Our strategy
Our strategy supports our ambitions to be the preferred international financial partner for our clients and to have a mid-teens return on tangible equity (RoTE) in 2024.
We are implementing our strategy across our four strategic pillars aligned to our purpose, values, and ambition. It includes capturing growth from diversified revenue sources by investing in less capital intensive, fee income generating businesses such as wealth and transaction banking; Strengthening our scale positions in our home markets: Hong Kong and the UK, which provide us with deep liquidity pools, underpinning our strong balance sheet; Doubling down on international connectivity - the heart of our business - by taking advantage of our network to help enable our strong international wholesale business to capitalise on recovering global trade and capital flows, and building market-leading WPB international propositions. Supported by these levers, we expect to deliver a return on average tangible equity in the mid-teens for 2024 and 2025, excluding the impact of notable items.
Our strategic pillars
We are making good progress in both growth and transformation initiatives across our four strategic pillars:
Focus
To achieve our ambition, we’re prioritising our efforts and investing for the future. We aim to:
- Maintain leadership in scale markets
- Double-down on international connectivity
- Diversify our revenue
- Maintain cost discipline and reshape our portfolio
Digitise
As people lead increasingly digital lives, we’ll:
- Deliver seamless digital customer experiences
- Ensure resilience and security
- Embrace disruptive technologies and partner with innovators
- Automate and simplify at scale
Energise
We’re investing in the development of our people. We want to:
- Inspire leaders to drive performance and delivery
- Unlock our edge to enable success
- Deliver a unique and exceptional colleague experience
- Prepare our workforce for the future
Transition
We want to do more than simply play our part in the transition to a more sustainable world. We’ve committed to:
- Support our customers
- Embed net zero into the way we operate
- Partner for systemic change
- Become net zero in our operations and supply chain by 2030, and our financed emissions by 2050
Our strategy in action
Partnering to scale finance for the transition at COP28
We announced a number of partnerships at the summit to support the net zero transition.
How our acquisition of AXA Singapore will benefit customers
The integration of AXA Singapore into HSBC Life gives us the scale and expertise to offer customers what no-one else can.