By Megan Cheah
SINGAPORE--HSBC intends to conduct a strategic review of its insurance business in Singapore, as part of plans to simplify its businesses.
The review will only cover HSBC Life Singapore and the lender will consider all options, it said Friday.
The review is part of the bank's "ongoing simplification globally," it said. HSBC is focused on increasing its leadership and market share where it has a "clear competitive advantage" to grow and support its clients.
HSBC's wealth and wholesale banking businesses in Singapore continue to grow and the bank aims to continue to offer insurance products in the Southeast Asian nation, which remains a priority market, it added.
Singapore was HSBC's fifth-largest profit contributor in 2024, with US$1.4 billion in profit before tax.
In 2024, HSBC unveiled a revamped organizational structure under Chief Executive Georges Elhedery's plans to streamline the lender's businesses and reduce costs.
Europe's largest bank by market value said it would split its Hong Kong and U.K. businesses. It also said it planned to merge its commercial banking business outside the U.K. and Hong Kong with its institutional banking business.
The new structure included an international wealth and premier banking unit that covers the wealth management and private banking businesses.
The lender also made a geographic split between "Eastern markets" in Asia and the Middle East and "Western markets" in Europe and the Americas. This came as HSBC accelerated its pivot to Asia, where it makes most of its profit, and retreated in some big western markets, including the U.S., Canada and France.
HSBC's Hong Kong shares pared some gains after the announcement to trade 0.6% higher at 129 Hong Kong dollars, equivalent to US$16.54.
Write to Megan Cheah at megan.cheah@wsj.com
(END) Dow Jones Newswires
01-15-26 2150ET
