HSBC another foreign bank is shutting its private banking business in India, Asia’s third-largest economy.
“After a strategic review of the global private banking operations in India, we have decided to close the business,” an HSBC Indian spokesman said.
Many foreign wealth managers opened business in India thinking of fast economic growth, only to find themselves confused with the low profit margins.
India’s economy has failed to translate into profits for the foreign wealth managers.
Earlier Royal Bank of Scotland & Morgan Stanley have sold their onshore India private banking units.
HSBC would offer private banking clients the choice to move to HSBC Premier, the bank’s global retail banking and wealth management platform. HSBC employs around 32,000 people in India and it offers corporate, retail and investment banking services.