Overview:
- HSBC is launching Portfolio Plus to democratize access to professional wealth management for retail investors.
- The initiative reduces the investment entry point from 1 million to 1,000 Singapore dollars, making it widely accessible.
- Portfolio Plus offers customized portfolios managed by HSBC professionals, delivered conveniently via a digital app.
- Singapore’s retail investor base is proportionally double that of the US, making this evolution timely and relevant.
- HSBC aims to scale professional investing for retail clients, aligning with national goals and market dynamics.
HSBC has unveiled Portfolio Plus, a new digital wealth management solution aimed at transforming how retail investors in Singapore access professional investment services. The initiative dramatically lowers the entry point for managed portfolios from 1 million Singapore dollars to just 1,000, making high-quality financial advice accessible to a broader segment of the population.
The move aligns with government efforts to increase retail investor participation and reflects HSBC’s strategy to democratize wealth management. Portfolio Plus allows users to invest via HSBC’s app, gaining access to customized portfolios managed by the bank’s professional investment team—all from the convenience of their homes.
“We want to bring professional investment to retail investors,” said Ishan Sarkar, Managing Director and Head of Wealth and Premier Solutions at HSBC Singapore. “The client pain points are the lack of access to professional wealth management and the lack of convenience,” he told BackgroundBriefing.news.
Singapore’s Retail Market Ripe for Change
Singapore’s retail investor landscape is notably different from other developed markets. In 2021, retail investors made up 50% of the market in Singapore—double the proportion seen in the United States. This demographic shift underscores the urgency of evolving traditional private banking models to meet the needs of everyday investors.
“Essentially at HSBC, we want to bring professional investing to our retail clients and we really want to scale it up,” Sarkar told BackgroundBriefing.news.
Portfolio Plus is positioned to bridge the gap between retail and private banking, offering scalable, digital-first solutions that meet the expectations of a tech-savvy investor base. By removing traditional barriers and leveraging digital platforms, HSBC is setting a new standard for inclusive wealth management in Singapore.
More stories: “AI Customers” demand data, not emotion: Businesses must adapt
About the speaker:
Ishan Sarkar
Managing Director and Head of Wealth and Premier Solutions
HSBC
Ishan Sarkar, Managing Director and Head of Wealth and Premier Solutions at HSBC Private Banking and Wealth in Singapore, leads all wealth solutions for both the Private Bank and Retail Wealth segments. With over two decades of experience in financial structuring, FX options, and investment banking, Sarkar has held senior leadership roles across major global institutions including Citi, UBS AG, and Barclays Capital.
Prior to his current role, Sarkar served as Head of Capital Markets for Southeast Asia at HSBC, overseeing FX, fixed income, equities, and structured products. He began his career as a technical analyst and quantitative developer, building pricing algorithms for FX derivatives. Sarkar holds a B.Tech in Computer Engineering from Nanyang Technological University, Singapore.
FAQs:
What is Portfolio Plus?
Portfolio Plus is HSBC’s digital wealth solution.It offers retail investors access to professionally managed portfolios via the HSBC app.
Who is Portfolio Plus for?
It is designed for retail investors in Singapore.Especially those seeking professional investment services without high entry barriers.
What is the minimum investment required?
The minimum investment has been reduced to S$1,000.Previously, access required S$1,000,000.
How do investors access Portfolio Plus?
Investors can onboard and manage their portfolios digitally.All features are available through the HSBC mobile app.
What problems does Portfolio Plus solve?
It addresses high entry hurdles for investing.It also solves the lack of digital convenience in wealth management.
Who manages the investments?
HSBC’s professional portfolio managers oversee the strategies.They ensure quality, customization, and risk control.
Can the portfolios be customized?
Yes, portfolios are tailored to individual needs.They maintain professional oversight and diversification.
Why launch this in Singapore?
Singapore has a high retail investor share.About 50%, which is double that of the U.S.
How does this support national goals?
It aligns with Singapore’s initiative to expand retail investor participation.It promotes financial inclusion and accessibility.
What is the key benefit for users?
Affordable access to professional investment advice.Convenient digital management from home.
5W1H summary:
| Category | Summary |
|---|---|
| What | 1. Launch of Portfolio Plus 2. Digital wealth solution for retail 3. Lower investment barrier to S$1,000 |
| How | 1. Through HSBC mobile app 2. Customized managed portfolios 3. Fully digital onboarding |
| Why | 1. Support government initiative 2. Address access and convenience gaps 3. Scale professional investing |
| Who | 1. HSBC Singapore leadership 2. Retail investors in Singapore 3. HSBC portfolio managers |
| Where | 1. Singapore nationwide rollout 2. Potential ASEAN expansion 3. Accessible from home |
| When | 1. Launch in 2025 2. Available immediately 3. Ongoing market rollout |
Transcript of the interview:
We are launching Portfolio Plus to support the government initiative of having more retail investors in HSBC. We want to bring professional investment to retail investors.
The way we want to do that is we want to look at what are the client pain points. The client pain points at this point of time are the lack of access to professional wealth management because it has a very high hurdle rate, which is to the tune of 1 million Singapore dollars.
The other would be the lack of convenience because most of these professional wealth management solutions are not very conveniently accessible through digital.
At HSBC, the way we want to do that is we are bringing in the hurdle rate from a million Singapore dollars to 1,000 Singapore dollars. Essentially, we are targeting most of the retail clients where the retail clients can now invest at as low as $1,000 Singapore dollars.
They get access to the professional portfolio managers in HSBC.
Get these portfolios to be customized for them and also be very convenient for them. This is given to them through our app.
It is available digitally to them and they can actually access this professional advice sitting at their home.
What is the benefit of doing this?
Essentially at HSBC, we want to bring professional investing to our retail clients and we really want to scale it up. The Singapore retail market is a very different market than any other developed market.
In Singapore, you have more than twice the proportion of retail investors than let’s say in the US. In 2021 in the US, 20% or 25% of the investors were retail investors, while in Singapore that proportion stands at 50%.
Proportionally, you have double the number of retail clients in Singapore than the US. Hence, this evolution is necessary where these private banking professional managed solutions are actually brought to the retail clients.