $20 billion but not exceeding $50 billion | 0.0265 |
| In excess of $50 billion | 0.0245 |

---

The fee rates and breakpoints are determined on the basis of the aggregate average daily net assets of the Trust, however, the assets of the funds of the HSBC Funds that invest in the Portfolio are not double-counted. For the year ended October 31, 2022, the effective annualized rate was 0.031%, prior to any fee waivers or expense reimbursements, based on the average daily net assets of the Trust. The total administration fee paid to HSBC is allocated to each series based upon its proportionate share of the aggregate net assets of the Trust. For assets invested in the Portfolio by the HSBC Funds, the Portfolio pays half of the administration fee and the feeder funds pay half of the administration fee, for a combination of the total fee rate set forth above.

Pursuant to a Sub-Administration Services Agreement with HSBC, Citi Fund Services Ohio, Inc. ("Citi"), a wholly-owned subsidiary of Citigroup, Inc., serves as the Trust's Sub-Administrator. For these services, Citi is entitled to a fee, payable by HSBC, at an annual rate equivalent to the fee rates set forth below:

---

| | |
|:---|:---|
| **Based on Average Daily Net Assets of** | **Fee Rate (%)** |
| Up to $10 billion | 0.0200 |
| In excess of $10 billion but not exceeding $20 billion | 0.0150 |
| In excess of $20 billion but not exceeding $50 billion | 0.0065 |
| In excess of $50 billion | 0.0045 |

---

Under a Services Agreement between the Trust and Citi (the "Services Agreement"), Citi makes an individual available to serve as the Trust's Chief Compliance Officer (the "CCO"). Citi also provides infrastructure and support in implementing the written policies and procedures comprising the Trust's compliance program, including support services to the CCO. For the services provided under the Services Agreement, the Trust paid Citi $313,915 for the year ended October 31, 2022, plus reimbursement of certain out-of-pocket expenses.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**35** |

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------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

Expenses incurred by the Portfolio are reflected on the Statement of Operations as "Compliance Services." Citi pays the salary and other compensation earned by individuals performing these services, as employees of Citi.

In addition, Citi provides fund accounting services for the Portfolio under the Services Agreement. For its services to the Portfolio, Citi receives an annual fee per portfolio, subject to certain minimums and reimbursement of certain expenses. Citi receives additional fees paid by the Trust for regulatory administration services.

**Independent Trustees:**

The Trust pays an annual retainer to each Independent Trustee, plus additional annual retainers to each Committee Chair and the Chairman of the Board. The Independent Trustees also receive a fee for each regular, special, and informational meeting of the Board attended. The aggregate amount of the fees and expenses of the Independent Trustees are allocated amongst all the funds in the Trust and are presented in the Statement of Operations.

**Other:**

The Portfolio may purchase securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Adviser. For the year ended October 31, 2022, the Portfolio did not purchase any such securities.

The Portfolio may use related party broker-dealers. For the year ended October 31, 2022, there were no brokerage commissions paid to broker-dealers affiliated with the Adviser.

The Adviser and its affiliates may have lending, banking, brokerage, underwriting or other business relationships with the issuers of the securities in which the Portfolio invest.

&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Investment Transactions:** 

Cost of purchases and proceeds from sales of securities (excluding securities maturing less than one year from acquisition) for the year ended October 31, 2022 were as follows:

---

| | | |
|:---|:---|:---|
|  | **Purchases ($)** | **Sales ($)** |
| RadiantESG U.S. Smaller Companies Portfolio | 74895772 | 124807438 |

---

&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Investment Risks:** 

The risks are presented in an order intended to facilitate readability, and their order does not imply that the realization of one risk is likely to occur more frequently than another risk, nor does it imply that the realization of one risk is likely to have a greater adverse impact than another risk.

*Equity Securities Risk:* The prices of equity securities fluctuate from time to time based on changes in a company's financial condition or overall market and economic conditions. As a result, the value of equity securities may fluctuate drastically from day to day.

*Market Risk:* The value of the Portfolio's investments may decline due to changing economic, political, social, regulatory or market conditions. Market risk may affect a single issuer, industry or section of the economy or it may affect the economy as a whole. Moreover, the conditions in one country or geographic region could adversely affect the Portfolio's investments in a different country or geographic region. Events such as war, acts of terrorism, social unrest, natural disasters, the spread of infectious illness or other public health threats could also significantly impact the Portfolio and its investments.

*Model and Data Risk:* Radiant, the investment sub-adviser employs proprietary quantitative models in selecting investments for the Portfolio. Investments selected using these models may perform differently than expected as a result of the factors used in the models, the weight placed on each factor, changes in a factor's historical trends, and technical issues in the construction, implementation, and maintenance of the models (including, for example, problems with data sourced by Radiant or supplied by third parties, software issues, or other types of errors). There are limitations inherent in every quantitative model and there is no guarantee

---

| | |
|:---|:---|
| **36** | **HSBC FAMILY OF FUNDS** |

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------

**HSBC FAMILY OF FUNDS**

**Notes to Financial Statements—October 31, 2022 (continued)**

that quantitative models will perform as expected or result in effective investment decisions for the Portfolio. Additionally, commonality of holdings across quantitative asset managers may amplify losses.

