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54-512: The Bank of East Asia Limited , often abbreviated to BEA , is a Hong Kong public banking and financial services company headquartered in Central , Hong Kong. It is currently the largest independent local Hong Kong bank, and one of two remaining family-run Hong Kong banks, with the other being Dah Sing Bank . It continues to be run by the 3rd and 4th generations of the Li family . It was incorporated as

108-515: A publicly listed bank in Hong Kong on 14 November 1918, and officially opened for business on 4 January 1919, by a group of local Hong Kong Chinese businessmen who "not only understood modern banking, but the needs of modern Chinese business." Essentially, it aimed to serve local Hong Kong citizens and businesses who were currently underserved by the large British banks and small, unorganized, and often unincorporated local Hong Kong moneylenders. By

162-455: A channel, Chung Mun ( 中門 ), with Tsim Sha Tsui , on the sea route along the coast of southern China . The eastern part of Central District has been known as Admiralty since the completion of Admiralty station in the early 1980s. Despite the name Central being synonymous with the Central and Western District, and Central station, there are significant differences. Central and Western

216-537: A city on the north coast of Hong Kong Island, and the present-day Central was chosen to house major military facilities and an administrative centre. Part of these military facilities include the Royal Navy port known as Naval Dockyard, and then later Admiralty. Another area to the north of Admiralty would be named Tamar for the HMS Tamar shore station (named for HMS Tamar, a Royal Navy troopship that arrived and

270-438: A declaration from the court that these placements were passed by BEA for "an improper purpose" and looked for an order requiring BEA to lift the contractual restrictions that would prevent SMBC and Caixa, another strategic investor on BEA, from reducing their stakes on BEA. In response, BEA applied to have Elliott's petition against them struck out. This case was heard by Mr Justice Jonathan Harris from 17 to 19 July 2017. During

324-620: A key restriction on foreign banks' retail business in the country. The bank issued the debit cards jointly with China UnionPay , the country's only bankcard network operator. The company claimed that the launch of debit cards would help attract retail banking customers by giving them greater convenience in accessing their deposits. In addition, it offers direct Alipay payment support and issues credit cards (RMB-denominated UnionPay credit cards in 2008, and more recently Visa-branded US dollar-denominated cards in April 2011). BEA currently operate one of

378-597: A lawsuit against BEA in July 2016 in Hong Kong court over a share placement transaction. Elliott Management, which held 7% of listed shares of BEA, had included majority of the bank's directors, its CEO and chairman in the lawsuit. The transaction in question was on BEA's issuance of new shares to Japan's Sumitomo Mitsui Banking Corp (SMBC) in 2015. Elliott cited "allegations of unfairly prejudicial conduct" and "alleged serious corporate governance failings". Elliott hoped to secure

432-649: A member of both the Corporate Culture and Responsibility Committee and the Risk Committee. From November 2014 till May 2017, he was a member of the board of directors of UBS Group AG . In July 2022, Yam said that the Hong Kong dollar peg to the US Dollar should remain, and that if the US waged a "financial war" against China, it would be unlikely to affect Hong Kong. After retiring from his role as

486-467: A professional services firm to private equity firm Permira for HKD 6.47 billion (profit of HKD 3.1 billion), and various consumer finance assets to China moneylender QL Finance for HKD 1.08 billion. On 29 June 2018, after 34 years of being a constituent of the Hang Seng Index , BEA was cut during the quarterly review of Hang Seng Index composition, effective 10 September 2018. The index said that

540-453: Is Government Hill , the site of the government headquarters until 2011. The area, with its proximity to Victoria Harbour, has served as the centre of trade and financial activities from the earliest days of the British colonial era in 1841, and continues to flourish and serve as the place of administration since the handover to China in 1997. The area of Chung Wan (aka Choong Wan in

594-500: Is a administrative district with strict boundaries, legislative representation, and elections for its legislators. Central station (more commonly referred to as Central) is a stop along the MTR Island Line , but is not the only station within the Central and Western District. Other stops include Hong Kong, Admiralty, Sheung Wan and more. The Central area is a loosely defined area within the Central and Western district defined by

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648-757: Is in the New World Tower  [ zh ] in Central. HKR International has its head office in Shun Tak Centre . Before 1999, Cathay Pacific had its head office in the Swire House in Central. In 1999, the airline relocated its head office to the Hong Kong International Airport . Nord Anglia Education , which operates international schools in various countries, formerly had its head office in Central. The head office moved to Hong Kong in 2012. In 2018

