HSBC Global Private Banking’s profits in 2013 fell a staggering 81% compared to the previous year, dropping from $1,009 million to a mere $193 million.
This decline was attributed to customers pulling money away from its Swiss cross-border business, as well as regulatory demands and a writedown in the value of HSBC’s Monaco business.
Go deeper with GlobalData
Client assets also fell to £382 billion, compared to $398 billion a year earlier, due to withdrawals from Switzerland and the disposal of operations in Panama and Luxembourg.
Overall, HSBC did see a 9% rise in profit before tax, up to $22,565 million from $20,649 million in 2012.
Group chief executive Stuart Gulliver said: "We continued to address legacy issues and reposition our business model and client base in global private banking, which in part resulted in a reduction in underlying profit before tax of $0.7 billion. We remain well placed to meet expected future capital requirements, and will continue to review the evolution of the regulatory environment."
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
