HSBC $HSBA (+2,5%) is considering a strategic move into the thriving private credit market, Reuters reported, citing five informed sources. The potential move is part of the bank's ongoing efforts to boost its revenues following a period of significant restructuring and downsizing in its investment banking division.

HSBC has reportedly begun talks with several private credit firms about a possible partnership. However, these discussions are at different stages and it is unclear whether they will result in a formal partnership.

Despite the growth and potential of the private credit sector, HSBC is expected to take a cautious approach. Some senior executives, including CEO Georges Elhedery, have expressed doubts as to whether the potential revenues will outweigh the associated costs.

This cautious approach is also influenced by the current economic climate. The comprehensive tariffs introduced by US President Donald Trump have affected short-term demand for credit. As a result, corporate borrowers are reconsidering their positions, prompting HSBC to take a cautious approach.

Private credit comprises loans negotiated directly between borrowers and non-bank lenders, offering customized financing options not typically available from traditional banks. This offers investors an alternative income-generating opportunity within the fixed income segment of their portfolios.

In February, Fed Governor Michael Barr provided insights into the private credit market and explained the risks involved. Barr argues that private credit markets funded with long-term money face transparency issues, unproven credit performance over a credit cycle, frequent restructurings that mask defaults, and new liquidity risks from the introduction of short-term liquidity into products not designed for it.

...it may take a while, but the flood will come and until then just carry on as before 🤫

Now my reserves are used up, I can start saving again... $HSBA (+2,5%)
$HSBC (+2,78%)

I actually wanted to invest my cash in certificates first, but the dividend yield is not bad either, so I bought a first tranche in addition to my existing shares.

...and don't get rattled 🍿🥤

I couldn't resist, for the next 30 days there will only be spagetthi with ketchup. $HSBC (+2,78%)
$HSBA (+2,5%)

HSBC HOLDINGS $HSBA (+2,5%) announced that it repurchased a total of 3.486 million shares in the company via the UK and Hong Kong markets last Friday (28.03.2025).

In the UK market, HSBC purchased 1.9096 million shares in the company at prices ranging from GBP8.814 to GBP8.955 per share, with a weighted average price of GBP8.8858 per share.

The remainder of the shares were repurchased by the Company on the Hong Kong Stock Exchange, 1.5764 million shares of the Company, at prices ranging from HKD 89.1 to HKD 90.1 per share, with a weighted average price of HKD 89.5649 per share.

HSBC $HSBA (+2,5%) Thailand is supporting the Thai economy even in times of heightened global uncertainty, demonstrating its confidence in the country's long-term growth potential.

Despite the ongoing uncertainties, Thailand is poised to benefit from a robust infrastructure ecosystem that will sustain its economic momentum this year, said Giorgio Gamba, Chief Executive and Head of Banking at HSBC Thailand, in an exclusive interview with the Bangkok Post.

Mr. Gamba pointed to the success of a recent roadshow in China, where many foreign investors expressed interest in investing in Thailand in various industries. These investors include both existing HSBC clients looking to expand their investments as well as potential new investors who do not currently have a banking relationship with HSBC.

HSBC Thailand participated in the roadshow for five days in six cities in China over the past two weeks. This initiative was part of the bank's collaboration with the Board of Investment (BoI) following the signing of a Memorandum of Understanding (MoU) in 2024 to promote Thailand as an investment hub in Southeast Asia.

In February, HSBC Thailand signed another MoU with the Eastern Economic Corridor Office to promote global investment in the EEC project.

Through these strategic partnerships with government agencies, Mr. Gamba said, HSBC Thailand is actively supporting economic growth. The bank plans to participate in more roadshows with government organizations throughout the year to attract foreign direct investment (FDI).

"I believe that roadshows are an effective way for us to engage with our clients and help them understand the vast business opportunities in Thailand," he said.

China and Hong Kong have always been the center of growth and profit for HSBC HOLDINGS $HSBA (+2,5%) and that the Group will continue to invest and optimize the allocation of resources to continuously optimize its structure in the future, said David Liao, Co-Chief Executive of Asia and the Middle East at HSBC HOLDINGS.

However, Liao did not directly address the layoff plan, but said it would be continuously optimized depending on the impact of different departments on clients.

In addition, the Group's previously announced resource allocation of US$1.5 billion is progressing well, with further resources to be invested in asset management, international integration and capital markets in the future.

HSBC Holdings Plc $HSBA (+2,5%)Europe's largest bank, is considering outsourcing part of its large trading business, according to a Bloomberg report. Executives at the bank are finding it increasingly difficult to justify the technology investments needed to keep up with larger rivals. The report cites people familiar with the matter.

Preliminary discussions have already been held about transferring some of HSBC's bond trading order volume to an external market maker. The move could save HSBC millions of dollars in IT costs associated with running trading desks around the world.

The bank is open to partnerships with companies such as Citadel Securities and Jane Street Group. However, discussions are still at an early stage and there is no guarantee that they will lead to an agreement. Representatives from HSBC, Citadel Securities and Jane Street declined to comment on the matter.

HSBC's willingness to consider such a deal suggests that even systemically important banks with extensive Wall Street operations are struggling to make the necessary technology investments to compete effectively in the trading business.