BUZZ-VIEW FROM THE BUYSIDE-HSBC: Hibor a potential boost - OMGI

** Old Mutual Global Investors' Ed Meier highlights that rising Hibor would be beneficial to HSBC's Net Interest Margin, given the bank's strong presence in Asia

** Hibor (Hong Kong Inter-bank Offered Rate) has become dislocated from US Libor; spread between two has been increasing from beginning of year, though has reduced in last months

** US Hibor vs Libor http://reut.rs/2AK3qSl

** Because HKD is pegged to USD, Hibor (HKD (Shenzhen: 002816.SZ - news) ) should be closely correlated to US Libor

** "We're in a 'catch up' to US Libor phase, so HSBC's HK excess liquidity has not yet fully experienced the better US Libor which it economically probably should have," Meier says

** Barclays (LSE: BARC.L - news) estimated that at its end October level, Hibor could add $0.4 bln to HSBC's income, or up to $1 bln if the gap to US libor moved back to historical levels

** PM says reason behind such disconnects in the rates is "up for debate"

** "Often when the Fed is raising rates there can be a small lag due to inefficiencies in the transmission mechanism but this time it's more pronounced and the theory goes that it's more to do with excess Chinese liquidity flowing into HK," PM says

** Old Mutual UK Equity Income Fund, which Meier runs, is underweight HSBC -- but it still accounts for a big position for the fund at c5 pct

** Story: HK money market rates seen rising further from 9-year highs

(RM (LSE: RM.L - news) : tricia.wright1.thomsonreuters.com@reuters.net)