The second annual report into HNWIs in Asia conducted by Scorpio Partnership coincides with the company’s launch of the Futurepriority report 2012: Asia’s emerging wealthy – a report which looks into the future financial needs of Asia’s millionaires.
The research, which was sponsored by Standard Chartered Priority Bank in Asia, also found, while the MINT countries were most content, they also had the shortest time-frame for tripling their prosperity, although all of the 2,800 HNWIs interviewed anticipated strong wealth creation by 2020.
“The results are striking,” said Catherine Tillotson, managing partner at Scorpio Partnership. “The MINT markets have shown positive exuberance in these tough markets when it comes to wealth creation, matched only by Indian millionaires. The linkage between happiness and confidence in wealth creation ambitions is significant.”
Scorpio also found that “virtually all millionaires” in Asia are increasingly interested in seeking out professional guidance in decisions surrounding their wealth, with the firm adding there is a clear acknowledgement that investors will not achieve their goals alone and need advice. Scorpio added the findings “clearly show the traditional opinion of Asian HNWIs as day-traders is outdated and a wave of advised-clients is beginning to emerge”.
Banks currently top the list of providers of financial advice in Asia, although financial advisers, online investment firms, private banks and wealth advisers all jostle for second place. In Singapore, Malaysia and Taiwan, for example, financial advisers were the second most popular provider of advice, with 46%, 31% and 31% of respondents using them, respectively.
Meanwhile, in China and Hong Kong usage was still high with 25% and 39% of respondents seeking out financial advisers for their advice.
“Fortune favours the brave, but in Asia, investors now seem to recognise fortune also favours those with good advice,” said Sebastian Dovey, managing partner at Scorpio Partnership. “The recognition of the need to seek professional support is a true step change in the regional wealth landscape. The critical question is to whom these wealth creators are going to turn to get this advice and what financial institutions need to do to get their interest.”
To download a copy of the Futurepriority report 2012: Asia’s emerging wealthy click here