HSBC reports 6% fall in profits

Banking giant HSBC today reported a 6% drop in full-year profits to $20.6bn.

The figure, which comes despite HSBC’s record fine of $1.9bn to settle a US investigation into money-laundering, was below City forecasts of around $23.4bn.

The banking group makes an estimated 90% of its money outside Britain and has benefited from its exposure to emerging markets in Asia.

Chief executive Stuart Gulliver received a bonus of just under $2m as part of a total pay and benefits package worth $7.4 m.

The overall figure, which compares with $8m a year earlier, includes his base salary of $1.25m, around $1.2m of benefits including pension entitlement, plus long-term share incentive awards worth $3m.

Mr Gulliver’s bonus payment will be deferred and subject to possible clawback, while he will not be able to cash it in until he retires from or leaves HSBC.