Chinese bond bankers flee HSBC
HSBC has reportedly lost four bankers in its debt capital markets team covering Chinese state-owned enterprises as the company faces pressure from the Huawei incident and highlighted relations with the UK
General managers John hai and Jiang song have left HSBC in recent weeks, according to a “Bloomberg” report citing anonymous sources, intending to join competing firms after more than a decade with the UK lender.
Hai and Jiang led customer coverage of quality Chinese issuers, including state-owned enterprises (SOEs).
Two other bankers from HSBC’s China Investment Grade team have also left.
The Chinese Investment Grade Bonds team has 12 employees and the Global Debt Capital Market Unit (DCM) has around 20.
According to the sources, HSBC missed dollar bond transactions from Chinese clients of state-owned companies following the US investigation into Huawei’s chief financial officer. Meng Wanzhou.
The negotiation was also affected by tensions between the UK and China over political freedoms in Hong Kong.
Asia Focus did not derail
Despite the headwinds, HSBC continues to concentrate its resources in Asia with cuts or exits from unprofitable activities in the United States and Europe.
In addition to the transfer of three of HSBC’s senior executives from London to Hong Kong, the bank also hired a managing director within a global co-head of capital finance. Matthew Ginsburg and Head of Consumer and Retail Heidi chan.
“We continue to invest in our mainland Chinese business – both onshore and offshore – and have recently seen strong momentum for our DCM business in China, particularly in [the] public sector, FIG and high yield, ”said an HSBC spokesperson. “As the leading foreign bank in Mainland China, we are proud of our track record, confident and optimistic in our ability to meet the financial and banking needs of our Chinese customers.”