Wealthtech

HSBC Invests Over US$3.5 Billion to Grow Its Wealth Business in Asia

HSBC announced plans to invest over US$ 3.5 billion in the next five years to accelerate the growth of its Wealth and Personal Banking (WPB) business in Asia.

These investments will focus on expanding HSBC’s wealth teams to increase distribution capabilities in Hong Kong, mainland China, and Singapore.

This will enhance its digital wealth capabilities and platforms across Asia and developing new products to deliver a distinctive wealth experience across the full customer spectrum, particularly for high net worth and ultra high net worth (HNW/UHNW) clients.

HSBC will also step up investments in technology to build digitally-enabled financial planning platforms across its full spectrum of customers, integrate wealth management solutions and wealth insights on mobile banking, optimise our insurance ‘health and wellness’ platforms in Greater China and create a single core banking platform for private banking.

Asia generates nearly half of HSBC’s US$ 1.6 trillion wealth balances and 65% of the group’s wealth revenues.

HSBC also signaled the expansion of its asset management capabilities in mainland China, India and Malaysia.

Nuno Matos, Chief Executive Officer, Wealth and Personal Banking said,

Nuno Matos

“We have a bold but achievable ambition, to be Asia’s leading wealth management provider by 2025, supporting Asian, international and HSBC-connected clients, wherever their wealth is created, invested and managed. Our wealth expansion is already underway.

Our new investments will allow us to grow assets under management in Asia faster than the market and increase the contribution of wealth to total WPB revenues.”

Greg Hingston, Regional Head of Wealth and Personal Banking, said:

Greg Hingston

“Our extensive global network offers clients transaction banking and wealth management services across the world’s key wealth hubs. We are harnessing our strengths in Insurance, Asset Management and Global Markets to broaden and differentiate our product suite.

We aim to attract new clients and deepen engagement with our commercial and corporate clients, with more than 60% of net new money in Private Banking coming from our Wholesale relationships in 2020.”

Featured image credit: HSBC