HSBC Holdings plans to increase staff headcount at its Asia retail wealth management division by the end of this year and sharpen its focus on Singapore.
London-headquartered HSBC, which makes more than 80 percent of its profit in Asia, will add 300 staff at its Asia retail wealth management by the end of the year. In Singapore, it intends to boost its wealth staff by 50 and launch new digital offerings.
«As we build Asia wealth ... there is a really significant opportunity in Singapore, not just onshore Singapore, but offshore Singapore,» said Kevin Martin, Asia Pacific head of retail banking and wealth management, who was quoted in Reuters.
Underperforming Segment
HSBC's retail banking and wealth management division serves clients with under $5 million of investable assets, while those with above that threshold are served by the bank's private banking unit.
Although the wealth management headcount in Singapore is undisclosed at present, the bank's business is smaller compared to its presence in China and Hong Kong. «It's fair to say that our entire business in Singapore underperformed, and we haven't hidden from that fact,» said Martin, referring to the bank's retail banking and wealth management unit.
Untapped Growth
In line with growing its Asia wealth business, HSBC also intends to ramp up its insurance distribution and product offerings in Hong Kong, China, and Singapore this year, Martin added. The lender's life insurance business within the wealth management unit posted 66 percent growth in revenue to $793 million in the first quarter of this year compared to the year-earlier period.
«We are not even partly done in terms of the upside for insurance ... and as we have increased distribution, provided all products and put digital capabilities in place and promoted the brand, the growth you see will continue,» said Martin.
