TAPPING GLOBAL EMERGING MARKETS WITH ALLIANCE ADVANTAGE GEM TREASURES FUND

Kuala Lumpur, October 23 --- Continued robust growth of emerging markets is making this segment an attractive option for Malaysian investors looking for a more diversified investment avenue.

Recognising this, Alliance Investment Management Berhad (AIMB), a member of the Alliance Financial Group, has launched its Alliance ADVANTAGE GEM Treasures Fund.

The Alliance ADVANTAGE GEM Treasures Fund is a feeder fund which taps into the HSBC Investment Funds GEM Treasures Fund sub-managed by SINOPIA Asset Management. SINOPIA is a wholly-owned subsidiary of the HSBC Group, and is the Group's quantitative investment specialist, with USD46,488 million under its management globally as of 31 July 2007.

The HSBC Investment Funds GEM Treasures Fund seeks long-term returns from capital growth and income by investing in a diversified portfolio of equities of global emerging markets countries and global bonds. Equities Investments are split among five regions - Latin America, Eastern Europe, Asia, Africa and the Middle East and fixed income instruments from around the world.

Said Alliance Financial Group Chief Executive Officer Datuk Bridget Lai: "We are extremely pleased to forge this strategic partnership with HSBC, one of the largest banking groups in the world.

"The partnership is a strong recognition of the Alliance Financial Group's ability to bring to the market innovative and value-added products that meet specific lifestyle and investment needs of Malaysians. We certainly hope that investors will take full advantage of this offering"

Four hundred (400) million units of the Alliance ADVANTAGE GEM Treasures Fund priced at RM0.50 sen per unit will be offered during the initial offer period from 23 October to 12 November 2007. The Fund will be distributed exclusively by HSBC Bank Malaysia Berhad.

Nik Azhar Abdullah, Executive Director and Head of AIMB commented: "Emerging markets is a growing force in the global economy, outperforming developed markets consistently over the past few years. In recent years, the opening of emerging markets to global trade has seen a huge influx of foreign investments in those countries, resulting in the emergence of highly-efficient and effectively-managed companies and businesses in those economies. It is widely accepted that, by 2025, emerging markets will be among the world's largest economies. Investors can benefit from emerging markets that are fundamentally stronger yet cheaper in valuation terms.

"The Alliance ADVANTAGE GEM Treasures Fund takes advantage of these improved fundamentals, favourable demographics and dynamic investment environment to provide investors the potential to reap decent returns."

The Fund invests 95 per cent of its Net Asset Value in HSBC Investment Funds GEM Treasures Fund and up to a maximum of 5 per cent will be maintained in the form of liquid assets to meet redemptions.

Furthermore, the 95 per cent allocation is made out of 70 per cent investments in the global emerging markets equities and 30 per cent in global bond or global fixed income securities that act as a counterbalance to the equities in the emerging market portfolio. Its bond investment strategy is based on a proprietary SINOPIA Bond Valuation Model with a 12-year superior track record for consistent performance.

"HSBC is one of the most successful Institutional Unit Trust Agency (IUTA) in Malaysia. Given our good track record and our 40 branch network nationwide, I believe that we are able to reach our customers and that their response will be encouraging," said Mr. U Chen Hock, General Manager, Personal Financial Services, HSBC Malaysia.

"This Fund is the second exclusive open ended unit trust fund to be distributed by HSBC. Our first Fund was successfully launched in early September" Mr. U added.

The Alliance ADVANTAGE GEM Treasures Fund will be measured against a composite benchmark consisting of 70% MSCI Emerging Markets Free Index in USD un-hedged and 30% JP Morgan Government Bond Index in USD, currency hedged.

AIMB is a subsidiary of Alliance Investment Bank Berhad (AIBB) manages Assets Under Management (AUM) worth RM2.4 billion as at 30 September 2007.

-The End-

About Alliance Investment Management Berhad (AIMB)

Alliance Investment Management Berhad (AIMB) is a subsidiary of Alliance Investment Bank Berhad (AIBB) and is manages Assets Under Management (AUM) worth RM2.4 billion as at 30 September 2007.

AIMB currently manages eleven funds, namely the Alliance First Fund (AFF), Alliance Vision Fund (AVF), Alliance Moneyplus Fund (AMF), Alliance Dana Adib (ADA), Alliance Tactical Growth Fund (ATGF), Alliance Optimal Income Fund (AOIF), Alliance Islamic Money Market Fund (AIMMF), Alliance Global Equities Fund (AGEF), Alliance Global Bond Fund (AGBF), Alliance Global Diversified Property Fund (AGDPF) and Alliance Dana Alif (ADL).

1. Alliance Global Equities Fund (AGEF)
   * AGEF was ranked No. 2 consistently for 3-months (5 July - 5 Oct 2007), 6-months (5 Apr - 5 Oct 2007) and 1-year returns (5 Oct 2006 - 5 Oct 2007), compared to its competitors as denoted by The Edge-Lipper Fund Table, dated 15 October 2007.
2. Alliance First Fund (AFF)
   * AFF was awarded the "Best Performing Fund" under the Mixed Asset Balanced 10-year category ended December 2006 at The Edge-Lipper Malaysia Funds Award 2007.
3. Alliance Dana Adib Fund (ADA) & Alliance Islamic Money Market Fund (AIMMF)
   * ADA were ranked in the top quartile for 1-year (5 Oct 2006 - 5 Oct 2007) and 3-year returns (5 Oct 2004 - 5 Oct 2007). ADA was acknowledged as a LEADER in terms of total returns and consistent returns, compared to its competitors as denoted by The Edge-Lipper Fund Table, dated 15 October 2007.
   
   * AIMMF were ranked in the top quartile for 3-months (5 July - 5 Oct 2007), 6-months (5 Apr - 5 Oct 2007), 1-year (5 Oct 2006 - 5 Oct 2007) compared to its competitors as denoted by The Edge-Lipper Fund Table, dated 15 October 2007.
   
   * In addition, ADA and AIMMF were ranked Top 10 in the world in their respective fund categories by Eurekehedge, the world's largest independent hedge fund research company. (Source: Islamic Finance News Guide 2007, Jan 2007)
4. Alliance Moneyplus Fund (AMF)
   * AMF was ranked No. 2 consistently for 3-months (5 July - 5 Oct 2007) & 6-months (5 Apr - 5 Oct 2007). For 1-year returns (5 Oct 2006 - 5 Oct 2007), AMF was ranked No. 5, compared to its competitors as denoted by The Edge-Lipper Fund Table, dated 15 October 2007.

AIMB provides a full suite of investment banking solutions and services from origination to execution to distribution under one roof.

About HSBC Bank Malaysia Berhad

HSBC Bank Malaysia Berhad is a wholly-owned subsidiary of the HSBC Group. The HSBC Group, with around 10,000 offices in 83 countries and territories in Europe, the Asia-Pacific region, the Americas, the Middle East and Africa and assets of US$2,150 billion at 30 June 2007, is one of the world's largest banking and financial services organisations.