Wealth Lending

HSBC SG
Loans
Wealth Portfolio Lending & Lombard Lending

Maximise your financial flexibility with our wealth lending products

Our Wealth Portfolio Lending or Lombard Lending loans give you access to extract funds so you can capitalise on market opportunities as they arise, or boost your investment purchasing power.

Plus, you can use the loan for your personal liquidity needs.

The loan is secured against your existing eligible assets acceptable to the Bank. The effective credit limit granted is dependent on type of assets pledged and will be subject to bank's approval.

Ready to apply? Find out if you're eligible for our Wealth Portfolio Lending or Lombard Lending facility.

See how to apply Wealth Portfolio Lending

Wealth Portfolio Lending

A Wealth Portfolio Lending loan is secured against your eligible assets. You can use as little or as much as you need within your effective credit limit. Plus, you can borrow in major currencies including SGD, USD, AUD, GBP, EUR and HKD.

Lombard Lending

A Lombard Lending loan is secured against your eligible assets. You can boost your investment purchasing power with your cash equity and eligible collateral held with HSBC, subject to the eligible asset's Advance Ratio and your credit limit. With an Advance Ratio of 67%, you can leverage up to 3x. T&Cs apply. Plus, you can borrow in major currencies including, SGD, USD, AUD, GBP, EUR, and HKD. Watch this video to understand more about Lombard Lending.

Other wealth lending benefits

Flexible repayment

There's no minimum drawdown or minimum monthly repayments.
Stay liquid without cashing out

Whether you're looking to venture into new investments, treat yourself or settle any unexpected expenses, you can access extra funds without liquidating your existing investments.

Wide range of accepted collateral

Secure a loan against a range of eligible assets like unit trusts, bonds, equities and time deposits held with HSBC.
Attractive interest rates

Interest is calculated on a daily basis, and you’ll only pay interest on the amount you use. A minimum of interest charge of 10 per month (in respective loan currency) applies. If the facility is not utilised, no interest will be charged. Rates are not fixed and are subject to change from time to time.

Attractive interest rates

Interest¹ is calculated on a daily basis, and you’ll only pay interest on the amount you use. A minimum of interest charge of 10 per month (in respective loan currency) applies. If the facility is not utilised, no interest will be charged. Rates are not fixed and are subject to change from time to time.

How wealth lending works

The Wealth Portfolio Lending or Lombard Lending loan is secured against your existing eligible assets. You can use the wealth lending loan:

to specifically invest in selected investments
for a specific reason
as a stand-by line of credit

For Wealth Portfolio Lending, the investments you subscribed to or purchased using this facility cannot be pledged to increase your effective credit limit.

But for Lombard Lending, the investments you subscribed to or purchased using this facility can be pledged to increase your effective credit limit.

The effective credit limit on your loan is based on the Advance Ratio of each eligible asset.

How Lombard Lending works

Download Transcript This link will open in a new window

Key risks

Securities trading risks — the value of investments, units in the funds and any income accruing to the units, may rise or fall, and the investor may not get back the original sum invested.
Leverage and margin call risks — trading in securities with leverage can be risky, and you may lose all or more than the amount invested or deposited. The leverage of the product can work against you and losses can exceed those of a direct investment. You may also be required to repay the loan at short notice or HSBC may have to sell your investments to repay the loan even in adverse market conditions².
Interest rate risks — rates are not fixed and are subject to change from time to time.
Uncommitted facility — the facility and limits are subject to the bank’s review and approval.

HSBC wealth lending accounts

After you've been approved for our wealth lending facility, we'll open an HSBC Wealth Portfolio Lending Account or Lombard Lending Account where you can access your funds. The assets in your Wealth Portfolio Investment Account will be used as collateral for the loan.

What's an Advance Ratio?

An Advance Ratio (AR) is a predefined set of loan ratios assigned to each eligible asset. It includes the Concentrated AR, Diversified AR and Residual AR. It will build up from the eligible asset's Concentrated AR, and it will be adjusted using the Residual AR up to the value attributed at the Diversified AR, as shown in the following table.

If your portfolio is diversified, you may get a higher Advance Ratio. You can ask your Relationship Manager for more details.

If your eligible asset is held in a different currency from the lending account currency, we'll apply a minimum of 10% cross-currency margin reduction amount from your effective credit limit.

Advance Ratio
Eligible asset class	Maximum diversified Advance Ratio
Unit trusts	up to 90%
Investment-Grade fixed incomes (eg bonds)	up to 95%
Equities (eg stocks)	up to 70%
SGD and foreign currency trime deposits	up to 95%

Advance Ratio
Eligible asset class	Unit trusts
Maximum diversified Advance Ratio	up to 90%

Eligible asset class	Investment-Grade fixed incomes (eg bonds)
Maximum diversified Advance Ratio	up to 95%

Eligible asset class	Equities (eg stocks)
Maximum diversified Advance Ratio	up to 70%

Eligible asset class	SGD and foreign currency trime deposits
Maximum diversified Advance Ratio	up to 95%

Please ask your Relationship Manager for a list of acceptable unit trusts, bonds and equities.

