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Exclusive | HSBC on track to hire more than 1,000 Asian wealth managers this year in US$3.5 billion bet on region’s growing billionaires

  • London-based lender is set to invest US$3.5 billion in its wealth management operations in Asia over the next five years
  • Asia accounted for US$1.2 billion or two-thirds of HSBC’s adjusted profit before tax in the wealth and personal banking business in the first quarter

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HSBC is planning to hire more than 1,000 frontline roles in its wealth management business in Asia as it further pivots to the region. Photo: Sam Tsang
Chad Bray
HSBC, the biggest of Hong Kong’s three currency-issuing lenders, is on track to create more than 1,000 frontline roles in its wealth management business in Asia by the end of this year to focus on rising affluence in the region with the most billionaires on earth.
The London-based banking group said in February that it planned to invest US$3.5 billion and hire more than 5,000 people in its wealth operations over the next five years. That is part of a US$6 billion investment in Asia as it further pivots to where it generates the bulk of its revenue.

“Our US$3.5 billion investments are under way, enabling us to deliver a robust start in Asia this year,” Greg Hingston, regional head of wealth and personal banking business, said. “We are seeing increased trading and investment activity from new and experienced investors on mobile and, with our relationship managers and wealth specialists, for more sophisticated needs.”

In the first quarter, Asia accounted for two-thirds of HSBC’s adjusted profit before tax in the wealth and personal banking business, or US$1.2 billion, he added. Revenue in the Asian wealth business rose 57 per cent in the first three months of the year and wealth balances in the region increased by 18 per cent.

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Net new money in its private banking business in Asia increased by 89 per cent to US$6.6 billion in the quarter, while its regional asset management operations attracted US$3.3 billion, about 29 per cent of its global inflows in that business.

HSBC’s overall net profit more than doubled to US$3.9 billion in the first quarter as it benefited from the recovering global economy, allowing it to shrink its reserves for soured loans. An extended period of historically low interest rates has pushed HSBC and its rivals to place greater emphasis on fee-generating products and rising wealth to shore up earnings.
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