702-406: The 2019–20 Hong Kong protests , several BEA outlets were accidentally targeted as protestors vandalized mainland-linked business. Protestors later spray-painted "Sorry" at the vandalized branches, after they realized BEA is locally run and owned. Central, Hong Kong Central (Chinese: 中環), also known as Central District , is the central business district of Hong Kong . It is located in

756-671: The Bank of China branch in northern Tianjin . The scheme was announced by the State Administration of Foreign Exchange on 20 August 2007, but stalled at the starting gate, when Beijing refused to grant permission. On 19 May 2009, Yam confirmed his plan to retire, after having served in his post for 16 years. When it was originally announced in October 2007 that he would retire on 1 October 2009, financial columnist Jake van der Kamp linked Yam's departure with his handling of

810-674: The Bank of China Tower . The Hongkong and Shanghai Banking Corporation , a subsidiary of HSBC , has its head office in the HSBC Main Building . Bank of East Asia and Hang Seng Bank have their head offices in Central. Standard Chartered Bank is also located in Central. The Hong Kong Monetary Authority is based in IFC 2 . Chu Kong Passenger Transport is headquartered in the Chu Kong Shipping Tower (珠江船務大廈) in Central. The head office of New World Development

864-897: The Chairman of the Federal Reserve ($ 191,300)., and approximately three times that of the President of the European Central Bank (EUR 351,816 in 2008), the Governor of the Bank of England (GBP 290,000 in 2008) and the Governor of the Bank of Japan ($ 370,000 in 2007) In 2008, Yam was summoned by a subcommittee of Legislative Council of Hong Kong in a hearing regarding issues arising from Lehman Brothers -related Minibonds and structured financial products Noticing

918-534: The University of Hong Kong in economics, social sciences and statistics with first class honors in 1970. Yam joined the Government of Hong Kong as a statistician in 1971 and became an economist in 1976. Subsequently, in 1982, Yam was appointed as Principal Assistant Secretary for Monetary Affairs. In 1983, Yam contributed to formulating the peg between the Hong Kong dollar and US dollar. In 1985, he

972-591: The 1920s, Hong Kong was able to push far ahead economically, because of the cohesive collaboration between Central and all waterfront commerce. The military structures survived until the 1980s. Only Flagstaff House remains as Museum of Tea Ware in Hong Kong Park . City Hall sat on the present premises of the HSBC Hong Kong headquarters . Hong Kong's first road, Queen's Road (subdivided into Queen's Road East , Central , and West ), passes through

1026-412: The 1930s, BEA was considered the most influential local Hong Kong bank in the city. BEA was co-founded in Hong Kong on 14 November 1918 and officially opened for business on 4 January 1919. The idea of a local Hong Kong bank to blend East and West, essentially by embracing the style of a Chinese, family-run bank but also adopting modern accounting and banking methods, came from Kan Tong-po (簡東浦). Kan had

1080-546: The A-share and H-share plans which destabilised Hong Kong's economy. Chief Executive Sir Donald Tsang of Hong Kong described Yam as a "comrade in arm [sic] who acted in concert with the government in 1998 to overcome the Asian financial turmoil and under the present financial tsunami, Hong Kong's banking system has remained stable." In April 2011, Yam was elected to the board of directors of UBS AG and since 2011 he has been

1134-591: The Bank of East Asia did not meet the turnover and market capitalisation minimums. In late 2018, BEA began to venture into investment banking by setting up a debt capital markets team based in Hong Kong. BEA began 2019 by celebrating its centennial on 2 January 2019, with a reception at the Hong Kong Convention and Exhibition Centre attended by various business and political leaders from Hong Kong. On 1 July 2019, David Li stepped down as CEO after 38 years (but still retaining his Chairmanship), and

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1188-571: The Central and Western District. As such, Admiralty is sometimes considered a part of Central. Central is bordered in the south by Mid-Levels , an affluent residential area halfway up Victoria Peak . The boundary between Central and Mid-Levels is not clearly defined. For district council elections purposes, the area, together with Admiralty, correspond roughly to the " Chung Wan " constituency. The boundaries of such constituencies may be subject to modification. The British landed on Possession Point of Sheung Wan in 1841. They soon decided to build

