HSBC streamlines business units into four, names new CFO

HSBC streamlines business units into four, names new CFO

The banking behemoth will combine its global commercial and investment banking operations.

HSBC Holdings Plc said it would create a new international Wealth and Premier Banking business and set up Western and Eastern regional units. (Reuters pic)
LONDON:
HSBC Holdings Plc said it would merge two of its largest businesses, outside the UK and Hong Kong, and restructure regionally as CEO Georges Elhedery looks to rein in costs against a backdrop of falling interest rates.

In a statement, HSBC said the banking behemoth will combine its global commercial and investment banking operations.

HSBC said it would also create a new international Wealth and Premier Banking business and set up Western and Eastern regional units.

“The new structure will result in a simpler, more dynamic, and agile organisation as we focus on executing against our strategic priorities, which remain unchanged,” Elhedery said in the statement.

With central banks around the world beginning to cut interest rates, Elhedery has been under pressure to trim costs in order to protect the firm’s margins.

To that end, he’s asked staffers to be more careful with their spending and put fresh limits on investment bankers’ travel.

HSBC also announced the appointment of Pam Kaur as CFO.

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