HSBC shifts focus to retail banking

With its recent acquisition of NRMA, HSBC realised plans to aggressively expand its branch network. Head of personal financial services, Kevin Martin, points out that although the bank is keen to grow its retail presence it is not a core strategy to build or acquire a large branch network because its customer are saying “we don't need all those branches anymore.”

HSBC also sees the future of banking not as selling products on the strength of a mortgage relationship with each customer but rather offering customers complete financial advice.

Mr Martin said, “The days of home mortgages being the cornerstone have passed and will get further away from reality… us, lending and financial planning are the same.” Mr Martin also feels that the term “wealth management” was overused in banking circles and meant little to customers.

Read more here on HSBC’s expansion of its branch network.

The Sydney Morning Herald Online 04/02/02