Peter Wong has retired as an ‘indispensable’ old HSBC American
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When Peter Wong announced his retirement this week after a decade as HSBC’s chief executive officer for Asia, he told employees that turning the crisis into an opportunity was “embedded” in the bank’s DNA.
HSBC-k a crisis sort In Europe, the US and South America over the past 10 years – Wong has quietly paved the way for Europe’s largest lender to Hong Kong’s richest circles and Beijing’s power corridors.
By the time Asia became CEO, $ 8 for every $ 10 of the bank’s profits had sprung up in the region, but more than half of the loan book and more than two-thirds of the capital had spread to Europe and the U.S.
Now, growth in China and Hong Kong has become the core of the global strategy and more than $ 100 billion in capital has been relocated to the region. HSBC’s U.S. business and part of its European operations have been dissolved or sold.
Wong’s ties to Hong Kong’s business elites and the Chinese Communist Party have been crucial. Allies say the veteran Hong Kong banker has become “indispensable” to HSBC – he will continue in a new role in the bank’s chair in Hong Kong, a position traditionally held by the CEO.
However, the 69-year-old man went into a crisis of his own last year when HSBC endangered careful political neutrality for more than a century. signing the application In favor of Beijing’s tough national security law in Hong Kong. This earned him praise in Beijing, but he catapulted Wong’s name to the radars of avid politicians in Westminster and Washington.
“It caused serious difficulties for Noel Quinn and Mark Tucker,” said a former board member of HSBC, referring to the bank’s chief executive and chairman, respectively. “It’s been noticeable since Peter’s political connection signed the NSL petition, but that hurts his 40-year career as a very good banker.”
HSBC’s fortune is tied to China. Wong’s relationship with the Communist Party – which is part of his basic political advisory body – has been of tremendous benefit to the bank. HSBC eased tensions with Beijing over allegedly violating criminal sanctions against U.S. prosecutors who were investigating Huawei’s China technology team.
“The Chinese government believes he is a friendly and trusted person,” said Sir David Li, executive chairman of the East Asian Bank and the oldest banker in Hong Kong. Jeffrey Lam, a member of Hong Kong’s parliamentary council, said: “HSBC is between two points: the mainland and the US. Peter has managed tremendously – he needs the skills to deal with this conflict. “
Wong, who is also a trusted friend and banker of Hong Kong tycoons like Sir Li Ka-shing, Henry Cheng and Thomas Kwok, was captured in 2005 from Standard Chartered HSBC HSBC realized he had almost no senior officials in Hong Kong or China when it was. He was already established in the local and mainland Chinese business and political circles as president of the influential Banking Association of the territory.
Powerful friends deeply attached to Hong Kong politics say they have no “diplomacy” and “nonsense”.
“He speaks very little, but when he does, he means what he says,” Li of BEA said. Peter Ma, president of Ping An, a Chinese insurer that is HSBC’s largest shareholder, described Wong as the “oldest head of state” at the Asian international bank.
As chairman of the original bank in Hong Kong, Wong will maintain his status among Hong Kong taipanak – the most prestigious companies in the city. Although he will replace the Asian head two other junior colleagues, Will continue to live at Taipan House, HSBC’s $ 73 million headquarters for the city’s exclusive local executive at Peak Exclusive.
More importantly, it will play a key role in shaping the future of the territory as an international financial center. Hong Kong has been forced to defend its reputation as a financial center around the world since violent pro-democracy protests began in 2019 and a national security law was enacted last year.
Wong spends hours discussing issues of “critical interest” in our future as an international financial center, said Joseph Yam, Hong Kong’s first central banker now serving on the congressional committee.
“People complain [Hong Kong] Becoming more and more China, ”he added. “That’s silly – Peter is able to see that. He doesn’t have the problematic culture we see on Wall Street, where financial institutions have become autonomous instead of serving the economy.”
There is no retirement age at HSBC, so the timing of Wongen’s departure has raised questions. An insider linked him to the decision to relocate four global business leaders this year from London to Hong Kong.
“Historically Peter has had a lot of independence, now there will be a lot of people on the 34th floor of Queen’s Road Central 1. [HSBC’s historic local headquarters] meeting him, trying to connect with the very strong P&L in Hong Kong, ”the person said.
“The state of the Hong Kong tons and the number of faces,” said a former HSBC executive. “So it’s very sweet to name the original bench chair in Hong Kong.”
When announcing Wong’s retirement, Quinn said the time he worked with Wong “helped HSBC believe that it has a prosperous future as a global bank that can bridge the East and the West.”
Wong is used as a mediator between mainland China, Hong Kong and the rest of the world – sometimes including the volatile markets that are emerging – to navigate conflicts. As mainland China becomes increasingly important to HSBC, there is likely to be more geopolitical fires.
“We have been invited to other people’s countries for the rest of the bank’s life,” the former HSBC chief said. “It’s not surprising that crises happen often.”
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