HSBC Global Private Banking (GPB) has been named Outstanding Private Bank: North Asia at the PBI Global Wealth Awards 2022 for leveraging its deep pool of regional and worldwide resources to achieve tremendous growth in Asia, especially in mainland China, and to enhance its service offering in the region. It was also Highly Commended for its Outstanding Philanthropy Offering.
HSBC’s ambition is to be Asia’s leading wealth manager by 2025. Its Wealth and Personal Banking (WPB) business, encompassing personal banking, insurance, asset management and private banking, is already one of the world’s largest wealth managers with approximately US$1.6 trillion in wealth balances lodged with it globally as of Q2 2022.
It is looking to the high net worth and ultra high net worth individuals and their families served by its private banking unit to drive further growth, especially in North Asia, utilising its key wealth hubs in Hong Kong, mainland China, where it is one of the largest investors among foreign banks; and Taiwan.
HSBC is investing in people, technology and product capabilities, as part of its strategy focused on:
Digital transformation in wealth management: HSBC is investing US$100 million into technology and digital upgrades for its private banking business in Asia over a period of two years in 2021-2022. The bank’s recently launched digital solutions include:
o GPB Chat, which allows clients to communicate with us instantly and securely through their preferred chat or social media platform;
o GPB eSignature, which enables clients to sign, submit and receive documents digitally anytime anywhere; and allows for paperless end-to-end processes;
o An enhanced research presentation platform; o Online trading platform, that gives our private banking clients who prefer to self-direct their trades with flexibility to invest directly globally from their mobile phones.
Strong cross-bank collaboration: Cross-departmental collaboration also unlocks bespoke solutions. For instance, HSBC Alternatives, HSBC Asset Management’s alternatives division, has secured a number of exclusive investment opportunities in private markets and hedge funds for GPB clients. HSBC’s strong balance sheet can also provide tailored credit advisory and solutions to clients who are seeking to secure finance against a range of assets from single stock positions, real estate to trophy assets like art. Significant investments have also been committed to the enhancement of the bank’s bespoke wealth and estate planning, trust, family advisory and philanthropy services. A referral model is in operation whereby clients from Commercial Banking, Global Banking and Markets (GBM), and the wider WPB unit within the HSBC Group are being introduced to its private banking arm to cross-pollinate growth across different business verticals. GBM, HSBC’s investment banking arm can also originate and distribute capital markets transactions on behalf of GPB’s clients.
Expanded international connectivity: Dedicated Asia coverage teams are put in place at HSBC’s GPB offices in strategic locations including the UK, Switzerland and the US, enhancing the bank’s ability to meet the unique needs of its geographically spread clientele spanning family services, capital markets, asset allocation, financing, trusts and wealth planning, and so on.
Investment and Wealth Solutions: This dedicated unit within HSBC’s WPB business brings a portfolio-based approach to constructing tailored solutions for GPB clients, with core and satellite asset allocations that meet their investment objectives. There are multiple strategies across different asset classes, regions, and long-term structural themes that clients can participate in via the bank’s Discretionary and Portfolio Management (DPM) platform. ‘CMS Sustainable’ was unveiled in 2021 to meet clients’ increasing demand for sustainable investments in Asia.
Philanthropy accolade HSBC GPB was also commended for its Outstanding Philanthropy Offering at the PBI Global Wealth Awards 2022 in recognition of its outstanding philanthropic services, including annual donations worth US$250 million to a range of good causes administered on behalf of clients with charitable trusts as well as other long-standing good works, such as the bank’s ‘Mind Matters’ campaign in Hong Kong, an innovative campaign and first of its kinds to engineer philanthropy using a hackathon format to connect clients with opportunities to create impactful social and environmental change in their communities. It assembled expert speakers, non-governmental organisations (NGOs) and others to brainstorm ideas on addressing mental health needs in the community, before presenting to a funders’ roundtable. Five projects were advanced from 12 shortlisted initiatives among a total of 72 pitches. Funded projects include:
Cancer support: Therapy and counselling was offered to 116 children and 202 of their family members to help manage their emotions during a family member’s cancer journey.
Suicide prevention and education support: Beneficiaries include 150 primary and secondary school age students from low-income households.
Mental wellness for the elderly: 67 visually impaired elderly residents in care homes received mindfulness and music therapy to lower their anxiety and insomnia resulting from extended isolation, prevalent in the wake of Covid-19 induced lockdowns.