*ESG Investing Risk:* The incorporation of ESG criteria, including ESG and Impact scores and the identification of controversial business lines and other screens, into the investment process will cause the Fund to forgo investment opportunities available to other mutual funds that do not use these criteria, or to increase or decrease its exposure to certain sectors or certain types of companies. For example, the Fund will generally not seek to invest in companies that operate in, or derive a specific amount of revenue from, controversial business lines (e.g., tobacco, nuclear armaments and other controversial weapons, and thermal coal extraction), or companies with severe controversies (e.g., severe violators of human rights and liberties). As a result, the Fund could underperform other mutual funds that do not consider ESG criteria in their investment processes. Radiant's ESG criteria and ESG-related investment processes may be changed periodically without shareholder approval or notice.

&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Federal Income Tax Information:** 

As of the tax year ended October 31, 2022, the cost basis of investments for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation and net unrealized appreciation/(depreciation) were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Tax Cost ($)** | **Tax Unrealized<br> Appreciation ($)** | **Tax Unrealized<br> Depreciation ($)** | **Net Unrealized<br> Appreciation/<br> (Depreciation)<br> ($)<sup>\*</sup>** |
| RadiantESG U.S. Smaller Companies <br>Portfolio | 24040775 | 2224122 | (968088) | 1256034 |

---

\* The difference between book-basis and tax-basis unrealized appreciation/(depreciation) is attributable primarily to tax deferral of losses on wash sales.

&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Subsequent Events:** 

Management has evaluated subsequent events through the date these financial statements were issued. Based on the evaluation, no adjustments or additional disclosures were required to the financial statements as of October 31, 2022, other than the following:

Effective as of November 7, 2022, State Street Bank and Trust Company ("State Street") replaced The Northern Trust Company as the custodian of the Trust. State Street provides custodial services pursuant to a Master Services Agreement with the Trust. Under this Master Services Agreement, State Street also provides fund accounting, fund administration, regulatory administration and certain other services. Citi Fund Services Ohio, Inc. will no longer provide services to, or serve as the sub-administrator of, the Trust. For its services, State Street is entitled to a fee, payable by the Funds, based primarily on a Fund's net assets, subject to per Fund fees, miscellaneous fees and reimbursements of certain expenses. Effective as of November 7, 2022, State Street also replaced DST Asset Manager Solutions, Inc. ("DST") as the transfer agent of the Trust, although State Street has delegated its responsibilities to DST and DST continues to provide transfer agency services to the Trust. As of November 7, 2022, pursuant to a Fund PFO/Treasurer, CCO, Secretary and AMLO Agreement between Foreside Fund Officer Services, LLC ("Foreside") and the Trust, Foreside makes individuals available to serve as the Trust's Chief Compliance Officer, Treasurer and Secretary. In light of these changes, effective as of November 7, 2022, the fees payable to HSBC as the Administrator to the Funds were modified. Under the terms of the Amended and Restated Administration Services Agreement, HSBC receives from the Portfolio (as well as other funds in the Trust combined) a fee, computed daily and paid monthly (or at such times as HSBC shall request), equal on an annual basis to two basis points (0.02%) of average daily net assets. The fee rate is determined on the basis of the aggregate average daily net assets of the Trust.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**37** |

---

------

**Report of Independent Registered Public Accounting Firm**

To the Board of Trustees of HSBC Funds and Shareholders of HSBC RadiantESG U.S. Smaller Companies Portfolio

**Opinion on the Financial Statements**

We have audited the accompanying statement of assets and liabilities, including the schedule of portfolio investments, of HSBC RadiantESG U.S. Smaller Companies Portfolio (one of the funds constituting HSBC Funds, hereafter collectively referred to as the "Fund") as of October 31, 2022, the related statement of operations for the year ended October 31, 2022, the statement of changes in net assets for each of the two years in the period ended October 31, 2022, including the related notes, and the financial highlights for each of the five years in the period ended October 31, 2022 (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of October 31, 2022, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period ended October 31, 2022 and the financial highlights for each of the five years in the period ended October 31, 2022 in conformity with accounting principles generally accepted in the United States of America.

**Basis for Opinion**

These financial statements are the responsibility of the Fund's management. Our responsibility is to express an opinion on the Fund's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures

---

| | |
|:---|:---|
| **38** | **HSBC FAMILY OF FUNDS** |

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------

**Report of Independent Registered Public Accounting Firm (continued)**

that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of October 31, 2022 by correspondence with the custodian and transfer agent. We believe that our audits provide a reasonable basis for our opinion.

/s/ PricewaterhouseCoopers LLP<br> New York, New York<br> December 23, 2022

We have served as the auditor of one or more investment companies in the HSBC Funds since 2015.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**39** |

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---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Table of Shareholder Expenses—as of October 31, 2022 (Unaudited)** |

---

As a shareholder of the Portfolio, you incur ongoing costs, including management fees and other expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Portfolio and to compare these costs with the ongoing costs of investing in other mutual funds.

