Affluent Singaporeans are more cautious about investments than their Asian counterparts. In spite of this, over 50 percent of affluent Singaporeans still managed to increase their net worth in the last two quarters, according to the latest results of the HSBC Affluent Asian Tracker survey.
The study revealed that over 50 percent of affluent individuals in Hong Kong and India, and almost a third of them in Taiwan and China said they are looking to raise their investment, particularly in local securities.
In comparison, only 19 percent of affluent Singaporeans plan to raise their investment in bonds and equities.
A number of affluent investors taking up new investment products are also expected from Greater China, with 12 percent from Taiwan, 21 percent from mainland China and 32 percent from HK. Singapore saw the lowest percentage, with only one percent planning to pursue new investments.
The study also calculated a risk index to measure behaviour and mentality towards growth and security. The more mature markets of Hong Kong, Singapore, Taiwan and Malaysia show a shift to a security-oriented investment strategy.
Singapore registered the largest recorded drop in risk appetite, from 95 in the last two quarters to 82 in this survey.
HSBC explained that despite being relatively conservative, affluent Singaporeans are among the top three economies with the highest growth in total net worth in the region.
The study also found that 52 percent of affluent Singaporeans raised their total net worth in the last two quarters, but the affluent Mainland Chinese are leading Asia’s wealth surge at 69 percent in the last six months, followed by Malaysia at 58 percent.