HSBC’s new chief executive Georges Elhedery, who took the helm at the Europe’s largest lender on Monday (Sep 2), said he was committed to build on the bank’s current strategy, according to an internal staff memo.
Elhedery, who joined HSBC in 2005, takes over the reins at the bank from Noel Quinn as the bank is trying to shift from restructuring to growth, at a time when helpful interest rate hikes may have peaked and geopolitical tensions simmer.
He started in the new role with a trip to Hong Kong, HSBC’s biggest market. During the trip, he would gather feedback from his leadership teams, as well as meet clients and staff, according to the memo sent by Elhedery and seen by Reuters.
The memo comes as the bank’s investors are awaiting signals on how the new CEO would bolster growth, as sources of revenue outside of its fee-based wealth business are set to fall with cuts in interest rates, while tackling other challenges.
Responding to Reuters’ request for comment on the memo, a spokesperson for HSBC in Hong Kong said that Elhedery was keen to spend his first few days in Hong Kong, where he will meet a range of customers, colleagues and government officials.
“Our strategy is working, and I’m committed to continuing to build on it,” Elhedery said in the memo, which came after the Asia-focussed bank announced a sweeping leadership change last week.
The changes included former global wealth head Nuno Mantos leaving the bank and replaced by Barry O’Byrne, who heads the London-headquartered lender’s commercial banking business, starting on Oct 1.
Elhedery said in the memo the bank was now able to accelerate the execution of its strategy and grow revenue on a “sustainable trajectory”, while maintaining “high ethical standards, prudent risk management and strong cost discipline”. REUTERS