**Actual Expenses**

The actual examples are based on an investment of $1,000 invested at the beginning of a six-month period beginning May 1, 2022 and held through the period ended October 31, 2022.

The columns below under the heading entitled "Actual" provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled "Actual Expenses Paid During the Period" to estimate the expenses you paid on your account during this period.

**Hypothetical Example for Comparison Purposes**

The hypothetical expense examples are based on an investment of $1,000 invested at the beginning of a six-month period and held throughout the period ended October 31, 2022.

The columns below under the heading entitled "Hypothetical" provide information about hypothetical account values and hypothetical expenses based on the Portfolio's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Portfolio's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the columns under the heading entitled "Hypothetical" are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Actual** | **Actual** | **Hypothetical<br> (5% return before expenses)** | **Hypothetical<br> (5% return before expenses)** |
|  |<br>**Annualized<br> Expense<br> Ratio During<br> Period** |<br>**Beginning<br> Account<br> Value<br> 5/1/22** | **Ending<br> Account<br> Value<br> 10/31/22** | **Expenses<br> Paid During<br> Period<sup>(1)</sup>** | **Ending<br> Account<br> Value<br> 10/31/22** | **Expenses<br> Paid During<br> Period<sup>(1)</sup>** |
| RadiantESG U.S. Smaller Companies<br> Portfolio | 4.19% | $1000.00 | $937.30 | $20.46 | $1004.80 | $21.17 |

---

(1) Expenses are
 equal to the average account value over the period multiplied by the Fund's annualized expense ratio, multiplied by 184/365
 (the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year.)

---

| | |
|:---|:---|
| **40** | **HSBC FAMILY OF FUNDS** |

---

------

---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Board of Trustees and Officers (Unaudited)** |

---

**MANAGEMENT OF THE TRUST**

The following table contains information regarding the HSBC Family of Funds' Board of Trustees ("Trustees"). The HSBC Family of Funds' Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request by calling (888) 525-5757.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name<br> Address, Age\*** | **Position(s)<br> Held<br> with Funds** | **Length of<br> Time Served** | **Principal Occupations<br> During Past 5 Years** | **Portfolios in<br> Fund Complex<br> Overseen<br> By Trustee\*\*** | **Other<br> Directorships<br> Held by Trustee<br> During Past 5 Years\*\*\*** |
| **Independent Trustees** |  |  |  |  |  |
| MARCIA L. BECK<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 67 | Chairman and Trustee | 2008 to present | Private Investor (1999 – present) | 5 |  |
| SUSAN C. GAUSE<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 70 | Trustee | 2013 to present | Private Investor (2003 – present) | 5 | Metropolitan Series Fund (2012 – present); and Met Investors Series Trust (2008 – present) |
| SUSAN S. HUANG<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 68 | Trustee | 2008 to present | Private Investor (2000 – present) | 5 |  |
| HUGH T. HURLEY, III<br> P.O. Box 219691<br> Kansas City, MO<br> 64121-9691<br> Age: 58 | Trustee | 2020 to present | Private Investor (2017 – present); Managing Director and Global Head of Product Strategy Active Equity, BlackRock, Inc. from 2006 to 2017. | 5 | Oakmark Funds (2018 – present) |

---

\* Each independent trustee may be contacted by writing to the Trustee, c/o DST Asset Manager Solutions, Inc., P.O. Box 219691, Kansas City, MO 64121-9691, Attn: Stefano R. Michelagnoli.

\*\* Includes all operational series of the HSBC Funds.

\*\*\* This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934 (i.e., "public companies") or other investment companies registered under the 1940 Act.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;41 |

---

------

---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Board of Trustees and Officers (Unaudited) (continued)** |

---

---

| | | | |
|:---|:---|:---|:---|
| **Name, Address, Age** | **Position(s)<br> Held with Trust** | **Term of Office and<br> Length of Time Served** | **Principal Occupation(s)<br> During Past 5 Years** |
| **Officers** |  |  |  |
| STEFANO R. MICHELAGNOLI<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 52 | President | One year; <br> 2020 to present | Global Head of Client Operations, HSBC Global Asset Management (USA) Inc. (June 2020 - present); Regional Head of Product (Americas), HSBC Global Asset Management (USA) Inc. (2015-June 2020) |
| JAMES D. LEVY<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 59 | Vice President | One year; <br> 2014 to present | Vice President, Product Management, HSBC Global Asset Management (USA) Inc. (2014 – present); Vice President, Mutual Funds Product Development, GE Asset Management Inc. (2007 – 2014) |
| PATRICK KENISTON\*<br> 3 Canal Plaza, Suite 100,<br> Portland, Maine 04101<br> Age: 58 | Chief Compliance Officer and Secretary | One year; <br> 2022 to present | Senior Principal Consultant and Fund Chief Compliance Officer, ACA Global (FKA Foreside Financial Group, LLC) (2008 - present) |
| MARIA CLEM SELL\*<br> 3 Canal Plaza, Suite 100,<br> Portland, Maine 04101<br> Age: 44 | Treasurer | One year; <br> 2022 to present | Senior Principal Consultant and Fund Treasurer, ACA Global (FKA Foreside Financial Group, LLC) (June 2021 - present); Director, Franklin Templeton Investments (April 2014 – April 2021) |
| JAMES M. CURTIS<br> 452 Fifth Avenue<br> New York,<br> NY 10018<br> Age: 54 | Chief Legal Officer | One year; <br> 2018 to present | Associate General Counsel, HSBC Technology & Services (USA) Inc. (2018-present); Associate General Counsel, HSBC Securities (USA) Inc. (2005-2017); |

---

\* Mr. Keniston and Ms. Sell are also officers of certain other investment companies.

