Company: HBCYF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001089113-25-000040
Chunk: 294

Company: HSBC HOLDINGS PLC
Filing Date: 2025-02-20
Form: 20-F
Chunk 294
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0 |   0.0 |
| Corporate lending adjustments                                      |        |        0.1 |   0.1 |
| Inflation-related adjustments                                      |    0.1 |            |   0.1 |
| Other credit judgements                                            |    0.5 |            |   0.5 |
| Total management judgemental adjustments (B)4                      |    0.6 |        0.1 |   0.7 |
| Other adjustments (C)5                                             |   -0.0 |        0.0 |   0.0 |
| Final ECL (A + B + C)6                                             |    3.2 |        2.5 |   5.7 |

1 Management judgemental adjustments presented in the table reflect increases or (decreases) to allowance for ECL, respectively.

2 The wholesale portfolio corresponds to adjustments to the performing portfolio (stage 1 and stage 2).

3 (A) refers to probability-weighted allowance for ECL before any adjustments are applied.

4 (B) refers to adjustments that are applied where management believes allowance for ECL does not sufficiently reflect the credit risk/expected credit losses of

any given portfolio at the reporting date. These can relate to risks or uncertainties that are not reflected in the model and/or to any late-breaking events.

5 (C) refers to adjustments to allowance for ECL made to a ddress process limitations and data/model deficiencies and can also include where appropriate, the

impact of new models where governance has sufficiently progressed to allow an accurate estimate of ECL allowance to be incorporated into the total reported

ECL.

6 As presented within our internal credit risk governance (see page 169 ) .

7 31 December 2023 includes the Canada, Argentina, Armenia and Oman businesses and retail banking operations in France.

Management judgemental adjustments at 31 December 2024 were

an increase to allowance for ECL of $ 0.1b n for the wholesale portfolio

and $ 0.0b n for the retail portfolio.

At 31 December 2024, wholesale management judgemental

adjustments were an increase to allowance for ECL of $ 0.1b n

(31 December 2023: $ 0.1bn increase). These were mainly to

corporate exposures to reflect heightened uncertainty in specific

sectors and geographies, including offsetting adjustments to the real

estate sector in mainland China,