Merrill reassesses online venture with HSBC

NEWS Merrill Lynch is in talks to scale down its involvement in its joint venture with HSBC, which targets high-income individuals wanting online banking and broking services. The two banks have committed $1bn to establishing Merrill Lynch HSBC (MLHSBC) but have so far gained fewer than 4,000 customers. Most observers put the venture in the same category as Abbey National's Inscape and Create, from LloydsTSB - both of which launched eyeing wealthy individuals just as the economy started to turn downwards. According to the FT, Merrill is looking to reduce its role in MLHSBC in line with its October restructuring programme.