India’s remarkable economic growth and rising affluence have positioned it as one of the world’s most compelling wealth markets, with the number of ultra-high net worth (UHNW) individuals in the country—those with more than US$30 million to invest— predicted to increase by 58% by 2027. Reflecting the country’s economic dynamism, India surpassed the U.K. as the world’s fifth largest economy in 2022, and is expected to overtake Japan and Germany by 2027-28.
This rapid accumulation of wealth has fuelled demand among the country’s affluent for sophisticated financial solutions to meet their increasingly diverse and complex needs. For instance, many are diversifying away from traditional savings to a broad range of high return investment products, and also seeking protection and health-related solutions.
This need for comprehensive wealth services is shared by the 32 million nonresident Indians living abroad in regions such as the Middle East, the U.S. and the U.K. As one of the world’s largest migrant populations, the Indian diaspora has expanded its affluence and influence around the globe. Interestingly, HSBC Global Research has found that these “global Indians” are keen to invest in their resident markets as well as back in India.
A Trusted Partner at Home and Abroad
With the launch of HSBC’s Global Private Banking business in India, the bank will be able to leverage its deep local knowledge, international network and breadth of expertise to meet both the private wealth and business needs of the country’s UHNW professionals and entrepreneurs, as well as their families.
Many consumers recognise HSBC as a trusted financial partner in India, where it has been present for 170 years offering a full range of financial services for individuals, companies and institutions. The addition of the Global Private Banking business further reinforces HSBC’s commitment to invest and grow its business in the country, as it strives to become the leading international wealth manager in Asia.
Beyond private banking, HSBC Group has been strengthening its capabilities in India in other areas. These include the formation of HSBC Mutual Fund following the acquisition of L&T Investment Management Limited in 2022, and enhancements to its digital, payments, lending and international banking services, and the provision of life insurance services through its joint venture, Canara HSBC Life Insurance Company.
“Our research suggests that India is the investment destination of the decade and beyond. Our Indian clients are financially knowledgeable and comfortable with technology. Those who have relocated from India exhibit a global perspective and are remarkably mobile. Our team of private bankers are equipped with deep technical expertise required to meet the growing financial needs of this sophisticated group,” says Sandeep Batra, Head of Wealth and Personal Banking, HSBC India.
HSBC Global Private Banking and Wealth
Wealth and Personal Banking, HSBC India
“With the new Global Private Banking business, HSBC can now bring a broad range of tailored solutions and bespoke services alongside the bank’s leading wholesale banking capabilities to our clients in India. Alongside our strong private banking network across every major global wealth centre, including Singapore, the U.K. and the UAE, we can also leverage our international connectivity to reach the global Indian diaspora so that we are where they are,” says Annabel Spring, CEO, Global Private Banking and Wealth, HSBC.
In particular, the Global Private Banking business offers a comprehensive suite of solutions, from bespoke lending and portfolio management services to investment products and wealth solutions.
With a presence in 62 countries and territories, HSBC Group also offers its Indian private banking clients access to international banking, investments and financing solutions across the group, enabling them to capitalise on global opportunities. These services are collectively delivered through a team of dedicated relationship managers, investment counsellors, and product specialists supporting wealth planning for individuals and family offices.
Furthermore, Global Private Banking clients can seamlessly access relevant HSBC Group’s solutions internationally.
Scaling Up Capabilities in Asia
Looking ahead, HSBC Global Private Banking will continue to invest in its people, capabilities and network in India and the rest of Asia. As wealth creation in the region outpaces the rest of the world, the bank will work towards bringing its investment expertise and client service capabilities closer to its clients.
HSBC Global Private Banking’s comprehensive digital services will further enhance the customer experience, providing clients with various convenient platforms to interact with their wealth managers. HSBC’s investments in enhancing its digital capabilities have been widely recognised by the industry. The bank was recently honoured with several awards in this space, including an award for Customer Facing Digital Capabilities (South-East Asia) at the WealthBriefingAsia Awards 2023.
HSBC is also bolstering its capabilities in the financial hub of Singapore to more effectively meet the needs of non-resident Indians in the region. This underscores the bank’s commitment to serve the growing community of global Indians by leveraging Singapore’s position as a prominent international wealth centre.
Over the years, the historical ties and geographical proximity between Singapore and India have fostered strong financial links between the two countries. Indeed, nearly nine out of 10 global Indians have invested in Singapore, according to HSBC. As one of the world’s largest migrant populations, members of the Indian diaspora are not only keen to invest in India but also in their respective resident markets. Due to the country’s stable government, strong rule of law and government support for the financial sector, many have started gravitating towards Singapore in recent years.
The launch of HSBC Global Private Banking in India—following on the heels of similar launches in Thailand in 2021, as well as in Mexico, UAE, and Chengdu, Hangzhou and Shenzhen in mainland China in 2022—is just the latest effort by the bank to better support the wealth journeys of UHNW individuals and families in the world’s fastest-growing wealth centres, and it will be far from the last.
Says Annabel Spring: “India is key to our global growth strategy to become the leading private bank for Asian, international and HSBCconnected clients. With our global footprint and wide range of bespoke services, we are now, more than ever, strongly positioned to meet the increasingly complex needs of wealthy Indians at home and abroad, helping them to achieve their financial, business and family goals for generations to come.”
Disclaimer
The information contained in this article has not been reviewed in the light of your individual circumstances and is for information purposes only. It does not purport to provide legal, taxation or other advice and should not be taken as such. No client or other reader should act or refrain from acting on the basis of the content of this article without seeking specific professional advice. Issued by The Hongkong and Shanghai Banking Corporation Limited.