Bond.az reports that HSBC has suspended a $4 billion investment into its private credit funds, following a $400 million loss tied to the collapse of British mortgage lender Market Financial Solutions.
Europe's largest lender announced the $4 billion investment plan in June 2025. No funds have been transferred and there are no current plans to proceed, according to the Financial Times.
The pause adds to concerns about the $3.5 trillion global private credit market, which has expanded rapidly. Regulators have increased scrutiny after several high-profile losses.
HSBC Chairman Brendan Nelson told shareholders the bank had completed a review of lending policies after the $400 million hit.
