HSBC Executive Suspended Amid Controversy Over Remarks That "Climate Change Risks Are Exaggerated"

[Photo by EPA Yonhap News]

[Asia Economy Reporter Park Byung-hee] British bank HSBC Holdings has suspended a senior executive in its asset management division who sparked controversy by claiming that climate change risks are exaggerated, major foreign media reported on the 22nd (local time).

Stuart Kirk, who is responsible for investments at HSBC Asset Management, became embroiled in controversy over remarks made during a 15-minute presentation at a conference on the 19th.

Kirk criticized central banks and policymakers for excessively exaggerating the financial risks posed by climate change. He added that policymakers compete to claim climate change risks more exaggeratedly than others.

He also complained that he had to continuously deal with "madmen" talking about the end of the world. Kirk stated that climate change is not a crisis related to finance and there is no need to worry.

As Kirk's remarks sparked controversy, HSBC executives including CEO Noel Quinn moved to contain the situation, stating that Kirk's comments do not align with HSBC's policies. According to sources, HSBC launched an internal investigation regarding Kirk's remarks and suspended him from his duties during the investigation.

However, it is known that internally at HSBC, only Kirk's remarks during the presentation were problematic, and there was no issue with the content of the presentation itself. The title of Kirk's presentation was "Why Investors Should Not Worry About Climate Change Risks." The presentation had already received internal approval two months prior and was posted on HSBC's website ahead of the presentation.