London-based HSBC has launched its global private banking business in India to serve high-net-worth (HNW) and ultra-high-net-worth (UHNW) professionals, entrepreneurs and their families.

The new business is aimed at clients with investable assets of more than $2 million, the bank said in a release, adding that the initiative reflects its commitment to lead wealth management in Asia.

Surendra Rosha, Co-Chief Executive of HSBC Asia-Pacific, said India’s acceleration as one of the world’s largest and fastest-growing economies is supported by its demographics, digitisation and an enabling policy infrastructure.

Strengthening presence

The launch of the global private banking business will complement HSBC’s leading retail and corporate banking offerings, and help the bank strengthen its India presence and diversify its capabilities in Asia, she added.

HSBC Group acquired L&T Investment Management in 2022, now called HSBC Mutual Fund. It has also been working to enhance digital, payment, lending and international banking services, and provide life insurance through its joint venture, Canara HSBC Life.

This launch follows HSBC Group introducing global private banking in Thailand in 2021, and in Mexico, UAE, and Chengdu, Hangzhou and Shenzhen in mainland China in 2022.

Wealth solutions

Under the private banking business, HSBC will offer wealth solutions, global private banking expertise, an extensive international network and access to commercial banking and global banking and markets capabilities. This will include bespoke lending and investment products and propositions like mutual funds, bonds, portfolio management services, insurance and access to structured products, alternative investments and a direct equity execution platform through a team of dedicated relationship managers, investment counsellors, and product specialists.

“Entrepreneurialism and innovation are fuelling both economic growth and significant wealth creation in India. Given this, being onshore in India is essential for HSBC’s ambition to be the leading global private bank for Asian, International and HSBC connected clients,” said Annabel Spring, Chief Executive of HSBC Global Private Banking and Wealth.

India is expected to become the third largest economy by FY28, with the number of UHNW individuals in India — those with more than $30 million to invest — are projected to increase 58 per cent by 2027. The wealth opportunity in India is represented by $2.8 trillion in AUM currently, and projected growth of 8 per cent per annum till 2026, the bank said.