Company: HBCYF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001089113-25-000040
Chunk: 276

Company: HSBC HOLDINGS PLC
Filing Date: 2025-02-20
Form: 20-F
Chunk 276
---
 |     -5 |     — |     — |     -12 |
| Total allowance for ECL          |     |        -1,434 |   -200 |  -697 |  -537 | -1,500 |   -30 |    -3 |  -2,967 |
| ECL coverage %                   |     |           3.0 |    0.5 |  15.8 |  11.2 |    2.2 |   0.8 |   0.2 |     2.4 |
| Residual average life3(in years) |     |          16.0 |   19.3 |  <1.0 |   4.1 |    2.5 |   1.2 |  <1.0 |         |

1 Where balances satisfy more than one of the above three criteria for determining a significant increase in credit risk, the corresponding gross carrying amount and allowance for ECL have been assigned in order of categories presented. 2 Days past due (‘DPD’). 3 Calculated as the difference between final contractual maturities and the reporting date, weighted based on the contribution of the instrument to the stage 2 total gross carrying amount of the corresponding product or sector.

| 176 | HSBC Holdings plcAnnual Report on Form 20-F |

Risk review

Assets held for sale

(Audited)

At 31 December 2024, the most material balances held for sale arose

from our business in South Africa and our private banking business in

Germany.

Disclosures relating to assets held for sale are provided in the

following credit risk tables, primarily where the disclosure is relevant

to the measurement of these financial assets:

– ‘Maximum exposure to credit risk’ (page 178 ); and

– ‘Distribution of financial instruments by credit quality at

31 December’ (page 196 );

Although there was a reclassification on the balance sheet, there was

no separate income statement reclassification. As a result, charges

for changes in expected credit losses and other credit impairment

charges shown in the credit risk disclosures include charges relating

to financial assets classified as ‘assets held for sale’.

‘Loans and other credit-related commitments’, ‘financial guarantees’

and ‘Debt instruments measured at fair value through other

comprehensive income’ as reported in credit disclosures, also include

exposures and allowances relating to financial assets classified as

‘assets held for sale’.

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