Edward Moncreiffe, global chief executive of HSBC's insurance arm, has resigned after more than two years in his role and 20 years at the bank. The departure occurs as Europe's largest bank continues restructuring its global portfolio, including the recent $2.1bn sale of its Singapore insurance business to Allianz and the 2022 sale of its UK life insurer to Chesnara. HSBC's insurance division, a key player in managing Chinese wealth, reported $1.1bn in pre-tax profits in the first half of 2023, up 38% year-on-year.

The move coincides with uncertainties in Hong Kong, where reports of a potential tax crackdown on insurance products for mainland Chinese savers have raised concerns. HSBC, alongside Hang Seng, is one of Hong Kong's largest insurance sellers, with much revenue from mainland Chinese visitors purchasing investment-linked policies. The bank's shares dropped 6% last week due to fears over Beijing's regulatory actions, though they remain up 30% this year.

Citi recently downgraded HSBC from 'buy' to 'neutral'.