LONDON, March 18, 2026, 13:12 GMT
HSBC was trading higher in London after the bank released a same-day filing regarding a capital securities issue. Shares stood at 1,210.6 pence as of 13:00 GMT, an increase of 3.4 pence. In Hong Kong, HSBC’s shares added HK$3.10 to reach HK$127.90, according to company figures. HSBC
HSBC is heading back to the market for additional Tier 1, or AT1, capital—the kind of bank capital security that’s been in focus after recent conflict jolted credit markets. The bank’s plan: two $1.25 billion tranches of perpetual contingent convertible securities, set to pay 6.75% and 7.0%. According to Bloomberg News, this marks the first major-currency AT1 offering since the Iran conflict erupted. HSBC
London’s FTSE 100 edged 0.3% higher by 1044 GMT, with financial stocks up 1.9% as oil prices pulled back—thanks to Iraq restarting exports via the Ceyhan pipeline. That took some pressure off inflation ahead of the Fed’s rate call slated for later Wednesday. Reuters
HSBC and Standard Chartered are drawing attention for another reason now. J.P. Morgan flagged them last week as the European banks with the highest exposure to Middle East turmoil, while Reuters reported HSBC had shuttered its Qatar branches as the conflict moved across the Gulf. Still, chief executive Georges Elhedery insisted HSBC “remains steadfast” in its confidence in the Gulf Cooperation Council region. Reuters
But there’s a bigger goal in play. Back in February, HSBC raised its medium-term return on tangible equity target to at least 17% through 2028. That’s even with pretax profit for 2025 dropping 7% to $29.9 billion, weighed down by $4.9 billion in one-off charges. Jefferies analysts noted the numbers could go over well with investors, but flagged skepticism over HSBC’s projection of just 1% cost growth in 2026. Reuters
HSBC flagged Wednesday that its group finance chief, Pam Kaur, is set to address Morgan Stanley’s European Financials conference in London. The bank added that a webcast replay would be posted later in the day, adding yet another management appearance to a session heavy on funding and rates. HSBC
Still, there’s no guarantee the rebound sticks. ECB supervisor Claudia Buch cautioned that markets are “underpricing geopolitical risks”—and flagged the danger of an “abrupt repricing of risk.” Last week, Morningstar equity analyst Kathy Chan told Reuters that mounting uncertainty could push up risk in banks’ trade finance, not to mention credit costs. Reuters
HSBC will post first-quarter earnings on May 5, with the annual general meeting lined up for May 8, its investor calendar shows. The bank’s New York shares settled at $80.90 Wednesday, after a delay. HSBC
