HSBC unveils Wealth Financing Solutions for Jade Clients
HSBC is introducing two wealth financing solutions – Wealth Portfolio Lending and Unit Trusts Investment Financing – to give HSBC Jade clients greater financial flexibility to meet their increasingly sophisticated lending and investment needs.
The enhanced wealth financing capabilities are built upon the existing expertise of Private Banking, reflecting the synergies resulting from the creation of Wealth and Personal Banking in February 2020, which strategically combined the Retail Banking and Wealth Management and Global Private Banking businesses to enable HSBC to distinctly serve a full spectrum of wealth needs, from retail customers to ultra high net worth clients.
Wealth Portfolio Lending, commonly known as Lombard Lending and traditionally available only to Private Banking clients, offers HSBC Jade clients a readily available credit facility of up to HKD40 million, depending on the collateral value of their eligible assets, without any restriction on usage. There is a wide range of assets, including time deposits, bonds, equities, and unit trusts, which are eligible for obtaining the credit facility.
HSBC Jade clients can also make use of Unit Trusts Investment Financing to enhance potential returns with additional leverage for purchasing a diverse array of open-end funds such as equity, fixed income and income-driven multi-asset funds. Clients will have access to a loan facility once they open and transfer assets to an Investment Financing account.
Sami Abouzahr, Head of Customer Wealth, Wealth and Personal Banking, Hong Kong, HSBC, said: “We understand the importance of financial flexibility and independence for high net worth individuals. With the addition of Wealth Portfolio Lending, we can offer Jade clients a suite of flexible and cost effective wealth financing solutions, including Unit Trusts Investment Financing and Premium Financing.”
Wealth Portfolio Lending is currently available in HKD. Unit Trusts Investment Financing offers a selection of unit trusts denominated in HKD and USD.
HSBC will help Jade clients monitor their outstanding margin positions for both Wealth Portfolio Lending and Unit Trusts Investment Financing. This includes timely notifications on their margin requirements. HSBC Jade Directors can also provide bespoke advice to help them unlock new investment opportunities.
Brian Hui, Head of Customer Propositions & Marketing, Wealth and Personal Banking, Hong Kong, HSBC, said: “HSBC Jade has established a unique position in the market, offering tailored personal financial solutions and exclusively curated lifestyle services. By leveraging our private banking expertise, we enhance our wealth capabilities to help Jade clients advance in their wealth journeys with best-in-class products and services and seamless experience as their investment needs become more sophisticated. Unlocking the synergies across our combined retail, wealth and private banking business to deliver distinct and differentiated offerings is key to our aspiration to become the leading wealth manager in Asia.”