1242-540: The Education University of Hong Kong) as an Honorary Professor affiliated to the Department of Asian and Policy Studies for a period of three years, starting from February 2015. As well as honorary doctorate degrees and honorary professorships from local and overseas universities, Yam was also recognised for his public service career and contribution to Hong Kong. In 1995, he was appointed Commander of

1296-770: The Hong Kong Institute of Bankers voted Yam Banker of the Year . Despite a study conducted by S. K. Tsang, a Professor of Economics in Hong Kong Baptist University , entitled "A Study of the Linked Exchange Rate System and Policy Options for Hong Kong" and indicating there were weaknesses of the HKD-USD exchange rate peg system during the 1997 Asian Financial Crisis , Yam did not amend the narrow-based peg, but defended

1350-662: The Hong Kong Mortgage Corporation Limited in the position of a deputy chairman and director and as a member of the advisory council at Central Bank of United Arab Emirates . Joseph Yam is also a member of the International Council of China Investment Corporation , and a member of the boards of UnionPay International Co., Ltd. and of the Community Chest of Hong Kong . He is also a Distinguished Research Fellow at

1404-592: The Hong Kong dollar by pushing up interest rates. In particular, Yam pushed the overnight Interbank rates up to 280% on 23 October 1997. In an audacious move, the HKMA also bought US$ 15 billion in stocks amidst the market panic in 1998. The measure restored calm, and consequently succeeded to defend the Hong Kong fixed exchange rate parity against the US dollar. The move was initially criticised by, amongst others, Alan Greenspan , who voiced concern in September 1998 that

1458-761: The Institute of Global Economics and Finance at the Chinese University of Hong Kong . In 2001, Yam was awarded the honorary degree of Doctor of Business Administration by the Open University of Hong Kong (OUHK). In November 2009, Yam was awarded Doctor of Business Administration honoris causa by the Hong Kong University of Science & Technology . He was also appointed to the Hong Kong Institute of Education (now

1512-668: The North American market in 1991 (though operations would later be sold to Industrial and Commercial Bank of China in January 2010), and mainland China in 1992. The late 1930s to 1940s were tough on the bank, as the Second Sino-Japanese War and later Japanese occupation of Hong Kong resulted in heavy losses, with many of BEA's assets seized. Even after the war, the Chinese Civil War and later

1566-565: The United Nations embargo on China negatively affected Hong Kong's economy, and as a result, BEA. In 1965, Hong Kong experienced a city-wide banking crisis which saw other local Hong Kong banks suffer bank runs and hostile takeovers, such as Hang Seng Bank . BEA, however, was undisturbed but became much more conservative thereafter. In 1984, after the Sino-British Joint Declaration , BEA refused to follow

1620-631: The area and the business centre has continued to expand the Hong Kong shoreline into Victoria Harbour. The Hong Kong Garrison was home to the British Forces in Hong Kong , until the handover in 1997 , since then it has been occupied by the People's Liberation Army of China . Central has been the site of a number of major political protests. From October 2011 to September 2012, the Occupy Central movement against global economic inequality

1674-585: The bank continues to run deep today, with Sir David Li (3rd generation) being chairman, and his sons Adrian Li and Brian Li (4th generation) being co-CEOs. BEA expanded rapidly internationally after opening. In 1920, just one year after the bank's official opening, BEA opened its first branches outside of Hong Kong, in Shanghai and Ho Chi Minh City. In 1952, BEA opened its Singapore branch, located in Raffles Place at 60 Robinson Road. BEA would later enter

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1728-480: The board of Johnson Electric Holdings Limited and to the board of China Construction Bank . He was initially appointed for a two-year term till 2012 to the board of Johnson Electric Holdings Limited. This mandate was later extended and Yam currently still serves on the board. He left his post as an independent non-executive director of the China Construction Bank on 23 October 2013. He served

1782-712: The chief executive of the Hong Kong Monetary Authority in September 2009, Joseph Yam took up a number of appointments. Upon his retirement, he was appointed as the Executive Vice-President of the China Society for Finance and Banking, a society managed by the People's Bank of China . He thus also became de facto an advisor to the People's Bank of China. In 2010, Yam was also appointed as an independent non-executive director to

