HSBC cuts ties with Middle East clients to reduce risk: report

HSBC's (0005) Swiss private bank is terminating relationships with wealthy clients across the Middle East, including many with assets exceeding US$100 million (HK$780 million), as it attempts to reduce exposure to individuals it deems high-risk, Bloomberg reported.

More than 1,000 clients from Saudi Arabia, Lebanon, Qatar, and Egypt have been informed they can no longer do business with the bank's Swiss wealth management unit, said the people, who requested anonymity as the process is ongoing.

Some clients have already started receiving notifications and will get termination letters in the coming months, which will suggest they could consider moving to other jurisdictions, the people added.

In an emailed statement, HSBC said it announced plans in October to reorganize the group to accelerate strategy delivery. As part of that plan, it is adjusting the strategic focus of its Swiss private bank.