HSBC today signalled the importance of Asia to its future business development by announcing that its chief executive, Michael Geoghegan, will move from London to Hong Kong in February next year. It also announced a number of senior management changes.

The announcement did not elaborate on whether the senior management of HSBC’s private bank will shift to Asia. HSBC Holdings, the group, will remain domiciled in the UK and there are no plans to change this, the bank said in a statement.

Among the changes announced, Stuart Gulliver, executive director, will be appointed chairman, Europe and the Middle East, reporting to the group CEO and based in London. He will oversee all HSBC's businesses across Europe and the Middle East. Mr Gulliver will continue to manage global banking and markets and asset management, and also take responsibility for global private banking and insurance. Mr Gulliver will become chairman of HSBC Bank and of HSBC Bank Middle East.

The move comes at a time when the centre of gravity in the world economy is seen as moving from West To East, driven by China’s rapid emergence as a global economic power. Given HSBC’s origins – it was founded in Hong Kong and Shanghai in 1865 – the move may be seen as a natural move.

Hong Kong and China together made up 40 per cent of HSBC’s pre-tax profits in the first half of 2009, according to the Financial Times. The newspaper quoted Mr Geoghegan as saying: “China is our number one priority”.

The bank said the decision to move the CEO to Asia is “in line with its stated strategy to focus on emerging markets”.

“The move further positions the Group for the shift in the world's centre of economic gravity from West to East, while HSBC's continued strong presence in major developed markets reflects the increasingly interconnected nature of the global economy and the profile of the Group's customers,” the statement continued.

The group chairman, Stephen Green, and two executive directors, Douglas Flint and Stuart Gulliver, will continue to be based in London.

The UK Financial Services Authority remains the lead regulator of the Group. The Group chief executive, who will move to Hong Kong from 1 February 2010, will also maintain an office and a regular presence in London.

"The additional management presence in Hong Kong and focus on our faster-growing markets is absolutely right for HSBC and entirely consistent with the strategy we set out in 2006," Mr Green said.

"There is absolutely no question of HSBC pulling away from London. We will operate from two equally strategically important centres for the company. Based in London, where we are domiciled and regulated, I will oversee the stewardship of our business and our globally strategic relationships with governments, regulators and with our owners,” he said.

The CEO will also become chairman of The Hong Kong and Shanghai Banking Corporation Limited, succeeding Vincent Cheng on 1 February 2010.

Mr Cheng, who has chaired HSBC's Asia business since 2005, will continue to report to the group chairman and work to develop its business in China.

HSBC also announced other changes as part of the announcement. Sandy Flockhart, executive director, will be appointed chairman, personal and commercial banking, reporting to the group CEO and based in Hong Kong.

Douglas Flint, executive director, will assume responsibility for compliance in addition to his existing remit for Credit and Risk, and Finance. His title will change to chief financial officer, executive director, risk and regulation.

Peter Wong will be appointed chief executive of The Hongkong and Shanghai Banking Corporation Limited, succeeding Sandy Flockhart.

Brendan McDonagh, group managing director and chief executive of HSBC North America Holdings, will continue to report to the group chief executive.

The appointments are subject to the appropriate regulatory, and other approvals.