HSBC to offload investment banking, 35,000 jobs in strategic overhaul


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HSBC to offload investment banking, 35,000 jobs in strategic overhaul

On Tuesday, the 18th of February 2020, the Europe’s largest lender, London-based British multinational investment bank and financial services company, HSBC Holdings Plc., had made an announcement saying that the world’s seventh largest lender with a net asset worth of $2.558 trillion, HSBC, would offload nearly $100 billion worth of assets involving a downsizing of its investment banking operation alongside a sweeping overhaul of its European and Northern American businesses, suggesting more than 35,000 white-collars would become jobless over the course of next three years.

In point of fact, the London-based British multinational lender’s Tuesday’s (February 18th) announcement came forth as the lender’s investment banking operation had been facing off a flurry of fierce competitions from more focused rivals, while the British lender also had to grapple with a Brexited Britain, multi-year low interest rates alongside a steep lag in growth and profit margins.

Besides, the HSBC Holding Plc., the latest financial industry major looking to turn its tails over competing narratives of a number of downfalls in a swathe of sectors, had also added in its Tuesday’s (February 18th) statement that it would soon merger its wealth and borrowing businesses and slash European stock trading, while it had also been seeking to axe its US retail branches to free up a sum of $4.5 billion in operational expenses.