HSBC Holdings PLC · LSE:HSBA
HSBC — Investor Day (May 2011)
18 slides from HSBC's investor day presentation, May 11, 2011
Slide 1: HSBC Holdings plc Investor Day announcement
Abc 11 May 2011 HSBC HOLDINGS PLC INVESTOR DAY The presentation given today by Alan Keir, Chief Executive Commercial Banking, is attached and will be available to view at www.hsbc.com. ends/all Registered Office and Group Head Office: This news release is issued by 8 Canada Square, London E14 5HQ, U
Slide 2: Commercial Banking Investor Day
11 May 2011 Commercial Banking Investor Day Alan Keir Chief Executive Commercial Banking
Slide 3: Forward-looking statements
Forward-looking statements This presentation and subsequent discussion may contain certain forward-looking statements with respect to the financial condition, results of operations and business of the Group. These forward- looking statements represent the Group’s expectations or beliefs concerning f
Slide 4: Key trends for CMB
Key trends for CMB The world is more international and connected World GDP vs. Faster Growing Markets trade2 CAGR Faster Growing Markets to contribute 15% 16% over half of the world’s trade in 20201 Faster 12% Growing and Strong FDI flows in both Mature and 9% 7% Mature Faster Growing Markets 2%
Slide 5: HSBC position and competitive advantages: building on heritage to enable connectivity
HSBC position and competitive advantages Building on our rich heritage to enable connectivity Profitable throughout the crisis Industry recognition PBT, USDbn Treasury Management International Best Cash Management Bank in Asia Best Cash Management Bank in China 7.1 7.2 Global Finance 6.0 6.1 Best Ov
Slide 6: Delivering connectivity across the Group
HSBC position and competitive advantages Delivering connectivity across the Group Customer Group cross-sales in 2010 Referrals within CMB 20101 % of referrals by transaction value Global To USD1.4bn revenue Markets Mature Faster Growing Mature 18 33 From GPB USD4bn in net new money Faster Growin
Slide 7: Consistently delivered strong and sustainable financial performance
HSBC position and competitive advantages Consistently delivered strong and sustainable financial performance 2009 2010 Revenue Steady growth USD12.9bn +8% USD13.8bn PBT Strong increase USD4.3bn +42% USD6.1bn Cost efficiency Invested for future 46.4% +3.0pp 49.4% ratio revenue growth LIC as % o
Slide 8: Leveraging international capabilities
HSBC position and competitive advantages Leveraging international capabilities Trade growth HSBC international capabilities Turnover growth3, %, 2009-2010 Recognised leader in trade 55 – Whether open account … – Global Liquidity Management in 55 markets 22 – Receivables Finance: coverage across 19
Slide 9: Strategic direction and actions overview
Strategic direction and actions Strategic direction and actions overview Commercial Banking Strengthen our position as the leading international trade and business bank Collaborate with Capture growth Focus on Faster GBM to capture the Drive efficiency 1 2 3 in international 4 Growing Markets mid-ma
Slide 10: Focus on Faster Growing Markets
Strategic direction and actions 1 Focus on Faster Growing Markets Key opportunities1 Key actions Faster Growing Markets will contribute twice as much as the Mature Markets to global growth over the period 2010-2050 Expanding presence in key Faster Growing Markets By 2050, 19 of the top 30 market
Slide 11: Collaborate with GBM to capture the mid-market opportunity
Strategic direction and actions 2 Collaborate with GBM to capture the mid-market opportunity Key opportunities Key actions Growing demand for financing solutions, particularly in Faster Growing Markets, to be delivered with: Capture potential revenue upside of USD1bn in the short to medium term –
Slide 12: More than three decades supporting the Godrej Group
Strategic direction and actions More than three decades supporting the Godrej Group 1976 2000 2006 2008 2010 Inception of Facilities to Godrej Supported Godrej Bridge loan of Sole advisor and Commercial Soaps split between Industries through USD34m for arranger for relationship with Godrej Industrie
Slide 13: Capture growth in international SMEs
Strategic direction and actions 3 Capture growth in international SMEs Key opportunities1 Key actions SMEs demonstrate increasingly “international” aspiration Capture increased share of growing market of international SME international aspirations and internationally aspirant SMEs today and 2-year
Slide 14: Drive efficiency gains
Strategic direction and actions 4 Drive efficiency gains Key opportunities Key actions Global capabilities and scale: – Greater standardisation of operating Implement a globally consistent operating model model to drive cost efficiencies Reduce support function and IT costs through centralisatio
Slide 15: Key take-aways
Key take-aways Commercial Banking Competitive advantages We connect Mature and Faster Growing Markets for our customers We are a recognised leader in trade Superior returns, leveraging our international and GBM capability Rich heritage with a customer centric business model Target RoRWA 2.2%-2.5% St
Slide 16: Basis of preparation (1/2)
Basis of preparation (1/2) Actuals Actual numbers presented are on a reported basis and include the effect of movements in the fair value of HSBC’s own debt related to credit spreads AMG The Global Asset Management business formed part of GBM in 2010, but has been included in RBWM for the RoRWA targ
Slide 17: Basis of preparation (2/2)
Basis of preparation (2/2) RoE Return on equity (‘RoE’) is profit attributable to ordinary shareholders of the parent company divided by average ordinary shareholders’ equity RoRWA The metric, return on risk weighted assets (‘RoRWA’), is the profit before tax divided by average RWAs. The RWAs have b
Slide 18: Acronyms and definitions
Acronyms and definitions A/D ratio Ratio of customer advances to customer deposits ETF Exchange traded funds NYSE New York Stock Exchange Advance HSBC Advance, a global banking proposition for the EU European Union OCC Office of the Comptroller of Currency mass-affluent segment of customers AFS Avai