Chinese HSBC stake

A CHINESE insurance business is now the second-largest shareholder in HSBC after building a £7.3bn stake.

Ping An, which is the world’s biggest insurer, owns 5.01pc, ahead of Wall Street’s JP Morgan on 4.8pc.

Bosses at the Shenzhen-based company described it as a ‘financial investment’ and said HSBC’s solid dividend payments were a key reason.

The decision to build a stake in HBSC is a reversal of roles. HSBC owned 15.57pc of Ping An before deciding to sell it for £7bn in 2012.

Shares in HSBC rose by 0.1pc, or 0.8p, to 725.7p yesterday.