Hedge fund Qube's massive short position on HSBC? Company responds: Reporting error, no net short position on HSBC!

According to media reports on Friday, Qube Research & Technologies, a London-based hedge fund, has established a short position of £670 million, equivalent to 0.57% of HSBC's market value, according to the public registration records of the Financial Conduct Authority (FCA) in the UK. This is one of the largest short positions against the four major banks in the UK, as recorded by the regulatory agency.

In response to the above news, a spokesperson for HSBC declined to comment. However, Qube's subsequent response indicated that this "massive short position" was actually a comedy of errors.

Qube stated that it did not have a large short position in HSBC HOLDINGS' stock. The disclosed short position in the public registration records of the Financial Conduct Authority in the UK was due to an erroneous submission. "Due to a technical issue, an incorrect declaration was submitted to the FCA, and we are currently rectifying it," said Stuart Brown, the company's Chief Operating Officer, in an email announcement, clarifying that the company does not have a net short position against HSBC.

Established in 2015, Qube is a global quantitative and systematic investment management company. The company has grown rapidly in recent years and is becoming increasingly known in the quantitative investment community.

On Friday, HSBC HOLDINGS (HSBA.LN) saw its London stock price rise by 1.1%. After Qube's clarification was released, HSBC's US stock price extended its gains, rising by approximately 1.4% during the trading session. HSBC's stock price has risen by 19% this year, outperforming its peers Barclays and NatWest Group (formerly known as the Royal Bank of Scotland). HSBC announced a new share buyback plan last month and hinted at the possibility of further rewarding investors.