---

| | |
|:---|:---|
| **42** | **HSBC FAMILY OF FUNDS** |

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------

---

| |
|:---|
| **HSBC FAMILY OF FUNDS** |
| **Other Information (Unaudited)** |

---

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30th is available (i) without charge, upon request, by calling 1-800-525-5757 for HSBC Bank USA and HSBC Brokerage (USA) Inc. clients and 1-800-782-8183 for all other shareholders; (ii) on the Funds' website at www.investorfunds.us.hsbc.com; and (iii) on the Security and Exchange Commission's ("SEC") website at http://www.sec.gov.

The Funds file their portfolio holdings information for each month in a fiscal quarter within 60 days after the end of the relevant fiscal quarter with the SEC on Form N-PORT. Portfolio holdings information for the third month of each fiscal quarter is available on the SEC's website at http://www.sec.gov. The Funds' Schedules of Investments will be available no later than 60 days after each period end, without charge, on the Funds' website at https://www. assetmanagement.us.hsbc.com/en/individual-investor/fund-centre.

An investment in a Fund is not a deposit of HSBC Bank USA, National Association, and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

---

| | |
|:---|:---|
| **HSBC FAMILY OF FUNDS** | &nbsp;&nbsp;&nbsp;**43** |

---

------

**HSBC FAMILY OF FUNDS:**

**INVESTMENT ADVISER AND ADMINISTRATOR**

HSBC Global Asset Management (USA) Inc.<br> 452 Fifth Avenue<br> New York, NY 10018

**SUB-ADVISER**

HSBC RadiantESG U.S. Smaller Companies Portfolio<br> RadiantESG Global Investors LLC<br> 21 Orinda Way, Suite C-546<br> Orinda, CA 94563

![](hsbc4137211-ncsrsx48x1.jpg)

**Investment products:**

---

| | | |
|:---|:---|:---|
| **ARE NOT A BANK DEPOSIT OR OBLIGATION OF THE BANK OR ANY OF ITS AFFILIATES** | **ARE NOT FDIC INSURED** | **ARE NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY** |
| **ARE NOT GUARANTEED BY THE BANK OR ANY OF ITS AFFILIATES** | **ARE NOT GUARANTEED BY THE BANK OR ANY OF ITS AFFILIATES** | **MAY LOSE VALUE** |

---

**SHAREHOLDER SERVICING AGENTS**

**For HSBC Bank USA, N.A. and<br> HSBC Securities (USA) Inc. Clients**

HSBC Bank USA, N.A.<br> 452 Fifth Avenue<br> New York, NY 10018<br> 1-888-525-5757

**For All Other Shareholders**

HSBC Funds<br> P.O. Box 8106<br> Boston, MA 02266-8106<br> 1-800-782-8183

**SUB-TRANSFER AGENT**

DST Asset Manager Solutions, Inc.<br> 2000 Crown Colony Drive<br> Quincy, MA 02169

**DISTRIBUTOR**

Foreside Distribution Services, L.P.<br> Three Canal Plaza, Suite 100<br> Portland, ME 04101

**CUSTODIAN AND TRANSFER AGENT**

State Street Bank and Trust Company<br> 1 Lincoln Street<br> Boston, MA 02111

**INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

PricewaterhouseCoopers LLP<br> 300 Madison Avenue<br> New York, NY 10017

**LEGAL COUNSEL**

Dechert LLP<br> 1900 K Street, N.W.<br> Washington, D.C. 20006

Investment products are offered by HSBC Securities (USA) Inc. (HSI), member NYSE/FINRA/SIPC. HSI is an affiliate of HSBC Bank USA, N.A. Investment products: Are not a deposit or other obligation of the bank or any of its affiliates; Not FDIC insured or insured by any federal government agency of the United States; Not guaranteed by the bank or any of its affiliates; and are subject to investment risk, including possible loss of principal invested.

**Investors should consider the investment objectives, risks, charges, and expenses of the investment company carefully before investing. The prospectus contains this and other important information about the investment company. For clients of HSBC Securities (USA) Inc., please call 1-888-525-5757 for more information. For other investors and prospective investors, please call the Funds directly at 1-800-782-8183 or visit our website at https://www.assetmanagement.us.hsbc.com/en/individual-investor/fund-centre. Investors should read the prospectus carefully before investing or sending money.**

HSB-AR-EQF-1222 12/22

------

**Item 2. Code of Ethics.**

(a) The registrant has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. This code of ethics is included as an Exhibit.

