The Private Credit Shift: What HSBC’s $4 Billion Move Really Means

HSBC has announced plans to commit up to $4 billion to private credit funds as it seeks to build a $50 billion private credit business over the next five years.

This is not just another headline, it’s a clear signal that private credit has shifted from niche to necessary in global portfolio construction. The flagship Balqis Capital Bond is timed perfectly for this shift. It addresses investor concerns around market volatility, persistently cautious bank lending and strong investor appetite for alternative income-producing assets.

HSBC is going where the smart capital is going, and it's not alone. For high-net-worth (HNW) investors, family offices and financial advisers, the message is clear: private credit is becoming the cornerstone of future-facing portfolios.

The Balqis Bond

The Balqis Capital Bond has a 10.25% fixed return. Its structure provides investors with broad, high-conviction exposure to secured private credit opportunities, without being overconcentrated in any one asset class.

What sets the bond apart are:

London Stock Exchange-AIM Listed IPO Participation

The bond includes exposure to London Stock Exchange-AIM listed IPOs. This creates a built-in equity uplift, allowing investors to benefit from early-stage access to high-growth companies without taking unstructured venture risk.

Regulated Jersey M&A Fund

Balqis also offers exposure to a REgulated Jersey M&A Fund, led by a former PwC M&A accountant who worked for Goldman Sachs. This vehicle targets deal-driven returns via mergers and acquisitions, giving investors an opportunity to participate in structured equity events with institutional oversight.

In addition, the Balqis Bond also gives investors diversified exposure across litigation finance, private debt and structured equity, with asset-backed security, and risk controls at every level.

Mary Trimithiotou, Chief Financial Officer at Balqis Capital, said: “Private credit has evolved. It’s no longer just about yield, it’s about access, structure and control.

“At Balqis, we focus on building a bond that matches the rigour and opportunity of institutional platforms, while giving investors the transparency and service they expect from a more tailored partner,” she added.

Why the Shift to Private Credit?

Traditional sources of credit, particularly bank lending, have tightened significantly over the past two years. Regulatory constraints, rising capital costs and risk aversion have left borrowers looking elsewhere. At the same time, investors are seeking stable, asset-backed returns that can withstand interest rate volatility and equity market swings. This is where private credit fills that gap.

It offers:

• Asset-level security
• Predictable income
• Structurally superior terms
• Access to deal-specific risk controls

For institutional players like HSBC, Blackstone and Ares, the model is proven. But the opportunity is no longer exclusive to major funds. Firms like Balqis Capital are democratising access for professional investors, family offices and advisory partners globally.

Built for Advisers and Partners

The Balqis Bond is not a one-size-fits-all instrument. It’s designed for partners and advisers who need:

• Clear documentation
• Visibility into underlying assets
• Direct access to decision-makers
• An exit-aligned referral structure

The team at Balqis Capital work with lawyers, introducers, financial advisers, stockbrokers and family offices to offer a structured, defensible investment alternative that complements and elevates any professional investment proposition.

The HSBC Factor

HSBC’s commitment to the private credit space is not speculative. It’s a five-year, $50 billion signal that this market is institutionalising rapidly. It is not just about scale, but about where the returns are coming from and how those returns are being structured.

At Balqis Capital, we’ve long believed that the best credit opportunities are found through deep relationships, local insight and cross-border deal flow. This is why we’ve built a strategy that spans the UK, Middle East, US and Asia, with partners and deals that go beyond traditional silos.

The rise of private credit is no longer a trend. It’s the foundation of a new capital market shift, which is built on access, flexibility and performance.

HSBC is moving early. So are we. The question is: are you or your clients?

To learn more about the Balqis Capital Bond or to register for full access to bond documentation and due diligence, please [contact us](https://balqiscapital.com/contact-us).