HSBC 2004 Annual Report Download - page 16

HSBC HOLDINGS PLC
Description of Business (continued)
14
differentiating, broadening and enhancing its
offering. The range of products includes:
Payments and cash management: HSBC is a
leading provider of payments, collections, liquidity
management and account services worldwide,
enabling commercial customers to manage their cash
efficiently on a global basis. HSBC’s extensive
network of offices and strong domestic capabilities
in many countries, including direct access to local
clearing systems, enhance its ability to provide high-
quality cash management services.
Treasury and capital markets: Commercial
Banking customers have long been volume users of
the Group’ s foreign exchange capabilities. These are
now being supplemented with more sophisticated
currency and interest rate options.
Investment banking: A small number of
Commercial Banking customers need occasional
investment banking advisory support. Co-operation
with Corporate, Investment Banking and Markets
ensures that in most key markets such requirements
can be serviced internally.
Wealth management services: These include
advice and products related to savings and
investments. They are provided to Commercial
Banking customers and their employees through
HSBC’s worldwide network of branches and
business banking centres.
Insurance: HSBC offers insurance protection,
employee benefits programmes and pension schemes
designed to meet the needs of businesses and their
employees, and to help fulfill the applicable statutory
obligations of client companies. These products are
provided by HSBC either as an intermediary (broker,
agent or consultant) or as a supplier of in-house or
third party offerings. Products and services include a
full range of commercial insurance, including
pension schemes; healthcare schemes; ‘key man’ life
insurance; car fleet; goods in transit; trade credit
protection; risk management and insurance due
diligence reviews; and actuarial/employee benefit
consultancy.
Trade services: HSBC has more than 130 years
of experience in trade services. A complete range of
traditional documentary credit, collections and
financing products is offered, as well as specialised
services such as insured export finance, international
factoring and forfaiting. HSBC’s expertise is
supported by highly automated systems.
Leasing, finance and factoring: HSBC
provides leasing, finance (including instalment and
invoice finance) and domestic factoring services,
primarily to commercial customers in the UK, Hong
Kong and France. Special divisions have been
established to finance vehicles, plant and equipment,
materials handling, machinery and large complex
leases.
Corporate, Investment Banking and Markets
HSBC’ s Corporate, Investment Banking and
Markets business provides tailored financial
solutions to major government, corporate and
institutional clients worldwide. Managed as a global
business, this customer group operates a long-term
relationship management approach to build a full
understanding of clients’ financial requirements.
Sectoral client service teams comprising relationship
managers and product specialists develop financial
solutions to meet individual client needs. With
dedicated offices in over 50 countries and with
access to HSBC’ s worldwide presence and
capabilities, this business serves subsidiaries and
offices of its clients on a global basis.
Products and services offered include:
Global Markets: HSBC’ s operations in Global
Markets consist of treasury and capital markets
services for supranationals, central banks,
corporations, institutional and private investors,
financial institutions and other market participants.
Products include:
• foreign exchange;
• currency, interest rate, bond, credit, equity and
other specialised derivatives;
• government and non-government fixed income
and money market instruments;
• precious metals and exchange traded futures;
• equity services, including research, sales and
trading for institutional, corporate and private
clients and asset management services,
including global investment advisory and fund
management services; and
• distribution of capital markets instruments,
including debt, equity and structured products,
utilising links with HSBC’s global networks.
Global Transaction Banking: This includes
international, regional and ‘in-country’ payments and
cash management services; trade services,
particularly the specialised ‘supply chain’ product;
and securities services, where HSBC is one of the
world’s leading custodians providing custody and
clearing services and funds administration to both
domestic and cross-border investors. Factoring and