Tap the strength of the HSBC Global Treasury business for a first-class service in global custody and fund administration. With an unprecedented network in emerging markets, and local presence around the world and in major investment banking hubs, our financing-focused business takes our clients closer to emerging opportunities in a fast-changing world.
With an unrivalled footprint across emerging and developed regions, HSBC is a top-rated provider of FX services and a leading market maker globally. We quote competitive prices in all tradable currencies, 24 hours a day. Centred primarily in London, Hong Kong and New York, we trade FX in over 60 countries and territories – enhancing HSBC's dedicated FX sales reach and expert knowledge.
Experience competitive, safe and seamless execution through our range of flexible products on a custody or third-party basis, including market leading indemnified agency, principal, exclusives and auctions. If you still prefer to manage your own programme, you can select from a range of support services, such as settlement, collateral management, and asset servicing and reporting.
Direct execution custody services
Link high-speed equity and mutual fund execution with seamless settlement, clearing and custody services in an unparalleled range of world markets.
Trade and settle with a single instruction to HSBC Global Banking and Markets through direct execution custody services (DECS). Reduce costs over trading and operational areas: our flexible front-end connectivity options and comprehensive reporting come with competitive, bundled pricing.
Supporting more than 60 markets – through HSBC’s custodian network, consisting of 42 from the HSBC Group and a number of non-Group entities – DECS offers a full suite of global equity services, fully integrated with trade execution. DECS is a full-service, one-stop-shop solution which can be tailored to clients needs, leveraging high-level straight-through processing.
Passive hedging services
HSBC Passive Hedging is an integrated service which offers protection to our clients from currency risk on cross-border investments.
- Automatic monitoring of cross-currency exposures
- Performance of hedge adjustments according to clients' strategy
- Execution of FX in the market place
- Two modalities offered: Asset hedging and share-class hedging
A service which crystallises currency exposures from the balances held by our clients by means of standing instructions to convert them into a designated base currency.
- Prevention of currency overdrafts, as accounts are zeroed daily
- Simplified interest rate management
- Eliminates currency exposure derived from holding of cash balances
- Time and cost savings
- Consolidated FX confirmations
Automated investment sweep into HSBC Global Liquidity Funds
HSBC offers an off balance-sheet passive solution for the management of frictional liquidity, which automatically invests any excess balance over a predetermined threshold into the HSBC Global Liquidity Funds. The automated sweep is currently offered in USD, GBP and EUR, and is ideally suited for clients seeking:
- Risk diversification and safety: Through an off-balance investment into HSBC Global Liquidity Funds plc (rated AAA/ V1+ by Fitch, S & P and Moody’s), an open-ended umbrella investment company domiciled in Ireland with segregated liability between the sub-funds
- Availability of funds, with instantaneous access to your liquidity through the automatic redemption of shares
- Enhanced returns
The HSS Treasury Cash Forecast provides detailed projection of the liquidity requirements across currencies linked to the investment activity processed by HSBC, which is delivered through scheduled reporting. The client may choose the scope of the projection, the time horizon and the frequency.
HSS Treasury offers CLS services to its funds and global custody clients through the Bank's CLS settlement membership. CLS is a settlement bank with a multi-currency payment-versus-payment clearing system which eliminates the principal risk from foreign exchange transactions. HSS CLS proposition provides clients with the following benefits:
- Eliminate settlement risk and nets exposures from FX transactions
- Settlement occurs on the same day
- 100 percent straight-through processing
- Reduction in funding requirements and payment volumes
- Positive impact on available liquidity
- Enables clients to expand FX business with CLS-participating counterparties preventing incremental exposure.
Interest rate management
- Interest bearing, on-demand call accounts
- Competitive linked credit/debit interest rates
- Overdraft facilities with competitive debit interest rates