HSBC Results Presentation Deck slide image

HSBC Results Presentation Deck

Footnotes 42. For further details on our financed emissions scope, methodology and terminology see pages 47 - 50 of the HSBC Holdings Annual Report and Accounts 2021 43. Less than 1% of employees will not yet have completed due to new joiners to the bank being given 45 days to complete their mandatory training 44. Source: Dealogic. Apportioned volume represents the portion of deal volume assigned to HSBC in deals where HSBC is marked as a lender 45. Client value is based on HSBC internal client management information and differs from reported revenue. Client value is the revenue from banking clients in GBM and CMB and excludes Global Markets trading revenue, Principal Investments, Business Banking and non-customer revenue, for example allocations from Corporate Centre. Analysis considers all CMB Business Banking clients to be domestic clients 46. For GBM, a client is considered as international if they hold a relationship with HSBC in two or more markets, and generate over $10k annually in client revenue across all products; for CMB, a client is considered as international if they either hold a relationship with HSBC in two or more markets, or provide GTRF and FX product revenue greater than or equal to $10k annually 47. Domestic client value is client revenue that is booked in the same market in which the primary client relationship is managed. Cross-border client value is client revenue that is booked in a different market from where the primary client relationship is managed 48. FY19 RWAs are as reported and includes accelerated saves of $9.6bn achieved in 4019 49. YTD. ROTE by Global Business excludes significant items. ROTE methodology annualises Profits Attributable to Shareholders, including ECL, in order to provide a returns metric. ROTE by Global Business considers AT1 Coupons on an accruals basis, vs. Reported ROTE where it is treated on a cash basis. Since 1 January 2021, the UK bank levy has been included in the calculation of this measure, comparative data have not been re-presented 50. Asia market position: FX, GLCM, Securities Services (SSV) and Debt rankings are Asia ex Japan, source: Oliver Wyman/Coalition report 1H21; Loans is Asia ex Japan and onshore mainland China, source: Dealogic 1H21; DCM is Asia ex Japan, source: Dealogic 1H21; Global market position: FX, SSV, GLCM and GTRF, source: Oliver Wyman/Coalition report 1H21 51. Source: McKinsey Panorama, release date 20 September 2021. Forecasts do not currently include impact of Covid-19 and oil price drop in Q1 2020 52. East defined as Asia & Middle East; West as Europe & Americas; Client value, as defined in footnote 45, excludes Global Markets products here 53. Transaction banking (TXB) includes GLCM, GTRF & Securities Services to have like to like comparison as Global Forex is not disclosed separately by peer banks; Peers include US banks 54. Revenue synergies include revenues generated from GBM products across the Group (WPB, CMB) and vice versa 55. From 1st July 2018, Argentina was deemed a hyperinflationary economy for accounting purposes 56. Data to reconcile components of reported RWAS to adjusted RWAS can be found in the 'HSBC Holdings plc 4Q 2021 Datapack' Strategy 4021 results Appendix 57. Source: Hong Kong Insurance Authority Quarterly Release of Provisional Statistics for Long Term Business up to 3Q21 58. Differences between shareholders' equity and tangible equity drivers primarily reflect goodwill and other intangible impairment, PVIF movements and amortisation expense within 'Profit Attributable to Ordinary shareholders', FX on goodwill and intangibles within 'FX', and intangible additions and other movements within 'Other' 59. Mainland China drawn risk exposure. Retail drawn exposures represent retail lending booked in mainland China; Wholesale lending where the exposure is booked in mainland China or the ultimate parent/beneficial owner is in mainland China 60. Mainland China reported Real Estate exposures comprises exposures booked in mainland China and offshore where the ultimate parent is based in mainland China, and all exposures booked on mainland China balance sheets; Commercial Real Estate refers to lending that focuses on commercial development and investment in real estate and covers commercial, residential and industrial assets; Real Estate for Self Use refers to lending to a corporate or financial entity for the purchase or financing of a property which supports overall operations of a business i.e. a warehouse for an e-commerce firm 61. Loans and advances amounts represent gross carrying amount. Guarantees amounts represent nominal amount 62. Excludes Private Bank 63. Source: Bank of England 64. Includes offset mortgages in first direct, endowment mortgages and other products 55
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