Standard Chartered sets out sustainable growth plan, targeting 18% return on tangible equity in 2030

Standard Chartered says it plans to invest ahead of long-term trends to maintain strong growth, boost productivity, further improve the quality of earnings, and maximize its competitive advantages.

Bill Winters, group chief executive, said in a release on Tuesday: “Our strategy is grounded in a simple belief: the world is becoming more connected, more complex and more cross-border. Clients need a bank that can help them navigate that environment with confidence - that is where Standard Chartered is distinctive."

"Our trusted ability to combine network and product capabilities to solve challenging cross-border problems is difficult to replicate. We are investing in the capabilities that will compound our competitive advantages and drive sustainable growth and higher quality returns over time, with clear targets in place,” Winters added.

New medium-term targets

Standard Chartered achieved its 2026 medium-term financial targets a year earlier than planned. The bank now has a more focused, streamlined and efficient organization, positioning it strongly for the next stage of growth and to deliver is strategy at greater scale and pace.

The bank aims to deliver an over 15% RoTE (return on tangible equity) in 2028, a more than 3 percentage point uplift from 2025, and building to about 18% in 2030.

It seeks to produce a high-teens EPS CAGR ( earnings per share compound annual growth rate) and 5-7% income CAGR from 2025-2028.

The group plans a cost-to-income ratio of about 57% in 2028, down from 63% in 2025, aided by positive income-to-cost jaws.

Productivity improvements are set to raise income per employee by about 20% by 2028, aided by a reduction in corporate functions roles of more than 15% by 2030.

It aims to operate within a CET1 (common equity tier 1) ratio range of 13-14% with a loan loss ratio of 30-35 bps through the-cycle and support a dividend payout ratio of 30% or more, with a progressive dividend share.

Compounding strength of differentiated network and product capabilities

Standard Chartered is building its leading super-connector institution for sophisticated clients operating across borders, utilizing competitive strengths in areas with long-term structural growth potential.

The bank supports clients where international activity is fast growing, complexity is high and its network creates the greatest value. The strength of this PUBLIC model compounds over time.

"As clients grow and become more international, they increasingly use our across multiple products, markets and segments. This deepens connectivity across its network, strengthens client relationships and drives higher quality, more diversified and durable growth. It is investing to amplify this compounding effect," Standard Chartered wrote in the release.

The third largest and fastest growing wealth manager in Asia

Standard Chartered's Wealth & Retail Banking (WRB) business is accelerating the timeline of its previously stated ambitions from 2029 to 2028, notably targeting $200 billion of Net New Money, and Affluent income to reach 75% of its total.

The bank will invest disproportionately in this business, while continuing to concentrate on markets and portfolios where it has scale and the most distinctive client proposition.

As WRB continues its sharp focus on affluent clients, Standard Chartered is further aligning parts of its retail client portfolio in Hong Kong with Mox’s digitally led proposition. This increases scale at Mox and supports its development of a future affluent client pipeline.

"We are investing in long-term structural trends to help corporate and institutional clientsnavigate a more connected, digital and increasingly complex global economy," the bank noted.

Corporate & Investment Banking business continues to leverage the competitive advantage of a unique global network that can flex to support clients in anticipation of shifts in supply chains and capital flows.

Standard Chartered is investing in higher-returning elements of its business, such as the Financial Institutions client segment, while consolidating leadership in areas including RMB, Sustainable Finance, and Islamic Finance.

Next phase of growth will be supported by a simpler, faster and more connected operating model

Standard Chartered will continue to apply disciplined workforce planning, aided by a reduction incorporate functions roles of over 15% by 2030. It is scaling practical uses of automation, advanced analytics and artificial intelligence to streamline processes, improve decision-making and enhance both client service and internal efficiency.