HSBC Private Bank said that up to half of its assets under management (AuM) could come from Asia over the next five years, up from the current level of 30%.
HSBC Global Private Banking chief executive, Chris Meares, said Asia’s huge IPO growth in the past year was driving economic wealth creation – meaning wealth management operations in the region could amount to half of the bank’s business.
Global AuM for HSBC Private Bank stood at $450bn at 30 June 2010, its most up-to-date reported figure.
Meares relocated to Hong Kong from London late last year – reinforcing the importance of the private bank’s ‘home’ market in Asia and its emerging markets focus.
Singapore drives Asian push
Within Asia, Singapore has remained a key market for HSBC, with private banking accounts forming 18% of HSBC Singapore’s profit – the highest in Asia.
The private bank unit in Singapore expanded from 370 employees three years ago to the current figure of 450.
Targeting HNW market share in Thailand
Earlier this month, HSBC Thailand announced that it was targeting a 25% market share in the high net worth sector, following the Thai government’s amendments to restricted banking rules.
The Thai government is to relax rules under phase II of its Financial Sector Master Plan, allowing foreign lenders to open up to two additional branches.
The bank claims to have a 20% market share in the affluent segment in Thailand.