Hsbc Holdings Plc · LSE:HSBA
Hsbc — Investor Presentation (September 2017)
14 slides from Hsbc's investor presentation, September 2017
Slide 1: UK Retail Banking and Wealth Management (RBWM) Presentation to Investors and Analysts
World’s Best Bank UK Retail Banking and Wealth Management (RBWM) Presentation to Investors and Analysts HIGHLY RESTRICTED September 2017
Slide 2: Important notice and forward-looking statements
Important notice and forward-looking statements Important notice The information set out in this presentation and subsequent discussion does not constitute a public offer for the purposes of any applicable law or an offer to sell or solicitation of any offer to purchase any securities or other finan
Slide 3: Business Overview
Business Overview Positioned for future growth with a multi-brand, multi segment and multi-channel capability Business Offering: – Four market leading brands: HSBC, first direct, M&S Bank and John Lewis Partnership serving ~13m active customers (2016YE) – Within the HSBC brand, three differentiated
Slide 4: Business and Market Context, Brands
Business and Market Context, Brands Four market leading brands delivering to distinctive customer needs ► For the open minded, with a world view ► For the entrepreneurially minded who live and Share of UK RBWM think differently seeking to make the most out of life revenue2 2016FY ► ~8m customers ► ~
Slide 5: Business and Market Context, HSBC
Business and Market Context, HSBC HSBC brand has further differentiated propositions to cover key market segments in the UK Personal Banking ► For customers who want access to ► For emerging affluent, digitally savvy ► Premium banking services for affluent simple transactional banking products, prof
Slide 6: Retail Transformation Programme
Retail Transformation Programme Well-advanced investment in digital is improving customer experience while enabling cost savings from our branch optimisation programme Capabilities already released Online Global Apple Pay & Live Chat Voice Biometrics Branch Video Service Platform Android Pay A fresh
Slide 7: Building innovation around customers’ channel of choice
Building innovation around customers’ channel of choice HSBC is investing in propositions and functionality that complement changing customer behaviour, reinforce ‘channel of choice’ and deliver operational efficiencies Digital adoption has become the ‘norm’ – 90% of HSBC’s payments and transfers ar
Slide 8: UK Mortgages
UK Mortgages Market share gains in 2016 and 1Q171 driven by expansion in the intermediary market, customer journey improvements and great value products Market Dynamics Strategic Focus ― Channel trends – around three quarters2 of all customers now choose to take ― Increase our penetration of the int
Slide 9: Unsecured Lending
Unsecured Lending Focus is on high value, low risk customers superseding direct price competition Loans: Cards: – Intense price competition driven by a crowded market with – Outstanding balance reduction has slowed, but zero balance access to low cost funding transfer market remains buoyant, amplifi
Slide 10: Current Accounts (CAs)
Current Accounts (CAs) Focus on acquiring and deepening relationships with high value customers in target Premier and Advance segments has resulted in significant balance growth Driving value from key propositions despite overall decline in total Balances are increasing as we deepen relationships wi
Slide 11: Conduct risk
Conduct risk HSBC has repositioned the business for conduct risk … UK customer redress and Consumer Credit Act (CCA) provisions at their Numerous actions to reduce conduct risk lowest since 20121 started in 2012 Loan Impairment Charges ($m) – Removed the formulaic link between product UK customer re
Slide 12: PRA Stress Test
PRA Stress Test … while maintaining strong credit discipline PRA stress tests: Projected cumulative three/five-year PRA stress tests: Projected cumulative three/five-year impairment charge rates on UK individuals – mortgage impairment charge rates on UK individuals – non- lending1,2 (%) mortgage len
Slide 13: Summary
Summary Investing for growth HSBC has a solid platform to build on: – Strong balance sheet delivering returns in excess of Group hurdle rates – Low LICs reflecting high quality asset portfolio – Investment in digital is improving customer experience while enabling cost savings from our branch optimi
Slide 14: Appendix
Appendix Optimising our branch footprint – Geographical reach 14
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