East-West split is surefire way to destroy HSBC value
East-West relations are a growing problem for HSBC Holdings, the bank with feet planted equally in each hemisphere. US-China tensions have steadily ramped up, but while geopolitical discord threatens HSBC’s business, splitting the bank into a version of HSBC East and HSBC West — as its largest shareholder, Shenzhen, China-based Ping An Insurance (Group), has proposed — is no solution. It would only add costs or destroy revenue. HSBC had answered the break-up question before Ping An raised it, by revealing more detail about how much of its Asian revenue comes from Western clients. Many of...
Source: taipeitimes.com
