HSBC de­fies crit­ics by pick­ing an in­ter­nal can­di­date for top job

The Daily Telegraph - Business - - Front Page - By Iain Withers

EUROPE’S big­gest bank HSBC has de­fied crit­ics by ap­point­ing an in­ter­nal can­di­date as chief ex­ec­u­tive, re­tail lend­ing boss John Flint.

Mr Flint, who is a HSBC lifer hav­ing joined the bank on an in­ter­na­tional man­age­ment train­ing scheme in Hong Kong in 1998, will take over from Stu­art Gul­liver in Fe­bru­ary.

HSBC had come un­der pres­sure, in­clud­ing from UK reg­u­la­tors, to look out­side the bank for its next chief ex­ec­u­tive to bring about a change in cul­ture.

The bank suf­fered a string of scan­dals since the fi­nan­cial cri­sis in­clud­ing a $1.9bn fine for money laun­der­ing breaches in 2012 and costly pay­outs over mis-sell­ing PPI prod­ucts and al­le­ga­tions of for­eign-ex­change mar­ket rig­ging.

But in­vestors were un­der­stood to favour an in­ter­nal ap­point­ment, par­tic­u­larly af­ter HSBC went out­side the firm to hire chair­man Mark Tucker, who started this month and pre­vi­ously ran Asian in­surer AIA Group.

He was HSBC’s first ex­ter­nal chair­man in its 152-year his­tory. Mr Flint, 49, will earn a base salary of £1.2m a year and could earn a max­i­mum of £9.68m should he meet all of his per­for­mance tar­gets.

He said he was “hum­bled by the re­spon­si­bil­ity and enor­mously ex­cited” to lead the bank.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.