DUBAI, Jan 12 (Reuters) - HSBC announced on Monday the launch of an asset management entity in the United Arab Emirates and the introduction of 10 local investment funds, as it seeks to boost its investments in the region and capitalize on the influx of wealth into the Gulf state.

“Our investment in building a local asset management business is aimed at capitalizing on the large and long-term wealth opportunity in the UAE,” said Dinesh Sharma, the bank’s regional head of international wealth and personal banking for the Middle East and Turkey, in a statement, noting the demand for such structured businesses in the UAE.

In recent years, the country has seen an influx of high-net-worth individuals, attracted by the relative ease of doing business, convenient time zones, and tax exemptions, prompting a number of global asset managers to start or expand their presence there.

The London-based bank is scaling back its global operations as part of a restructuring that began in 2024, including reorganizing its operating divisions along its East and West lines and downsizing its investment banking sub-units. It has focused its growth efforts on regions such as Asia and the Middle East.

The bank said in a statement that it had appointed James Grist as general manager of the new asset management entity in the UAE, without providing details on the size of the business and staff.

The assets managed by HSBC's asset management unit amounted to $852 billion as of the end of September last year.

(Prepared by Ahmed Hisham for the Arabic Bulletin - Edited by Rehab Alaa)