HSBC Launches Complete Restructuring of its Business Operations
The bank will split into four divisions, divided between Eastern and Western regions
- |
- Written by Banking Exchange staff
HSBC has unveiled an overhaul of the bank’s global structure as part of continued efforts to simplify the business and create a more agile organization.
The bank will restructure into four business divisions while introducing a new geographic framework to separate its western and eastern operations.
The UK and Hong Kong business will operate as two standalone units while the remaining two divisions will focus on corporate and institutional banking as well as international wealth and premier banking.
A possible move to combine commercial and investment banking was first reported in Banking Exchange.
Business in these divisions will be divided between two regions: eastern markets, which includes Asia-Pacific and the Middle East, and western markets, which covers the UK, Europe and the Americas.
The restructuring is a key element of new CEO Georges Elhedery’s strategy to reduce costs, navigate geopolitical tensions and focus on the bank’s strongest divisions.
By merging the two divisions – except in Hong Kong and the UK – into the new corporate and institutional unit, Elhedery seeks to drive greater collaboration and improve the bank’s ability to cross-sell products to globally focused clients.
The bank has also implemented a new leadership structure, appointing Pam Kaur as the lender’s first female chief financial officer.
The formation of Eastern and Western markets will also consolidate previously separate divisions, like Europe and the Americas, under a single chief executive. Michael Roberts will oversee both the corporate and institutional banking division, as well as the Western markets unit.
The changes are set to take effect from 2025.
Tagged under Management, Feature, M&A, Bank Performance, Branch Technology/ATMs, Retail Banking, Feature3,
Related items
- Bitcoin Blows Past 100,000 on Wednesday
- Bank Leaders Expect Merger Activity to Accelerate in 2025
- TD Bank Survey: Holiday Shoppers Plan to Trim Spending & Avoid Overspending This Year
- Office of the Comptroller of the Currency to Increase Assessment Rates in 2025
- Top Australian Banks Join Fraud-Tackling Network