Some of HSBC’s biggest shareholders have announced that they would support the bank’s decision to move its headquarters abroad, should it decide to take the plunge.
One of their biggest shareholders, Standard Life Investments, said that HSBC (LON:HSBA) was put at a “competitive disadvantage” by “ever-increasing capital requirements” in London.
Standard Life Investments head of equities David Cummings told Radio 4’s Today programme that “logically, we would be supportive of a move if they chose to do that”, stating that a UK exit could amount to “better growth, earnings and dividend prospects unless the regulator changes tack”.
The decision to move away from London will be made by the end of the year, as HSBC struggles to contend with “regulatory and structural reforms” introduced since the financial crisis.
Some speculate that the bank will choose to move to Hong Kong – HSBC makes around 80 percent of its profit in Asia, where is has major operations.
23/11/2015
