Two people familiar with the plans say that HSBC has advanced discussions to poach a senior team of Middle East wealth managers at Credit Suisse in order to compete against its Gulf rival.
Aladdin hangari, the chief executive of Credit Suisse Qatar and five other members of his team could be lost to UBS. Last month UBS completed its takeover of their Swiss rival. They plan to build the largest private bank in the Middle East.
Hangari and HSBC are close to a deal, but it hasn’t been finalised yet, according to a source with knowledge of the situation.
UBS was keen to retain Credit Suisse wealth managers in high-growth areas such as the Middle East, Asia-Pacific and the Middle East, but competitors have pounced on the opportunity.
Hangari is the key relationship manager at Credit Suisse Qatar. Qatar Investment Authority was one of the biggest and longest serving shareholders. The bank employs 21 people in the country.
Credit Suisse provided banking services to many of the wealthiest citizens in the country, including Sheikh Hamad Bin Jassim Al-Thani. His son Sheikh Jassim Bin Hamad Al-Thani served as a Credit Suisse board director for a number of years.
Sheikh Jassim has been in a long-running bidding war to purchase the Manchester United football team with Ineos founder Jim Ratcliffe.
Credit Suisse and HSBC declined comment.
Eric Varvel was another Credit Suisse executive that developed close ties with Qatar over the years. He left the bank in 18 months after his reputation had been tarnished due to the closure of an investment fund group worth $10bn tied to the failed finance company Greensill Capital. Varvel was the head of asset-management at the bank when he left.
Under Middle East Chair Samir Assaf’s leadership, HSBC is embarking on a major expansion drive that targets ultra-wealthy families and clients in the region.
HSBC’s Saudi Arabia office has recently hired former Lombard Odier Bankers Mario Luis Penabad, and Mathieu Brzon.
Hangari, in addition to his position at Credit Suisse is also the acting chief executive officer of Aventicum Capital Management. This boutique asset management joint-venture between Credit Suisse and QIA has approximately $1.5bn under management.
A person familiar with the matter said that if he were to leave the bank, his successor would be announced in the coming weeks, once UBS announces its roles for the up to 1,500 third-level managers of its corporate structure.
HSBC is present in Qatar since 1954. In mid-2017 it was under pressure, along with other international financial institutions, after the neighbouring countries, led by Saudi Arabia, imposed an embargo on trade and travel, alleging that Doha fostered islamist extremism.
Saudi Arabia, a regional financial powerhouse, pressed international banks to cut ties with Doha. This aggravated the boycott.
Saudi Arabia led the effort to end Qatar’s exclusion in 2021. Since then, Doha hosted a successful World Cup football last year. It is also expected to receive a windfall in the future as it expands its natural gas export capability.