Last checked at 26 Aug 2015 16:30
Securitisation exposures and other structured products
The following table summarises the carrying amount of our asset-backed securities ('ABS's) exposure by categories of collateral and includes assets held in the GB&M legacy credit portfolio with a carrying value of $19bn (30 June 2014: $27bn; 31 December 2014: $23bn).
At 30 June 2015, the available-for-sale reserve in respect of ABSs was a deficit of $818m (30 June 2014: $951m; 31 December 2014: $777m). For 2015, the impairment write-back in respect of ABSs was $90m (30 June 2014: $203m; 31 December 2014: $276m).
Representations and warranties related to mortgage sales and securitisation activities
We have been involved in various activities related to the sale and securitisation of residential mortgages that are not recognised on our balance sheet. These activities are set out on page 162 of the Annual Report and Accounts 2014.
There have been no significant changes in the liabilities recognised in respect of various representations and warranties regarding the origination and sale by HSBC Bank USA of mortgage loans, primarily to government sponsored entities, nor repurchase demands outstanding since 31 December 2014.
Carrying amount of HSBC's consolidated holdings of ABSs
Trading | Available for sale | Held to maturity | Designated at fair value through profit or loss | Loans and receivables | Total | Of which held through consolidated SEs | ||||||||
$m | $m | $m | $m | $m | $m | $m | ||||||||
Mortgage-related assets | 2,343 | 23,469 | 14,140 | - | 742 | 40,694 | 7,047 | |||||||
- sub-prime residential | 114 | 2,571 | - | - | 164 | 2,849 | 1,884 | |||||||
- US Alt-A residential | 88 | 2,353 | 9 | - | 85 | 2,535 | 2,247 | |||||||
- US Government agency and sponsored enterprises: | ||||||||||||||
MBSs | 158 | 14,611 | 14,131 | - | - | 28,900 | - | |||||||
- other residential | 1,279 | 1,181 | - | - | 205 | 2,665 | 660 | |||||||
- commercial property | 704 | 2,753 | - | - | 288 | 3,745 | 2,256 | |||||||
Leveraged finance-related assets | 263 | 3,001 | - | - | 191 | 3,455 | 2,092 | |||||||
Student loan-related assets | 250 | 3,271 | - | - | 95 | 3,616 | 3,057 | |||||||
Other assets | 1,602 | 973 | - | 13 | 212 | 2,800 | 683 | |||||||
At 30 June 2015 | 4,458 | 30,714 | 14,140 | 13 | 1,240 | 50,565 | 12,879 | |||||||
Mortgage-related assets | 1,117 | 29,863 | 1,022 | - | 1,477 | 33,479 | 11,587 | |||||||
- sub-prime residential | 150 | 3,231 | - | - | 394 | 3,775 | 3,041 | |||||||
- US Alt-A residential | 96 | 3,214 | 18 | - | 128 | 3,456 | 2,738 | |||||||
- US Government agency and sponsored enterprises: | ||||||||||||||
MBSs | 136 | 16,739 | 1,004 | - | - | 17,879 | - | |||||||
- other residential | 266 | 1,737 | - | - | 362 | 2,365 | 1,336 | |||||||
- commercial property | 469 | 4,942 | - | - | 593 | 6,004 | 4,472 | |||||||
Leveraged finance-related assets | 298 | 4,836 | - | - | 242 | 5,376 | 4,209 | |||||||
Student loan-related assets | 227 | 3,654 | - | - | 123 | 4,004 | 3,546 | |||||||
Other assets | 1,375 | 1,245 | - | 22 | 1,051 | 3,693 | 995 | |||||||
At 30 June 2014 | 3,017 | 39,598 | 1,022 | 22 | 2,893 | 46,552 | 20,337 | |||||||
Mortgage-related assets | 1,882 | 21,350 | 13,447 | - | 1,264 | 37,944 | 7,992 | |||||||
- sub-prime residential | 122 | 3,081 | - | - | 308 | 3,511 | 2,075 | |||||||
- US Alt-A residential | 96 | 3,022 | 11 | - | 110 | 3,239 | 2,411 | |||||||
- US Government agency and sponsored enterprises: | ||||||||||||||
MBSs | 82 | 10,401 | 13,436 | - | - | 23,919 | - | |||||||
- other residential | 928 | 1,220 | - | - | 330 | 2,478 | 652 | |||||||
- commercial property | 654 | 3,627 | - | - | 516 | 4,797 | 2,854 | |||||||
Leveraged finance-related assets | 172 | 3,660 | - | - | 218 | 4,050 | 2,526 | |||||||
Student loan-related assets | 242 | 3,545 | - | - | 119 | 3,906 | 3,284 | |||||||
Other assets | 1,264 | 1,114 | - | 19 | 646 | 3,043 | 758 | |||||||
At 31 December 2014 | 3,560 | 29,670 | 13,447 | 19 | 2,247 | 48,943 | 14,560 |