British headquartered but Asia centric banking giant HSBC said its third quarter adjusted pretax profit rose seven per cent from a year ago to $5.59 billion, beating analysts expectations.
In a statement Stuart Gulliver Global CEO, (pictured) said that profits were down, but adjusted profits were higher than last year's third quarter in all four global businesses and four out of five regions.
The retail banking and the wealth management division, adjusted profit rose to $1.8 billion from $1.5 billion a year earlier.
Global banking and markets, which houses the investment bank, adjusted profit jumped to $2.5 billion from $1.93 billion in the same period. The gain was primarily driven by the bank’s fixed-income businesses, which gained market share in Europe.
Higher Chinese Exposure
HSBC, like many other global banks, is fighting against low interest rate margins and has been exposed, perhaps more than others, to a slowing Chinese economy. A meagre number of IPO's has also diluted fee income for the bank.
The bank has also had to increase the provisions or the mis-selling of financial products and has other outstanding legal issues pending.
More to follow....
