NEW YORK — After nearly 10 months of aggressive recruiting and acquisition, HSBC Investments has completed the construction of HSBC Halbis Partners, its specialist investment firm.
Halbis, which was hatched in December to separate HSBC's manufacturing and portfolio management operations from its distribution operations, has been built around a limited number of active investment strategies based out of London, Hong Kong, Paris and the U.S.
Executives have been piecing together the 36-member Halbis team in the U.S. over the past several months, with its primary focus on building the firm's overall global fixed-income capabilities, as well as emerging markets debt and emerging markets equity capabilities.
With most of the pieces in place, executives for HSBC said the emphasis will now be placed on taking the fledgling Halbis business out to institutional investors in the U.S. — a region where the London-based banking behemoth's money management business has historically had only a minor presence.
Of HSBC Investments' $241 billion in assets under management at the end of the third quarter, roughly 10% was from U.S. investors.
The firm has already begun making significant progress in gaining marketshare in the U.S. this year. Stephen J. Baker, chief executive officer of HSBC Investments in the U.S., said through the first nine months of 2005, HSBC Investments added $24 billion in global assets under management. Roughly 20% of this total came through Halbis Partners, the majority of which came through U.S. investors.
That's an improvement from 2004, when HSBC Investments brought in roughly $11 billion in new worldwide assets.