HSBC Holdings Plc’s Swiss private bank is ending relationships with wealthy Middle Eastern clients, including many with assets exceeding $100 million, as the bank seeks to lower its exposure to individuals it deems high-risk, according to people familiar with the matter.More than 1,000 clients from Saudi Arabia, Lebanon, Qatar and Egypt are among those being told they can no longer bank with HSBC’s Swiss wealth management business, the people said, asking not to be identified discussing an ongoing process. Some clients have already started to be informed and over the next few months will receive closing letters advising them they could consider transferring to other jurisdictions, the people said.“HSBC announced plans in October last year to reshape the Group to accelerate strategic delivery. As part of this, we are evolving the strategic focus of our Swiss Private Bank,” the bank said in an e-mailed statement. The reshuffle is coming at a time of ongoing scrutiny from Swiss banking watchdog Finma, which has found that the lender’s private bank failed to carry out adequate due diligence on high-risk accounts owned by politically exposed persons. The exits are expected to largely be completed within six months and HSBC is putting in place a team to help it with the closures, the people said. “We are creating a simpler, more dynamic organisation, focused on increasing leadership and market share in the areas where we have a clear competitive advantage,” according to HSBC.The move would come as a further blow for HSBC in a region that’s become a magnet for wealth managers. Rival firms have beefed up to cater to high-net worth individuals in the Middle East, though HSBC has struggled despite hiring Credit Suisse’s top wealth-management executive Aladdin Hangari a few years ago.Read More: HSBC’s Play for Mideast Wealth Marred by Exits, Regulatory CurbsLast year, Finma ordered HSBC not to enter into any new business relationships with so-called politically exposed persons, or individuals with a public role that may make them more susceptible to corruption. Finma instructed the lender to mandate an external auditor to conduct a review of the relevant business. Clients with over 100 million Swiss francs ($124 million) in assets are deemed by the bank to be high risk. The risk rating is also impacted by factors including the individual’s domicile and nationality.HSBC’s Swiss unit had been part of the bank’s effort to build its wealth offerings for the Middle East, which had faced setbacks including the departures of high-profile bankers. While the lender has typically been among the top players in the region’s capital markets, it has struggled against rivals — including the Swiss — in private banking. Last month it was revealed that HSBC’s Swiss private bank is the focus of a Swiss investigation into suspected money-laundering connected to the alleged embezzlement of hundreds of millions of dollars by the former head of Lebanon’s central bank. In June last year, Finma pointed specifically to two high-risk business relationships where it said HSBC Private Bank (Suisse) SA hadn’t adequately checked the origins, purpose or background of the assets involved. The suspect transactions involving more than $300 million moved between Lebanon and Switzerland were carried out between 2002 and 2015, according to Finma.India's Volatile Market: HSBC Picks Five Stocks To Watch — Trent, SBI, Infosys, And Two More; Check Full List. Read more on Business by NDTV Profit.