HSBC Global Private Banking (GPB) has made a public statement indicating the kick-off of its discretionary digital platform (DPM) in Asia, making HSBC the first lender to make this functionality accessible via a mobile application.
With this new function, private banking customers will be able to subscribe and reallocate their discretionary portfolio through the HSBC Global Private Bank’s mobile applications. This will guarantee round the clock access to portfolio holdings and manager assets.
The program, which only became available online in May 2021, utilises building blocks in the construction of clients’ portfolios and is exclusively for clients in Asia whose investments stand at $200,000 or more. The referred discretionary portfolio building blocks have equity, fixed income and multi-asset portfolios, as part of their offerings and these are handled for HSBC GPB by HSBC Asset Management and third-party managers.
Further more, this DPM strategy accounts for more than 10% of HSBC GPB’s DPM assets under management on the continent.
In 2022, HSBC GPB launched an online trading platform for private banking clients in Asia, in a bid to connect clients with trending market opportunities in real-time. This also featured trading access to 10 major financial markets.
Siew Meng Tan, regional head of HSBC Global Private Banking, Asia Pacific, said: “In an increasingly challenging environment, more and more clients in Asia are opting for discretionary mandates to diversify their portfolios, build multiple income streams and take up defensive positions in high-quality companies to withstand market volatility and interest rate hikes.
The new discretionary digital platform will enable us to serve the immense and fast-growing segment of underserved affluent-to-high net worth investors, giving them access to sophisticated and exclusive DPM portfolio building blocks, especially the next generation clients who are more hands-on in portfolio construction.”
He added: “Most discussions on DPM or portfolio construction today are still heavily reliant on face-to-face meetings, whether physical or virtual. The discretionary digital platform is built upon our strategic vision of making a broad product shelf and CIO3 content digitally available to our clients beyond the UHNW space. Having a simple yet powerful digital wealth management platform enabling investment at their fingertips has been a true game changer appreciated by many of our clients, especially digitally savvy millennials, who desire flexible means for more proactive wealth management, anytime and anywhere. In Hong Kong, 90% of our clients said that our digital services exceeded or met their expectations, a year-on-year increase of 5%.”
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