HSBC 2007 Annual Report Download - page 11

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particular, we will see further strategic investments
from emerging markets into mature markets, as well
as into other emerging markets, a trend from which
we are well placed to benefit.
2008 is likely to be a year of caution in the
financial sector until liquidity, transparency and the
proper pricing of risk return to financial markets. We
expect to be able to improve margins on the use of
our capital and we will continue to invest in building
market presence at a time when others with weaker
capital positions are constrained.
The fundamentals of HSBC are very strong. The
deleveraging of the financial system clearly plays to
HSBC’s strengths, given our conservative balance
sheet and international presence. There can be few
banks in the world that are better positioned to
withstand market turbulence and grasp strategic
opportunities. We will continue to focus HSBC on
the parts of the global economy that promise the best
prospects for higher growth over the long term.
We will continue to invest for profitable growth in
line with our strategy, and we will do so while
maintaining HSBC’s financial strength, which is
at the heart of our success.
S K Green, Group Chairman
3 March 2008