HSBC in new plan to get back on track

摘要

HSBC has unveiled ambitious plans to boost the bank's poor returns as group chief executive Stuart Gulliver seeks to get the firm back on track after missing return-on-equity targets every year since he took over in 2011. Global banking and markets, run by Gulliver until he took on the top job, will be at the forefront of the efforts, with plans to double the return on risk-weighted assets over the next two years - taking it back to what it achieved in 2010. The client-facing part of GBM, which includes the bank's trading and capital markets business, is expected to meet a return on RWA of 2.5% by 2017 - up from 1.2% last year - through balance-sheet reductions, cost cuts and growth. The move is expected to help the group boost ROE to more than 10% over the next two years, in what is a climb-down from Gulliver, who set a target of between 12% and 15% shortly after taking the helm. He has failed to ever reach that level.