HSBC Holdings Plc’s private bank unit, which invests $25 billion in hedge funds globally, sees opportunities in backing new Asia-based managers, said Henry Lee, its regional head of alternative investment group.
HSBC Holdings Plc, Europe’s largest lender, said full-year earnings at its private bank dropped 81 percent as customers pulled money from its Swiss cross-border business and the firm made provisions for regulatory probes.
HSBC Holdings Plc ’s Swiss private bank said new money from Asia offset first-half client outflows from Europe as tax authorities in France and Italy scrutinize account details stolen by a former employee.
The worst plunge in China’s stocks in more than a year is a buying opportunity for investors as the country’s benchmark index may advance as much as 15 percent by June, according to HSBC Private Bank’s Arjuna Mahendran .
The longest losing streak for developing-market equities in more than a decade is turning investors who shunned the stocks a year ago into buyers after valuations fell to the lowest levels since March 2009.
HSBC Private Bank is shifting funds to shares in developed nations and cutting holdings of bonds and stocks in emerging markets, predicting asset prices will drop as much as 10 percent as developing nations raise interest rates.