Company: HBCYF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001089113-25-000040
Chunk: 593

Company: HSBC HOLDINGS PLC
Filing Date: 2025-02-20
Form: 20-F
Chunk 593
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. Securitisations HSBC uses structured entities to securitise customer loans and advances it originates in order to diversify its sources of funding for asset origination and capital efficiency purposes. The loans and advances are transferred by HSBC to the structured entities for cash or synthetically, and the structured entities issue debt securities to investors. Where synthetic securitisations are used, the credit risk associated with the loan portfolio of assets is transferred to the structured entities through loan portfolio financial guarantees. HSBC managed funds HSBC has established a number of money market and non-money market funds. Where it is deemed to be acting as principal rather than agent in its role as investment manager, HSBC controls these funds. Other HSBC has entered into a number of transactions in the normal course of business, which include asset and structured finance transactions where it has control of the structured entity. In addition, HSBC is deemed to control a number of third-party managed funds through its involvement as a principal in the funds.

| 430 | HSBC Holdings plcAnnual Report on Form 20-F |

Notes on the financial statements

Unconsolidated structured entities The term ‘unconsolidated structured entities’ refers to all structured entities not controlled by HSBC. The Group enters into transactions with unconsolidated structured entities in the normal course of business to facilitate customer transactions and for specific investment opportunities.

| Nature and risks associated with HSBC interests in unconsolidated structured entities                 |                 |                   |                       |       |       |
|                                                                                                       | Securitisations | HSBC managedfunds | Non-HSBCmanaged funds | Other | Total |
| Total asset values of the entities ($m)                                                               |                 |                   |                       |       |       |
| 0–500                                                                                                 |             167 |               344 |                 1,215 |    46 | 1,772 |
| 500–2,000                                                                                             |               2 |                75 |                   911 |     2 |   990 |
| 2,000–5,000                                                                                           |               — |                30 |                   348 |     1 |   379 |
| 5,000–25,000                                                                                          |               — |                21 |                   212 |     — |   233 |
| 25,000+                                                                                               |               — |                 2 |                    33 |     — |    35 |
| Number of entities at 31 Dec