Wealth in Hong Kong: HNW Investors 2017 report analyzes the investing preferences and portfolio allocation of HNW investors in the SAR. The report is based on our proprietary Global Wealth Managers Survey.
The Hong Kong private wealth market is an attractive mix of East and West. Its long-established nature makes it larger and more diversified than is common in the rest of Asia Pacific. Local HNW investors have mainly sourced their wealth through a mixture of entrepreneurship and earned income. Convenience is an important factor driving uptake of professional advice, but investors are reluctant to relinquish control completely, preferring advisory mandates.
However, this is slowly changing as we are seeing greater uptake of discretionary mandates, in part driven by expats. The average portfolio is heavily invested into equities, and this is not expected to change. Going forward, we forecast a further bias towards risk assets at the expense of defensive assets. HNW clients also show moderate to strong demand for all planning services, with tax planning taking the lead.
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Specifically the report -
- Profiles the average HNW investor in Hong Kong in terms of their demographics and analyzes the expat opportunity.
- Analyzes which wealth management mandates are preferred among HNW investors in Hong Kong and how the demand will develop looking forward.
- Examines the allocation of HNW investors' portfolios into different asset classes and how the allocation is expected to develop in the future.
- Analyzes the product and service demand among HNW investors in Hong Kong.
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Scope
- Wealth managers need to be prepared for entrepreneurial clients with irregular incomes, heavy exposure to single industries, and finances entwined with their business.
- Expats form a sizable proportion of the local HNW market and should prove to be a lucrative segment.
- Advisory mandates continue to dominate in Hong Kong. However, HNW investors prefer to manage simple investments themselves to save on fees.
- The average portfolio is heavily exposed to equities, while only the bare minimum is held in cash and near-cash products to ensure liquidity.
Reasons To Buy
- Develop and enhance your client targeting strategies using our data on HNW profiles and source of wealth.
- Give your marketing strategies the edge required and capture new clients using insights from our data on HNW investors' drivers for seeking investment advice vs self-directing.
- Tailor your investment product portfolio to match the current and future demand for different asset classes among HNW individuals.
- Develop your service proposition to match the service and product demand expressed by HNW investors in Hong Kong and react proactively to the forecasted change in demand.
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