Hong Leong Investment Bank Berhad was established on 03 December 1970 and is a wholly owned subsidiary of Hong Leong Capital Berhad (HLCB). Among other activities, Hong Leong Investment Bank Berhad engages in debt and equity fund raising, corporate advisory work, and debt underwriting. The bank’s trading and distribution division provides trading services, treasury related solutions, and equity research.
The bank has a strong retail franchise and extensive branch network. Hong Leong’s retail deposit base is among the highest in the industry. As of end-September 2021, its loan-to-deposit ratio stood at 84.8%, above the regulatory level. Moreover, the bank has prudently built-up its loan loss provisioning, and is geared to absorb higher credit losses. In addition, its common equity tier-one capital ratio was 11.4% at end-September 2021.
Hong Leong Investment Bank Berhad has a AAA long-term FIR. The bank’s CCR, or common-share capital ratio, reflects the Bank’s moderate gearing ratio and moderate company-level double leverage. HLFG is anchored by its underlying Hong Leong Bank’s AAA long-term FIR. In addition, it also reaffirmed its investment bank’s debt and sukukuk/debt facilities. While the bank is experiencing a tough economic environment, its ratings remain stable.
The bank provides a range of services, including banking and insurance. Its banking products include auto loans, property loans, and personal loans. It also provides investment, insurance, and share financing. Its principal business activities include deposit services and fixed deposits. Additionally, it provides asset acquisition solutions, working capital, and debt capital market structures to its corporate and commercial clients.