Shareholder Ping An asks HSBC for 'aggressive' cost cuts amid breakup push

HSBC Holdings’ shareholder Ping An has called on the bank to be “much more aggressive” in reducing costs by cutting jobs and warned that the lender’s board lacks experience in Asia, the Financial Times reported on Friday (Nov 4).

It was “urgent” that the bank should further on cost-cutting and bring down its expenses, which are far higher than its rivals, Ping An Asset Management chair Michael Huang said in an interview with the newspaper.

The report comes after the China-based shareholder had started a campaign earlier this year to pressure the British lender to explore options, including listing its Asia business to increase shareholder returns.

Ping An had also said in August that it was not an activist investor.

HSBC also has a number of senior bankers who do not have sufficient experience of working in Asia, Huang said in the interview.

Ping An and HSBC did not immediately respond to a Reuters request for a comment. REUTERS