Keeping an Eye On HSBC in February
Although I usually stick to extremely small niches for ideas, what's going on with this company is too fascinating not to comment on.
HSBC has been in the crossfires of the Hong Kong protests lately. They're expected to release 2019 annual results sometime around Feb 18th, so perhaps now is a prudent time to re-examine the totality of developments that have been going on at the 5th largest bank in the world.
It's no secret that HSBC has a massive exposure to mainland China and Hong Kong. In my opinion, the writer behind Strategic Macro does a wonderful job of describing it here. I suggest everyone to read through it. If Strategic Micro doesn't provide a follow up to his original post once annual results get released, perhaps I will.
Right now though the only update I'll add to the topics discussed in that post, is that according to Centa-City Leading Index, it appears Hong Kong secondary private residential property prices have peaked and are on their way down.
This index is updated every Friday and can be found here
Furthermore, what isn't discussed in Strategic Micro's post is the departures of key employees and board members of HSBC that have occurred over the last ~6 months. To name a few they are :
John Flint, CEO, starts it off abruptly stepping down after 18 months on the job : link
Helen Wong, Head of Greater China, link
Mark McKeown, Chief Risk Officer of Asia Pacific Region (based on linkedin)
Adam Harper, Greater China communications Head, link
Mark Cooke, Head of Operational Risk, link
Andy Maguire, Chief Operating Officer, link
Mark Moses, Chief Risk Officer and Board Member, link
Samir Assaf, Head of Global Banking and Markets, link
*Pierre Goad, Chief Communications Officer, also left however this was before Flint had left, link *
And finally with this last filing on Friday:
Sir Jonathan Symonds, Senior Independent Director & Chairman of the Group Audit Committee, link
HSBC mass layoffs:
- https://www.dailysabah.com/finance/2019/10/25/hsbc-to-sack-thousands-amid-cost-reduction-efforts-hong-kong-protests
- https://www.thisismoney.co.uk/money/markets/article-7835127/Up-10-000-jobs-risk-HSBC-international-overhaul.html
Perhaps a lot of these departures are simply part of the shake up Noel Quinn is leading as he takes over for Flint and I'm being hyperbolic.
Nevertheless as Feb 18th approaches here's a reminder of HSBC's last outlook:
HSBC has been in the crossfires of the Hong Kong protests lately. They're expected to release 2019 annual results sometime around Feb 18th, so perhaps now is a prudent time to re-examine the totality of developments that have been going on at the 5th largest bank in the world.
It's no secret that HSBC has a massive exposure to mainland China and Hong Kong. In my opinion, the writer behind Strategic Macro does a wonderful job of describing it here. I suggest everyone to read through it. If Strategic Micro doesn't provide a follow up to his original post once annual results get released, perhaps I will.
Right now though the only update I'll add to the topics discussed in that post, is that according to Centa-City Leading Index, it appears Hong Kong secondary private residential property prices have peaked and are on their way down.
This index is updated every Friday and can be found here
HSBC DEPATURES
Furthermore, what isn't discussed in Strategic Micro's post is the departures of key employees and board members of HSBC that have occurred over the last ~6 months. To name a few they are :
John Flint, CEO, starts it off abruptly stepping down after 18 months on the job : link
Helen Wong, Head of Greater China, link
Mark McKeown, Chief Risk Officer of Asia Pacific Region (based on linkedin)
Adam Harper, Greater China communications Head, link
Mark Cooke, Head of Operational Risk, link
Andy Maguire, Chief Operating Officer, link
Mark Moses, Chief Risk Officer and Board Member, link
Samir Assaf, Head of Global Banking and Markets, link
*Pierre Goad, Chief Communications Officer, also left however this was before Flint had left, link *
And finally with this last filing on Friday:
Sir Jonathan Symonds, Senior Independent Director & Chairman of the Group Audit Committee, link
HSBC mass layoffs:
- https://www.dailysabah.com/finance/2019/10/25/hsbc-to-sack-thousands-amid-cost-reduction-efforts-hong-kong-protests
- https://www.thisismoney.co.uk/money/markets/article-7835127/Up-10-000-jobs-risk-HSBC-international-overhaul.html
Perhaps a lot of these departures are simply part of the shake up Noel Quinn is leading as he takes over for Flint and I'm being hyperbolic.
Nevertheless as Feb 18th approaches here's a reminder of HSBC's last outlook:
