HSBC Holdings plc (NYSE:HSBC) is considering a complete exit from retail banking operations in the U.S., according to the Financial Times.
Senior management reportedly aims to present the plan to HSBC's board in coming weeks, they said. Closing the U.S. retail network would end the bank's 40-year attempt to run a full-service universal bank in the U.S. The division posted a pretax loss of $518 million in the first three quarters of 2020, after recording losses of $279 million last year and $182 million in 2018.It also reinforces HSBC's roots in Asia.
After all, the company started out as the Hongkong and Shanghai Banking Corporation in 1865.Managers are also likely to suggest narrowing HSBC's investment bank client roster to focus on international clients, especially those with Middle Eastern and Asian links,
sources told the FT.
Other news last week at the bank making moves to delist its shares from Euronext Paris effective December 22, following the approval by the Euronext Paris S.A. The decision was taken following a review of the trading volumes, costs and administrative requirements related to its listing on Euronext Paris.
The delisting will have no impact on HSBC’s day-to-day operations in France or in Continental Europe nor on other listings on the London Stock Exchange, The Stock Exchange of Hong Kong, the New York Stock Exchange or the Bermuda Stock Exchange.
HSBC shares faltered 59 cents, or 2.2%, to $26.30.
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