HSBC was founded in Hong Kong in 1865 to finance trade between Asia and Europe.
The institution began as The Hongkong and Shanghai Banking Corporation Limited. Scottish banker Thomas Sutherland helped establish it to support the growing trade of Hong Kong, Shanghai, and other Asian ports. Its name preserves the initials of Hongkong and Shanghai Banking Corporation.
HSBC expanded through branches and acquisitions across Asia and later throughout the world. Its early business included financing trade in goods such as tea, silk, and cotton, along with handling payments between merchants in different countries.
HSBC is sometimes mistakenly described as a British bank founded in London. Its origins were in Hong Kong, although the group later developed strong British connections and moved its headquarters to London in 1993. HSBC Holdings was incorporated in 1990.