v3.25.1
Related Party Transactions (Tables)
 3 Months Ended
Mar. 31, 2025
Related Party Transactions [Abstract]  
Summary of Related Party Transactions The following tables present related party balances and the income (expense) generated by related party transactions:
March 31, 2025December 31, 2024
 (in millions)
Assets:
Cash and due from banks$358 $188 
Interest bearing deposits with banks180 4 
Securities purchased under agreements to resell(1)
— 405 
Trading assets19 120 
Loans5,257 5,449 
Other(2)
445 468 
Total assets$6,259 $6,634 
Liabilities:
Deposits$11,702 $8,351 
Trading liabilities18 77 
Short-term borrowings1,790 1,549 
Long-term debt9,888 8,388 
Other(2)
429 252 
Total liabilities$23,827 $18,617 
(1)Reflects purchases of securities under which other HSBC affiliates have agreed to repurchase.
(2)Other assets and other liabilities primarily consist of derivative balances associated with hedging activities and other miscellaneous account receivables and payables. Other assets also includes receivables from HSBC Bank plc associated with certain client share repurchase transactions.
Three Months Ended March 31,20252024
 (in millions)
Income (Expense):
Interest income$71 $54 
Interest expense(162)(130)
Net interest expense(91)(76)
Trading revenue (expense)(484)(2,020)
Servicing and other fees from HSBC affiliates:
HSBC Bank plc67 48 
HSBC Markets (USA) Inc. ("HMUS")18 23 
Other HSBC affiliates17 17 
Total servicing and other fees from HSBC affiliates102 88 
Gain (loss) on instruments designated at fair value and related derivatives(187)125 
Support services from HSBC affiliates:
HSBC Technology & Services (USA) Inc. ("HTSU")(226)(235)
HMUS(55)(56)
Other HSBC affiliates(123)(108)
Total support services from HSBC affiliates(404)(399)
Rental income from HSBC affiliates(1)
12 14 
Stock based compensation expense(2)
(8)(9)
(1)We receive rental income from our affiliates for certain office space, which is recorded as a component of occupancy expense, net in our consolidated statement of income.
(2)Employees may participate in one or more stock compensation plans sponsored by HSBC. These expenses are included in salaries and employee benefits in our consolidated statement of income. Certain employees are also eligible to participate in a defined benefit pension plan and other postretirement plans sponsored by HSBC North America which are discussed in Note 22, "Pension and Other Postretirement Benefits," in our 2024 Form 10-K.
Schedule of Loan Balances Outstanding with Affiliates
At March 31, 2025 and December 31, 2024, we had the following loan balances outstanding with HSBC affiliates:
March 31, 2025December 31, 2024
 (in millions)
HMUS and subsidiaries$2,040 $2,013 
HSBC North America
3,000 3,000 
Other short-term affiliate lending217 436 
Total loans$5,257 $5,449