HSBC Global Private Banking (GPB) has announced the launch of its discretionary digital platform (DPM) in Asia, the first bank in the region to offer this service on a mobile app.
This feature allows private banking clients to subscribe and reallocate their discretionary portfolio via the HSBC GPB’s mobile apps. As a result, they now have 24/7 access to portfolio holdings and manager updates.
Launched online in May 20221, the program uses building blocks to construct clients’ portfolios exclusively for clients in Asia with a minimum investment of $200,000. These discretionary portfolio building blocks offer equity, fixed income and multi-asset portfolios, managed for HSBC GPB by HSBC Asset Management and third-party managers.
In addition, this DPM strategy represents over 10% of HSBC GPB’s DPM assets under management in Asia.
Last year, HSBC GPB released its online trading platform for private banking clients in Asia to connect clients with the latest market opportunities. This included trading access to 10 key 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%.”