Surveys

Wealthy Investors Want More Guidance, Say Virus Creates Permanent Change

Tom Burroughes, Group Editor, 14 July 2020

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Regional breakdowns
Asia-Pacific investors in the region are less likely than average to predict permanent changes because of the virus and to see fears persisting over the longer term. However, 89 per cent of them say they did want more guidance than usual from their financial advisor during times of market uncertainty, versus a global average of 83 per cent.

In Singapore, 200 HNW investors participated in the survey. Seven in 10 plan to travel less. 64 per cent plan to move closer to family. Forty-one per cent plan to move to less populated areas. Some 90 per cent say staying healthy is their top priority. Some 88 per cent of Singaporean investors say that they see volatility as an opportunity, compared with 82 per cent of Asian investors.

 

From a generational perspective, Millennial investors surveyed were more inclined to say that the pandemic affected them financially and were more concerned about their finances than older generations. Seventy-three per cent of Millennials felt that they were financially affected by the pandemic. Seventy-four per cent said the pandemic affected how they think about their money.

United States
With the US still working to contain the pandemic, 82 per cent of US investors see their old way of life changing forever, which is above the global average of 75 per cent. However, only 22 per cent say the pandemic significantly affected them – below the global average of 25 per cent.

Europe
The pandemic's impact on European investors was mostly in line with the global average. The exception was related to how Europeans direct their money to make an impact. Some 42 per cent of European Millennials increased their financial support to family and friends, compared with 34 per cent of Millennials globally.

Switzerland sang froid
COVID-19 made the least impact on Swiss investors. Only 56 per cent say their way of life would change permanently, compared with a global average of 75 per cent; some 68 per cent say fears related to the effects of the pandemic would persist, compared with a global average of 81 per cent. Only 11 per cent say their finances were significantly affected.

Different market outlooks
The study also showed that people in different regions have contrasting views about the outlook for markets. In total, 81 per cent of investors said they feared a further decline, with Latin Americans taking the most worried position (89 per cent) with the Swiss at the least concerned, but still in a majority of those asked (64 per cent).

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