The firm, which is due to announce its results on August 4th, is expected to say that net income has decreased by 28 per cent to $10.3 billion.
Last year, with the credit crunch only beginning to take hold of the markets, this total stood at $14.2 billion.
Writedowns of credit-crunch hit assets at the bank were blamed by JPMorgan for the predicted profits slide.
According to the analysts, HSBC held around $8 billion of collatoralized debt obligations - a type of financial instrument whose value has been particularly negatively affected by the crunch - as of December 2007.
"A recent charge taken by National Australia Bank on its asset-backed securities, collateralized debt obligations has revived concerns on conduit/special investment vehicle assets," the analysts commented.
This is a reference to the increase in provisions for property market losses announced by the Australian bank last week - which signalled wider troubles for financial firms.
HSBC is Europe's biggest bank.