The Hindu Business Line : HSBC India to foray into retail broking

HSBC India is looking to enter the retail broking space shortly, said Ms Naina Lal Kidwai, Group General Manager and Country Head, HSBC India. “We are looking at it as we are already strong in the wealth management segment,” she said. The bank is open to either acquiring a retail brokerage or setting up one in-house. With regard to acquiring she said, “The regulatory environment is restrictive.”

Other segments that HSBC is focusing in India include the middle market and SME segment, said Mr Sandy Flockhart, Chief Executive Officer and Global Head of Commercial Banking of HSBC Ltd.

Speaking to reporters in Mumbai, on Thursday, Mr Flockhart said HSBC has invested $1.7 billion in its India operations as of now and will infuse further capital in 2008, in addition to ploughing back the profits. “We are aware this is a strong growth market,” Mr Flockhart said.

The group’s strategy is to increase the contribution of emerging markets, including India, to HSBC’s global business to 60 per cent over the next three to four years. India will continue to have strong growth due to good half-yearly results. It has been among the top 10 contributors to the group’s business over a year now, he said.

He also said that commercial banking has been a good growth area for the bank in India. The compounded annual growth has been around 20 per cent over the last couple of years.

About HSBC India’s share of the domestic equity market, Ms Kidwai said, “We are deeply entrenched in equity largely through our custodial business. About 40 per cent of all FII money in India is in custody with us and we are still strong inflows. India is still a safe heaven.”

More Stories on : Diversification | Financial Services | Foreign Banks

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Corporation Bank offering ‘financial health check-up’

How India has steered clear so far

Flexibility soon for insurers to invest in IPOs

UTI Mutual, SBI MF to manage postal life insurance monies

AP to extend agriculture insurance to all districts

Insurance officers' meet

SIDBI planning asset reconstruction co for SMEs

Bonds listless on tight liquidity

Vijaya Bank to raise Rs 500 cr via bonds

Call rates marginally down

LIC credit card launch not until March

HSBC India to foray into retail broking