At HSBC’s annual meeting on Friday, shareholders will vote on proposals, including a potential spinoff of the bank’s Asia business. Two resolutions (17 and 18) on the agenda, proposed by a group of investors led by Ken Lui, call for a “strategic review” of the company, which includes the spinoff proposal and fixed dividends.

Ping An Insurance, HSBC’s top shareholder, supports these motions, expressing similar views to Lui. In March, HSBC advised investors to reject the two resolutions, a stance that was supported by investor advisory firms ISS and Glass Lewis. Despite this, Lui stated that his actions put pressure on management, resulting in better-than-expected Q1 results.

HSBC CEO Noel Quinn has pushed back on Lui’s resolutions, arguing that fixed dividends are not “wise corporate governance and wise capital management for a bank.” Quinn believes that a dividend payout ratio is a more balanced model. Last month, HSBC stated that spinning off its Asian business would result in a material loss of value for shareholders. Quinn believes that management is already improving the bank’s performance and is on a good trajectory.

In HSBC’s upcoming annual meeting, shareholders will vote on several proposals, including a call to spin off the bank’s Asia business. These proposals have been tabled by a group of investors led by Ken Lui and have received support from HSBC’s top shareholder, Ping An Insurance. However, HSBC CEO Noel Quinn has pushed back on these resolutions, stating that fixed dividends are not wise corporate governance or capital management for a bank.

Michael Makdad, a senior equity analyst at Morningstar, predicts that the proposals may not clear the 75% hurdle required to pass, but the issue of simplifying the bank’s structure is likely to persist. Makdad also emphasizes that despite recent banking sector woes in the US and Europe, HSBC is not a troubled bank and has strong operations in Hong Kong and other places.