HSBC’s buildout will involve hiring more prime broking staff as well as investing in technology to enable the bank to compete with more established rivals, one of the people said. The unit will cater to US-based clients but with a focus on helping them access emerging-market investments, in particular in Asia. The bank’s ambitions to become a bigger player in the wealth management industry is one of the main rationales for growing in prime broking, the people said. After ArchegosThe move comes after Archegos Capital Management LP’s collapse upended Wall Street’s prime broking landscape. The ongoing restructuring of Europe’s largest lender is likely to dominate as the firm continues its pivot to Asia and wealth management.