(b) During the period covered by the report, with respect to the registrant's code of ethics that applies to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, there have been no amendments to, nor any waivers granted from, a provision that relates to any element of the code of ethics definition enumerated in paragraph (b) of this Item 2.

**Item 3. Audit Committee Financial Expert.**

3(a)(1) The registrant's board of directors has determined that the registrant has at least one audit committee financial expert serving on its audit committee.

3(a)(2) The audit committee financial experts are Marcia Beck, Susan Gause and Hugh Hurley III, each of whom is "independent" for purposes of this Item 3 of Form N-CSR.

**Item 4. Principal Accountant Fees and Services.**

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| | |
|:---|:---|
| (a) <u>Audit Fees</u>, | (a) <u>Audit Fees</u>, |
| 2022 | $175000 |
| 2021 | $150000 |

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------

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| | |
|:---|:---|
| (b) <u>Audit-Related Fees</u>, | (b) <u>Audit-Related Fees</u>, |
| 2022 | $36000 |
| 2021 | $0 |
| Fees for 2022 relate to audit-related services provided by PricewaterhouseCoopers LLP to the Funds in connection with the transition of certain of the Funds' service provider arrangements. | Fees for 2022 relate to audit-related services provided by PricewaterhouseCoopers LLP to the Funds in connection with the transition of certain of the Funds' service provider arrangements. |
| (c) <u>Tax Fees</u>, | (c) <u>Tax Fees</u>, |
| 2022 | $61600 |
| 2021 | $77400 |
| Fees for both 2021 and 2022 relate primarily to the preparation of federal and state income and excise tax returns and the review of excise tax distributions. These amounts include fees for funds of the Trust which have liquidated. | Fees for both 2021 and 2022 relate primarily to the preparation of federal and state income and excise tax returns and the review of excise tax distributions. These amounts include fees for funds of the Trust which have liquidated. |
| (d) <u>All Other Fees</u>, | (d) <u>All Other Fees</u>, |
| 2022 | $0 |
| 2021 | $0 |

---

(e)(1) The audit committee is required to pre-approve all audit and permitted non-audit services performed by the registrant's independent auditors in accordance with the audit committee charter and the Investment Company Act of 1940.

---

| | |
|:---|:---|
| (e)(2) | (e)(2) |
| 2022 | 0% |
| 2021 | 0% |
| (f) Not applicable. | (f) Not applicable. |
| (g) <u>Non-Audit Fees</u>, | (g) <u>Non-Audit Fees</u>, |
| 2022 | $1890000 |
| 2021 | $1767000 |

---

Fees for 2021 and 2022 represent PricewaterhouseCoopers LLP services provided to the Funds and to HSBC Bank and affiliates related to general corporate, state and local tax assistance, accounting matters and various advisory projects.

(h) The audit committee considered the nonaudit services rendered to the registrant's investment adviser and any entity controlling, controlled by, or under common control with the investment adviser, and believes the services are compatible with the principal accountant's independence.

**Item 5. Audit Committee of Listed Registrants.**

Not applicable.

**Item 6. Investments.**

(a) Included as a part of the report to shareholders filed under Item 1.<br>(b) Not applicable.

**Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.**

Not applicable.

**Item 8. Portfolio Managers of Closed-End Management Investment Companies.**

Not applicable.

**Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.**

Not applicable.

------

**Item 10. Submission of Matters to a Vote of Security Holders.**

Not applicable.

**Item 11. Controls and Procedures.**

(a)The registrant's principal executive officer and principal financial officer have concluded, based on their evaluation of the registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this report, that these disclosure controls and procedures are adequately designed and are operating effectively to ensure that information required to be disclosed by the registrant on Form N-CSR is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.

(b)There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that have materially affected or are reasonably likely to materially affect, the registrant's internal control over financial reporting.

**Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.**

Not applicable.

**Item 13. Exhibits.**

[(a)(1) The code of ethics that is the subject of the disclosure required by Item 2 is attached hereto.](hsbc4137231-ex99codeeth.htm)

[(a)(2) Certifications pursuant to Rule 30a-2(a) are attached hereto.](hsbc4137231-ex99cert.htm)

(a)(3) Not applicable.

[(b) Certifications pursuant to Rule 30a-2(b) are furnished herewith.](hsbc4137231-ex99906cert.htm)

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) HSBC Funds

---

| | |
|:---|:---|
| By (Signature and Title) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/ Stefano R. Michelagnoli |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stefano R. Michelagnoli, President (Principal Executive Officer) |

---

Date <u>January 4, 2023</u>

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

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| | |
|:---|:---|
| By (Signature and Title) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/ Stefano R. Michelagnoli |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stefano R. Michelagnoli, President (Principal Executive Officer) |

---

Date <u>January 4, 2023</u>

---

| | |
|:---|:---|
| By (Signature and Title) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/ Maria Clem Sell |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Maria Clem Sell, Treasurer (Principal Financial Officer) |

---

Date <u>January 4, 2023</u>

------

## Ex-99.Code

**CODE OF ETHICS FOR PRINCIPAL EXECUTIVE AND<br>SENIOR FINANCIAL OFFICERS**

**HSBC FUNDS**

Approved by the Boards of Trustees<br>HSBC Funds<br>as of June 12, 2019<br>Pursuant to the Sarbanes-Oxley Act of 2002

