HSBC is expanding its presence in Malaysia as a central route for wealth moving across Asia, opening five new wealth and premier banking centers in the country over the past 18 months.
The bank opened two wealth centers in Kuala Lumpur and Johor Bahru last year, then added three premier centers in Petaling Jaya, Puchong, and Subang Jaya this year. These locations cater to high-net-worth and affluent clients.
Malaysia as a wealth hub
Zhang Kai, who leads HSBC’s international wealth and premier banking in Asia, identified Malaysia as one of the bank’s primary markets in the region. She explained that the country serves as a connection point for wealth flowing between Asia and other parts of the world.
The expansion follows HSBC’s decision to reduce its retail and wealth operations in Indonesia, Bangladesh, and Sri Lanka. The bank is selling its Indonesian retail and wealth business to OCBC Bank while closing operations in the other two markets. Meanwhile, it continues to grow in Hong Kong, Singapore, China, and India.
“Our strategic review includes these adjustments, but our focus remains on Asia and wealth management,” Zhang stated.
Asia is expected to generate nearly a third of the $92 trillion in new financial wealth projected globally between 2023 and 2028. Hong Kong and Singapore already hold 32% of global offshore wealth, with Hong Kong likely to surpass Switzerland as the top wealth hub by 2030.
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Malaysia’s affluent population is increasing at an annual rate of 5% and should continue growing through 2029. Zhang highlighted three main factors: rising social mobility, foreign investment redirected due to U.S.-China trade tensions, and the transfer of wealth between generations.
The generational shift is especially important. Cerulli Associates estimates $124 trillion will change hands globally by 2048, with $106 trillion going to family and heirs. In Malaysia, 60% of wealthy individuals worry their children won’t take over family businesses, while 68% fear disputes among relatives. These concerns create demand for banks offering solutions to manage wealth transfers.
Such changes reflect broader trends in how wealth is built, protected, and handed down.
Zhang observed growing interest in impact investing, with clients aiming to create legacies beyond their families.
One of HSBC’s recent projects in the region, ParkCity Hanoi, reflects the bank’s focus on high-value real estate developments that attract affluent clients.
