HSBC in €255m plan to move 1000 jobs to Paris after Brexit

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HSBC said Monday it will buy back another $2 billion in shares, adding to the $3.5 billion stock it repurchased since previous year.

HSBC generates more than half of its profit in Asia and on Monday it said that pre-tax profit in the region had risen 7 per cent during the period to $7.6bn, particularly spurred by revenue from its wealth management and insurance businesses in Hong Kong. Reported pre-tax profits for the first half of the year hit $10.2bn, an increase of 5 per cent on the same period last year.

HSBC said up to $1 billion in revenue could be at risk from Britain's exit from the European Union but it should be able to preserve the income by shifting associated jobs to Paris, Gulliver said.

The latest buyback means the London-based bank has pledged to repurchase $5.5 billion of shares in the past year, and executives said they're prepared to do more.

Chairman Douglas Flint and CEO Stuart Gulliver will both retire soon and leave a legacy of improved revenue and returning more to shareholders in the way of capital, having focused on cutting the bank's size and shifting focus to the east.

The boost is likely to have been aided by an announcement from the group of a further $2 billion share buyback which it expects to be completed by the end of 2017.

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HSBC is the largest bank in Europe and presents an opportunity for investors to diversify away from banks that are more heavily weighted in North American markets. "Good credit control and good cost control and a very strong capital position".

HSBC pulled capital from its USA business earlier this year for the first time in more than a decade.

The buyback will take the total since the second half of 2016 to $5.5bn.

HSBC also said that it would be buying back $2bn worth of shares before December.

That ratio will increase more as the bank starts repatriating $8 billion that is at its subsidiary in the USA, following last year's approval by the United States Federal Reserve and possibly allowing for more buybacks.

British businessperson Mark Tucker, now group CEO and president of insurance group AIA, will take over from Flint in October. This will help push the stock's value further up, one that is already up 49% over the past 12 months and year-to-date is up over 21%.

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