1836-672: The company announced it was returning its head office to the United Kingdom. Central, together with Tsim Sha Tsui and Tsim Sha Tsui East , is home to many hotels. It provides alternative options for those who do not want to stay in Hotels, but looking for flexible lease terms, below are some examples: Central is in Primary One Admission (POA) School Net 11. Within the school net are multiple aided schools (operated independently but funded with government money) and

1890-505: The east end of the district. Between 1860 and 1880 the construction of City Hall , Theatre Royal and other financial structures made Central the heart of Hong Kong. In 1904, the Praya Reclamation Scheme added 59 acres (24 ha) of land to Central's waterfront. Many of the proposals came from Sir Paul Chater and James Johnstone Keswick , the founders of Hongkong Land , a modern property development group. During

1944-639: The following government schools: Bonham Road Government Primary School and Li Sing Primary School  [ zh ] (李陞小學). The area is a major transport hub for Hong Kong (see also Transport in Hong Kong ). The film The Dark Knight takes place in part in Central, Hong Kong, specifically at the Mid-Levels escalator , on the top of IFC (International Finance Centre) 2 , and crashing into IFC 1 . 22°16′55″N 114°09′29″E  /  22.28194°N 114.15806°E  / 22.28194; 114.15806 Joseph Yam Joseph Yam graduated from

1998-492: The lead of many leading firms at the time to move their headquarters overseas, and instead decided to double down and reaffirm their "Hong Kong roots". Traditionally more focused on internal growth rather than external acquisitions, in 1995, BEA made its first acquisition when it acquired United Chinese Bank ( simplified Chinese : 中国联合银行 ; traditional Chinese : 中國聯合銀行 ), with the merger being completed in 2001. BEA also acquired First Pacific Bank in 2000, and that merger

2052-500: The most extensive networks in mainland China for a foreign bank. BEA operates overseas in several locations serving expatriate Hong Kong residents. BEA operates overseas branches in the following countries and markets: Former overseas branches: Major shareholders in BEA as of the 2023 annual report: The position of Chief Executive Officer was known as Chief Manager prior to 1986 Hedge fund activist investor Elliott Management filed

2106-472: The necessary banking background but needed the financial support of the Li brothers ( Li Koon-chun and Li Tse-fong ) and the sociopolitical support of Sir Shouson Chow , who would become co-founders, along with several other prominent local Hong Kong Chinese businessmen, including Fung Ping Shan (馮平山). While Kan later sold his stake in the bank in the run-up to Hong Kong's handover , the Li family 's influence in

2160-497: The northeastern corner of the Central and Western District , on the north shore of Hong Kong Island , across Victoria Harbour from Tsim Sha Tsui , the southernmost point of Kowloon Peninsula . The area was the heart of Victoria City , although that name is rarely used today. As the central business district of Hong Kong, it is the area where many multinational financial services corporations have their headquarters. Consulates of many countries are also located in this area, as

2214-700: The past; 中環 ), a direct translation of Central in English, was one of the districts ( 四環九約 ) in Victoria City. The English name Central became prevalent after the Island line of the MTR metro system was built in the early 1980s, and the connected stations of Pedder and Chater (named after major streets in the area) were renamed as Central . On some older maps, Central and the area to its west are named Kwan Tai Lo ( 羣帶路 ) below Victoria Peak . It formed

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2268-428: The presence of major banks, sky scrapers, and multi-modal transportation nodes. Central is located on the north shore of Hong Kong Island , across Victoria Harbour from Tsim Sha Tsui , the southernmost point of Kowloon Peninsula . It is bordered in the west by Sheung Wan , with the border being along Aberdeen Street (also called Wing Kut Street ). It is bordered in the east by Admiralty , an eastern extension of

2322-722: The pricing differential between shares listed on both the local market (H-shares) and the Shanghai Stock Exchange (A-shares), Yam pushed for mechanisms to promote greater convergence and arbitrage. Ignoring major obstacles pointed out by local brokers, he is credited with persuading the Government to take a 5.9% stake in the Hong Kong Stock Exchange as leverage, and then pushing the program which allowed mainland individuals to buy Hong Kong securities directly by opening foreign-currency accounts at

2376-462: The strategy would fail and erode the credibility of the HKMA. "It turned out that his timing was exquisite," Greenspan later said. "It was a risky action [which]... I wouldn't recommend as a general rule for central banks." Yam responded with an open letter, stating his disappointment and defending the decision of the HKMA. In 2007, Yam was the highest paid central banker in the world, with an annual salary of US$ 1.32 million, about seven times that of