How to apply

Who can apply?

Before you apply for a Wealth Portfolio Lending facility, you need to:

Be a HSBC Premier customer
- Be a resident of Singapore or another eligible country³
  - Have a valid mobile phone with SMS function for margin call and post forced sale notifications
    - Have no existing secured overdraft, investments financing, or other wealth portfolio lending facilities

Before you apply for Lombard Lending facility, you need to:

Be a HSBC Premier Customer with a minimum of SGD 200,000 in Total Relationship Balance⁴.
Be a resident of Singapore or another eligible country³
Have Risk Profile Questionnaire score of 4 (Adventurous) or 5 (Speculative). The requirement is exempted if you do not have a Risk Profiling Questionnaire score and you have opted-in as an Accredited Investor with us. Capitalised terms shall be as defined in our prevailing relevant forms.
Be aged between 21 and 61
Have financial knowledge and financing experience
Have leverage financing knowledge and high tolerance to significant losses
Have a valid mobile phone with SMS function for margin call and post forced sale notifications
Have no existing secured overdraft, investments financing, or other wealth portfolio lending facilities

Not a HSBC Premier customer yet? Learn more about HSBC Premier

Apply now

To apply for a Wealth Portfolio Lending or Lombard Lending facility, please get in touch with your Relationship Manager to discuss the assets you'd like to pledge and submit your loan application.

Or, call us on: +65 6227 8889 (or on 1800 HSBC NOW (4722 699) if you're calling from abroad)

You can also visit your nearest branch.

Find a branch information

What happens next?

On application completion and approval, you'll receive a confirmation of the facility. You can start using your funds based on the effective credit limit straightaway.

Important information

Wealth Portfolio Lending Account(s) and Lombard Lending Account(s) are part of the credit facility, hence they are not insured by the Singapore Deposit Insurance Corporation.

Disclaimer

This web site is for information only and should not be construed as an offer, solicitation or recommendation of any product or service. The information contained on this web site is intended for Singapore residents only and should not be construed as an offer, solicitation or recommendation of any product or service in any jurisdiction where such activities would be unlawful under the laws of such jurisdiction, in particular the United States of America and Canada.

Frequently Asked Questions

You can repay the loan via:

cheque
at a cash deposit machine or ATM
in online banking
in a branch

There's no minimum monthly repayment and you can decide when and how much to pay back.

If you're applying loan for reinvestment only, based on your instructions, your Relationship Manager will place a trade on your account.

Keep in mind that if the Advance Ratio of your pledged assets goes down, your outstanding balance could go over your Effective Credit Limit. If that happens, we'll help work with you and reassess your options.
You can do this by:

providing additional funds to reduce the outstanding loan or
pledging additional eligible assets to increase the Effective Credit Limit on your loan
selling some or all of your eligible assets

If you're unable to make any of these adjustments, we may need to sell some or all of the assets in your Wealth Portfolio Investment account without notification.

Yes, to cancel your loan, you'll need to complete the Wealth Lending Facility instruction form. Please make sure there are enough funds in your account to settle any outstanding balances before we cancel the loan.

You might also be interested in

Securities trading

Access global opportunities in major markets by directly trading in stocks and bonds online.

Unit trusts

Pool your money with other investors, with a professionally managed portfolio.

Climber on snowy mountain ridge; image used for HSBC Singapore article Practical tips for successful investing.

Practical tips for successful investing article

Diversify to reduce risk and open up to more return opportunities.

Personal line of credit

HSBC's Personal Line of Credit gives you extra cash of up to 8X your monthly salary with one of the lowest prevailing interest rate in town.

Footnotes

1. Interest rate is determined by the Bank and takes into consideration various factors including, but not limited to, costs of borrowing, internal business costs and market conditions. For more information on the pricing, please contact your Relationship Manager.

2. If Net Margin Ratio has reached the relevant threshold set by HSBC, you are obliged to top up cash to increase the Net Margin Ratio to 100%. If the shortfall is not settled within the prescribed period, HSBC has the right to sell off all or part of your investments to settle the shortfall amount irrespective of whether you have been notified.

3. For the most up-to-date residency and citizenship criteria, please get in touch with us before you apply.

4. Total Relationship Balance is made up of the average daily balances for the calendar month, taking into account deposits, investments and insurance held in the same name with HSBC Bank (Singapore) Limited.