HSBC Hong Kong and Industrial Bank have joined hands to explore opportunities under the Wealth Management Connect scheme in the Guangdong-Hong Kong-Macau Greater Bay Area (GBA).

In a memorandum of understanding (MoU) signed in Shenzhen on August 14, the two banks agreed to complement each other’s strengths and identify ways they can collaborate on cross-border and interbank financial services.

The partners will seek to enhance customer experience through digitization, offer more personalized wealth management solutions, and improve investor risk profiling and consumer rights protection.

“This collaboration aims to meet the increasing demand for cross-boundary wealth management services in the region,” says Maggie Ng, general manager and head of wealth and personal banking, Hong Kong, HSBC.

Ng notes that Industrial Bank is a systemically important bank in mainland China, with a network of 45 tier-one branches and 2,086 outlets throughout the market. “With its enormous customer base spanning nine cities in the GBA, together with excellent potential for business growth, we are confident that our customers will benefit from the collaboration," she says.

Industrial Bank vice-president Zhang Min adds: “Leveraging its extensive experience in the international financial market, HSBC will provide a diverse range of investment products and services from around the world. By working together, we can share resources and sharpen our complementary strengths, which will in turn help develop high-quality financial services tailored to meet the increasingly diverse investment needs of residents in the GBA."’

Launched in September 2021, Wealth Management Connect allows eligible residents in the GBA to invest in wealth management products distributed by banks in each other’s market through a closed-loop funds flow channel.

In January 2024, authorities in the GBA announced additional measures to refine the eligibility criteria for mainland investors, broaden the scope of participating institutions to include eligible securities firms, expand the scope of eligible products, increase the individual investor quota, and improve promotion and sales arrangements