2430-406: The years: Bank of East Asia began its mainland China business in 1992, and in 2007, was among the 4 foreign banks approved by China Banking Regulatory Commission (CBRC) to establish a locally incorporated bank, the Bank of East Asia (China) Ltd (BEA China). On 20 May 2008, BEA became a foreign bank that issued yuan-denominated debit cards in mainland China, taking advantage of the recent removal of

2484-509: Was above the industry average, at 14.6 percent. A statement by Joseph Yam , the then chief executive of the Hong Kong Monetary Authority , dismissed the rumour and strongly supported the bank, adding that funds would be made available to the bank if required but that no request had been made. Earlier in the week, the bank had been forced to restate its previous half-year's earnings downwards by nearly 12 percent after it

2538-661: Was appointed as Deputy Secretary for Monetary Affairs and in 1991, as a Director of the Office of the Exchange Fund. When the Office of the Exchange Fund merged with the Office of the Commissioner of Banking in 1993 to become the Hong Kong Monetary Authority (HKMA), Yam took the position of Chief Executive of the new body. Yam served as Chief Executive of the Hong Kong Monetary Authority for 16 years, from its inauguration on 1 April 1993 until 30 September 2009. In 1995,

2592-585: Was based in front of the HSBC Main Building . Two years later, in September 2014, democratic activists initiated Occupy Central with Love and Peace , demanding universal suffrage for the election of the Chief Executive of Hong Kong , eventually contributing to the Umbrella Revolution . There are many Grade-A commercial buildings in Central , a prime commercial district in Hong Kong. Bank of China (Hong Kong) has its head office in

2646-449: Was completed in 2002. On 24 September 2008, BEA experienced a serious test in the form of the worst bank run in its history. BEA had to issue a statement to counter "malicious rumours" about its stability, as queues of customers seeking to withdraw funds formed outside some of its Hong Kong branches. It condemned the rumour mongers, declaring that it had sufficient funds to meet customers' requests, and noting that its capital adequacy ratio

2700-476: Was largely dominated by the presence of Victoria City. The popularity of this area would also boost the population of Hong Kong from 5,000 in 1841 to 24,000 in 1848. Government House and other Hong Kong Government buildings were completed during this period on Government Hill . Various barracks , naval bases and the residence of the Commander of British Forces in Hong Kong , Flagstaff House were built on

2754-759: Was no disclosure of the transaction amount involved in this sales. As the banking sector and BEA continued to face challenges, BEA launched a 3-year cost-cutting plan in the beginning of 2016 to save HKD 700 million by 2018, by reducing dividend payouts, controlling costs, and trimming assets. The saving target was about 8% of its cost base in 2015. It was expected that 40% of savings coming from business alignment, 25% from restructuring middle to back offices, and remaining via branch automation and streamlining. By June 2016, BEA already slashed 180 jobs and closed down 22 securities brokerages outlets. Other key assets sold during this period of cost cutting included its holdings in Tricor,

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2808-640: Was replaced by his sons Adrian and Brian Li as co-CEO's. BEA faced a difficult 2019, with loan writedowns in China and unprecedented scale of protests in Hong Kong affecting business. BEA trades through the following segments: From 1918 to 1920, the bank was headquartered in 2 Des Voeux Road Central , in Central, Hong Kong. In 1920, the bank moved its headquarters to the 29-storey Bank of East Asia Building (東亞銀行大廈) located at 10 Des Voeux Road Central , standing between New Henry House and The Landmark . The Bank of East Asia Building has had multiple rebuilds over

2862-466: Was revealed that one of its staff had conducted unauthorised trades and then buried the losses. In October 2015, BEA entered into agreement with Sinopac Securities to sell BEA Wealth Management Services (Taiwan) Limited and Tung Shing Holdings Company Limited. BEA chairman and CEO David Li said that the disposals would allow BEA to rationalise its securities business in Greater China region. There

2916-565: Was used as a shore base during the second opium war ). The area soon attracted both Westerners and Chinese to trade and live in the area, and a Canton Bazaar (the precursor of the Central Market ) was built between Cochrane Street and Graham Street in 1842. The area was soon zoned for Westerners only, and Chinese residents were restricted to Sheung Wan. It was zoned for "Western-style buildings," meaning buildings with space requirements and hygiene standards similar to European. The area

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