China Wealth Management - High Net Worth (HNW) Investors

Summary

The Chinese private banking industry is difficult to penetrate, but wealth managers who are aware of the local makeup of the high-net-worth (HNW) market will find it to be highly profitable. Chinese HNW investors have mainly sourced their wealth from earned income and entrepreneurship. While the largest chunk of HNW wealth is held via discretionary mandates, demand for robo-advice is forecast to rise.

This report sizes the opportunity that the Chinese wealth market offers and analyzes the investing preferences, service requirements, and portfolio allocations of Chinese HNW investors. The report is based on our proprietary Global Wealth Managers Survey.

Scope

• Expats constitute 21.5% of the local HNW population. They represent an attractive target market thanks to their more complex service requirements.
• Robo-advisory services are witnessing a sharp increase in demand, with 51.1% of wealth managers agreeing that traditional wealth managers will lose market share to these services in the next 12 months.
• Asset diversification is a primary aspect of the Chinese HNW portfolio, with equities forming the largest proportion of onshore wealth.
• Real estate is booming, with HNW individuals focusing on diversification - the rise of authentic real estate investment trusts will be a particularly significant game changer.

Reasons to Buy

• Develop and enhance your client targeting strategies using our data on HNW profiles and sources of wealth.
• Enhance your marketing strategies and capture new clients using insights from our data on HNW investors’ asset management style preferences.
• 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 demand expressed by Chinese HNW investors and react proactively to forecast changes in demand.