Hong Kong and Shanghai Banking Corp Ltd (HSBC) has relaunched its private banking business in India almost eight years after it closed the division amid an investigation by India’s tax department against individuals who had unaccounted foreign currency accounts in the bank’s Swiss branch.

The private banking business serves high-net-worth (HNW) and ultra-high-net-worth (UHNW) individuals and families with investable assets of more than $2 million. “India’s acceleration as one of the world’s largest and fastest-growing economies is supported by its demographics, digitisation and an enabling policy infrastructure. Today’s launch of our new Global Private Banking business will complement HSBC’s leading retail and corporate banking offerings,” said Surendra Rosha, co-chief executive HSBC Asia-Pacific

India surpassed the UK as the world’s fifth largest economy in 2022 and is expected to overtake Japan and Germany by 2027-28 according to the UN department of economic and social affairs. The bank quoted a Knight Frank wealth report which said that the number of ultra high net worth individuals in India with more than $30 million to invest will increase 58% by 2027.

The UK based lender will offer private banking clients traditional lending and investment products and also give them access to structured products, alternative investments and direct equity execution platform. It will also offer clients access to international banking and financing solutions across the HSBC Group and global wealth hubs including Singapore, Hong Kong, the UK, the US and Dubai.

Last year HSBC had completed the acquisition of L&T Mutual Fund for a total consideration of $425 million. Before its relaunch in India, the bank had introduced private banking in Thailand in 2021, and in Mexico, UAE, and Chengdu, Hangzhou and Shenzhen in mainland China in 2022.



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