HSBC Holdings PLC · LSE:HSBA

HSBC — ESG Presentation (June 2013)

20 slides from HSBC's sustainability presentation, June 2013

  1. Slide 1: Sustainability at HSBC

    Sustainability at HSBC Francis Sullivan – Deputy Head Group Sustainability Guy Lewis – Senior Manager, Investor Relations June 2013

  2. Slide 2: Forward-looking statements

    Forward-looking statements This presentation and subsequent discussion may contain certain forward-looking statements with respect to the financial condition, results of operations and business of the Group. These forward- looking statements represent the Group’s expectations or beliefs concerning f

  3. Slide 3: The beginning of 2011 defined a new vision for HSBC

    Proven track record in delivering change – First phase The beginning of 2011 defined a new vision for HSBC Throughout our history we have been where the growth is, connecting customers to opportunities. We enable businesses to thrive and Purpose Reason why we exist economies to prosper, helping peop

  4. Slide 4: Established a simplified, more focused and easier to manage organisation

    Organisation Established a simplified, more focused and easier to manage organisation Progress  Developing global strategies Created four  Defining and implementing consistent business and operating model Global  Focus on clear portfolio of activities Businesses  Oversight by Group Management Bo

  5. Slide 5: Material progress over the last two years

    Proven track record in delivering change – First phase Material progress over the last two years May 2011 report card Progress to date  Six Filters driving disposals and closures of non-  52 disposals/exits announced since 2011, Capital strategic and/or underperforming positions reduced c.USD95bn

  6. Slide 6: Cohesive and focused geographic portfolio

    Growth Cohesive and focused geographic portfolio Hong Kong and Middle East and Rest of Asia Pacific Europe North Africa North America Latin America Home  Hong Kong  United Kingdom markets  Australia  Mainland China  India  France  Argentina Priority  Egypt  Indonesia  Germany  Canada  Br

  7. Slide 7: Four Global Businesses with clear scope of activities

    Organisation Four Global Businesses with clear scope of activities Global Banking and Retail Banking and Commercial Banking Markets Wealth Management Global Private Bank  Deposits  Deposits  Payments and cash  Deposits  Deposits Liability driven  Payments and cash management  Account services

  8. Slide 8: Global Standards as source of competitive advantage

    Priorities – Implement Global Standards Global Standards as source of competitive advantage Throughout our history we have been where the growth is, connecting customers to opportunities. We enable businesses to thrive and Purpose Reason why we exist economies to prosper, helping people fulfil their

  9. Slide 9: Global Standards define governance and programmes

    Priorities – Implement Global Standards Global Standards define governance and programmes Financial System  Provides governance, oversight and policy advice to simplify business activities and Vulnerabilities enhance risk management and control Committee1 Global Standards Governance  Sets the stra

  10. Slide 10: Next phase 2014-16

    Next phase 2014-16 Strategy remains unchanged  Grow both business and dividends  Implement Global Standards  Streamline processes and procedures Targets  ROE 12-15%¹  Positive jaws  CER mid-50s2  Additional USD2-3bn in sustainable saves  Common equity tier 1 ratio >10%  Advances-to-deposits

  11. Slide 11: Tax policy

    Tax policy  HSBC has adopted the UK Code of Practice for the taxation of banks  Global Standard on ‘Tax Transparency’ to ensure HSBC’s banking services are not associated with any arrangements which are known or suspected to be designed to facilitate tax evasion by a customer  Tax payment data pr

  12. Slide 12: HSBC values

    HSBC values In all we do, each of us should Act with courageous integrity standing firm for what is right HSBC Values  Dependable and do the right thing – stand firm for what is right, deliver on commitments, be resilient and trustworthy – take personal accountability, be decisive, use judgment and

  13. Slide 13: Remuneration

    Remuneration¹  Remuneration strategy based on attracting, retaining and motivating the best people  Individual remuneration is determined through assessment of performance delivered against both annual and long term objectives summarised in performance scorecards as well as adherence to HSBC Value

  14. Slide 14: How we manage our business

    How we manage our business Our values, robust risk management, good governance, and commitment to operating sustainably guide the way we manage our business and help us deliver value to our shareholders and customers. Our approach 14

  15. Slide 15: Supporting our customers

    Supporting our customers Increased lending to retail and commercial customers  Approved new mortgage lending in the UK of £19.5bn in 2012, an increase of 20%  All sales targets removed from UK retail banking  Increased help to customers in difficulty  Growth of “Digital”  Focus on SMEs with int

  16. Slide 16: Sustainability Risk Management

    Sustainability Risk Management Equator Principles  Full, assured disclosure given on page 19 of the Sustainability Report 2012  HSBC voices concerns about “EP3”  Going beyond EP: 22 extended transactions  Transactions declined: zero Risk Policies for sensitive sectors  Policy revision and devel

  17. Slide 17: Sustainability Operations

    Sustainability Operations Sustainable Operations Strategy 2012-2020  First year progress shown on pages 21-23 of the Sustainability Report 2012  Group CO2 emissions assured and included in the ARA  963,000 tCO2, an absolute reduction of 3% and over 5% on 2011 and 2010  Sustainability Leadership

  18. Slide 18: Our People

    Our People Valuing our employees  Recognition of significant changes to HSBC workforce  Leadership and HSBC Values  Progress with diversity and inclusion  25% female representation on the Group Management Board  Talent management, succession planning and Learning & Development.  Volunteering –

  19. Slide 19: Community Investment

    Community Investment Total contribution USD120 million in 2012  Education (48%) – Disadvantaged children – 6,000 scholarships – Future First  Environment (23%) – HSBC Water Programme – Water Aid: water access for 1.1m people and sanitation for 1.9 million people – Earthwatch: 7500 HSBC staff to be

  20. Slide 20: Contacts and further information

    Contacts and further information Guy Lewis Senior Manager, Investor Relations [email protected] +44 (0) 207 992 1938 Bloomberg / Website HSBA LN <EQUITY> <GO> HSBC <CORP> <GO> www.hsbc.com/1/2/investor-relations www.hsbc.ca/1/2/en/about-us/financial-reports 20

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