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By Lawrence White
LONDON, June 30 (Reuters) - HSBC investor Federated
Hermes said it has questions about the bank's support for
China's new security law for Hong Kong, the second investor in
Europe's biggest bank in recent weeks to voice concerns about
the lender's stance.
"We expect companies to support improvements in protections
for citizens and not back their removal," said Roland Bosch,
lead engager for financial services at Federated Hermes's
stewardship and engagement team.
The new law could have an adverse impact on human rights, he
said.
Aviva Investors, another leading HSBC shareholder, said
earlier this month it was uneasy about the bank's show of public
support for the law.
China's parliament passed the new national security
legislation for Hong Kong on Tuesday, setting the stage for the
most radical changes to the former British colony's way of life
since it returned to Chinese rule 23 years ago.
Details of the law are due out later on Tuesday, amid fears
the legislation will crush the global financial hub's freedoms
and reports that the heaviest penalty under it would be life
imprisonment.
Senior politicians on both sides of the Atlantic have
criticised HSBC's stance.
The bank's Asia-Pacific Chief Executive Peter Wong signed a
petition backing the law earlier this month, which also drew ire
from human rights groups.
(Reporting by Lawrence White, Additional reporting by Iain
Withers; Editing by Tom Arnold and Ed Osmond)
HSBC Holdings (HSBA)