**I. <u>Introduction and Application</u>**

HSBC Funds (the "Trust") recognizes the importance of high ethical standards in the conduct of its business and requires this Code of Ethics ("Code") to be observed by its respective principal executive officers (each a "Covered Officer") (defined below). In accordance with the Sarbanes-Oxley Act of 2002 (the "Act") and the rules promulgated thereunder by the U.S. Securities and Exchange Commission ("SEC") the Trust is required to file reports pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended ("1934 Act"), and must disclose whether they have adopted a code of ethics applicable to the principal executive officers. The Trust's Board of Trustees ("Board"), including a majority of its Independent Trustees (defined below) has approved this Code as compliant with the requirements of the Act and related SEC rules. This Code does not supersede or otherwise affect the separate code of ethics that the Trust has adopted pursuant to Rule 17j-1 under the Investment Company Act of 1940, as amended ("1940 Act").

All recipients of the Code are directed to read it carefully, retain it for future reference and abide by the rules and policies set forth herein. Any questions concerning the applicability or interpretation of such rules and policies, and compliance therewith, should be directed to the relevant Compliance Officer (defined below), as specified in Schedule 1.

**II. <u>Purpose</u>**

This Code has been adopted by the Board in accordance with the Act and the rules promulgated by the SEC in order to deter wrongdoing and promote:

&nbsp;&nbsp;&nbsp;&nbsp;(A) honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;

&nbsp;&nbsp;&nbsp;&nbsp;(B) full, fair, accurate, timely and understandable disclosure in reports and documents filed by the Trust with, or submitted to, the SEC and in other public communications made by the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;(C) compliance with applicable governmental laws, rules and regulations;

------

&nbsp;&nbsp;&nbsp;&nbsp;(D) prompt internal reporting of violations of the Code to an appropriate person or persons identified in the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;(E) accountability for adherence to the Code.

**III. <u>Definitions</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) "*Covered Officer*" means the principal executive officer and senior financial officers, including the principal financial officer, controller or principal accounting officer, or persons performing similar functions.

&nbsp;&nbsp;&nbsp;&nbsp;(B) "*Compliance Officer*" means the person appointed by the Trust's Board of Trustees to administer the Code.

&nbsp;&nbsp;&nbsp;&nbsp;(C) "*Trustee*" means a trustee of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;(D) "*Executive Officer*" shall have the same meaning as set forth in Rule 3b-7 of the 1934 Act. Subject to any changes in the Rule, an Executive Officer means the president, any vice president in charge of a principal business unit, division or function (such as sales, administration or finance), any other officer who performs a policy making function, or any other person who performs similar policy making functions for the Trust. "Executive Officers" of subsidiaries may be deemed "Executive Officers" of the Trust if they perform such policy making functions for the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;(E) "*Independent Trustee*" means a trustee of the Trust who is not an "interested person" of the Trust within the meaning of Section 2(a)(19) of the 1940 Act.

&nbsp;&nbsp;&nbsp;&nbsp;(F) "*Implicit Waiver*" means the Compliance Officer failed to take action within a reasonable period of time regarding a material departure from a provision of the Code that has been made known to an Executive Officer.

&nbsp;&nbsp;&nbsp;&nbsp;(G) "*Restricted List*" means that listing of securities maintained by the Trust Compliance Officer in which trading by certain individuals subject to the Trust's 17j-1 code of ethics is generally prohibited.

&nbsp;&nbsp;&nbsp;&nbsp;(H) "*Waiver*" means the approval by the Compliance Office of a material departure from a provision of the Code.

**IV. <u>Honest and Ethical Conduct</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Overview</u>. A "conflict of interest" occurs when a Covered Officer's personal interest interferes with the interests of, or his service to, the Trust. Certain conflicts of interest arise out of the relationships between Covered Officers and the Trust and already are subject to the conflict of interest provisions in the 1940 Act and the Investment Advisers Act of 1940, as amended (the "Advisers Act"). For example, Covered Officers may not individually engage in certain transactions (such as the purchase or sale of securities or other property) with the Trust because of their status as "affiliated persons" of the Trust. The Trust's and each applicable service provider's compliance programs and procedures are designed to prevent, or identify and correct, violations of these provisions. This Code does not, and is not intended to, repeat or replace these programs and procedures, and such conflicts fall outside of the parameters of this Code.

------

&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>General Policy</u>. Each Covered Officer shall adhere to the highest standards of honest and ethical conduct. Each Covered Officer has a duty to exercise his or her authority and responsibility for the benefit of the Trust, to place the interests of the shareholders first and to refrain from having outside interests that conflict with the interests of the Trust and its shareholders. Each such person must avoid any circumstances that might adversely affect or appear to affect his or her duty of complete loyalty to the Trust and its shareholders in discharging his or her responsibilities, including the protection of confidential information and corporate integrity.

