Company: HBCYF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001089113-25-000040
Chunk: 462

Company: HSBC HOLDINGS PLC
Filing Date: 2025-02-20
Form: 20-F
Chunk 462
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 71.0%                          | 73.0%                                            | 78.0%                                  |
| Sustainable finance andinvestment                                                                                                                                                                                                     | $648.0bn                        | $720.0bn                       | $792.0bn                                         |                                        |
| Subject to risk and compliance modifierThe Group Remuneration Committee retains the discretion to revise down the formulaic outcome taking into account performance against risk and compliancefactors during the performance period. |                                 |                                |                                                  |                                        |

1 Awards will vest on a straight-line basis for performance between the minimum, target and maximum levels of performance set in this table.

2 To be assessed based on RoTE excluding notable items at the end of the performance period, subject to the CET1 capital ratio underpin.

3 The peer group for the 2024 award is: Bank of China (Hong Kong), Barclays, BNP Paribas, China Merchants Bank, Citigroup, DBS Group Holdings, J.P. Morgan

Chase & Co., Lloyds Banking Group, OCBC Bank, Standard Chartered and UBS Group.

4 Carbon reduction will be measured based on percentage reduction in total energy and travel emissions achieved by 31 December 2027 using 2019 as the

baseline. The sustainable finance and investment measure will assess the cumulative amount provided and facilitated over the performance period starting from

1 January 2020 and ending 31 December 2027.

| HSBC Holdings plcAnnual Report on Form 20-F | 331 |

Annual incentive measures for 2025 The 2025 annual incentive scorecard measures for our executive Directors have been set to incentivise the delivery of our strategy and its execution at pace. Following the Committee’s comprehensive review of the policy and its implementation, core measures of PBT, Group RoTE and costs have been retained, with each assessed excluding notable items so that the outcome reflects performance in the control of management. We have introduced a measure on fee income growth relative to balance sheet growth to incentivise growth with less reliance on capital. To simplify and retain financial measures at 60% of the scorecard (in order to meet regulatory expectations), we have reduced the weighting for PBT to 10% and removed the Asia RoTE measure to reduce overlap with Group RoTE. The Committee felt it appropriate to have financials weighted at 60% to balance alignment with shareholder performance and regulatory expectations, and in line with UK peers. Customer Net Promoter Score (’NPS’) has been retained to reflect our ambition to be