HSBC is planning to combine Hang Seng Bank’s asset management operation with its own fund business, reported Reuters citing sources.
The proposal follows HSBC taking the Hong Kong lender private in a $13.6bn deal.
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HSBC Asset Management would take in Hang Seng Investment Management under the plan, the people said.
HSBC Asset Management manages about $876bn in investment assets, while Hang Seng Investment Management has $50bn in assets.
In a statement emailed to Reuters, HSBC said it wants to develop an asset management business with the scale, talent, and ambition to compete in Hong Kong.
The bank did not address whether the two asset management businesses would be merged.
HSBC said it is “focused on collaboration across our teams to unlock future growth”. It also said Hang Seng Bank would remain separately licensed.
The planned combination would be the first integration of a business line since HSBC launched its take-private offer for Hang Seng in October 2025, when it held a 63% stake in the lender.
Hang Seng had reported rising bad loans related to its exposure to Hong Kong and mainland Chinese property markets, the news agency noted.
The transaction closed in January.
Separately, Financial Times reported earlier this month that HSBC is planning to cut roles in its UK wealth management business as part of an AI programme.
About 50% of leadership and specialised positions could be removed, while the number of financial advisers may be reduced by nearly 70%, one source said.
The programme is linked to a target of £100bn ($132bn) in managed assets by 2030. HSBC had more than £62bn in managed assets at the end of last year.