Although typically not presenting an opportunity for improper personal benefit, conflicts arise from, or as a result of, the contractual relationship between the Trust and its service providers, including the investment adviser and the sub-administrator, of which the Covered Officers are also officers or employees. As a result, the Code recognizes that the Covered Officers will, in the normal course of their duties (whether for the Trust, investment adviser or for the sub-administrator, or for all), be involved in establishing policies and implementing decisions which will have different effects on the investment adviser, sub-administrator and the Trust. The participation of the Covered Officers in such activities is inherent in the contractual relationship between the Trust, the investment adviser and the sub-administrator, and is consistent with the performance by the Covered Officers of their duties as officers of the Trust. Thus, if performed in conformity with the provisions of the 1940 Act and/or the Advisers Act, as applicable, such activities will be deemed to have been handled ethically. In addition, it is recognized by the Board that the Covered Officers may also be officers or employees of one or more other investment companies covered by the Code or other codes.

&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Examples of Conflicts</u>. The following list provides examples of conflicts of interest under the Code but Covered Officers should keep in mind that these examples are not exhaustive. The overarching principle is that the personal interest of a Covered Officer should not be placed improperly before the interest of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) <u>Prohibited Conflicts of Interest</u>. Each Covered Officer must not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● use his personal influence or personal relationships improperly to influence decisions or financial reporting by the Trust whereby the Covered Officer would benefit personally to the detriment of the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● cause the Trust to take action, or fail to take action, for the individual personal benefit of the Covered Officer rather than benefit the Trust;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● use material non-public knowledge of portfolio transactions made or contemplated for the Trust to trade personally or cause others to trade personally in contemplation of the market effect of such transactions; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● retaliate against any other Covered Officer or any employee of the Trust, the investment adviser, the sub-administrator, or their affiliated persons for reports of potential violations that are made in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) <u>Conflicts of Interest that may be Waived</u>. There are some conflict of interest situations for which a Covered Officer may seek a Waiver from a provision(s) of the Code. Waivers must be sought in accordance with Section VIII of the Code. Examples of these include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● *Outside Employment or Activities*. Covered Officers may not serve as directors, officers, general partners, consultants, agents, representatives or employees of any other business, except as noted in Section IV.(B) above, unless prior authorization is obtained from the Compliance Officer. Such authorization will be based on a determination that the business of such corporation does not conflict with the interests of the Trust, and that such service would be consistent with the best interests of the Trust and its shareholders, and that such service is not prohibited by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● *Gifts, Entertainment, Favors or Loans*. No Covered Officer shall receive any gift or other thing of more than *de minimis* value from any person or entity that does business with or on behalf of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● *Corporate Opportunities*. Covered Officers may not exploit for their own personal gain opportunities that are discovered through the use of Trust property, information or position unless the opportunity is fully disclosed, in writing, to the Board and the Board declines to pursue such opportunity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● *Ownership Interests*. Covered Officers may not have: (i) any ownership interest in, or any consulting or employment relationship with, any of the Trust's service providers, other than its investment adviser, principal underwriter, administrator, sub-administrator or any affiliated person thereof; or (ii) a direct or indirect financial interest in commissions, transaction charges or spreads paid by the Trust for effecting portfolio transactions or for selling or redeeming shares other than an interest arising from the Covered Officer's employment, such as compensation or equity ownership.

**V. <u>Full, Fair, Accurate, Timely and Understandable Disclosure</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>General Policy</u>. This Code is intended to promote the full, fair, accurate, timely and understandable disclosure in reports and other documents filed by the Trust with the SEC or made in other public communications by the Trust. Accordingly, the Covered Officers are expected to consider this to be central to their roles as officers of the Trust and shall ensure that full, fair, accurate, timely and understandable disclosure is made in the Trust's reports and other documents filed with the SEC and in other public communications.

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&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Responsibilities</u>. Each Covered Officer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) familiarize himself with the disclosure requirements generally applicable to the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) not knowingly misrepresent, or cause others to misrepresent; facts about the Trust to others, whether within or outside the Trust, including to the Trust's Trustee's and auditors, and to governmental regulators and self-regulatory organizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) to the extent appropriate within his area of responsibility, consult with the other officers and employees of the Trust and the adviser with the goal of promoting full, fair, accurate, timely and understandable disclosure in the reports and documents the Trust files with, or submit to, the SEC and in other public communications made by the Trust; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) promote compliance with the standards and restrictions imposed by applicable laws, rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Changes in Disclosure Process</u>. If, at any time, a Covered Officer believes that measures should be taken to improve the Trust's disclosure process, he or she shall advise the Compliance Officer and shall work with the Compliance Officer and other appropriate personnel to facilitate any changes in the process.

**VI. <u>Internal Reporting by Covered Persons</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Certifications</u>. Each Covered Officer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) upon adoption of the Code (or thereafter as applicable upon becoming a Covered Officer), affirm in writing on Schedule A hereto that the Covered Officer has received, read, and understands the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) annually thereafter affirm on Schedule A hereto that the Covered Officer has complied with the requirements of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Reporting</u>. A Covered Officer shall promptly report any knowledge of a material violation of this Code to the Compliance Officer. Failure to do so is itself a violation of the Code.

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&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Required Documentation</u>. Any such report shall be in writing, and shall describe in reasonable detail the conduct that the Covered Officer believes to have violated this Code. If the Compliance Officer concludes that there has been a violation of the Code, he or she shall determine appropriate sanctions in accordance with Section VIII(A) below. Notwithstanding the foregoing, the Compliance Officer shall be entitled to grant a Waiver of one or more provisions of this Code as set forth in Section VIII of the Code.

**VII. <u>Waivers of Provisions of the Code</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Waivers</u>. The Compliance Officer may grant Waivers to the Code in circumstances that present special hardship. Waivers shall be structured to be as narrow as is reasonably practicable with appropriate safeguards designed to prevent abuse of the Waiver. To request a Waiver from the Code, the Covered Officer shall submit to the Compliance Officer a written request describing the transaction, activity or relationship for which a Waiver is sought. The request shall briefly explain the reason for engaging in the transaction, activity or relationship.

&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Implicit Waivers</u>. In the event that the Compliance Officer has not acted upon a properly submitted request for a Waiver within a reasonable amount of time and a material departure from the Code has taken place in accordance with the request, the Compliance Officer may nevertheless, in lieu of finding a violation of the Code, determine retroactively to grant a Waiver.

&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Documentation</u>. The Compliance Officer shall document all Waiver determinations. If a Waiver is granted under paragraphs (A) or (B), above, the Compliance Officer shall prepare a brief description of the nature of the Waiver, the name of the Covered Officer and the date of the Waiver so that this information may be disclosed in the next Form N-CSR to be filed on behalf of the Trust or posted on the Trust's internet website within five business days following the date of the Waiver. Each Waiver must be reported to the Board at the next regularly scheduled quarterly meeting after it is granted.

**VIII. <u>Reporting and Monitoring</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Sanctions</u>. Compliance by Covered Officers with the provisions of the Code is required. Covered Officers should be aware that in response to any violation, the Board will take whatever action is deemed necessary under the circumstances, including, but not limited to, fines, suspension or termination.

&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Board Reporting</u>. The Compliance Officer shall report any material violations of the Code to the Board for its consideration on a quarterly basis. At a minimum, the report shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) describe the violation under the Code and any sanctions imposed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) identify and describe any Waivers to the Code; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) identify any recommended changes to the Code.

&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Amendments to the Code</u>. The Covered Officers and the Compliance Officer may recommend amendments to the Code for the consideration and approval of the Board. In connection with any amendment to the Code, the Compliance Officer shall prepare a brief description of the amendment, so that the necessary disclosure may be made with the next Form N-CSR to be filed on behalf of the Trust or posted on the Trust's internet website within five business days following the date of the amendment.

**IX. <u>Record-keeping</u>**

The Compliance Officer shall maintain all records, including any internal memoranda, relating to compliance with the Code or Waivers of the Code, for a period of 6 years from the end of the fiscal year in which such document was created, 2 years in an accessible place. Such records shall be furnished to the SEC or its staff upon request.

**X. <u>Confidentiality</u>**

All reports and records prepared or maintained pursuant to this Code will be considered confidential and shall be maintained on a confidential basis and will be reasonably secured to prevent access to such records by unauthorized personnel.

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**SCHEDULE 1<sup>1</sup>**

**COMPLIANCE OFFICER**

Patrick Keniston, Chief Compliance Officer

**COVERED OFFICERS**

Stefano Michelagnoli, President

Maria Clem Sell, Treasurer <br>

____________________

<sup>1</sup> Amended November 2022.

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## Ex-99.Cert

<u>CERTIFICATIONS</u> 

I, Stefano R. Michelagnoli, certify that:

1. I have reviewed this report on Form N-CSR of HSBC Funds (the "registrant");

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

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| | |
|:---|:---|
| January 4, 2023 | /s/ Stefano R. Michelagnoli |
| Date | Stefano R. Michelagnoli |
| | President (Principal Executive Officer) |

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<u>CERTIFICATIONS</u> 

I, Maria Clem Sell, certify that:

1. I have reviewed this report on Form N-CSR of HSBC Funds (the "registrant");

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

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| | |
|:---|:---|
| January 4, 2023 | /s/ Maria Clem Sell |
| Date | Maria Clem Sell |
| | Treasurer (Principal Financial Officer) |

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## Exhibit 99.906

This certification is provided pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. § 1350, and accompanies the report on Form N-CSR for the period ended October 31, 2022 of HSBC Funds (the "Registrant").

Each of the undersigned, being the Principal Executive Officer and Principal Financial Officer of the Registrant, certifies that, to such officer's knowledge:

1. the Form N-CSR fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and

2. the information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

<u>January 4, 2023</u> <br> Date

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| |
|:---|
| /s/ Stefano R. Michelagnoli |
| Stefano R. Michelagnoli |
| President (Principal Executive Officer) |
| /s/ Maria Clem Sell |
| Maria Clem Sell |
| Treasurer (Principal Financial Officer) |

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This certification is being furnished solely pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and is not being filed as part of Form N-CSR or as a separate disclosure document. A signed original of this written statement required by Section 906 has been provided to the Registrant and will be retained by the Registrant and furnished to the Securities and Exchange Commission or its staff upon request

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